Heating costs will be significantly higher this year, finance expert says
BALTIMORE -- Temperatures are dropping, but home heating costs are rising.
"The war in Ukraine has caused energy supply disruption," says Dr. Karyl Leggio, professor of finance at Loyola University Maryland. "Unfortunately, we're expecting a colder winter. So it could be as much as 50 percent higher than you've seen in previous years."
She says we have not seen home heating costs this high in four or five years. Dr. Leggio says to turn the heat down when you leave your home.
"Get comfortable with your thermostat lowered a little bit. You don't need to have your house quite as warm as you think. Put a sweater on. Sweaters and slippers go a long way to reducing your heating bill."
Most of you have a public utility like BGE. But in Maryland, you can choose a third-party energy supplier. However, this is not the right time to switch, Leggio said.
"Energy prices are high and you're locking in at a higher rate. The best time to look at switching is in what we call the shoulder months. Spring and fall, when you're not using as much air conditioning or heat."
And Dr. Leggio says always read the fine print before signing a contract.
"Make sure it's a reputable company. Check their rating. Check other customers and the experiences they've had with them. We have good energy companies in Maryland, so be cautious about switching without doing their homework."
With the energy supply limited and demand getting higher, that heating bill will be expensive all season.
"It's probably going to last into next year as well," she says.
