Are Energy Efficient Windows Worth It?

window seat with a view to the yard and large windows

A lot of the energy that your house loses goes out through the windows. That means replacing your windows will automatically improve your home’s energy efficiency and save you money, right? 

Not exactly. 

Installing energy efficient replacement windows can reduce your energy costs. But installing new windows is expensive and there are many factors to consider when deciding whether the investment is worth it.

In this guide, we break down the costs, savings, benefits, and scenarios where energy efficient windows make sense—and when other improvements might offer better value for your money.

How Much Do Energy Efficient Windows Cost? 

Energy efficient windows have advanced features, such as low-emissivity (Low-E) coatings to block UV rays, multiple panes filled with insulating gas, and durable frames that minimize heat transfer. 

These features come at a price.

On average, energy efficient windows cost between $300 and $1,000 per window, depending on the size, style, and quality. For an entire home, the cost can quickly add up, especially when factoring in installation labor, which will add to the overall cost of the project. 

Tax Credit for Energy Efficient Windows 

The good news is that there are tax credits available for energy efficient windows. Exterior windows and skylights that meet ENERGY STAR Most Efficient certification requirements are eligible for a federal tax credit worth 30% of your replacement windows costs, up to $600 per year.

How Much Do Energy Efficient Windows Save? 

One of the key selling points of energy efficient windows is their ability to reduce energy bills. But how much money do they really save? 

It depends on what type of windows you’re replacing and what type of energy efficient windows you install. Replacing single-pane windows with ENERGY STAR-certified windows can reduce your energy bills by up to 13%, which translates to around $125 to $465 in savings per year.

Benefits of Energy Efficient Windows 

Energy efficient windows have a lot of benefits for your home, including: 

  • Energy Bill Savings - Energy efficient windows reduce your energy consumption, which saves you money on your bills. 
  • Comfort - Energy efficient windows eliminate drafts and hot/cold spots, making your home more comfortable. 
  • Aesthetic Improvements - Modern windows can enhance your home’s appearance and curb appeal, adding value to your property.
  • Environmental Impact - Using less energy reduces your home’s carbon footprint and is good for the planet. 

When Replacement Windows Are Worth It 

Replacing windows is a significant expense, so it’s important to assess whether the benefits outweigh the costs for your specific situation. Here are some scenarios where investing in energy efficient windows makes sense:

You Have Single-Pane Windows 

Single-pane windows are notoriously poor insulators. Upgrading to modern, triple-pane windows can drastically improve energy efficiency and make a big difference in your energy bills. 

Your Windows Are Over 20 Years Old 

All windows need to be replaced eventually. If yours are nearing the 20-year mark, you’re going to be due for a replacement soon and it only makes sense to install energy efficient windows. 

You Don’t Like the Way Your Windows Look 

Sometimes, aesthetics are just as important as energy savings. New windows can make a big difference in your home’s curb appeal and even increase your home’s value. 

Your Windows are Damaged or Inoperable 

Wood rot, cracked frames, inoperable locks… if you’re dealing with problems like these, new windows are worth it for your home. 

Other Energy Efficiency Improvements to Consider Instead 

If your windows are relatively new or in good condition, you might be better off investing in other energy-saving upgrades, such as: 

Add insulation to your attic and exterior walls 

Most of the energy loss that happens in a house is due to poor insulation. Adding insulation to key areas like your attic, basement or crawl space, and exterior walls can save you 15% on your heating and cooling costs.

Seal air leaks around doors and windows

In many cases, your windows are not the problem—the gaps and cracks around them are. Sealing air leaks around windows, doors, electrical/plumbing penetrations, recessed lights, and other openings is a low-cost, high-impact improvement that will save you money on your energy bills and make your home more comfortable. 

Install a programmable thermostat

With a programmable thermostat, you can set your HVAC system to adjust automatically so you don’t waste energy on heat or air conditioning when you don’t need it. It’s an affordable upgrade that can save you money. 

Upgrade to energy efficient heat pumps 

Almost half of our energy bills go toward heating and air conditioning! Replacing old, inefficient heating and cooling equipment with high-efficiency heat pumps will reduce your energy consumption and could save you money on your bills. 

Need a Contractor? Search Our California Contractor Directory for Free! 

Whether you want to replace your windows or make other energy efficiency improvements to your home, you’re going to need a contractor you can trust to do the job right and at a fair price. The Clean Energy Connection makes it easy to find reputable clean energy contractors in your area. The directory features experienced contractors who have been carefully vetted to ensure high-quality workmanship and customer satisfaction. It’s the best way to find a contractor you can trust in California—try it for free today. 

Replace your old windows and save!