Posted on 09/20/2007 5:25:27 AM PDT by vietvet67
New York - Unless it's a warmer than expected winter, heating the house this winter will cost consumers more money.
Indeed, this fall – even before the first real freeze – the first tank of home heating oil will cost consumers about 7 percent more than last year at this time.
Consumers who use natural gas to heat their home will also see price hikes, though they're likely to be more modest. Through July, natural-gas prices were 5.5 percent higher than last year at the same time.
In past winters, many consumers have shrugged off the rising cost of staying warm. But this winter, it may not be so easy: The economy is expected to continue slowing, and home prices are likely to continue to drop. Although the actual dollar amount of the higher heating costs may be small, economists worry about the effect on consumers from bad news.
Another piece of unsettling news for consumers: The price of crude oil is hitting record highs (not adjusted for inflation). On Tuesday, a barrel of oil closed at $81.51 on the futures market.
"The economy used to be so strong that even these blows [higher energy prices] hurt some but not everyone," says Dennis Jacobe, chief economist at the Gallup Organization in Washington. "Now, these more marginal impacts can hurt more people."
Higher heating costs are likely to hurt the lower and middle class the most since their income has a harder time keeping pace with the heating costs. "It's a bigger blow to them," says Mr. Jacobe.
Although winter heating costs may be higher, gasoline prices have remained flat.
(Excerpt) Read more at csmonitor.com ...
my cat is going to be wearing a snowsuit in the house this winter
think i’ll make him a cathouse to keep warm in..i will pick up a box from costco big enough for both of us
Good luck, we have homes near my place that have been on the market for over a year.
The low prices will disappoint no doubt...
Wood is good to me. 40 yard trailer’s worth of bucked trees costs me $450, and yields about 7 cords. More than enough for the winter. Oil OTOH runs about $700 per tankful, and I would use 2 to 3 of those if not for the wood. I’ve been averaging about 50 gallons of oil per year for the last two years.
Here’s to a long, cold, snowy Winter.
I like it cool and I like my winter sweaters and ragg wool socks. And snuggling to keep in the body heat. ;)
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