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$6 Heating Oil Puts New-Home Heating in the Spotlight

Writer: Bob Wiltse
Bob Wiltse
Oct 6
4 min read

Massachusetts just declared an energy emergency. Here's why how a new home is heated matters more than ever.


Bob Wiltse, REALTOR®

Research & Writing Assistant: Claude.ai

October 6, 2026


On Monday, Gov. Maura Healey declared an "energy emergency" as winter heating costs climb. For anyone shopping for energy-efficient new homes Massachusetts builders are putting up now, it is a timely reminder: how a home is heated can swing your winter bills by hundreds of dollars.


What happened


The Boston Globe reports that Healey announced about $150 million in relief. It includes a new heating benefit of up to $680 for middle-income households that heat with oil, more help for lower-income families, and a three-month break on one electric bill charge starting in January.


$6 oil. How is your new home heated? New colonial with heat pump on a fall morning.
$6 oil. How is your new home heated? New colonial with heat pump on a fall morning.

Heating oil averaged $6.08 a gallon statewide on Sept. 28, up from $3.52 a year ago, This Week in Worcester reports., a jump of about 73%. The Globe ties the spike to the war with Iran. GBH News found that filling a typical 275-gallon tank costs about $1,650 at $6 a gallon.

Every 100 gallons of oil now costs about $256 more than last year.


National vs. Massachusetts vs. Middlesex County


Nationally, only about 4% of households heat with oil, according to the National Energy Assistance Directors Association (NEADA), as reported by WFSB. NEADA expects winter heating costs to rise 8.7% across all fuels. Oil is up more than 30%. Electric heat is up about 9%. Natural gas is up about 5.8%.


In Massachusetts, the share is five times higher. About 20.2% of homes heat with oil, per 2024 Census data posted by the state. About 52% use natural gas and 20.5% use electricity.


New homes are a different story. Across the U.S., just 0.1% of new homes built in 2024 used oil heat, the National Association of Home Builders found. Nearly half (47%) used a heat pump as the main heat source. In 2025, 56% of new single-family homes nationally ran on electric heat, the Census Bureau reports.


In Middlesex County and the close-in suburbs, the rules are moving faster than the rest of the state. As of June 4, 60 Massachusetts cities and towns had adopted the state's "Specialized" energy code, per Mass.gov. I counted 27 of Middlesex County's 54 cities and towns on it.

That is half the county, versus about 17% of towns statewide.


West of Boston, the list includes Lexington, Concord, Acton, Sudbury, Wayland, Weston, Natick, Framingham, Newton and Belmont. North, it includes Winchester, Melrose and Wakefield.


South, it includes Needham, Wellesley, Dedham, Milton, Norwood and Canton. Woburn, Burlington, Reading and Stoneham are not on the list.


I could not find a county-level count of homes that heat with oil.


How the Specialized code works for new homes


The Specialized code is a stricter energy code that towns can choose to adopt. It does not ban gas. Lexington's town guide lays out the choices for a new single-family home:

  • All-electric: No extra rules beyond the regular "stretch" code.

  • Gas, oil, or propane ("mixed fuel"): The builder must pre-wire for future electric heat and appliances and add at least 4 kW of solar, with some shading exceptions.

  • Over 4,000 square feet with fossil fuel: The home must make or buy enough renewable energy to cover all of its energy use.


That last line matters here. MLS PIN data for new single-family homes in Middlesex County (built in 2026, sold in the prior six months through late September) shows an average of 3,945 square feet and a median of 3,789. Many new suburban homes sit near that 4,000-square-foot line. That likely nudges many builders in these towns toward all-electric designs.


Energy-efficient new homes in Massachusetts: why a heat pump may pay off


A heat pump is an electric system that pulls heat from outside air, even in cold weather, and also cools the home in summer.


Massachusetts now has a discounted winter electric rate for homes heated by heat pumps. It runs Nov. 1 to April 30, and the state predicted average savings of about $540 per household in the first winter, WBUR reported. Mass Save also offers builder incentives for high-performing all-electric new homes and has phased out support for new gas, oil, and propane systems.


A tight, well-insulated new home with a heat pump will likely feel much less of this oil shock than an older oil-heated house. Electric rates are rising too, though.


What should buyers do?


When you tour energy-efficient new homes Massachusetts builders are listing, bring these questions:

  • Ask how the home is heated. Heat pump, gas, oil, or propane? Get it in writing.

  • Ask for the HERS score. HERS is a 0-to-150-plus energy rating where lower is better. New homes often score far better than older ones.

  • Ask for past or projected energy bills. Builders and energy raters can often estimate them.

  • Check the town's code. In a Specialized code town, ask whether the home has solar or electric pre-wiring.

  • Compare fairly. Weighing an older oil-heated home against a new build? Add the heating cost gap to your monthly budget.


Have questions about a new home in Massachusetts? Contact Bob Wiltse, REALTOR®, eXp Realty. 978-793-1719 | bobwiltse.com


Sources

  1. Boston Globe, "Healey, declaring an 'energy emergency,' moves to temporarily cut electric bills, bolster home heating aid" (Anjali Huynh), Oct. 5, 2026. https://www.bostonglobe.com/2026/10/05/metro/healey-energy-temporary-relief-home-heating/

  2. This Week in Worcester, "Healey declares energy emergency, expands heating aid," Oct. 5, 2026. https://thisweekinworcester.com/healey-energy-emergency-heating-aid-2026/

  3. GBH News, "Expect high heating prices and volatility this winter" (Marilyn Schairer), Sept. 23, 2026. https://wgbh.org/news/local/2026-09-23/expect-high-heating-prices-and-volatility-this-winter

  4. WFSB (CNN Newsource/Gray News), "Experts predict heating costs will rise this winter. What to know about the price jumps," Sept. 23, 2026. https://www.wfsb.com/2026/09/23/experts-predict-heating-costs-will-rise-this-winter-what-know-about-price-jumps/

  5. Mass.gov, "How Massachusetts Households Heat Their Homes" (2024 ACS data), accessed Oct. 6, 2026. https://www.mass.gov/info-details/how-massachusetts-households-heat-their-homes

  6. NAHB Eye on Housing, "HVAC in New Construction in 2024," Sept. 2025. https://eyeonhousing.org/2025/09/hvac-in-new-construction-in-2024/

  7. U.S. Census Bureau, Characteristics of New Housing, 2025 Highlights, accessed Oct. 6, 2026. https://www.census.gov/construction/chars/highlights.html

  8. Mass.gov, "Massachusetts Building Energy Code Adoption by Municipality," as of June 4, 2026. https://www.mass.gov/info-details/massachusetts-building-energy-code-adoption-by-municipality

  9. Town of Lexington, "Specialized Code," accessed Oct. 6, 2026. https://www.lexingtonma.gov/1929/Specialized-Code

  10. WBUR, "People with heat pumps get a break on electric bills from new Mass. program" (Miriam Wasser), April 21, 2026. https://www.wbur.org/news/2026/04/21/massachusetts-seasonal-heat-pump-rate-discout-energy-affordability

  11. Mass Save, "New Home Construction," accessed Oct. 6, 2026. https://www.masssave.com/residential/rebates-offers-services/new-home-construction

  12. Bob Wiltse, MLS PIN search: Middlesex County single-family homes built in 2026, sold in the prior six months (pulled Sept. 30, 2026; 123 sales).

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