How Much Does a 250 Gallon Propane Tank Cost in 2025?

The cost of a 250-gallon propane tank in 2025 varies based on several factors, including whether it is installed above or below ground. On average:

• Above-ground 250-gallon propane tanks range from $600 to $1,200.
• Underground 250-gallon propane tanks typically cost between $1,500 and $3,000 due to additional excavation and installation requirements​​.

In addition to the tank cost, installation fees can range from $100 to $500 depending on the complexity of the setup, your location, and any additional equipment needed​​.

If you’re considering buying a used tank, prices can be lower, typically between $350 and $750​ ​. However, new tanks offer better safety features and warranties, which can be a significant consideration for long-term use.

Installing a propane tank can be a big job, so it’s important to factor in the cost of installation when budgeting for your new tank. The cost of installation will vary depending on the size and dimension of the tank and the complexity of the job. In general, you

For the most accurate pricing, it’s recommended to get multiple quotes from local propane suppliers, as prices can vary based on regional factors and supplier policies​ ​.

To know more, read below…

Average Cost Breakdown for a 250-Gallon Propane Tank

Understanding the cost breakdown can help you make an informed decision when considering a 250-gallon propane tank. Here’s a basic outline of the various expenses you might encounter:

Purchase Price Range

• Details: This is the upfront cost you pay to own the tank.
• Typical Cost: The price can vary based on factors like brand, location, and features. As of my last update, the cost range might be between $800 to $2,000, but it’s essential to check current prices in your region.

Installation Fees

• Details: After purchasing, you’ll need to install the tank on your property.
• Average Cost: Installation fees typically range from $100 to $500, depending on the complexity of the setup, your location, and whether any additional equipment or modifications are needed.

Rental Fees

• Details: If you choose not to buy, you can lease or rent a tank from a supplier.
• Typical Cost: Rental fees can vary. Monthly fees might range from $25 to $50, while annual fees could be between $300 to $600. Again, these costs can vary based on the supplier and regional factors.

Maintenance and Refill Costs

• Details: Owning or renting a tank comes with maintenance needs, and of course, you’ll need to refill the propane.
• Average Cost: Maintenance can range from $50 to $200 annually, depending on the services needed. Propane refill costs fluctuate based on market rates, but as of my last update, it might be between $2 to $3 per gallon. For a 250-gallon tank, a full refill could cost $500 to $750.

It’s crucial to note that these are rough estimates based on previous data. Prices can change based on various factors, so always check with local suppliers for the most accurate and up-to-date figures.

Factors that Affect the Cost of a 250-Gallon Propane Tank When You Buy

There are a few factors that affect the cost of a 250 gallon propane tank when you buy. The size and material of the tank, the brand, and where you purchase it from are some of the most common factors.

Material of the tank

The material of the tank is one of the factors that can affect the price of a 250 gallon propane tank. Steel tanks are the most common and most affordable type of propane tank. They are durable, rust-resistant and suitable for outdoor use. They are also widely available and can be found at most propane suppliers.

Brand and manufacturer

The price of a propane tank can be affected by the brand and manufacturer of the tank. Some brands and manufacturers are known for their quality products and their tanks may cost more than others. However, there are also some brands and manufacturers who offer cheaper tanks but their quality may not be as good. It is important to do your research before purchasing a propane tank so that you know what you are getting for your money.

Location and delivery cost

The price of a propane tank can vary depending on the location and delivery cost. In some cases, the price of the propane tank can be affected by the availability of the propane. For example, if there is a propane shortage in the area, the price of the propane tank may increase. The delivery cost can also affect the price of the propane tank. If the delivery company charges a higher delivery fee, the price of the propane tank will be higher.

Installation and maintenance cost

We all know that the installation and maintenance cost of a propane tank is not cheap. In addition, we also have to constantly monitor the level of propane in the tank to make sure that we do not run out of it. This can be a daunting task for some people, but it is essential to keep your home to have a supply of propane.

Here are some tips to help you save money on the installation and maintenance cost of propane tank:

1. Do your research: There are many companies that offer propane tank installation and maintenance services. It is important to do your research and find a company that is reputable and has a good track record.
2. Get multiple quotes: Once you have narrowed down your list of potential companies, get multiple quotes from each one. This will allow you to compare prices and see which company offers the best value for your money.
3. Take advantage of discounts: Many companies offer discounts for customers who sign up for their service contract early. If you know you will need propane tank installation and maintenance services for the entire winter, sign up for a contract as soon as possible to take advantage of these savings.
4. Negotiate: Don’t be afraid to negotiate with the company you choose. If you feel like you are being charged too much, ask if they are willing to give you a discount. Many times, they will be happy to work with you to ensure you are getting the best value

Pros and Cons of Brand New and Used Tanks

It is important to weigh all of the pros and cons before making a decision on whether or not to purchase a used 250 gallon propane tank.

Pros of a Brand New Tank

• Guaranteed quality: A new tank is guaranteed to be free of defects and to meet industry standards.
• Longer lifespan: A new tank will typically have a longer lifespan than a used one.
• Warranty: New tanks often come with a warranty that covers repairs or replacement in the event of defects or other issues.
• Better safety features: New tanks often come with updated safety features to reduce the risk of accidents or leaks.
• Energy efficiency: Newer tanks are often more energy efficient, which can help to reduce costs over time.

Cons of a Brand New Tank

• Higher cost: Brand new tanks are typically more expensive than used ones.
• Lead time: New tanks may have a lead time for delivery and installation.
• Limited options: New tanks may be limited to certain brands and manufacturers, which may not be the best choice for everyone.

Pros of Used Tank

• Lower cost: Used tanks are typically less expensive than new ones, providing cost savings for the consumer.
• Availability: Used tanks may be more readily available and can be found faster than new tanks, especially in rural or remote areas
• No lead time: Used tanks are usually readily available and can be delivered and installed more quickly.
• Can be refurbished: Some used tanks can be refurbished, which can help to extend their lifespan and improve safety.

Cons of a Used Tank

• It can be less expensive than buying smaller tanks of propane.
• One is that you may not be able to get as good of a warranty with a used tank. Another is that the tank could have hidden damage that you are not aware of.
• A disadvantage of buying a used tank is that you don’t know how it has been maintained or what kind of condition it is really in.
• Used tanks may not be as reliable as new ones, and they may not come with a warranty. Additionally, you will need to have someone inspect the tank before use to ensure it is safe.

Tips for Reducing Costs

Looking to get a 250-gallon propane tank without breaking the bank? Here are some straightforward ways to save money:

Buy in the Off-Peak Seasons

• Why? Prices often go up when demand is high, especially during cold seasons.
• Tip: Try buying during the warmer months, like spring or summer. You might get a better deal.

Look for Bulk Discounts

• Why? Many suppliers offer discounts if you buy in large quantities.
• Tip: If you’re part of a business or know others who need propane tanks, consider buying together to save more.

Consider Used or Refurbished Tanks

• Why? A gently used or refurbished tank can be just as good as a new one but at a fraction of the price.
• Tip: Always make sure the tank is safe and meets all standards before buying.

Get Multiple Quotes

• Why? Different suppliers and installers might offer you different prices.
• Tip: Don’t settle quickly. Get quotes from several places and see who offers the best deal for the same quality.

Remember, with a bit of research and patience, you can find a great deal on a propane tank. Always prioritize safety, but know that there are savings out there waiting for you.

Would Rent or Buy Your Own Tank

Criteria	Buying a 250-Gallon Propane Tank	Renting/Leasing a 250-Gallon Propane Tank
Initial Cost	High upfront investment	Low or minimal upfront cost
Ownership	Full ownership; no monthly fees	No ownership; recurring rental fees
Supplier Choice	Freedom to choose any supplier	Often tied to the rental company’s propane
Long-Term Savings	Potential savings over the years	Costs might add up with continuous rental
Maintenance	Owner’s responsibility	Typically covered by the rental company
Flexibility	Less flexible; resale might be needed	Easier to upgrade, downgrade, or terminate
Customization	Can choose features and add-ons	Limited to what rental company offers
Resale Value	Can potentially add to property value	No resale value or equity
Depreciation	Can depreciate over time	Not a concern for the renter
Total Long-Term Cost	Might be lower if used for several years	Might be higher due to continuous fees

Does a 250 Gallon Propane Tank Suitable for Your Need

Determining if a 250-gallon propane tank is suitable for your needs depends on several factors, including your household’s propane usage, the number of appliances that use propane, and the climate where you live. Here are some considerations to help you decide:

Usage Estimation

1. Household Size and Appliances:
   • Heating: If you use propane for heating, a 250-gallon tank might suffice for a small to medium-sized home. However, if you live in a colder climate and use propane as your primary heating source, you may need a larger tank.
   • Appliances: Consider the number and types of appliances using propane. Common propane-powered appliances include water heaters, stoves, clothes dryers, fireplaces, and outdoor grills. Each of these appliances will contribute to your overall propane consumption.
2. Annual Propane Consumption:
   • A typical household using propane for heating and several appliances might consume between 500 to 1,200 gallons per year. A 250-gallon tank, which can only be filled to 80% capacity for safety reasons (holding about 200 gallons), may need frequent refills if your consumption is on the higher end​​.

Frequency of Refills

• Delivery and Refill Schedule: If you have a reliable propane delivery service, more frequent refills might not be an issue. However, if deliveries are less frequent or you prefer fewer interruptions, a larger tank may be more convenient.

Cost Considerations

• Initial and Installation Costs: A 250-gallon tank is less expensive to purchase and install compared to larger tanks, making it a budget-friendly option initially​​.

Climate Impact

• Cold Weather: In colder climates, where heating demands are higher, a larger tank might be more appropriate to ensure an adequate supply during peak usage periods.

Pros and Cons of a 250-Gallon Tank

Pros:

• Lower initial and installation costs.
• Suitable for moderate propane usage.
• Easier to fit in smaller spaces compared to larger tanks.

Cons:

• Requires more frequent refills if your propane usage is high.
• May not be sufficient for larger homes or extremely cold climates.

To Make a Conclusion

As a responsible homeowner, it’s important to know how much your 250 gallon propane tank costs. This way, you can budget for future fill-ups and avoid any nasty surprises.

There are a few factors that will affect the cost of your propane, including the current market price and the size of your tank. Generally speaking, you can expect to pay between $800 and $1,300 for a full tank of propane.

Of course, the best way to get an accurate estimate is to contact your local propane supplier. They will be able to give you a more personalized quote based on your specific needs.

In summary, it’s important to know how much your 250 gallon propane tank costs so that you can budget accordingly. By doing your research and contacting your local supplier, you can ensure that you’re always prepared for those cold winter nights!