How Americans Heat Their Homes

By Michael Bivona

October 28, 2024

As temperatures drop each winter, millions of Americans rely on various heating systems to keep their homes warm and comfortable. The methods and materials used to heat homes vary significantly across the country, influenced by factors like regional climate, availability of natural resources and historical development patterns.

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Understanding the types of heating equipment used, the fuels that power them and the regional trends in heating choices can provide valuable insights into how Americans keep warm during the cold months.

Types of Heating Equipment Used in U.S. Homes

The primary heating systems used in American homes fall into several categories, including furnaces, boilers, heat pumps and space heaters.

Furnaces

Furnaces are the most common type of heating system in the United States, with about 60% of American households relying on them, according to the U.S. Energy Information Administration. Furnaces work by heating air and distributing it throughout the home via a duct system. They can be powered by various fuels, including natural gas, electricity, oil and propane.

Boilers

Boilers, which heat water to provide warmth through radiators or underfloor heating systems, are another prevalent heating method. While less common than furnaces (with only 8% of American households using them for heat), boilers are particularly popular in older homes and regions with colder climates. Boilers can be powered by natural gas, oil, electricity or even wood.

Heat Pumps

Heat pumps are an increasingly popular choice for home heating, particularly in milder climates. Thirteen percent of households use them for heat. Unlike traditional heating systems that generate heat, heat pumps transfer heat from outside the home to the inside, making them highly efficient. According to the MIT Technology Review, modern heat pumps can operate at 300% to 400% efficiency. This means they’re cranking out three to four times as much heat as the amount of energy they’re consuming. Heat pumps can operate using electricity and, in some advanced models, geothermal energy. Heat pumps also have the added benefit of providing cooling during the summer, making them a versatile option for year-round climate control.

Space Heaters

Space heaters are typically used as supplementary heating sources rather than the primary method of heating a home. These devices can be portable or installed permanently in specific rooms and are often powered by electricity, propane, or kerosene. They are most used in regions where the main heating system may not be sufficient, or in homes without a centralized heating system.

Wood Stoves and Fireplaces

While not as common as other heating methods, wood stoves and fireplaces remain popular in rural areas and among homeowners who prefer a more traditional or off-grid heating solution. These systems burn wood or wood pellets and can provide significant warmth, though they typically require more maintenance and manual operation than other heating systems.

Types of Fuels Used Across the Country

The choice of fuel for home heating varies widely across the U.S., influenced by factors such as regional availability, cost and environmental concerns.

Natural Gas

Natural gas is the most widely used heating fuel in the U.S., heating approximately 47% of American homes, according to data from a 2017-2021 American Community Survey. Its popularity stems from its affordability, availability and efficiency. Natural gas is particularly dominant in the Midwest and Northeast, where extensive pipeline infrastructure supports its widespread use.

In regions where natural gas is readily available, it is often the preferred choice due to its lower cost compared to electricity and heating oil.

Electricity

Electricity is the second most common heating source, used by about 40% of American households. This is a giant increase over the last 60 years. According to the Energy Institute at HAAS, only 2% of U.S. households in the 1960 Census reported using electricity as their primary heating fuel.

Electric heating is especially prevalent in the South and West, where milder winter climates make it a more viable option. Electric heating systems, including heat pumps and electric furnaces, are often chosen for their convenience, lower installation costs and the ability to integrate with renewable energy sources like solar panels. However, in colder climates, electric heating can be more expensive to operate compared to natural gas or heating oil.

Heating Oil

Heating oil, also known as fuel oil, is primarily used in the Northeast. Only about 4% of all American homes rely on it for heating, but, according to Washington Post data maps, nearly all of that usage is concentrated in the Northeast and Alaska.

The Northeast’s reliance on heating oil dates back to the early 20th century when it was the dominant heating fuel. While heating oil has declined in popularity due to the expansion of natural gas infrastructure and the shift towards more environmentally friendly options, it remains a key heating source in older homes not connected to natural gas pipelines.

According to the EIA, in the winter of 2023-2024, about 4.79 million households in the United States used heating oil (distillate fuel oil) as the primary heating fuel, and about 82% of those households were in the Northeast Census Region, according to the EIA.

Propane

Propane — a byproduct of natural gas processing and petroleum refining — is used by about 5% of American households as a heating fuel, particularly in rural areas where natural gas is not available. Propane is stored in tanks and can be used for heating as well as for other household needs like cooking and water heating. It is commonly used in the Midwest and the South, where it provides a reliable and portable heating option.

Wood and Biomass

Wood and biomass fuels, including wood pellets, are used by around 2% of American households, primarily in rural areas and in regions with abundant forests. Wood stoves and pellet stoves are popular among homeowners seeking a renewable, off-grid heating solution. While wood heating requires more effort in terms of fuel acquisition and maintenance, it remains a viable option for those who prefer a traditional and cost-effective heating method.

Regional Patterns in Home Heating

The ways in which Americans heat their homes are as diverse as the country itself, shaped by regional climates, infrastructure and historical preferences. While natural gas and electricity dominate the heating landscape, other fuels like heating oil, propane and wood continue to play important roles, particularly in specific regions.

The choice of heating equipment and fuel is strongly influenced by regional climate and infrastructure, leading to distinct patterns across the U.S.

The Northeast

The Northeast, known for its Nor’easter storms and harsh winters, has homes that use a diverse mix of heating systems and fuels. Natural gas is widely used in urban and suburban areas, while heating oil remains common in rural regions and older homes. The Northeast also has a higher prevalence of boilers compared to other parts of the country, reflecting the region’s architectural history. Wood stoves and pellet stoves are also popular in rural areas, providing an alternative or supplementary heat source.

The Midwest

The Midwest experiences some of the coldest winters in the country. In fact, the coldest state in the continental U.S. is North Dakota. These bitter cold winter conditions lead to a heavy reliance on natural gas for heating. Furnaces are the predominant heating system in this region, taking advantage of the extensive natural gas pipeline network. In rural areas, propane is commonly used as an alternative to natural gas. The Midwest’s agricultural heritage and tendency toward self-reliance also mean that wood and biomass heating systems are more prevalent than in other regions.

The South

The South tends to have a milder winter climate, which influences the region’s heating choices. Electric heating is the most common method, particularly through the use of heat pumps, which are well-suited to the region’s temperate climate. The relatively low cost of electricity and the ability of heat pumps to provide both heating and cooling make them an attractive option. In more rural areas, propane is also widely used, providing a reliable heating solution where natural gas is less available.

The West

The West, with its diverse climate types ranging from coastal to mountainous, has a similarly varied approach to home heating. In coastal and urban areas, electricity is the dominant heating source, often through electric furnaces and heat pumps. In colder, mountainous regions like Colorado, natural gas and propane are more commonly used. This region also contains a pocket in northern Arizona and New Mexico where wood heating is the dominant fuel type.

According to the EIA, in the areas of the southwestern United States — where there is a mixed-dry or hot-dry climate — 15% of homes don’t use any heating equipment at all, compared with the national average of 4%.

The Pacific Northwest

The Pacific Northwest, known for its wet and cool climate, relies heavily on electricity for home heating. Hydroelectric power is abundant in this region, making electric heating systems like heat pumps and electric furnaces an economical choice. Wood stoves are also popular in rural, forested and mountainous areas, providing a sustainable and traditional heating method.

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Trends in Home Heating

According to Neal Harris Service Experts, trends in home heating in the U.S. focus on environmental-friendliness.

As the country moves towards more sustainable energy solutions, the heating industry is likely to see further changes, with heat pumps and renewable energy sources gaining ground. Solar and geothermal heat are popular options, as is electric. But right now, certain areas of the United States are not equipped to go electric, and the electrical grid will need to be updated.

For now, however, the choice of heating system and fuel remains a deeply regional decision, influenced by a complex interplay of factors that reflect the unique characteristics of each part of the U.S.

Home Heating: What to Know For This Winter

According to the EIA’s 2024-2025 winter energy outlook, most Americans can expect to pay about the same or less to heat their homes this year compared to last year. While the EIA expects this winter to be colder than the previous one, fuel prices across the board are generally lower, so costs will even out for many households. The exception is in the Midwest, which experienced a very mild winter last year, so heating costs during this presumably colder and harsher winter will be higher.

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