The answer to this question is more complicated than a simple yes or no. There are many variables to consider, including age and efficiency of the existing furnace and, of course, the efficiency and cost of replacement equipment. Typically, if the furnace is older or a mid-efficient model, significant energy savings can be obtained through upgrading. As a furnace ages, its efficiency can decrease. Its maintenance history will also contribute to how much its efficiency declines.
When considering a furnace replacement, you may also want to factor the available warranty into your savings calculations. A new furnace under full warranty is much more cost effective for repairs than an older furnace with an expired warranty.
A more in-depth analysis may show that the new furnace costs no extra monthly expenditure. Using your heating bills, calculate your yearly heating costs and divide by 12 for a monthly average. A rough estimate of your reduced monthly fuel costs can be calculated by subtracting your current furnace efficiency rating from the new furnace efficiency rating. For example: New 95% – Old 60% = 35% less fuel used to provide the same heat. Now, multiply your average current monthly heating costs by your fuel savings percentage and you will get a rough idea of what you can save on fuel monthly. In this example, average monthly cost is $110 X fuel savings 35% = $38.50 saved per month on heating fuel alone.
If you would like to know your furnace’s current efficiency, ask a trusted heating and cooling contractor like Langton Mechanical to perform an efficiency test on your equipment. A good time to request this is when the yearly tune-up is scheduled.
In summary, if your new furnace has monthly payments equal to or less than your estimated monthly fuel savings, it is not actually costing you anything out of pocket and would be a good investment. And, we haven’t even touched on electricity savings if you purchase a new furnace with a DC motor, or the savings created by no repair costs due to new furnace warranty coverage.
For help with your decision or for expert service for your existing furnace, call the experts at Langton Mechanical.
Proudly serving Hamilton, Waterdown, Grimsby, Smithville, Carlisle, Puslinch, Flamborough, Brantford, Caledonia, Stoney Creek, Burlington, Ancaster, Dundas, St. George, Troy, Millgrove, Freelton, Strabane, Hannon, Mount Hope, Lynden, Rockton, Aldershot, Beamsville, Lincoln, Caistor Centre, Sheffield and surrounding communities.