Oil heating in rental property

Larches

I'm in the process of looking for somewhere to rent and found quite a nice bungalow, but noticed it has oil-fired central heating (no mains gas). I have no experience of that at all, but my understanding was that running costs are generally higher than for gas CH. However, given the recent energy price hikes I'm wondering if that is still the case, and indeed where prices for each fuel are likely to go as a result of the latest crisis that the world finds itself in. I know nobody has a crystal ball, but would be interested if anyone has a reasonably well-informed view on what might happen (e.g. is it fair to assume that oil, gas and electricity prices will all rise on a roughly equal scale in response to this sort of situation?).

Aside from that, are there any other pros and cons to be aware of when it comes to this type of heating? It's a Grant boiler, but not sure of its age. Has anyone had trouble getting hold of an oil supply? I imagine supplier recommendations will vary between areas of the country but if there are any national suppliers worth recommending then I'd be interested to hear about that. We are currently a bit hesitant about applying for the house until we've got a better feel for this, and also because we're looking at a rental term of perhaps only 6 months or so, which means we could end up losing money if we leave half a tank of oil for the next tenants (it seems selling it on isn't a thing, according to the estate agents!). We would have to try and calculate likely usage carefully, which could be tricky, and in any case we'll probably be restricted by the minimum purchase amount of however many litres. On the plus side, the house is quite small and has an EPC rating of C so I would hope usage would be fairly low (especially as we go through the warmer months). Any tips on this would be much appreciated.

Moaner101

We recently moved into a place from gas with no experience of oil.  As few points are

1. Oil price depend on season,  in the summer with low demand its cheaper.  So fill the tank up in prep for cold
2. Shop around online to find the cheapest 
3. For non emergency deliveries the delivery can take 2 or 3 weeks to arrive so plan ahead,  I guess they wait for multiple deliveries in an area
4. Keep an eye on the level,  doesn't move fast but is costly if goes empty.  Same day emergency oil delivery can cost double. I see the monitor all the time and it's turning me obsessive 
5. I dont know the size of your tank but in 6 months you'll fill it once or twice I guess. Can be a lot of cash in one go,  probably roughly balances it out compared to monthly.  They'll probably be some in it when you move in so I guess makes up for what you might leave
6. You can join local oil clubs where orders are placed in bulk and therefore theoretically cheaper,  although I didn't find it cheaper
7. It's an unregulated industry so no price caps.  However it has not jumped in cost like gas is about to (would have happened already)

In summery,  its no big deal,  just make sure you don't go empty

Larches

Thanks @Moaner101, that's all useful to know.

strawb_shortcake

I've had oil 12 years and have no issues with it, I disagree slightly with some of the points above but that may be due to regional variations.

Standard delivery for myself has always been within a week, but my area has an abundance of users. 

I'm not a heavy user, we use very little maybe 750ltrs a year. Every home's usage will vary depending on their needs

The pence per litre is currently the highest I recall, I use boiler Juice as a benchmark and it's usually the cheapest option for us, but it's up 10ppl in a week now at 77ppl. During the pandemic I paid a record low (for me) of 22ppl but shows that budgeting may be tricky.

QrizB

annabanana82 said:

The pence per litre is currently the highest I recall, I use boiler Juice as a benchmark and it's usually the cheapest option for us, but it's up 10ppl in a week now at 77ppl. During the pandemic I paid a record low (for me) of 22ppl but shows that budgeting may be tricky.

OP do keep in mind that a litre of oil contains roughly 10kWh, so 77p/litre is 7.7p/kWh. Mains gas will be around 7.3p/kWh for most people from April.

The price difference will be quite small.

400ixl

Have always found Oil heating to be cheaper than gas to run, our near neighbour swapped when the built a new estate and ran a pipe past their house and the result was 30% higher gas costs to oil. But the convenience is much better with gas.

The tricky part is that many places have a minimum order of 500 litres which depending on the season for us would be between 5-8 months worth of oil.

canaldumidi

I question some of this, and agree with some:

Moaner101 said:

We recently moved into a place from gas with no experience of oil.  As few points are

1. Oil price depend on season,  in the summer with low demand its cheaper.  So fill the tank up in prep for cold that is ONE factor in the price of oil, but other factors (exchange rates, wars, demand, make more difference. Summer last year was no cheaper than winter, and with the current crisis pushig upprices I suspect this summer will be expensive (relatively)
2. Shop around online to find the cheapest Yes. Most companies now let you get price quotes online. Some you have to ring. NEVER sign up to direct debit auto-top-up schemes which tie you to one supplier.
3. For non emergency deliveries the delivery can take 2 or 3 weeks to arrive so plan ahead,  I guess they wait for multiple deliveries in an area 1- 3 weeks yes.
4. Keep an eye on the level,  doesn't move fast but is costly if goes empty.  Same day emergency oil delivery can cost double. I see the monitor all the time and it's turning me obsessive I guess if you have a small tank it can be a worry, but yes, running too low can be risky (damages the boiler if you run out) or pricey (getting a next-day delivery)
5. I dont know the size of your tank but in 6 months you'll fill it once or twice I guess. Can be a lot of cash in one go,  probably roughly balances it out compared to monthly.  They'll probably be some in it when you move in so I guess makes up for what you might leave Make sure you know the size of your tank. Mine is large (2500 ltrs) and gets filled once a year (or I top up if prices drop). Many tanks are smaller (1000 lt) and need filling more often, and levels need watching more carefully.

You and your landlord should have agreed on the level in the tank when your tenancy started, so that when you leave you can get a refund if the level is higher, or pay if the level is lower.
6. You can join local oil clubs where orders are placed in bulk and therefore theoretically cheaper,  although I didn't find it cheaper Local clubs vary. There are also a couple of national local group buying clubs
7. It's an unregulated industry so no price caps.  However it has not jumped in cost like gas is about to (would have happened already) ??? Price is currently going up and I suspect will continue up unless Russia backs off........

http://theheatingoilclub.co.uk/

https://www.oil-club.co.uk/

Larches

@canaldumidi, on the question of leftover oil, I thought an arrangement like the one you mention would be the obvious thing to do, but the estate agent reckons it's a case of 'use it or lose it'! However this is actually a landlord-managed let so I should be able to raise this directly with the landlord once we have his/her details.

Thanks everyone for your responses, this has been really helpful.

matelodave

QrizB said:

annabanana82 said:

The pence per litre is currently the highest I recall, I use boiler Juice as a benchmark and it's usually the cheapest option for us, but it's up 10ppl in a week now at 77ppl. During the pandemic I paid a record low (for me) of 22ppl but shows that budgeting may be tricky.

OP do keep in mind that a litre of oil contains roughly 10kWh, so 77p/litre is 7.7p/kWh. Mains gas will be around 7.3p/kWh for most people from April.

The price difference will be quite small.

Don't forget to add in the standing charges for mains gas which could easily add another penny or two to the cost per kwh, especially in the summer when you don't use a lot.

Jaybee_16

Almost a year ago I bought a rural property with oil heating, whereas being a townie everything before was mains gas.
First thing was budgeting for oil supplies. Being used to monthly DD for gas, one payment to fill the tank was a bit of a shock.
I have a 1400 litre tank and needed to fill last April. Price now is about 50% higher than last year.
First filling was through the local oil club, but the more recent filling I googled for local suppliers and got quotes. Oil club was far from being the cheapest.
Oil companies quote deliveries of 1-2 weeks as they probably wait for a number of deliveries in an area. Last year's oil order was delivered in three days and the latest delivery was the following day. Driver phoned and asked if he could deliver.. of course I said yes.
I have one of those monitoring meters fitted on the tank which is good for a rough guide to the amount in the tank, however all neighbours and friends tell me that's unreliable and use a stick to check levels.

 

canaldumidi

Jaybee_16 said:

I have one of those monitoring meters fitted on the tank which is good for a rough guide to the amount in the tank, however all neighbours and friends tell me that's unreliable and use a stick to check levels.

Likewise. I have a wireless monitor which is a good, rough indicator of how ful the tank is, but my long bamboo stick is far better. Use it like the dipstick for a car.

I paintd a line near the top after filling the tank to show 'full'.. Then measured the halfway point, and nearer the bottom marked 1/4 and 1/8ths. When you dip it you can clearly see where the oil reached.

Larches said:

@canaldumidi, on the question of leftover oil, I thought an arrangement like the one you mention would be the obvious thing to do, but the estate agent reckons it's a case of 'use it or lose it'! However this is actually a landlord-managed let so I should be able to raise this directly with the landlord once we have his/her details.

Bl**dy estate agents! So you fill up the tank and then a few weeks later your circumatances change and you give notice and leave. Lucky landlord gets a near full tank you've paid for , while you may have only had a 1/4 of a tank or less when you moved in.

Converse is also true. Not fair on the LL if you leave the tank drained to the last drop!

I'd measure the tank using a bamboo or similar, and take a photo showing the level, as well as a photo of the monitor.

But a chat witht the LL is ideal. Agree what the level is and get it written somewhere (eg on the inventory) signed by both. Then there's no argument later.