Cost to heat a house in Chicago, IL
In Chicago, natural gas is cheaper to run: about $841 a year for a typical 2,000 sq ft home, versus $965 for a cold-climate heat pump ($124/year more). A heat pump can still make sense if you also need air conditioning, want lower emissions, or pair it with your furnace as a dual-fuel system for the coldest days.
Annual heating cost, 2,000 sq ft home (USD)
Average insulation, high-efficiency furnaces, cold-climate heat pump with a seasonal efficiency (COP) of 2.7 in Chicago's climate. Space heating only.
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1 GJ ≈ 26.4 m³ of natural gas ≈ 9.48 therms. US gas bills in therms: $/therm × 9.48 = $/GJ.
Heating cost by home size in Chicago
| Home size | Heat pump | Natural gas furnace | Propane furnace | Heating oil furnace | Electric baseboard |
|---|---|---|---|---|---|
| 1,000 sq ft | $482 | $510 | $648 | $1,484 | $1,314 |
| 1,500 sq ft | $723 | $676 | $973 | $2,226 | $1,971 |
| 2,000 sq ft | $965 | $841 | $1,297 | $2,967 | $2,628 |
| 2,500 sq ft | $1,206 | $1,006 | $1,621 | $3,709 | $3,285 |
| 3,000 sq ft | $1,447 | $1,171 | $1,945 | $4,451 | $3,942 |
Month-by-month heating cost
Most of the bill lands in the coldest months. In January, a 2,000 sq ft home in Chicago needs about 12.5 GJ of heat.
| Month | Avg temp | Heat pump | Natural gas furnace | Propane furnace | Heating oil furnace | Electric baseboard |
|---|---|---|---|---|---|---|
| Jan | -3.2°C | $224 | $153 | $272 | $622 | $551 |
| Feb | -1.2°C | $177 | $129 | $224 | $513 | $455 |
| Mar | 4.4°C | $124 | $104 | $174 | $399 | $354 |
| Apr | 10.5°C | $62 | $64 | $96 | $219 | $194 |
| May | 16.6°C | $23 | $34 | $38 | $87 | $77 |
| Jun | 22.2°C | $5 | $19 | $9 | $20 | $18 |
| Jul | 24.8°C | $2 | $17 | $4 | $8 | $7 |
| Aug | 23.9°C | $3 | $18 | $5 | $12 | $10 |
| Sep | 19.9°C | $10 | $24 | $17 | $39 | $35 |
| Oct | 12.9°C | $46 | $52 | $72 | $165 | $146 |
| Nov | 5.8°C | $106 | $92 | $152 | $347 | $307 |
| Dec | -0.3°C | $182 | $135 | $235 | $537 | $475 |
Energy prices used
- Electricity: 15.87¢/kWh USD — U.S. EIA 2024 average residential electricity and natural gas prices by state (via AGA summary, Mar 2026)
- Natural gas: $10.53/GJ (≈ $1.11/therm) plus ~$15/month fixed charge — U.S. EIA 2024 average residential electricity and natural gas prices by state (via AGA summary, Mar 2026)
- Heating oil: $6.18/gal — EIA weekly residential price, Midwest average, week of Nov 2, 2026, excl. taxes (price history)
- Propane: $2.00/gal — EIA weekly residential price, Illinois, week of Nov 2, 2026, excl. taxes (price history)
Change any price in the calculator above to match your bill. Prices exclude sales tax.
Frequently asked questions
How much does it cost to heat a house in Chicago?
For a typical 2,000 sq ft home with average insulation, expect roughly $841 to $2,967 USD per year depending on the system. The cheapest option at current prices is the natural gas furnace ($841/year).
Is a heat pump worth it in Chicago?
In Chicago, natural gas is cheaper to run: about $841 a year for a typical 2,000 sq ft home, versus $965 for a cold-climate heat pump ($124/year more). A heat pump can still make sense if you also need air conditioning, want lower emissions, or pair it with your furnace as a dual-fuel system for the coldest days.
How much does heating cost per month in Chicago in winter?
In January, heating a 2,000 sq ft home costs about $224 with a heat pump, $153 with natural gas and $622 with heating oil (USD).
How cold does it get in Chicago?
The average January temperature in Chicago is -3.2°C (26°F). The city has about 3,136 heating degree-days a year (base 18°C).