Home heat in New York is a necessity, but many of the historic neighborhoods are filled with homes working with aging heating equipment that just isn’t cutting it anymore. Heating isn’t a cheap home improvement project, and most homeowners don’t have enough information at hand to decide what the most economical heating system is for their home and situation. Additionally, they aren’t sure whether they should upgrade their current system or go with a more modern one that advertises better performance.
In this quick guide, we will cover:
- A breakdown of general heating system upgrades
- Whether you should upgrade existing equipment or retrofit for new
- What systems perform best for specific property types
- How to increase the value of any heating system
Let’s dive into each and get a better idea of which heating system investment is right for your home.
Most Economical Heating System: General Breakdown
For those who need a quick-reference covering all of the basic information you’ll need to make your decision, refer to the table below. More in-depth discussion will follow further down the page.
Most Economical Heating Systems: General Breakdown
| System Type | Upgrade Existing (System Only or Direct Replacement) | New Installation or Retrofit (Equipment + New Lines/Ducts) | Annual Operating Costs | Key Advantages |
| Oil Heat Boiler | $4,000 – $9,000 | $5,560 – $11,000 | ~$2,275 | Superior heat output (138,700 BTUs/gal), price stability, energy independence, 20-30 yr lifespan |
| Natural Gas Boiler | $3,200 – $9,000 | $5,000 – $10,000 | ~$1,790 | More even heat, better efficiency for more mild climates |
| Furnace | $3,000 – $10,000 | $4,000 – $10,000 | ~$1,900-2,100 | Can be integrated with AC to use existing ductwork |
| Air Source Heat Pump (Central) | $5,200 – $10,000 | $8,000 – $15,000 | ~$2,900-4,900 | High-efficiency |
| Central HVAC (Gas/AC) | $5,000 – $12,500 | $8,500 – $19,200 (with ductwork) | ~$2,400 | Dual heating/cooling |
Should I Upgrade My Existing System or Retrofit?
We’ve put together a quick reference table that covers the more basic choice of whether to upgrade your current heating system, or installing an all-new heating system to maximize long-term value.
Should I Upgrade or Retrofit?
| Pros | Cons | Major Factors | Best For | |
| Upgrading Existing System | ✔ Cheaper upfront ✔ Faster Install | ✘ Limited options ✘ May stick you with the wrong system | Consider whether your existing system is the right type for your property type | Property owners with the right system for their home, and those looking to save money on upfront costs |
| Installing/ Retrofitting for a New System | ✔ Every option at your disposal ✔ Can seek out the perfect solution for your property | ✘ More expensive upfront ✘ It may be overkill for your property | Consider the ROI on your chosen heating system and make sure it justifies the added cost | Property owners with a sub-par heating system for their property, or those looking to maximize long-term value |
Overall, upgrading your existing heating system is the most affordable choice from the outset. So, if you simply need the temperature to increase in the least expensive way possible, upgrading your existing equipment is generally the way to go.
If you can invest more upfront, a modern heating system may pay for itself (and then some) over the next decade. Even if a 10-year outlook isn’t feasible for every homeowner, it’s worth reading on to see if a full system upgrade could maximize your savings.
What System is Best for My Property?
The major factors affecting the decision to upgrade an existing system or install a new one both rely on understanding what the best system for your property type is. While most heating systems can work in any type of property, the size and existing equipment can impact your decision:
| System Type | Pros | Cons | Best Suited For |
| Oil Heat Boiler | ✔ No toxic gases ✔ High heat output ✔ Good for very cold climates | ✘ Oil deliveries needed ✘ Sludge build up, especially if low-quality oil is used | Homes with snowy winters, property owners who want the most powerful and reliable heating |
| Natural Gas Boiler | ✔ Even, comfortable heat ✔ Quiet operation ✔ Can be energy efficient | ✘ Requires gas line ✘ Slow heat-up time ✘ Expensive retrofit ✘ Carbon monoxide leaks can be toxic | Homeowners with existing boilers who want a fuel option that doesn’t need to be refilled |
| Furnace (Gas or Electric) | ✔ Fast, powerful heating ✔ Integration with central A/C ✔ Modern models are efficient | ✘ Can be noisy ✘ Blows allergens/dust ✘ Ductwork required (adds cost for retrofit) | Homes with existing ductwork and central AC, or those who want to swap to full central HVAC in the future |
| Air Source Heat Pump | ✔ Heating & cooling in one system ✔ High efficiency (esp. new models) ✔ Lower emissions | ✘ Expensive to install/retrofit ✘ Less effective in extreme cold (unless a cold-climate model) | Modern homes, moderate/warmer climates, and eco-conscious owners |
| Central HVAC (Gas/AC) | ✔ Both heating & cooling ✔ Fast whole-house heat ✔ Air filtration possible | ✘ Ductwork needed (costly retrofit) ✘ Potential for air leaks & uneven heating ✘ Most expensive option | Homes with ducts or planned ductwork addition, property owners who are willing to spend more money for an all-in-one solution |
While furnaces and central HVAC are becoming the most popular options nationwide, electrification isn’t always the way to go. It is a very expensive retrofit, and homes with existing boiler systems can still get a major upgrade and serious cost savings without breaking the bank. In the end, property owners simply need to make the right decision for their properties, their goals, and their budgets.
Choose Skaggs-Walsh for All Heating Options in NYC and Long Island
Skaggs-Walsh provides heater repair services that NY customers can count on 24/7, offering the best equipment for both heating oil and electric heat systems and friendly, on-time service. We respect you, your home, and your time, and we strive to make sure that your problems get solved in a way that gets you the best value for your money.
Contact us today with any questions you have about the most economical heating system, and get connected with the team in your area.
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