Ultimate Guide to the Best Exterior Wall Insulation

When it comes to creating an energy-efficient home, choosing the right insulation for your exterior walls is essential.
At Green Attic Insulation, Chicago’s trusted insulation experts, we know that effective wall insulation not only enhances year-round comfort but also leads to significant savings on your energy bills.

In this comprehensive guide, we’ll break down the best insulation options for exterior walls—factoring in R-values, climate conditions, and wall cavity types. Whether you’re building a new home or retrofitting an existing one, we’ll help you make a smart, budget-friendly choice tailored to your home’s unique needs.

Best Insulation Types for Exterior Walls

When selecting insulation for your exterior walls, it’s important to understand the strengths and limitations of each option. Here’s a closer look at one of the most common choices:

Fiberglass Batts

Fiberglass batts are among the most widely used insulation materials in residential construction due to their affordability and ease of installation.

Typically R-13 for 2×4 walls and R-19 for 2×6 walls.

Designed to fit between standard wall studs, fiberglass batts come in pre-cut panels sized for common stud spacing. However, achieving full performance depends on a precise fit—gaps, compression, or misalignment can reduce effectiveness.

When properly installed, fiberglass batts provide solid thermal insulation. However, poor installation can lead to cold spots, air leakage, and reduced energy efficiency.

Fiberglass doesn’t absorb water, but if moisture gets trapped in the surrounding air pockets, it can compromise performance and contribute to mold or mildew issues—especially in humid climates or poorly ventilated areas.

One of the most affordable insulation options, making it ideal for budget-conscious homeowners and large-scale new construction projects.

Manufactured from recycled glass and sand, fiberglass is relatively eco-friendly. However, the production process does consume a moderate amount of energy.

Spray Foam Insulation

Spray foam insulation is a high-performance option that expands on application to fill wall cavities completely. It’s available in two types: open-cell and closed-cell, each offering distinct benefits.

Closed-cell spray foam offers one of the highest R-values per inch among commonly used insulation materials.

Requires professional installation due to the use of specialized equipment and the expertise needed to ensure a proper seal and even application.

Spray foam excels at sealing air leaks and filling irregular spaces, greatly enhancing thermal performance and air tightness. This air-sealing capability often leads to energy savings that go beyond its R-value alone.

Spray foam is one of the more expensive insulation options upfront. However, its superior performance can lead to significant long-term energy savings, especially in harsh climates like South Australia’s.

Blown-In Cellulose

Blown-in cellulose is a sustainable and cost-effective insulation material made primarily from recycled newspaper and other paper products. It’s a popular choice for homeowners looking to improve energy efficiency while minimizing environmental impact.

Typically R-3.5 to R-3.8 per inch, offering comparable performance to fiberglass and open-cell spray foam when properly installed.

Blown-in cellulose conforms well to irregular cavities, minimizing air gaps and improving thermal performance.
It also offers excellent soundproofing and reduces air infiltration when densely packed.

Generally more affordable than spray foam, but slightly more expensive than fiberglass batts, making it a balanced option for cost and performance.

One of the greenest insulation options on the market, cellulose is made from up to 85% recycled content and requires less energy to produce than most other insulation types.

Rigid Foam Board

Rigid foam board insulation is a durable and versatile option available in three primary types: Expanded Polystyrene (EPS), Extruded Polystyrene (XPS), and Polyisocyanurate (Polyiso). Each offers distinct advantages depending on your home’s insulation needs.

These values make foam boards some of the highest-performing rigid insulation materials available.

Mineral Wool (Rockwool)

Mineral wool—also known as rockwool or stone wool—is manufactured from natural basalt rock and recycled steel slag, offering a powerful combination of thermal performance, fire resistance, and soundproofing.

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