Why Is New Construction Insulation So Expensive?

You're planning to build a new home, and you're shocked by the insulation costs. Why is new construction insulation so expensive? Is insulation an area where you can cut costs? Can you get insulation that performs well without breaking the bank?

South Central Services has installed spray foam insulation in hundreds of homes. Many customers ask us about the high price tag for new construction insulation and whether the investment is worth it. In this article, we'll explain the reasons for new construction insulation being so expensive.

By the end of this article, you will understand:

• What contributes to the cost of new construction insulation
• How the choice of insulation material impacts the overall price
• Why expensive insulation is worth the initial investment

Don't have time to read right now? Check out everything you need to know at a glance.

Factors Influencing The Cost Of New Construction Insulation

There are several reasons why new construction insulation is costly. Here’s a preview.

1. Square footage
2. Project complexity
3. Type of insulation product
4. Labor costs
5. Building code compliance

Let’s examine each of these factors in more detail.

1. Square Footage Of Your New Home

Insulating a brand-new house is pricey, especially when you compare the cost to a smaller insulation project. Part of the expense of new construction insulation is the sheer amount of insulation being installed.

In a new build home, every area is exposed and can be insulated. Exterior walls, interior walls, basements, crawl spaces, floors, and attics are large surface areas that need insulation.

2. Complexity Of Your Home Design

When you build a new house, you have the opportunity to add fun design features. You may want recessed lighting, a spiral staircase, or even a home movie theater. Every unique nook and cranny in a home can influence the house's thermal envelope and change which areas need insulation.

Can lights need special treatment to insulate around them properly. Home movie theaters need insulation to help absorb sound. We recently walked through a home with a spiral staircase. The way the staircase was constructed influenced how we needed to insulate to keep the house sealed and airtight.

3. Type Of Insulation Product

The price of insulating your new home will also depend on what insulation you choose.

• Fiberglass insulation has been a popular option for decades because of its low cost.
• Cellulose insulation has received attention recently for its environmentally friendly design.
• Spray foam insulation is expensive but is often selected by homeowners who want to maximize their energy efficiency, comfort, and savings.

While new construction insulation will be expensive no matter which insulation you choose, due to the sheer amount of insulation, the product itself will impact the overall price.

Fiberglass batt insulation tends to be the budget insulation product, costing $1.50 per square foot on average. Spray foam insulation is the premium option. While it offers superior insulating performance compared to fiberglass, spray foam can cost as much as $6.00 per square foot.

4. Labor And Installation Costs

Some retrofit insulation can be completed as a DIY project. Insulating your attic would be an example of a project that homeowners often undertake on their own. New home insulation is not a simple DIY project.

Insulating an entire home and forming its thermal envelope requires skilled labor, specialized equipment, and contractor expertise.

You pay for the knowledge of your insulation contractor, who understands building science, dew point, vapor barriers, and how air travels through a house. The labor cost is an investment in the long-term health of your home.

5. Building Code Compliance

You're familiar with the complexities of building codes. Building codes are likely one of the reasons why constructing your new house is taking so long. For the homeowner, building codes can feel synonymous with delays and fees. While delays and additional costs can be frustrating, building codes exist for energy efficiency and safety.

When you build a new house, all eyes are on the methods and procedures of building that house. Your contractors are legally obligated to abide by building codes. These regulations may dictate the amount of insulation required or the necessary R-value of that insulation.

To be considered up to code, you may have to pay for more insulation than you would have wanted to.

Why You Should Invest In The Insulation For Your New Home

As we've just discussed, you must insulate your new house. Even though premium insulation like spray foam is pricier, we recommend investing in the best insulation for your home.

The initial cost is high, but high-quality insulation offers many benefits you will enjoy for the rest of your life in this new home. Let's examine these benefits in more detail.

Maximized Energy Efficiency

Have you ever played a game of whack-a-mole at a county fair? Making an existing home energy efficient can feel like playing whack-a-mole. Countless issues can contribute to inefficiency and high energy bills. Not only do you have to diagnose the problems in your home, but you have to address them—usually one by one.

Invest in double-pane windows. Whack. Encapsulate your crawl space. Whack. Insulate your attic floor. Whack.

Some energy inefficiency cannot be addressed simply in these retrofit scenarios. For example, if an old house has little to no insulation in its exterior walls, you might have to tear down your walls to reach those cavities.

When you insulate a brand-new home, every nook and cranny can be insulated. Potential air leaks can be addressed. It may seem counterintuitive, but it could cost more in the long run to use budget insulation during construction. By investing in insulation that creates an airtight seal, you can stop air leakage.

An air-sealed house with no air leakage has maximized energy efficiency. Homeowners spend less on energy bills because none of their expensive conditioned air leaks outside the home.

Increased Home Comfort

Having lower energy bills and being more comfortable don't usually go together. When my family tries to save money on heating by keeping the thermostat at a lower temperature, I know I need to get out more blankets and wear sweatshirts around the house.

You may be moving from an older home like mine into your brand-new home. If so, you may relate to this battle between energy savings and feeling comfortable at home.

A premium product like spray foam insulation allows energy efficiency and comfort to be on the same team. Spray foam insulation creates an airtight seal to prevent air leakage. An air-sealed home doesn't waste money on "heating the world" and keeps the conditioned air inside where it belongs.

The comfort that spray foam insulation offers goes beyond temperature control. While consistent temperatures are often the only factor we think of, comfort can also include how our homes smell and what type of air we're breathing in.

Improved Indoor Air Quality

An airtight seal prevents air from escaping your home, but it also stops air from infiltrating your home. The air loss of a leaky house doesn't happen in a vacuum. When air leaks, it has to be replaced by other air. When homes aren't air-sealed, the replacement air can be stale, humid, or musty. Outdoor air pollution can sneak inside.

Investing in spray foam insulation for your new house is one of two steps to ensure your family breathes safe air.

The Bottom Line About Why New Construction Insulation Is So Expensive

Many factors contribute to the high cost of insulating a new construction home. Between the quality of materials, labor costs, and regulatory compliance, insulation costs can add up quickly. Investing in premium insulation like spray foam is an expensive choice. However, spray foam will offer energy savings and improved comfort for the lifetime of your new home.

If you're building a new home, weigh the costs and benefits of your insulation options. You can try to cut costs in this area, but you may spend more money in the future to gain energy efficiency.

Now that you understand why new construction insulation is so expensive, your next step is to:

• Compare the cost of open cell and closed cell spray foam insulation
• Evaluate two budget insulation options for exterior new construction walls
• Learn about the most popular types of insulation for new construction homes