Ashburn, VA

How Much Does A Propane Tank Cost?

$560 – $2,480

A propane tank for a house costs between $400 and $700 for a 100-gallon tank and $1,200 to $1,800 for a 500-gallon above-ground tank. The cost to install an underground propane tank runs $1,600 to $2,400 for a 500-gallon tank and $3,100 to $4,500 for a 1000-gallon tank. Get free estimates from propane tank installers near you.

Propane Tank Cost

The cost to install a propane tank for a house ranges from $700 to $4,500 installed but on average, expect to pay about $1,500 to install a 500-gallon above-ground propane tank and $2,000 for a 500-gallon underground tank. Prices depend on the size of the house, how much of the home is gas-powered, and the climate, if heating is included.

Propane Tank Cost - 250, 500, and 1000 Gallon Chart

For small grilling and auxiliary propane tanks, expect to spend between $50 and $150. A standard 20 lb. tank costs around $35 while a larger 100 lb. tank costs about $150.

Propane Tank Cost
National Average Cost $1,411
Minimum Cost $35
Maximum Cost $4,500
Average Range $560 to $2,480

Table of Contents

  1. Propane Tank Cost
  2. Propane Tank Prices By Size
  3. Costs of Propane Tanks for the Home
  4. Propane Prices Per Gallon
  5. Should I Buy Or Lease A Propane Tank?
  6. What You Need To Known
  7. Frequently Asked Questions
  8. Oil, Fuel & Water Tank Installation Services

Propane Tank Prices By Size

To estimate the cost of a propane tank for your home, you will need to decide how big your tank needs to be. Most tanks can be installed either above or below ground.

Gallon Propane Tank Costs

A 120- to 325-gallon tank will take care of powering heating, cooking, fireplace, dryer, and standard hot water. [1] However, you might want to spread out the number of times you refill it, in which case a 500-gallon tank would be more practical, only needing a refill every six months. A considerably larger tank would be required for multi-zoned homes and homes with hot tub and jacuzzi use.

Gallon Propane Tank Costs
Tank Sizes Above-Ground Tank Underground Tank
100 Gallon $380 – $650 --
120 Gallon $630 – $700 --
250 Gallon $1,200 --
330 Gallon $1,400 --
500 Gallon $1,630 – $1,700 $1,870
1,000 Gallon $2,500 – $2,580 $2,850

Average Prices By Pound

Propane Tank Prices By Pound Size Chart

Propane Tank Prices By Pound
Tank Weight Suitable for Capacity when filled to 80% Tank Price
100 lb. Home fireplaces, cooking, dryers, barbecues 25 gallons $150
420 lb. Home heating or hot water, dryers, fireplaces, generators, pool heat 100 gallons $700
500 lb. Small whole-home systems, home heating, generators, pool heat 400 gallons $1,500
1,000 lb. Large whole-home or small business systems, home heating, generators, pool heat 800 gallons $2,500

Above-Ground Residential Propane Tank On Rural Property

Price for Large Propane Tanks

The prices to buy a large propane tank averages $1,500 for a 500-gallon tank, and $2,500 for a 1000-gallon tank. A 500-gallon tank is ideal for residential use. Propane tanks larger than 500-gallons will require permanent underground installation in most cases.

Larger tanks are required for people who need to use around 5,000 gallons or more of propane per year—usually large business or farms, who can use it for farming tasks like corn drying. Ranging from 2,000- to 30,000-gallon tanks, costs vary from $11,000 to $80,000. Common tank sizes are 2, 4, 6, 12, and 18,000 gallons. 30,000-gallon tanks can power a small, sub-metered community.

Cost of Small Propane Tanks for Grills

For small grilling and auxiliary propane tanks, expect to spend between $50 and $150 for an empty shell. A standard 20 lb. tank costs around $35 while a larger 100 lb. tank costs about $150. These small cylinder tanks are perfect if you need to power something little like an outdoor grill or backup generator. There are specials for buying an extra tank at the exchanges too.

Small Propane Tank Costs
Capacity (Lbs.) Cost Empty
4.25 $53
11 $47 – $63
20 $35
30 $49 – $70
40 $90 – $100
100 $136 – $165

Small 20-Pound Cylinder Gas Propane Tank For Cooking and Grilling

Small Propane Tank Sizes

Propane tank sizes can be confusing, being measured in pounds, gallons, and capacity. There are single use and refillable portable tanks. The smaller tanks or cylinders are as follows:

Small Propane Tank Sizes
Capacity Weight Empty Weight Full
4.7 gal 18 lbs.  38 lbs. 
7.1 gal  24 lbs.  54 lbs. 
9.4 gal 29 lbs.  70 lbs. 
11.4 gal  42 lbs. 92 lbs.
23.6 gal  68 lbs.  170 lbs. 

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Costs of Propane Tanks for the Home

If you only need to run a few home appliances, a 250-gallon propane tank costs $1,200 to install. To power all systems in your home, a 500-gallon tank will cost $1,500 to $2,000 for installation. You may prefer the extra storage of a 1000-gallon tank for a cost of $3,100 to $4,500 installed.

Underground Buried Propane Tank Cost

An underground and buried propane tank costs between $1,125 and $5,150 with most homeowners spending $1,870 for a 500-gallon tank, and $4,400 to install a 1,000-gallon tank in metropolitan areas. Tanks from 250 gallons upward can be installed underground, with 500- to 1,000-gallon tanks being the most common.

500-Gallon Underground Propane Tank Installation

Excavation and Trenching Labor Cost

Aside from the cost of the actual tank, there is the fee for the licensed installer, the installation package, and the excavating team. Working hours for the excavation team are extra at about $500–$600, starting with $95 for the first 30 min +75/man/hour.

Reasons To Install Your Propane Tank Underground

  • You are in a geographical location with extreme weather, especially deep freezing. When underground, the tank is surrounded by earth, thus helping to keep the temperature steady.
  • Underground propane tanks are safer when it comes to potential damages like propane leaks since a gas leak would be more contained by the soil. Propane is harmless to your water and the environment, but it is combustible.
  • You’d rather have it out of sight. An underground tank can have landscaping surrounding the cap where the gauges and other controls are. Sometimes, an underground tank can raise the value of the property.

Above-Ground Propane Tank Price

Above-ground propane tank prices range from $400 for a 100-gallon tank, $1,200 for a 250-gallon tank, $1,500 to install a 500-gallon tank, and approximately $3,100 for a 1,000-gallon tank. It’s better to install an above-ground propane tank if your property is in an area with frequent flooding. There can be a problem with the tank “floating, causing the tank to shift or float if the water rises above the propane level in your tank. [3]

Above-ground propane tank prices revolve mainly around the size of the tank purchased, the amount of gas it holds, and whether it’s new, empty, used, or full. Prices can range from $700–$2,500.

Large 250-Gallon Propane Tank Installed Aside Residential Home

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Propane Prices Per Gallon

Propane prices range from $2.00 to $2.50 per gallon when looking at the past five years, but the cost often fluctuates due to supply, demand, and production levels.

Propane Cost Per Pound

While no one sells propane by the pound, you can expect to pay $0.70–$0.92 per pound. Our calculation is based on a gallon weighing ~ 4 lb.). The amount of fuel you expect to use can change the size of tank you choose. For example, you might need to use a lot more fuel in the winter.

Propane Usage Estimator

If you are wondering how much propane a furnace or other appliances use, we've compiled a usage estimator for you:

Propane Usage Estimator
Appliance Fuel Used
Furnace 1 gallon/hour
Fireplace 1 gallon/3 hours
Water Heater 1 gallon/day
Hot Tub 4 gallons/hour
Cooktop 5 gallons/month
Dryer 5 gallons/month

500-Gallon Above-Ground Propane Tank Installation and Painted Green

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Should I Buy Or Lease A Propane Tank?

Buying New vs. Used Propane Tanks

  • Refurbished – A refurbished tank has all new valves and has been blasted and repainted.
  • Used Tanks – have no safety guarantee. Smaller tanks for sale from tank exchange services often come with gas in them. Quotes have read “75% full” and “both 5 Gal tanks half full” and “$15 for the tank, ‘cheaper than a tank deposit!’” All used tanks must be certified before being put to work.

A company in three states, THRIFTY PROPANE, offers a comparison of new and refurbished propane tanks for sale.

New vs. Used Propane Tank Prices
Tank Sizes Used Price Cost New Cost New Underground Tank
1,000 gallon $1,850 $2,500 $3,000
500 gallon $950 $,1,700 $2,000
330 gallon $800 $1,400 --
250 gallon $649 $1,199 --
120 gallon vertical   $549  $699 --
120 gallon horizontal  $450 None --

Small 100-Gallon Above-Ground Propane Tank Used For Home Heating and Cooking

Purchasing Full vs. Empty

Larger tanks are sold empty by law. The grill-size tanks, often called cylinders, would usually be bought full.

Leasing a Propane Tank

Leasing a propane tank for about $120–400 per year can take the sting out of the significant upfront cost of the tank; however, if you financed the purchase, it would most likely be paid off within about three years.

PROS

  • The cost of repairing leaks and all maintenance is on the leasing company.
  • You don’t lose paid-for propane via leaks.
  • Leasing is more affordable than buying in the short-term.

CONS

  • You don’t get to take it with you when you move.
  • After three years you could have owned the tank, but you’re now giving away about $120–400/year to the leasing company.
  • You’re stuck with having to buy propane from the leasing company at whatever prices they like rather than being able to shop around.
  • Some leasing companies have a minimum order of 100 gallons at a time.

Local Propane Tank Prices and Companies

For your local propane companies, we encourage looking at local Better Business Bureau reviews. Online quotes are often unsubstantiated, which is why you must call to get pricing.

Also, the National Propane Gas Association will provide referrals to many smaller companies that sell and install propane tanks by zip code.

Industrial 1000-Gallon Propane Tank Installed on Construction Site

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What You Need To Known About Propane Tanks

  1. Capacity – For those just learning about propane, a useful tidbit is that any tank will only be filled to 80% capacity. Thus a 100-gal tank will be full at only 80 gallons. This safety precaution is to leave room for the expansion of the gas with warmth. New tanks come with an overfill protection device.
  2. Propane tank recertification – “The National Fire Protection Association (NFPA) and the DOT require periodic recertification of stationary propane cylinders by qualified service technicians” [6] and costs approximately $5–$60. Recertification must be done on any cylinder under 100 lb. twelve years from the date of manufacture, and every five years following.
  3. Local building codes – Underground tanks must be installed at least 10 feet away from any traffic, building, or property line.
  4. Longer engine life – According to the US Dept. of Energy, “The potential for lower maintenance costs is one reason behind propane's popularity for use in light- and medium-duty vehicles, such as trucks and taxis, and for heavy-duty vehicles, such as school buses. Propane's low carbon and low oil contamination characteristics may result in longer engine life.”
  5. Cold start issues – “Propane performs well in cold weather climates because the fuel's mixture (propane and air) is completely gaseous. This factor allows propane-powered vehicles to avoid many cold-start issues associated with using liquid fuels.”
  6. Alternative fuel – Propane is an alternative vehicle fuel.

20-Pound Propane Tank Used For Grilling at Home

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Frequently Asked Questions

How does Blue Rhino vs. AmeriGas tank prices compare?

Blue Rhino is likely to be found at Home Depot while AmeriGas can be located at Lowe’s and Walmart, and both companies offer tanks at the same prices. AmeriGas also has the bulk of the propane delivery business, and their prices vary based on the individual account.

Is it better to purchase or rent a tank?

Buying a propane tank for the home gives one the freedom to purchase propane from the supplier of choice. It also leaves one responsible for all maintenance and certifications. Renting relieves one of the risks of breakdowns while being restricted to a single supplier as a captive audience. If you plan on using the tank long term, buying and doing yearly maintenance is a cheaper option because you get to take it with you if you move. Without the maintenance, leaks can cause you to lose $$ on lost propane.

How to tell how much propane your tank has left

Your home propane storage tank will have a gauge showing the percentage your tank is full. With the smaller, portable tanks used for grilling, RVs, and even smokers, you can weigh the tank, deducting the empty weight of the tank. A simpler method is to take a small bucket of warm water and pour it over the side of the tank. Run your hand from top to bottom, and you will feel where the coldness of the propane starts—that will show you how much is left.

What is the price of actual propane/cost to refill your tank?

The actual price of propane is tied to crude oil prices and does not fluctuate much. Many U-Haul locations and pay-at-the-pump options price it at $2.39–$3.71 per gallon. A tractor supply company may have the lowest price, with no differentiation for use. Commonly, they will only fill up to 100 gallons.

Should I exchange or refill my old tank?

One consideration for refilling would be the potential savings, but saving up to $2 per gallon may be offset by the inconvenience of finding an open filling station. The advantage of exchanging the tank is getting one which is certified and properly serviced.

How much does propane tank recertification cost?

Propane tank recertification costs approximately $5­60. Recertification must be done on any cylinder under 100 lb. twelve years from the date of manufacture, and every five years following.

What is the difference between propane and liquid propane?

Liquid propane is synonymous with propane. When one sees LPG, it could be propane or not. While propane is a liquified petroleum gas (hydrocarbon gas liquified through pressurization), so are butane, isobutane, and mixtures of them.

Get free estimates on HomeGuide from trusted propane tank installers:

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[1] Gastechonline | https://www.gasteconline.com/

[2] Sizes from | https://www.gasteconline.com/tank-chart.php

[3] Direct Propane Services | https://directpropaneservices.com/

[4] Prices from Home Depot

[5] Pricing from Thrifty Propane

[6] Eastern | https://eastern.com/wp-content/uploads/AboveGround_flyer_PERC031314.pdf

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