Electric Bills (refinance, loans, broker) - Phoenix area - Arizona (AZ) - City-Data Forum

A Father · 01-17-2007, 08:51 AM

We are moving to Arizona from Chicago and I'm trying to research as much as I can. Can someone give me an idea of what my electric bill may be on a home that is about 3500 square feet. Also looking at new homes it seems you get better deals when you use their lender where I come from I would just go to the bank that gives me the best intrest rate. It seems crazy to by the home if you do not use their lender because the house cost so much more is this a good thing or a bad thing and what are some of the things I should watch out for so I wont get burned.

Ponderosa · 01-17-2007, 09:04 AM

Quote:

Originally Posted by A Father

We are moving to Arizona from Chicago and I'm trying to research as much as I can. Can someone give me an idea of what my electric bill may be on a home that is about 3500 square feet. Also looking at new homes it seems you get better deals when you use their lender where I come from I would just go to the bank that gives me the best intrest rate. It seems crazy to by the home if you do not use their lender because the house cost so much more is this a good thing or a bad thing and what are some of the things I should watch out for so I wont get burned.

There's a lot of variable in the electric rates including what company you have (SRP is cheaper than APS) what rate plan - get a time of day rate if you can live with the requirements. If I had to guess I'd say up to $350 per month in summer (May-Sept) and maybe half that in winter. That's keeping the temp at 78 in summer. If you want colder you will pay dearly for it, about 5% for each degree. As for lenders, that is a common practice with the new home builders and is part of the "incentive package". It's legit. I've always taken the builders deals and would certainly advise doing the same unless some broker can offer you a better deal.

Afterburn · 01-19-2007, 07:09 PM

I have APS as my electricity provider. My house is 2500+ square feet, and I pay on what's called an even-pay plan - $138/month regardless of the usage, then they adjust the rate every 6 months or so up or down - usually it goes $10 either way. Course, I have a new heat pump/AC unit that is very efficient. If you don't use the even-pay plan, then your bills will be small in the winter and spring, and very large May-Sept. I would think that if you heat your house in the winter using electricity where you live now, wouldn't the bills be comparable, just reversed?

When you buy your home, I'd check on the insulation they are using, the R rating (or whatever you call it), see if the windows are dual-paned, and generally, make sure the house (including the attic crawl space) is insulated well. Sun screens should be on the list too. All this really makes a difference in your heating/cooling bills.

As far as using the builder's lender or someone you select who has the best rates. I've done it both ways. With either one, the bottom line is the APR percentage, not the interest rate they offer you, along with consideration of final closing costs. And lots of times the builders' loans are short-term ARM's, or interest-only loans - basically, just to get you into the house.

The housing market here is really weird right now, recovering from the huge increase in prices in 2005/early 2006. Now there is tons of inventory in both resale homes and new builds. Buyer's market here right now, so shop and you'll get a good deal.

AksarbeN · 01-21-2007, 05:33 PM

2000 sq. ft with all electric on APS and my rate just went up to $123 on the “even-pay plan”. I was paying only $115 before the increase.

NO pool heating, or cleaning !!!!!!!!

azmom05 · 01-21-2007, 07:43 PM

I have a house that is 2000 square foot, and it averages about $110/mo. on the average billing (you pay the same amount every month). But, that is keeping my house at 80 in the summer - which is still very warm!

A Father · 01-22-2007, 06:11 AM

From what I am reading with the size house that I am looking at and also wanting to have a pool it seems like I will be paying about $500 a month can that be correct?

Thank you all for your help.

Ponderosa · 01-22-2007, 06:28 AM

Quote:

Originally Posted by A Father

From what I am reading with the size house that I am looking at and also wanting to have a pool it seems like I will be paying about $500 a month can that be correct?

Thank you all for your help.

I think that would be a worst case. I have a pool, a spa, an older, less-efficient AC and pay APS $187 fixed per month. The best way to save is time of day rates. Elec is cheap from 7pm to noon and on weekends. They have a 9pm to 9 am rate but the 7pm to noon is much more liveable. You run the pool, do the laundry, heat the spa, all during the off peak hours. Use a setback thermostat to keep the ac at 80 from noon to 7 pm. Put a timer on your water heater if its electric to shut it off during peak. Seven hours at 80 won't kill you, but $500 a month for electric might.

If you really want to save, get a time-of-day with demand charge rate. With this elec is about 2 cents a kilowatt but you have to be careful to never run more than one big item (water heater, ac, pool, clothes dryer) at the same time during peak hours. You can really save but if you mess up you pay dearly.

If you take my advice, you will pay less than 250 avg with summer around $350 and winter $150, assuming you have a newer ac and can stick to the time of day plan rules. Also, it is cheaper to heat with a heat pump than gas with time of day rates.

AksarbeN · 01-22-2007, 08:38 AM

Good advice Ponderosa with the “time of day” rates!

We’re using a load-controller to keep monitor the total household usage and shed things like the hot water, a/c or furnace when the load level gets too high. Our rates are kept down to a lower kw and we save money on the bill. Load-controllers have a place but they are not needed if you just “watch” what you’re doing at the time of day and what you run at the same time, ex. not showering & washing cloths & baking a cake all at the same time.

We also set the thermostat at 78 in the summer and 72 in the winter.

I don’t have one but believe the best thing to have is a “solar water heater”! This can be a big money saver in the long run; and should be put on every newly built home. Free energy to make hot water, and it’s crazy that we don’t have more of this in Arizona.

Ponderosa · 01-22-2007, 09:11 AM

Quote:

Originally Posted by AksarbeN

Good advice Ponderosa with the “time of day” rates!

We’re using a load-controller to keep monitor the total household usage and shed things like the hot water, a/c or furnace when the load level gets too high. Our rates are kept down to a lower kw and we save money on the bill. Load-controllers have a place but they are not needed if you just “watch” what you’re doing at the time of day and what you run at the same time, ex. not showering & washing cloths & baking a cake all at the same time.

We also set the thermostat at 78 in the summer and 72 in the winter.

I don’t have one but believe the best thing to have is a “solar water heater”! This can be a big money saver in the long run; and should be put on every newly built home. Free energy to make hot water, and it’s crazy that we don’t have more of this in Arizona.

Load controller is the way to go with the demand charges. Mine conked out and I miss it. New ones are $$$$.

ethurston · 01-22-2007, 10:42 PM

I think $500 would be worst case scenario but check out www.SRP.net and call their 800 number. They are really nice and do their best to estimate for you. Definitely solar water heater for the pool is the way to go.

As far as financing, I would encourage you to find the best interest rate. The only downside is they ask for more earnest money up front, and sometimes, they'll throw in free upgrades if you use their lender. Once in awhile it's worth it to use their lender and then refinance in a year at a better rate. But rarely.