Your neighbor is right. In order to get an idea of what the most cost-effective measures are going to be to lower your utility bills, you should definitely get an energy audit. The auditor will not only test your water heater and furnace for their efficiency, he or she can test your ductwork to see if you would benefit from duct sealing and insulation. There are a lot of other upgrades that would likely help, but an auditor will be able to figure out which will be best for your San Diego home.

California has some of the highest electricity prices in the nation, which contributes to your high bills. Your auditor may suggest that you switch to natural gas heating or that you install a tankless water heater. If your home is already really efficient, or if there are only a few upgrades to make, your auditor may also suggest installing solar panels, which would allow you to generate your own electricity and protect you from rising electricity prices.

To get an idea of how your home performs compared to other homes in your neighborhood, give our online energy audit tool a try. It’s an easy, fast and free way to get a general idea of what upgrades an auditor may suggest as well as an estimate on how much you could save. The average savings for homeowners who make energy efficiency upgrades is $2,700 in three years.

Energy audits in the San Diego area cost around $600, but that money can sometimes be applied to the cost of the upgrades if you decide to have them completed by your auditor.

Updated July 19, 2010