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Another area of savings initiated by choosing the correct home plan is "life-cycle" savings. These are savings that stem from eliminating or slowing down the need to replace the structure or its components. For example, you can pay 50% more for a premium food disposal and extend its warranty from two to ten years. Another example is ceramic tile versus carpet. Installed carpet costs about $2 per square foot ($18 per square yard). The expected life is 10 years. Ceramic tile costs about $5 per square foot and will last over 50 years.
100 Year Life-Cycle Costs in Current Dollars
Carpet | Ceramic Tile | |
|---|---|---|
Initial cost per foot | $2 | $5 |
Replacements | 9 | 1 |
Total cost/foot | $18 | $5 |
Life-cycle cost/foot | $20 | $10 |
Listed below you will find some additional tips on "life-cycle" savings.
