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However, heating a home with a geothermal heat pump or a cold climate heat pump would be less expensive than using oil.At $4.67 a gallon for oil, it would cost the same to produce the same amount of heat using oil or electric baseboard heat.or example, a home that uses 800 gallons of oil for heating would use about 25,300 kilowatt-hours to produce the same amount of heat. Visit www.cmpco.com for a link to a more detailed spreadsheet from the Department of Energy to compare heating costs.
Advertisements. Looking at a house with approximately 1500 square feet, 8 rooms, expanded cape. new windows, 3 heating zones, built in 1955. Oil for heat and hot water. I am in the process of obtaining the current owners usage, but would like to know what the average home uses in gallons of oil per year. have a 2,500-3,000 sq ft high ranch and use about 750 gallons of oil per year. The house is very well insulated (at least R-30 in the attic) and at least R-15 in the walls.