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. To see this in action, take a look at a sample life cycle cost comparison*. The yellow column in the center of the page represents the cumulative savings experienced by choosing geothermal for a typical new home in Denver, CO.

It is our opinion that a prudent, responsible 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.

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*These figures are based on average fuel rates, typical installation costs and interest rates. Your figures may differ slightly due to local variations in the above.