With electric bills increasing by 25% in the last three years, households are on the search for the most cost-effective way of heating. So which is cheaper, a fan heater or an oil heater? Below we’ll figure this out.
But first, consider our other articles about home energy savings.
- Oven vs Air Fryer
- Electric Heaters vs Radiators
- Wood Burning Stove vs Central Heating
- Dishwasher vs Hand Washing
- Tax Credits for Energy-Efficient Home Improvements
Oil Heater: Cost to buy
For a 1,500-watt oil heater, you can expect to pay anywhere from $50 to as much as $250.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Oil heater: Cost to run
According to Home Inspection Insider, running a 1,500-watt oil heater costs an average rate of 10 cents an hour. If you run your heater for eight hours a day, it would cost you around $25 a month.
Oil heater: Pros and cons
1. You have the flexibility of shopping around for one at the right price for you.
2. Most come with temperature control which is a nice plus. This function can help you cut energy costs, whereas a fan heater is either on or off.
3. Oil heaters have good heat retention. When you turn the oil heater off, it doesn’t cool off immediately thus still radiation heat. Less energy is required to heat your room, cutting even more of your energy bill.
4. When heating a room, this typically makes the air dry. Oil heaters retain good airflow allowing for warmth and clear air without drying you out. According to Healthline, dry air can increases the risk of health issues. These can range from asthma and respiratory problems to dehydration, especially in the winter.
5. Oil heaters only provide a short-term solution. If you're trying to maintain heat in a room for more than a couple of hours, you’d be better off turning on your central heating.
6. Oil heaters circulate air slowly. It means it might take some time to heat larger rooms.
Fan heater: Cost to buy
For a 1,500-watt fan heater, you can expect to pay anywhere from $50 to as much as $150.
Fan Heater: Cost to run
Fan and oil heaters are different types of electric heating. According to CNET, running a fan heater costs around 20 cents an hour. This is for a 1,500-watt heater being used in a “standard” room. Say you’re home eight hours a day, you would spend around $50 a month.
Fan heater: Pros and cons
1. You have the flexibility of shopping around for one at the right price for you.
2. Some come with temperature control which is a nice plus, but these tend to be more expensive. However, being able to control the heat output of your fan heater means you can also better control your energy use and costs.
3. They're more portable: Allowing you to move them between rooms with ease.
4. The size of your room: If you have a large room or one with high ceilings, it’s going to be harder (and more expensive) to heat that room with just a fan heater. Judge the size of the room you need to be heated beforehand so you can purchase the correct size of a fan heater.
5. Insulation of your home: This is a big one. If your home isn’t insulated properly the heated air released will easily escape. As you can guess, a fan heater will be less effective without adequate insulation. This is where you are wasting the most money.
6. Fan heaters are known to give off short-term heat. When you turn it on, it will immediately start to heat your room, quickly filling the fan but once you turn it off, the heat will fade. If you want to heat a room temporarily, a fan heater is a good idea but again, the heat you get will not maintain and for many, this isn’t adequate especially during frigid days.
The verdict
It’s clear that fan heaters tend to cost less than oil heaters (when comparing models with the same wattage.) But the big question is, which will lower your energy bill?
Oil heaters.
They cost around half the amount to run than fan heaters do. Other benefits include better heat retention, safer use, and less dried-out air.
When planning on investing in a new heater, whether it’s oil or fan, make sure your room has a good level of insulation so it can retain heat better.
If you’re able to pay a bit more, you should consider an oil heater the overall winner.
Related Content
-
Baby Boomers vs Gen X: Who Spends More?Baby Boomers and Gen X are guilty of spending a lot of money. Here's a look at where their money goes.
-
Retire in Finland and Live the Nordic DreamHere's how to retire in Finland as a US retiree. It's ideal for those who value natural beauty, low crime and good healthcare.
-
Baby Boomers vs Gen X: Who Spends More?
Baby Boomers and Gen X are guilty of spending a lot of money. Here's a look at where their money goes.
-
A Financial Expert's Tips for Lending Money to Family and FriendsWhat starts as a lifeline can turn into a minefield if the borrower ghosts the lender. Following these three steps can help you avoid family feuds over funds.
-
The 401(k) Mistake That Could Cost You Millions in Retirement SavingsThinking about reducing your 401(K) contributions in the current market? Here are six reasons why you may want to reconsider.
-
I'm an Insurance Expert: Yes, You Need Life Insurance Even if the Kids Are Grown and the House Is Paid OffLife insurance isn't about you. It's about providing for loved ones and covering expenses after you're gone. Here are five key reasons to have it.
-
7 Rules Frequent Flyers Swear ByFrom dodging long lines to avoiding bad coffee, these clever travel rules can help you save time, stay healthy and reduce stress every time you fly.
-
My Professional Advice: When It Comes to Money, You Do YouThis is how embracing the 'letting others be' and 'learning to surrender' mindsets can improve your relationship with money.
-
Five Smart Moves for Retirement Healthcare: From HSAs to Medigap PoliciesUnchecked health care costs in retirement could blow a hole in your savings. Here’s how to avoid that.
-
The High Price of Skipping Workers' Comp InsuranceTwo labor and employment attorneys highlight the penalties (fines, reputation damage and even jail time) that small businesses risk if they opt not to carry workers' comp insurance.
