The effect of insulation on your home is determined by the type of house, the climate, and the kind of insulation you have. Depending on your choice, you could experience a temperature variation of five to twenty degrees. Even if your home was constructed with energy efficiency in mind, you can still reduce your energy bills by adding more insulation. Older homes usually have less insulation than modern homes, but even adding insulation to a newer home can pay for itself in a few years. Air that passes through the house envelope (exterior walls, windows, doors, and other openings) wastes energy and increases utility costs.
A well-sealed envelope combined with the right amount of insulation can make a huge difference in your utility bills. The EPA estimates that homeowners can save an average of 15% on heating and cooling costs (or an average of 11% on total energy costs) if they seal their homes with air conditioning and add insulation to attics, floors, tight spaces, and basements. Once you know the R-values of your insulation from an energy assessment, from the home builder, or from your own inspection, you can use the Home Energy Saver tool to determine how much insulation you should add and where you should add it for maximum energy efficiency.