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\n <\/div>\n \n Relocating to a New City? Work With a Top Agent.<\/h3>\n
Packing up and moving can be filled with uncertainties. Finding a trusted real estate agent in your new location can help you settle into a home and neighborhood that best meets your and your family’s needs.<\/p>\n \n
What utilities do you need to budget for?<\/h2>\n
For this post, we\u2019ll provide average cost estimates for the most common utilities Americans typically need to pay for when they purchase a home. These include:<\/p>\n
- \n
- Gas<\/li>\n
- Electric<\/li>\n
- Water<\/li>\n
- Trash<\/li>\n
- Sewer<\/li>\n
- Internet and cable<\/li>\n
- Phone<\/li>\n<\/ul>\n<\/div>\n
How to estimate utility costs for a new home<\/h2>\n
According to researchers at This Old House<\/a>, who conducted a comprehensive analysis of 2024 utility costs throughout the United States, the following average costs can help you estimate your expenses.<\/p>\n
Natural gas<\/h3>\n
The average natural gas cost is $80.33. This cost can fluctuate based on the size of your home, the number of occupants, and local rates.<\/p>\n
How to save money on your natural gas bill:<\/p>\n
- \n
- Install a programmable thermostat.<\/li>\n
- Seal leaks in windows and doors.<\/li>\n
- Insulate water heater and hot water pipes.<\/li>\n
- Use energy-efficient appliances.<\/li>\n<\/ul>\n
Electricity<\/h3>\n
The average electricity cost is $135.25. Factors such as the size of your home, usage patterns, and local rates can influence this expense.<\/p>\n
How to save money on your electricity bill:<\/p>\n
- \n
- Switch to LED light bulbs.<\/li>\n
- Unplug electronics when not in use.<\/li>\n
- Utilize natural light during the day.<\/li>\n
- Install ceiling fans to circulate the air.<\/li>\n<\/ul>\n
Water<\/h3>\n
The average water cost is $39.16. Your bill can vary depending on your household size and water usage habits.<\/p>\n
How to save money on your water bill:<\/p>\n
- \n
- Fix leaky faucets promptly.<\/li>\n
- Install low-flow showerheads.<\/li>\n
- Use an energy-efficient dishwasher instead of hand washing.<\/li>\n
- Consider a shower timer<\/a>.<\/li>\n<\/ul>\n
Trash collection<\/h3>\n
The average trash collection cost is $31.10. This cost is usually fixed by local municipalities.<\/p>\n
How to save money on your trash collection bill:<\/p>\n
- \n
- Recycle and compost to reduce waste.<\/li>\n
- Use reusable bottles, food storage containers, and grocery bags.<\/li>\n
- Buy products in bulk to reduce packaging waste.<\/li>\n
- Reduce the number of times you buy take-out food.<\/li>\n<\/ul>\n
Sewer<\/h3>\n
The average sewer cost is $71.16. This charge is often based on water usage.<\/p>\n
How to save money on your sewer bill:<\/p>\n
- \n
- Reduce overall water usage.<\/li>\n
- Fix any leaks promptly.<\/li>\n
- Consider upgrading to a more efficient toilet.<\/li>\n
- Read the water and sewer newsletters for local tips.<\/li>\n<\/ul>\n
Internet and cable<\/h3>\n
The average internet and cable cost is $118. Your costs can vary based on the service provider and the plan you choose.<\/p>\n
How to save money on your internet and cable bill:<\/p>\n
- \n
- Bundle services for discounts.<\/li>\n
- Negotiate with your provider for a better rate.<\/li>\n
- Choose a basic package that fits your current budget.<\/li>\n
- Cut the cable and use streaming services.<\/li>\n<\/ul>\n
Phone<\/h3>\n
The average landline phone cost is $166. This cost can vary based on your plan and usage.<\/p>\n
How to save money on your phone bill:<\/p>\n
- \n
- Switch to a Voice over Internet Protocol<\/a> (VoIP) service.<\/li>\n
- Bundle with internet services.<\/li>\n
- Limit international or charged long-distance calls.<\/li>\n
- Pruchase a modem instead of renting from your provider.<\/li>\n<\/ul>\n
Total average utility costs<\/h3>\n
By considering all these utilities, you can expect to pay around $641 per month on average for your utility bills. Keep in mind that these costs can vary based on your location, usage, and specific circumstances. Let\u2019s look at the high and low state examples identified by This Old House researchers.<\/p>\n
![\"\"](\"https:\/\/www.homelight.com\/blog\/wp-content\/uploads\/2024\/06\/Utility-cost-estimates-2-775x327.jpg\")
<\/a><\/p>\n<\/div>\nWhich states have the highest utility bills?<\/h2>\n
Here are the states with the highest utility bills, according to This Old House\u2019s 2024 report.<\/p>\n
Connecticut: $751.13<\/h3>\n
Connecticut has the highest monthly utility costs, with significant expenses in electricity ($176.10) and phone services ($166). Residents spend about 7% of their income on utilities, aided by a relatively high mean monthly income of $10,680. Charges like the Revenue Adjustment Mechanism and the Combined Public Benefits Charge contribute to these costs.<\/p>\n
Hawaii: $738.54<\/h3>\n
Hawaii is a close second with high utility costs, primarily due to electricity ($221.53). The state’s reliance on imported oil and high transportation costs contribute to these rates. Residents spend 7.3% of their $10,080.75 mean monthly income on utilities, reflecting Hawaii’s high living costs.<\/p>\n
Massachusetts: $696.52<\/h3>\n
Massachusetts has a total monthly utility cost of $696.52, with a lower percentage of income spent on utilities (6.2%) due to the high mean income ($11,151.92). High electricity rates (around 28 cents per kilowatt-hour) are offset by a robust economy and energy-efficient policies.<\/p>\n
New Hampshire: $694.52<\/h3>\n
With utility costs similar to Massachusetts, New Hampshire residents spend $694.52 per month on average. Given a lower mean monthly income ($9,954.33), they allocate 7% of their income to utilities, with significant costs in electricity ($149.91) and internet\/cable services ($151).<\/p>\n
Alaska: $691.12<\/h3>\n
Alaska has the lowest total utility costs among these states at $691.12 per month. However, residents spend 7.6% of their income on utilities due to a lower mean monthly income ($9,127) and high heating costs, particularly for gas ($133.17). The harsh climate significantly influences these costs.<\/p>\n
<\/div>\nWhich states have the lowest utility bills?<\/h2>\n
Some states offer more affordable utility costs, making them attractive for budget-conscious homeowners and homebuyers. Here are the states with the lowest utility bills, according to This Old House\u2019s 2024 report.<\/p>\n
Utah: $520.88<\/h3>\n
Utah residents enjoy the lowest utility costs at an average of $520.88 per month, spending 5.5% of their mean monthly income ($9,503.67). The state\u2019s energy-efficient building codes and renewable energy sources contribute to these low costs.<\/p>\n
New Mexico: $525.55<\/h3>\n
New Mexico has average utility costs of $525.55 per month. Residents spend 7.7% of their mean monthly income ($6,865.17) on utilities. With one of the lowest average electric bills ($91.21), the state\u2019s utility costs are kept affordable.<\/p>\n
Idaho: $526.65<\/h3>\n
Idaho\u2019s average utility costs are $526.65 per month. Residents spend 6.7% of their mean monthly income ($7,875.25) on utilities, benefiting from the state’s focus on renewable energy sources, which account for nearly three-fourths of its electricity generation.<\/p>\n
Iowa: $543.00<\/h3>\n
Iowa\u2019s average utility bill is $543.00 per month, representing 7% of the mean monthly income ($7,724.50). According to This Old House, support programs like LIHEAP<\/a> (Income Home Energy Assistance Program) help manage utility expenses, particularly for low-income households.<\/p>\n
Montana: $546.36<\/h3>\n
Montana residents pay an average of $546.36 per month for utilities, which is 7.2% of their mean monthly income ($7,572.80). The study’s results show that the average costs of living<\/a> appear to be more evenly distributed across different utility services, meaning that no single expense disproportionately affects residents.<\/p>\n\n\n\n\n\n
\n\n\n\n <\/div>\n \n How Much Is Your Home Worth Now?<\/h3>\n
Home values have rapidly increased in recent years. How much is your current home worth now? Get a ballpark estimate from HomeLight’s free Home Value Estimator.<\/p>\n \n
- Switch to a Voice over Internet Protocol<\/a> (VoIP) service.<\/li>\n