Gas vs Electric Heating Cost
Natural gas is cheaper per BTU in most US states — but the full picture is more nuanced.
Related Electric Heater Calculators
At average US rates, gas delivers heat at ~$0.01 per 1,000 BTU vs electric resistance at ~$0.038 per 1,000 BTU — nearly 4× more expensive. The exception: a heat pump at COP 3.0 costs only ~$0.013 per 1,000 BTU, directly rivaling gas.
Based on US EIA national average rates: gas $1.15/therm, electricity $0.13/kWh (2026). Rates vary by state — use the calculator below for your location.
At US average rates, natural gas costs roughly $0.60–$0.80 per therm of usable heat. Electric resistance heat costs $1.20–$1.50 per equivalent output. A heat pump narrows this gap significantly.
Gas vs Electric Heating Cost Calculator
Gas vs Electric — Monthly Cost by Home Size (US 2026)
| Home Size | Gas Furnace | Electric | Heat Pump |
|---|---|---|---|
| Small (800 sq ft) | ~$48/mo | ~$98/mo | ~$33/mo |
| Medium (1500 sq ft) | ~$96/mo | ~$195/mo | ~$65/mo |
| Large (2500 sq ft) | ~$160/mo | ~$325/mo | ~$108/mo |
Gas $1.20/therm 80% eff. Electric $0.13/kWh. Heat pump COP 3.0. 10 hrs/day.
Why Gas Is Usually Cheaper Than Electric Resistance Heat
Natural gas costs roughly $0.01 per 1,000 BTU in most US states. Electric resistance heat costs approximately $0.038 per 1,000 BTU at average rates — nearly 4x more per BTU delivered. That gap explains why gas furnaces dominate whole-home heating in most of the country.
The exception is heat pumps. By moving heat from outdoor air rather than generating it, a heat pump at COP 3.0 delivers heat at roughly $0.013 per 1,000 BTU — directly competitive with gas at today's prices, without a fuel line required. Our heat pump cost estimator shows your exact monthly savings. Electricity rates vary significantly — our find your state heating costs page covers local rates for all 50 states.
Efficient Heaters & Smart Controls
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