Utilities Add Up

By itself, $200 may not sound like much. But if that’s what you’re spending on utilities each month, it’s more than it seems. Utilities add up, and the yearly and lifetime costs are much larger than one might think.

At Clarum, our passive and passive-inspired homes lower your utility bills in a big way, dramatically decreasing the lifetime costs of owning a home.

Utility Costs are on the Rise

In 2010, American families spent between $30 a month to over $400 on electricity, gas and water, with the average family paying around $200. In California, the bill averaged $83 on electricity alone.

Based on these averages, over the next 20 years you could expect to spend almost $20,000 just on electricity.

That’s assuming the present-day costs were to stay constant. Of course, they won’t.

According to Mint.com, last year yielded a painful spike in utilities spending. In 2011, the nation saw a 2% jump in utilities across the board. The Energy Information Administration reported that the spike in electricity added another $300 per year to the average family’s cost of living.

Was this simply due to inflation? Unfortunately, no: we just saw the fifth consecutive year in which the annual increase of electricity spending was actually higher than the rate of inflation. Given the accelerating effects of climate change, and the rising price tag of nonrenewable energy, it’s not unreasonable to expect this trend to continue in years to come.

Clarum Homes: Opting Out of the Trend

The passive homes we build at Clarum yield remarkable savings for a homeowner. While utility bills do add up, so do utilities savings. Consider the following:

To meet the definition of “passive,” a home must use less than 1.4 kWh per square foot, per year.

For a 2,000 square foot home, that’s a monthly maximum of 233 kWh.

At today’s national average cost of $0.13 per kWh, for a Clarum passive home that’s a monthly bill of only $30.

Multiplied over 20 years, it’s only $7,200… instead of the $20,000 we saw earlier.

In other words, it’s a savings of about $13,000 from your power bill alone – without considering any of the other utilities efficiencies involved in Clarum passive homes, such as water conservation. Now, what would you rather spend $13,000 on? College tuition, retirement, a charitable donation, the hobby you’re passionate about… or, your power bill?

Of course, there are as many ways to spend money as there are homeowners, but no matter where your preferences lie, one thing is sure: with Clarum Homes, you won’t be throwing it away on utilities.

To learn more about how Clarum Homes can reduce your utilities costs, call us at 650.322.7069.