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The Best Energy Efficiency Upgrades for Your Money

- Robert A. Di Ieso, Jr.
Robert A. Di Ieso, Jr.

Q: Our 100-year-old farmhouse costs a fortune to heat, and I'm thinking of using my holiday bonus for an energy efficiency upgrade. What's the best investment: a new furnace, new windows, or blown-in insulation?

A: Improving the “envelope” of your house is the place to start, says Matt Golden, a former home performance retrofitter who’s now a consultant to the Department of Energy, several California utilities, and the Environmental Defense Fund. “By sealing and insulating the exterior, you reduce your house’s heating and cooling demand,” he says, “so when you’re ready to buy a new furnace someday, you might need one that’s only half the size of your existing one.”

Here’s the order of priorities Golden typically recommends:

You can get specific recommendations, including estimated project costs and payback savings, for your house’s exact specifications, at homeenergysaver.lbl.gov.

When you're ready to get started, Golden advises, look for a home-efficiency contractor who offers all of the above solutions; that way he doesn’t have a vested interest in selling you one method or product over another. The contractor will send a crew to do some tests on your house and make recommendations for the most cost-effective steps you can take. You can find certified professionals by zip code at BPI.net.

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