Life-cycle costs of geothermal systems are lower than any other type of heating and cooling system.


payback & cashflow

Geothermal systems are widely known to cost more than conventional heating and cooling systems. The true meaning of cost is often misunderstood by many consumers, builders, developers, real estate professionals, etc. While it is true that geothermal systems typically have a higher initial cost than conventional systems, the true cost (referred to as life-cycle cost) of geothermal systems is typically quite less. So, in essence, geothermal systems cost less than conventional systems, when you figure in the cost of operation, maintenance and replacement.

It is our opinion that a prudent consumer should consider the life-cycle cost of an item to be of prime importance when making a buying decision. After all, we are expecting the products that we purchase, particularly big-ticket, durable goods like heating and cooling systems, to last us for many years. Additionally, heating, cooling and hot water costs are the largest contributor to your monthly energy bill and in many cases is second only to the monthly mortgage payment in terms of monthly expenditure. Thus, your heating, cooling and hot water system gives you the greatest opportunity to save money. By spending more initially, you reap the benefits of significant dollar savings during the life of your geothermal system. All it takes is a willingness to look beyond what you spend today, to a future of what you will save for years to come.

Now, please take a moment to consider the next topic of our discussion - cashflow - which is of prime importance to most consumers. By adding the cost of your geothermal heating, cooling and hot water system to a typical home mortgage or home improvement loan, you can experience monthly dollar savings immediately. How? By financing the additional cost of the geothermal system, you are in effect deferring that additional cost over many years. Yes, your monthly mortgage payment will increase slightly, but the increase is almost always offset by lower monthly energy bills, particularly in locations that rely on LP gas for heat.

View a sample analysis for a typical home in Denver, CO comparing geothermal to propane.