How Does a Smart Thermostat Save Money on Energy Costs?

December 07, 2020

Keeping your Central Point home comfortable can eat up a good amount of money. The usual homeowner spends about $172 on monthly utility costs, according to ENERGY STAR®, or around $2,060 yearly. At least half of that goes to heating and cooling.

Most residences have programmable thermostats, but most people don’t take the time to set them. The process is annoying, complicated and only provides you limited options for temperature settings. When your home remains at an unchanging setting throughout the day, it requires gas and electricity and negatively impacts your monthly costs.

Smart thermostats pick up on your schedule and adjust the temp to coordinate it. But can getting one really save you money on heating and cooling? Yes, and here’s why.

Studies Show Smart Thermostats Save on Heating and Cooling Costs

Independent studies have determined these devices can produce large savings.

These studies used home utility bills in 41 states before and after installing a Nest smart thermostat. Nest said the study determined its thermostats can save up to 12% on heating and 15% on cooling, generating an average savings of $131 to $145 yearly.

With the common smart thermostat running between $100–$250, those savings can help it pay for itself. And most local energy companies have rebates for smart thermostats because they’re ENERGY STAR® certified.

How Does a Smart Thermostat Work?

After your smart thermostat is put in, you’ll at first set it just like your previous thermostat. You’ll turn it up and down, so the thermostat can determine your preferences. Then, it will start creating a program that helps you conserve more money, whether you’re at your house or away. Since it geofences with your smartphone, you won’t have to put it on your list to adjust it when you leave or return.

Pros and Cons of Having a Smart Thermostat

Pros

As we talked about prior, smart thermostats provide lots of perks to your residence and energy expenses, like:

  • No need to program—Your smart thermostat will learn your schedule, so you won’t need to spend time using programs or remember to adjust it.
  • Knows when you come and go—Because a lot of smart thermostats geofence with your phone, your residence will be put into an energy-efficient setting when you go and be comfy when you arrive.
  • Remote temperature management—You’ll be able to keep an eye on your house’s temperature from nearly any location, due to an app on your phone.
  • Supervise heating and cooling use—The majority of smart thermostats give great data through their app, including how long you used heating and cooling on a certain day.
  • Reminders—Select smart thermostats will let you know about essential maintenance tasks, such as when you need to put in a new air filter.
  • Added savings—Most local energy companies provide rebates for smart thermostats, so call with yours for details.

Cons

Having said that, there’s several areas you should consider when considering installing a smart thermostat in your residence:

  • Compatibility—Subject to the type and age of your heating and cooling system, a smart thermostat might not work. If you don’t know, it’s best to check with an HVAC pro like Titan Heating & Air Conditioning. We also recommend having it professionally installed. This confirms that you have the correct number of wires and that it’s linked right. Some systems don’t come with a common wire, which causes compatibility issues with a smart thermostat. This wire powers your thermostat, so if your house doesn’t have a C-wire, we can put one in.
  • Housing situation—If you own your residence and are planning to be there for many years, it’s a smart investment to install a smart thermostat. If you’re planning to move soon or rent, we suggest delaying unless you will take the thermostat with you. If you rent, you’ll usually need to have your landlord’s permission first in advance of adding a new thermostat.
  • Cost—Smart thermostats cost more than programmable thermostats, and we suggest having yours professionally installed. However, the energy savings over the years can help pay for itself.
  • Lifestyle—Does a family member work from home, or is someone regularly at the house? If that’s the case, you might not see as big of savings, but you’ll have the convenience of not needing to program or adjust a thermostat.

Trust Titan Heating & Air Conditioning for Your Smart Thermostat Needs

At Titan Heating & Air Conditioning, our top goal is to keep your house comfy while helping you save on energy bills. If you’re thinking about installing a smart thermostat, our pros can help, from picking the ideal model to expert installation. Contact us at 514-600-5499 today to learn more.