3 Common Myths About Electrical Panel Replacement Costs You Must Know
A safe and reliable electrical system is necessary for any comfortable and functional home. You need to upgrade your electrical panels just like how you service your car from time to time. Timely upgrades are key to handling the changing electrical demands of your home’s appliances.
However, most homeowners worry about their electrical panel replacement cost, leading to several myths and misconceptions about the process. In this article, we will focus on three common misconceptions that will help you make better decisions as a homeowner.
Myth #1: Replacing an Electrical Panel Is Always Expensive
Let’s face it, home improvement works can get expensive at times. Hence, most of the owners believe that electrical panel replacements are expensive.
Additionally, there are a couple more reasons why this misconception exists. Firstly, you find high-profile cases related to electrical problems once in a while. These cases turn into sensationalized news stories focused on worst-case scenarios.
Recently, a fire broke out in an apartment on Middlefield Road, California, USA. According to the fire department, the fire was caused by a faulty electrical panel. Moreover, the estimated damage to the building and its contents was approximately $25,000. This is one of those rare cases where the damage was huge from a money point of view.
The other reason is most people don’t understand how a home’s electrical system works.
Ultimately, the truth is that electrical panel replacement costs depend on multiple factors. According to Forbes Home, the average cost to replace an electrical panel can be anywhere between $550 and $3,000.
Now, what could be those factors that influence the final price?
- Panel Size: Larger panels with higher amperage ratings like 200 amps cost more as opposed to the 100 amps.
- Labor and Regional Variances: The overall costs vary depending on the scope of the job and the electrician’s hourly rate. Table Mountain Electric believes that labor accounts for a major part of the overall cost. Similarly, costs could vary significantly depending on where you live and how complicated your electrical work is.
- Additional Work: If you upgrade your wiring or install more circuits, the price is likely to go up.
Myth #2: The Cost of Electrical Panel Replacement Is Just for the Panel
It’s easy to make an assumption thinking electrical panel replacement is quite easy. Homeowners tend to feel that the cost of an electrical panel replacement is just the panel cost.
However, this is a complete myth. Electrical panel replacement is a crucial upgrade that often comes with extra considerations. Below is the breakdown of additional costs that may apply beyond the panel cost:
Labor
Qualified electricians remove the old electrical panel, install the new one, and test it thoroughly. They will then ensure that everything is up to the mark. Therefore, their expertise is crucial for a safe and compliant installation. Research shows that the hourly rates of an electrician typically cost around $50 to $150.
Permits
Electrical work requires permits. Hence, the fees associated with them differ, depending on your geographical location.
Potential Rewiring
There could be cases where existing wiring may not be compatible with the new panel and needs upgrades to handle the increased capacity. Situations like these demand extra work which adds to the additional final cost.
Electrical panel replacements vary based on your situation, but a typical one might include:
- A service call fee, charged per visit, could range from $163 to $535.
- Cost of new wiring, which could be anywhere from $600 to $2,300.
- And permit charges in the range of $100 to $300.
Myth #3: Upgrading an Electrical Panel is Unnecessary Unless It’s Faulty
Let us suppose, you are busy watching a soccer World Cup final and there is a power cut out of nowhere. No TV, no lights, no fridge, and therefore no fun experience. This could be the scenario that you could potentially face if you wait for your electrical panel to completely fail.
People often misunderstand electrical maintenance because they don’t understand all the benefits it offers, like improving energy efficiency and extending equipment life. It’s a bad idea to wait for a complete breakdown because:
Safety Comes First
A faulty or outdated electrical panel could lead to serious safety issues like electrical fires or shocks. Back in May 2024, a young boy suffered electrocution at the Sportsplex in West Point, Mississippi. In this case, the incident didn’t occur inside the house. However, we cannot neglect the potential danger that comes with faulty, outdated electrical panels.
Therefore, it’s better to upgrade to a modern panel with features like AFCI and GFCI breakers that provide better protection.
AFCI detects and interrupts arc faults, while a GFCI protects against ground faults. When used together, these two safety features can provide an extra layer of fire protection.
Preventative Measures Save Money
Addressing potential issues in the early stages can save you a decent amount of money in the long run. Moreover, the cost of emergency repairs is usually higher than planned upgrades.
Future-Proofing Your Home
Modern appliances and electronics often consume more electricity than older models. By upgrading your panel, you can prevent expensive rewiring down the line when your needs change.
All in all, we have covered three common myths surrounding electrical panel replacement costs that can hurt your home’s safety and functionality. Electric panel replacements cost a lot more than you think. However, it’s a good investment, knowing your home’s electrical system is updated, efficient, and safe.
For more queries related to your electrical panel replacements, call a licensed electrician now. They’ll assess your situation, provide transparent cost breakdowns, and make sure your electrical panel replacement goes smoothly.
