Warming Up to the Idea

The HVAC energy efficiency standards set by the Department of Energy will require regional changes as of May 1, 2013.  In the northern region, which includes Alaska, Colorado, Connecticut, Idaho, Illinois, Indiana, Iowa, Kansas, Maine, Massachusetts, Michigan, Minnesota, Missouri, Montana, Nebraska, New Hampshire, New Jersey, New York, North Dakota, Ohio, Oregon, Pennsylvania, Rhode Island, South Dakota, Utah, Vermont, Washington, West Virginia, Wisconsin and Wyoming, residential gas furnace replacements will need to be 90% efficient or greater.

While most homeowners will see this increased installation cost offset by energy savings on their utility bill, that may be of small comfort to homeowners or sellers who are not expecting to put in the extra money up front.  The Department of Energy has stated that they will allow exemptions for hardship cases, but they've set no guidelines yet for who might qualify.

In addition to the units themselves costing more, there could be additional installation costs.  For instance, many standard furnaces of 80% efficiency or less are vented through metal B vent, while 90% plus furnaces use PVC pipes.  Also, previously installed furnaces may share their chimney vent with the water heater.  Changing the location could leave the chimney half-empty, leading to condensation and draft problems.  A new chimney liner or another type of solution may be necessary in order not to lose the gains made by the higher efficiency furnace.

It may be that, looking at the lifetime of the furnace and how long you remain in the home, it's well worth it to purchase the 90% high efficiency furnace.  But if you're not sure which way to go you may want to start your research  sooner rather than later to ensure that all of the options are still open to you.

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I would love to help you with your real estate journey. 

Please contact me at 303-917-7143 or robbin@stauferteam.com

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