The Cost Efficiency of Home Insulation

Attic Cellulose application

According to Energy Star, 9 out of 10 American homes have insufficient insulation. Sealing air leakages and adding quality insulation to your home are two of the most cost-effective ways to enhance energy efficiency and comfort in your home. In fact, it can help you save up to 10 percent on your yearly utility bills.

Let’s take a look at how investing in new insulation for your home can save you money in a variety of ways, and why you should never opt for cheaper insulation.

The Dangers of Cheap Insulation

In terms of cost, less effective insulation for your home can lead to higher energy bills. That’s because poor insulation doesn’t effectively trap air, which is essential to slow down the flow of heat out of your home in cold months and into the building during warm months. 

As a result, your heating/cooling system has to work harder and for a longer duration to maintain the right temperature indoors. About 49 percent of a home’s electricity bill is spent on heating and cooling, according to the US Department of Energy. So, one of the major reasons your utility bill might increase suddenly is that your building lacks proper insulation.  

Moreover, if you install poor insulation in your home, it needs to be replaced more frequently, which also means facing a major expense every few years. 

How Quality Insulation Saves Money

Here are some of the ways new, high-quality insulation can help homeowners save more money in the long run.

1. Lower Utility Bills

When your home is improperly insulated, the air leaking through your building’s envelope wastes a lot of energy and increases your utility bills. Using the right insulation can make a real difference in your energy costs. For comparison, a fully insulated building can be warmed with 50 percent of the heating of an uninsulated home.

Environment Protection Authority (EPA) estimates that, on average, homeowners can save up to 15 percent on heating and cooling costs (or an average of 11 percent on total energy expenses) by adding quality insulation in basements, attics, and floors over crawl spaces.

2. Save on Replacement Costs

High-quality and durable insulation like spray foam can last a lifetime or longer. Moreover, as it is resistant to mold and doesn’t retain moisture, the insulation does not displace and usually stays put until you physically remove it. Fiberglass insulation is another effective and cost-efficient insulation type. Unless damaged, it can last 80 to 100 years in most homes before it has to be replaced.

Using high-quality insulation saves you from repair and replacement costs that you may otherwise have to face when installing poor insulation. 

3. Higher Market Value

A properly insulated home often attracts a higher market value. That’s because homebuyers are more likely to buy a house that is move-in ready and well-maintained. There is usually at least a break-even return on investment (ROI) regarding your property’s value after installing high-quality insulation in the attic—if your insulation has been recently replaced, you may even be able to use this as a selling point or as justification for asking for a higher price.

When prospective buyers walk into the home, they can easily see if the space is well taken care of. Good insulation indicates a high probability of the home being free of mildew, mold, and dampness issues. As mentioned earlier, houses with no or poor insulation can cause potential health problems. 

4. Tax Benefits & Rebates

Many homeowners are also eligible for tax incentives and rebates to help fund the insulation upgrade. Most bulk insulation products are eligible for federal tax credits, including expanding spray, blow-in fibers, rolls, rigid boards, batts, and pour-in-place. Keep in mind that these incentives are subject to change, so it is best to consult a qualified tax professional to understand current regulations.

The recent Inflation Reduction Act offers a 30% tax credit for homeowners that make energy-efficient upgrades to their buildings. This tax credit is available through 2032 and applies during the year a project was installed. The HOMES rebate program is another program that’d pay homeowners up to $8,000 for conserving home energy by at least 35 percent through efficiency retrofits such as insulation and HVAC installations.

Install Cost-Efficient Insulation with Superior Insealators

No matter where you live, it’s vital to have a well-insulated house so you and your loved ones can stay comfortable while also saving on your monthly energy bills.

At Superior Insealators, we are knowledge leaders in insulation and provide homeowners with expertise, planning, and high-quality insulation installations that they can trust. We offer a wide range of services designed to increase the energy efficiency, comfort, and safety of your place.

Not sure what’s the right choice when it comes to your house? Get in touch for a free estimate.


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