Discover the differences between portable and whole-house backup generators—and why they may be worth investing in. 

Ice storms, blizzards, high winds, thunderstorms, tornadoes and the occasional mishap with wildlife can cause power disruptions. In addition to being inconvenient, power outages can be costly for homeowners. Home backup generators help avoid problems related to loss of electricity.

Benefits of backup generators

A home generator helps prevent discomfort and financial losses in several ways. Specifically, a backup source of electricity will:

• Keep the heat on during a cold-weather power outage so people and pets stay warm, and homeowners avoid the risk of frozen pipes.
• Allow fans—and possibly air conditioning—to run when utility power is lost during hot spells so people and animals can cool off.
• Power refrigerators and freezers to avoid loss of food.
• Allow remote workers to remain productive and keep clients and/or bosses happy.

Special considerations

While a home backup generator may be considered something nice to have, for many folks it’s a more critical piece of equipment. For example, when:

• Someone in your home relies on electric-powered medical devices, such as a dialysis machine or oxygen concentrator; a backup generator can literally save a life.
• Your home has a sump pump that runs frequently due to a high level of ground water or during heavy rains. Avoiding a flooded basement or crawlspace protects expensive furnaces, hot water heaters and furnishings.
• You live in a rural area, especially one where power lines are surrounded by trees and power outages are more frequent.

Types of home generators and their cost

Homeowners can choose from portable and whole-house generators.

Most portable models run on gasoline; however, some are designed to run on liquid propane. As you’d expect from a gasoline-powered engine, portable generators can be quite noisy. When not in use, many homeowners store their portable generator in a garage or shed.

To use a portable generator you need to have fuel on hand and the physical ability to wheel it in place when needed.

The power output of a portable generator will likely run key home appliances like the fridge, furnace blower, sump pump and some lights but they’re unable to power everything. Entry-level portables start around $450, and you need to factor in the cost of gas for running these generators.

Whole-house generators are permanently installed and run on propane or natural gas. While they cost more than portable generators, whole-house generators offer always-ready backup power and simplicity. Whenever the power goes out, they kick on automatically. All this power and convenience doesn’t come cheap; whole-house generators start around $5,000 plus installation costs. High-output models cost more.

Here’s a guide from Consumer Reports on choosing the right size generator.

Financing a backup generator

Backup generators can definitely help save money when they help homeowners avoid frozen pipes, food loss and worse, medical emergencies. If a portable or whole-house generator is something you’d like to invest in but don’t have cash on hand, a home equity loan can help you get the backup power you want.

 

All loans are subject to approval. Rates, terms and condition are subject to change and may vary based on credit worthiness, qualifications and collateral conditions.