As energy costs soar, it’s never been more important to incorporate energy-efficient elements in your home – and it’s never been easier to do so. You don’t need to install a geothermal or solar energy system to see marked savings in your energy costs.

Energy-Efficiency Matters to Homeowners

Energy costs are a big factor in managing a budget. Data from the U.S. Energy Information Administration shows the average U.S. residential electricity price rose 6.2%, from 15.04 cents per kilowatt hour (kWh) in 2022 to 15.98 cents/kWh in 2023. In 2023, they reported the average residential customer had an electric bill of $138 on average. Whether or not that reflects what you’re paying, taking a few simple but meaningful steps could significantly reduce your cases.

7 Ways to Reduce Energy Costs

When it comes to housing and home energy efficiency, the following are some of the fastest and most effective ways to reduce your usage and overall costs. These energy-efficient home upgrades also do not cost significantly to implement.

1.LED Lights

Make the switch to LED lights throughout your home. Just replace them as your other lights burn out. These lights are some of the most energy-efficient options available today.

Not only do they save up to 90% of energy costs compared to traditional lights, but they are also likely to last 25 times as long. That’s a double benefit for your bottom line.

2. Seal Your Attic

Attic spaces allow heated and cooled air from within your home to escape into the attic space, requiring your heating and cooling system to work harder and longer to maintain a comfortable temperature.

Work with a local provider to seal and insulate your attic space. ENERGY STAR offers steps to determine which type of insulation is best for your home and insights into the most up-to-date rebates and federal tax credits for insulation.

3. Install a Smart Thermostat

A smart thermostat could save you as much as $900 a year, according to ENERGY STAR. It’s designed to learn how you heat and cool your home, and adjusts its performance based on the way you life.

You can control your system through an app on your phone or tablet. They are easy to install and use, and once you get them set up, you can monitor your energy usage over the course of the month.

4. Upgrade Your Water Heater to a Smart Water Heater

Look for the most energy-efficient smart water heater within your budget. Since these appliances use up to 20% of your home’s energy costs each year, you’ll want to keep your home as energy-efficient as possible.

Some of those with an ENERGY STAR label are four times as efficient as older models. Even better, they also use up to 70% less energy than a standard model.

5.Replace Old, Drafty Windows

A large portion of your home’s energy costs comes from heating and cooling your home. Reducing the need for the furnace to work or the air conditioner to run, such as having a tighter envelope or containment, around the home is the best way to do this.

When your older windows are drafty, poorly maintained, or no longer the look you want, upgrade to more efficient ones. Upgrading your windows could lower your energy costs by as much as 12% on average. If you’re not at that point just yet but want to reduce heat loss in your home, cover your windows during the colder months with window clings that limit airflow into the home.

6. Upgrade to More Efficient Appliances

While you don’t need to switch out all of your old appliances (if they are in great working condition) to energy efficient models, as you do replace them, choose the models that offer the best energy efficiency overall. Induction heating, for example, is often a better option.

It is an emissions-free cooking method that’s far more energy efficient and still works much like any other type of range or cooktop. You will also find that these types of ovens and stoves do a better job of creating even heat distribution.

7. Consider a Simple Solar Panel System

You don’t need a full-sized solar panel system to get started with tapping the sun’s rays. Instead, consider the overall options for a right-sized system that can offer some help without a huge initial investment.

With the option of using federal tax credits and benefits from the energy saved, making the move to solar panels is far easier than you may realize. Solar energy can even increase the value of your home by $15,000.

Making the Move to Energy Efficiency Isn’t Hard

As you make repairs and upgrades to your home, from selecting siding to navigating new roofing, always consider the options best suited for the home’s aesthetics, environment, and efficiency. You’ll find a wide range of options to steadily increase your home’s efficiency.