Turns out we could add a pellet stove into the mix that mounts into the wall. It’s the US Stove 2400. Puts out 24,000 btu/hr, plugs into a standard AC outlet and requires no chimney or vent pipe because it mounts in the wall so the back part is already outside! A check for $1,300 to NorthernTool.com and we’d be on our way!
If we did decide to do this it would be a good backup heat source, use local fuel and eventually when we got our wood stove we would be able to heat our home 100% fossil fuel free while we are home and only use the oil for backup heat!
It would probably make sense to do a unit like this in the living room before even considering upgrading our oil boiler or installing a wood stove.