Heating and cooling your home can be one of your biggest monthly expenses—especially as energy costs continue to rise. If you’ve noticed higher gas or electric bills lately, you’re not alone. A 2025 poll by PowerLines, a consumer education nonprofit, found that nearly three out of four Americans are concerned about increasing energy costs.
The good news? There are practical steps you can take to make your home more energy efficient. Many of these upgrades not only help lower your utility bills but can also make your home more appealing to future buyers.
Start With Smart Home Upgrades
When planning home improvement projects, it’s helpful to think long-term. According to the REALTORS® Residential Sustainability Report, buyers place high value on energy-efficient features like windows, doors, and siding. In fact, 37% of REALTORS® say these upgrades are very important to buyers, and another 49% say they’re somewhat important.
Before you begin, check with your energy provider to see if energy audits or rebates for efficiency upgrades are available in your area—you may be able to save even more.
Choose Energy-Efficient Appliances
If it’s time to replace an appliance, opt for an energy-efficient model. Refrigerators, in particular, can use a lot of electricity. Consumer Reports notes that models with freezers on the top or bottom are typically more efficient than side-by-side versions. Skipping in-door ice and water dispensers can also reduce energy use.
Upgrade Your HVAC System
Heating and cooling systems play a major role in energy consumption. If you’re replacing an HVAC system, look for models with high ENERGY STAR® ratings. Regular maintenance—like changing filters and scheduling annual service—can also improve efficiency and extend the life of your system.
Install a Smart Thermostat
Smart thermostats are an easy way to save money without sacrificing comfort. The Environmental Protection Agency estimates that homeowners save about 8% on utility bills by using smart thermostats that adjust temperatures when you’re away from home.
Use Ceiling Fans Wisely
Ceiling fans can help circulate air during warmer months, reducing the need to rely heavily on air conditioning. This simple change can make a noticeable difference in energy use.
Seal Air Leaks
Small gaps around doors and windows can let conditioned air escape. Adding door sweeps, sealing gaps, and installing weatherstripping can help keep your home comfortable year-round. These improvements are also useful for storm preparedness in areas prone to severe weather.
Improve Insulation
Adding insulation in attics, basements, and crawl spaces can reduce heating and cooling costs by an average of 10%. Proper insulation helps keep warm air inside during winter and outside during summer.
Use Landscaping to Your Advantage
Planting shade trees on the east and west sides of your home can help block sunlight during the hottest parts of the day. Just be sure to consider factors like soil conditions, utility lines, and safety when planting.
Simple Habits That Make a Big Difference
You don’t need major renovations to start saving energy. Small changes can add up, such as:
- Closing blinds and curtains to keep heat in during winter and out during summer
- Setting your water heater to 120 degrees (water heating accounts for about 18% of a home’s energy use, according to the U.S. Department of Energy)
- Unplugging unused electronics or using power strips that can be turned off easily
A Smart Investment for Today and Tomorrow
Energy-efficient upgrades and habits can help reduce your monthly expenses now—and make your home more attractive when it’s time to sell. If you’re thinking about buying or selling a home, your real estate agent can help you navigate your options, while an attorney can provide guidance on state-specific laws.
Only real estate professionals who are members of the National Association of REALTORS® may use the term REALTOR®. Under the NAR Code of Ethics, REALTORS® are required to act in their clients’ best interests and treat all parties fairly. For more consumer resources, visit facts.realtor.
Source: NAR Consumer Guide
