How Much Does A 40 Gallon Water Heater Cost

2022 Cost to Replace a 40-Gallon Water Heater

Hot water heaters are an absolutely necessary component of any household. They are available in a variety of styles, techniques, and sizes to suit any residence, fuel type, or water requirement. With 3 to 4 persons in your home, a 40-gallon tank heater will be suitable for your water heating needs if your family has low-to-moderate water requirements. You want to be as near to your family’s demands as possible when installing tank-style heaters because they must keep water heated until it is needed.

The cost to install a 40-gallon tank water heater ranges from $750 to $2,000 on a national average basis, with the majority of consumers paying about $1,000 for a 40-gallon gas tank water heater that is a straight replacement for an existing type.

An expensive 40-gallon high-efficiency gas tank water heater needing adjustments in a difficult-to-reach place will set you back $3,000, according to the estimate.

40-Gallon Water Heater Cost Calculator

Water heaters with a capacity of 40 gallons can cover the hot water requirements of families with three to four persons and low-to-moderate hot water requirements. This unit size can be powered by an electric motor or by gas/propane. The latter is available in a variety of efficiencies, making them more expensive up front but less expensive to operate over time. These considerations, as well as the project’s location, whether it is ready for installation, and tank insulation, all have an influence on the ultimate cost.

40-Gallon Water Heater CostsZip CodeGallons
Basic Standard Best Quality
40-Gallon Water Heater Cost (Material Only) $300 – $500 $500 – $900 $1,000 – $1,500
40-Gallon Water Heater Installation Cost (Labor Only) $270 – $350 $400 – $600 $600 – $1,500
Total Costs $570 – $850 $900 – $1,500 $1,600 – $3,000
40-Gallon Water Heater Cost per Gallon $14.25 – $21.25 $22.50 – $37.50 $40.00 – $75.00

When it comes to purchasing and installing a hot water heater, electric models are the least expensive option. Long-term operation, on the other hand, is typically more expensive. Water heaters powered by natural gas or propane1 are more expensive to acquire, set up, and install, but they have reduced running expenses. Gas and propane heaters are also available in a variety of efficiency levels, allowing you to save even more money in the long run. The least expensive electric heater will be one that is put in an area that has already been wired.

The most expensive versions are high-efficiency types put in regions that require modifications to make them fit properly.

Additional Considerations and Costs

  • Manufacturers of repute. There are a plethora of hot water heater manufacturers to choose from. Bosch, Reliant, Rheem, and Bradford White are just a few of the most well-known names in the industry.
  • Lifespan. Water heaters should have a minimum lifespan of 10 to 15 years, while some may survive even longer than that. Maintenance. Water heater maintenance includes draining the tank on a regular basis to remove any sediment that may have accumulated on the bottom, as well as regular checks to ensure that it continues to operate as it should. Mounting. Tanks for 40-gallon hot water are large enough to be installed largely on the floor. It is uncommon to come across one of this size that can be wall-mounted
  • Piping. If you want more plumbing to connect the unit to the water supply, you may anticipate to pay $8 to $10 per linear foot of additional piping. Permit. In most regions, you do not need a permission to install a hot water heater, although this varies depending on where you live. If you are unsure whether a permission is necessary, always check with your local municipality


The cost of the device itself ranges from $300 to $1,500 on average. The typical cost of installation is between $750 and $2,000.

  • Is a 40-gallon water heater sufficient for a household of four people?

If your water consumption is little to moderate, then sure. If you have a high-performance shower or if you have a lot of water usage, you should consider upgrading.

  • A 40-gallon water heater has a life lifetime of around 15 years.

The majority of heaters have a lifespan of 10 to 15 years, with some lasting much longer.

  • When using a 40-gallon water heater, how many showers can you take at a time?

This is dependent on a number of things. Taking a shower with only one head consumes around 2 liters of water per minute on average. Considering that you will very certainly be mixing some cold water into your hot water, you may expect to take a single 40-minute shower, or perhaps two 20-minute showers, or four 10-minute showers before you run out of hot water.

Remodeling Terms Cheat Sheet

Definitions in layman’s words, cost considerations, illustrations, and other information you should be aware of. See the whole cheat sheet. 1Propane is a hydrocarbon gas that is commonly employed as a fuel source.

Average cost to install 40 gallon hot water heater

It is possible that your water heater is not the most expensive appliance in your home, but the mess it may generate when it breaks down might make it the most expensive item in your home. Thousands of water heaters are inspected annually by Comfort Heroes’ technicians. We find that many of the water heaters we evaluate are capable of being properly certified for an additional year of operation. Others, on the other hand, have rusted-out tanks, significant mineral deposits, depleted anode rods, and seized temperature and pressure safety relief valves, among other things.

“How long do water heaters typically last?” is a question we get asked a lot by our customers.

Generally speaking, a water heater will last around 7-8 years before it has to be replaced.

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Electric vs. Gas Water Heaters

When it comes to heating water, gas (either natural gas or propane) and electricity are two of the most common options. Natural gas water heaters typically operate at a cost that is approximately one-third that of an electric water heater. Although an electric water heater may be marginally less expensive than a gas water heater, the total cost of ownership is significantly greater due to the higher utility bills per BTU of heat produced by the electric water heater. This criterion is only broken when it comes to hybrid electric water heaters, which use a heat pump to provide energy efficiency that is comparable to that of a gas-style water heater.

Tank vs. Tankless Water Heaters

Natural gas (either natural gas or propane) and electricity are the two most common means of heating water. When compared to electric water heaters, natural gas water heaters tend to operate at a cost that is around a third less. Although an electric water heater may be marginally less expensive than a gas water heater, the total cost of ownership is significantly greater owing to the higher utility bills per BTU of heat generated by the electric water heater.

Except in the case of hybrid electric water heaters, which use a heat pump to achieve energy efficiency comparable to that of a gas-style water heater, this guideline is followed to the letter.

What Are Water Heater Code Upgrades?

You may need to make some “extra additions” to your new water heater, depending on when it was initially built and whether or not it meets the current plumbing code criteria. The 2015 Uniform Plumbing Code has been accepted by the City of Sioux Falls as the plumbing code to be followed. What this means is that if your water heater is old enough to require replacement, there is a good chance that it will also require upgrading to bring it up to current standards.

What are some of the most common code upgrades?

As your water heater heats the water, the amount of the water increases. In order to prevent the additional pressure from causing unnecessary wear and tear on the water heater and other fixtures in the home, the thermal expansion tank’s purpose is to absorb the extra water volume. It is possible that the cost of installing a new Thermal expansion tank will vary from $279 and $443.

Combustion Air

The National Fuel Gas Code specifies that gas appliances in an enclosed mechanical room must have a capacity of 50 cubic feet per 1,000 BTUs per hour. Therefore, if you have a mechanical room in your basement that contains a 40,000-BTU/hr water heater, an 80,000 BTU/hr furnace, and a 22,000-BTU/hr dryer, the mechanical room must be unobstructed, have 8-foot ceilings, and be at least 365 square feet. If the space is smaller than that, it will be necessary to bring in fresh air from outside the room in order for the gas to properly burn in the equipment and not cause a fire.

It is possible to spend between $279 and $689 to install a new combustion air intake system.

B Venting

The National Fuel Gas Code specifies that gas appliances in an enclosed mechanical room must have a capacity of 50 cubic feet per 1,000 BTUs per hour or more of heat output. If you have three large appliances in your basement, one of which is a 40,000 BTU/hr water heater, the other two of which are an 80,000 and a 22,000 BTU/hr dryer, the space must be unobstructed, with 8 foot ceilings and at least 365 square feet in size. It will be necessary to bring in fresh air from outside the chamber if the room is any smaller than this in order for the gas to fully burn within the apparatus.

It is possible to spend between $279 and $689 to install a new combustion air intake.

Gas Valve, Drip Leg, Union

With the installation of a new water heater, the gas piping must also be brought up to code. A gas shut off valve, drip leg, and union must all be present in order for this to be true. The gas valve’s primary function is to shut off the flow of gas in the case of a leak or future replacements of the valve. Water, mud, silt, pipe dope, and other contaminants that may make their way through the gas lines to the appliance are caught by the drip leg, which serves a protective function.

The union makes it easy to provide service to the system. According to the code, the cost of replacing the gas cock and water heater gas supply is $259 (plus tax).

Shut Off Valve –

Installing a new water heater home shut off valve at the same time as replacing a water heater is a great idea. A valve to cut off the water is not only required by code, but it is also quite useful in the event of a leaking water heater or other emergency. Modern ball valves are also far more dependable than earlier globe design valves, which are still in use today. The cost of installing a new water heater shut off valve ranges from $128 to $279.

Average Cost of A Water Heater Installation

As previously said, it is hard to provide an accurate estimate of the cost of an HVAC system without taking the size, design, and layout of the system into consideration. We can, however, get a good idea of where we’re going.

  • A tank style water heater will cost between $1,150 and $2,300
  • A tankless water heater will cost between $4,200 and $12,000 for a domestic hot water system
  • And a tankless water heater will cost between $1,150 and $2,300.

It is reasonable to expect a wide range of expenses for new water heaters as well as code upgrades. This is due to the wide variety of differences between homes and sizes, as well as the fact that what your home may require is not always what your neighbor’s house requires.

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If you believe you may require a new water heater or an infinite hot water tankless system, contact our team and one of our registered service specialists will come to your home to assess the situation. We can determine what type of water heater you require and go through all of the many options available to you in order to construct the most appropriate system for your family and your budget needs.

About Comfort Heroes

Alan Gentry launched Comfort Heroes, LLC in 2014, and the company has an A+ rating with the Better Business Bureau. In his mind, he wanted to create a home service firm that consumers could come to for virtually any problem that they would have as a homeowner. As a result of this expansion, Comfort Heroes now provides plumbing, heating and cooling services in addition to sewer and drain cleaning and remodeling and insulation. More information may be obtained by calling (605) 656-5737 or by visiting

Water Heater Installation Cost Guide (2022)

Alan Gentry launched Comfort Heroes, LLC in 2014, which has an A+ rating with the Better Business Bureau. In his mind, he wanted to create a home service firm that customers could turn to for virtually any problem they may have as a homeowner. Since then, Comfort Heroes has expanded its services to include plumbing, heating, cooling, sewage, drain, renovation, and insulation. If you want further information, please contact (605) 656-5737 or go to

Tank vs. Tankless Water Heater Costs

In terms of water heaters, the tank and tankless water heaters are two of the most popular options available.

Tank Water Heaters

Storage tank water heaters are a popular alternative for households because they can keep and heat large amounts of water on a continuous basis. Water heaters are often situated out of sight, in a garage, basement, or utility closet, among other places. Tank water heaters generally utilize electricity or natural gas to heat the water they produce. The installation of a storage tank water heater is less difficult than the installation of a tankless water heater, needing just roughly three hours of effort.

Tank heaters, although being a more inexpensive choice, are less energy-efficient due to the fact that they must operate continuously in order to maintain the target tank temperature. In turn, these tanks have higher utility costs and a shorter lifespan as a result of their design.

Tankless Water Heaters

Tankless water heaters function by heating water only when it is required. The technology heats the water pipe with either a gas burner or electricity, allowing it to furnish water on demand. A tankless device, like a hot water storage tank, can be kept in a basement or utility closet for easy access. Tankless heaters are less bulky than tank units and may be placed on the wall of a bathroom or bedroom, for example. Tankless water heaters are more expensive to purchase up front than tank water heaters, with prices ranging from $1,200 to $3,500 for homes.

Electric tankless heaters will require the installation of brand new electrical wiring.

Furthermore, these water heaters have a longer longevity, with an average lifespan of around 20 years.

Gas vs. Electric Water Heater Costs

Tankless and tank water heaters are both available in gas and electric variants, with each offering its own set of advantages and disadvantages to homes.

Electric Water Heaters

An electric tank is less expensive to purchase and install than a gas tank, with a household 50-gallon tank water heater costing roughly $500 to purchase and put in place. The overall cost of operation on a monthly basis, on the other hand, is typically more than the cost of operating a gas heater. Because there is a lower danger of a leak or combustion with this heat source than with gas, it is regarded to be safer than gas. The disadvantage of using an electric heater, which is more ecologically friendly, is that if the power goes out, so does the hot water.

Gas Water Heaters

Gas heaters are more expensive to acquire, with a 50-gallon tank costing around $700. The operating costs of these heaters, on the other hand, are less expensive than those of an electric type. Despite the fact that natural gas is more likely to combust or leak, a gas-powered water heater produces hot water without the use of electricity. The most significant disadvantage of using a gas water heater is the harm it causes to the environment via the release of carbon dioxide. More information may be found at: How to Choose the Most Appropriate Water Heater Warranty

Energy-Efficient Storage Tank Water Heater Costs

If you want to be more ecologically concerned, you might consider purchasing one of these energy-efficient water heaters instead.

Solar Water Tank Heaters

Natural sunlight is used to heat the water in these water heaters. A solar water heater system is made up of two parts: a storage tank that retains water and solar collectors that produce heat. In most cases, a solar water heater will rely on a standard water tank in the event of a power failure. Active solar water tank systems and passive solar water tank systems are the two main types of solar water tank systems. An active system provides water to residences through the use of a pump, whereas a passive system circulates water around the home through the use of natural convection.

For a passive system, homeowners may expect to pay roughly $2,000, while an active system would cost around $3,000. The increased expense is due to the considerable amount of labor required as well as the requirement for a backup water heater.

Indirect Water Heaters

Heat is provided to the tank by an existing furnace or boiler, which is powered by the energy from the furnace or boiler. The water from the boiler is cycled into the tank’s coils, where it is heated by the water contained within. This water heater style is energy efficient, as it relies on heat generated by a boiler or furnace to heat the water. Although the monthly cost of an indirect water heater is low, the initial purchase and water heater installation costs are more than those of traditional heaters, and are around $1,500 in comparison to the latter.

Signs of a Failing Water Heater

You should be on the lookout for warning indicators (such as the ones listed below) that indicate that you need to replace your water heater if you already have one on your property. You may also avoid these problems by keeping your system in good working order using items from reputed firms such as Corro-Protec.

  • Water that is discolored or has an unusual flavor
  • It is possible to have water that takes longer to heat than usual or does not heat at all. Noises originating from your water heater that are loud or unusual
  • Leaks
  • A hot water heating system that has been in operation for more than 15 years

Selecting Your Water Heater

Unusual-tasting or discolored water, for example; A pot of water that takes significantly longer to heat than usual, if it ever heats; Noises from your water heater that are loud or unusual; Leaks; A hot water heating system that has been in operation for more than 15 years

  • Prior to purchasing a water heater for your house, examine whether or not the required fuel type is readily available. For example, if you’re considering a natural gas water heater, ensure sure your home already has or is capable of receiving a natural gas connection before proceeding. Household size and number of people in your house should be taken into consideration when purchasing a gas tank. Size of your home— For example, a family of two people need a 30–40 gallon tank, but a household of four people requires a 50–60 gallon tank. Savings on both costs and energy— Consider the price of each water heater as well as the cost of the fuel it uses. However, while certain heaters may be more expensive up front, their energy efficiency may allow you to save money in the long term.

When You Should Call a Plumbing Professional

It is suggested that you contact a professional if your water heater is showing symptoms of wear or if it has abruptly failed. Despite the fact that you may opt to replace a water heater as one of your home improvement projects, the intensive work and extensive expertise required to install a system make water heater repairs and replacement a job that is best left to a professional plumber.

Frequently Asked Questions About Water Heaters

After installation, a gas heater will take around 40 minutes to reach full temperature, but an electric heater may take an hour or longer. The length of time it takes for the heater to begin supplying hot water to your house is also dependent on the size and kind of water heater you have.

How many hours a day does a water heater run?

The size, style, and fuel source of a water heater all influence how long it will operate. A tankless water heater typically runs for around an hour per day, but a tank water heater may run for four hours or more each day. Immediately contact a licensed plumber if you find that your water heater is operating more frequently than normal. The plumber will evaluate your heater for any faults.

How much does it cost to replace a 50-gallon water heater?

For an electric water heater of the same size, the cost is around $1,000, while a natural gas water heater of the same capacity is approximately $1,200. Send an email to our Reviews Team if you have any comments or questions regarding this post.

How Much Does Water Heater Installation Cost?

Water heaters are one of the most often used household appliances in households all over the world, especially in developing countries. In the winter, having a running water heater is nothing short of a gift. When planning a water heater installation project, one of the factors to take into consideration is the cost of the installation. It costs $400 to $900 to install a 40-50 gallon water heater with a tank, depending on the size of the unit. The cost of installing a tankless water heater typically ranges between $1,470 and $2,500 in most cases.

When it comes to the entire cost of owning a water heater, a variety of elements must be considered, including the number of people who will be using the heater, running expenditures, and any renovation that has been done in the home.

Tank vs. Tankless Systems

Even though some plumbing contractors in Alpharetta feel that tankless heaters are more energy efficient than traditional heaters, many people believe that they are not as advantageous as they are promoted. A tankless water heater might cost as much as $2500 to install, depending on the model. A tank water heater is reasonably affordable (up to $900 installed), and it can be installed quickly. Tankless systems are quite tough to keep up to date. Despite the fact that homes that utilize these systems claim savings of $70-$80 per year, it takes such households several years to recuperate the difference in the original investment.

These heaters are generally simple to maintain, and they offer hot water more rapidly than their tankless counterparts, saving you time and money.


Plumbers often bill between $45 and $65 per hour. In most circumstances, a plumber can complete the installation of a water heater in a single day (6-8 hours). You should anticipate to pay anything from $270 and $520 for this service. Water heaters that are difficult to access may require an additional 2 to 3 hours of installation time.

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Type of Water Heater

Natural gas water heaters, propane water heaters, electric water heaters, and solar water heater systems are some of the most common types of water heater systems available on the market. Natural gas systems are well-known for being affordable ($500-$700 per system). For a natural gas water heater replacement in Alpharetta, you should budget between $400 and $550 dollars. Installing a new natural gas water heater system can cost you between $1,500 and $2,300 on average, depending on your location.

Although the average cost of installing an electric water heater is between $350 and $450, the initial cost might reach $500 if the installation is complicated due to structural issues.

Additional Considerations

If you wish to replace an old water heater, you should budget an additional $500 to the entire cost. Purchasing new piping will be necessary if your existing water heater pipe is broken or not compatible with the new system. New piping will cost between $8 and $10 per linear foot. Check with your plumbing contractor in Alpharetta to see whether you are required to obtain permits for a new water heater installation. Fletch Barney is the final stop in your hunt for a plumbing specialist. We have earned a reputation as one of the most dependable plumbing companies in Alpharetta.

Call us at 770-333-3031 if you’d like to speak with a professional about your project.

Hot Water Heater Costs & Installation Prices

The average cost of purchasing a water heater is $1,190 dollars. Get quotations from as many as three professionals! Enter your zip code below to get matched with top-rated professionals in your area. Water heater installation, often known as hot water heater installation or just water heater installation, is one of the most popular (and vital!) house modifications.

Hot water heater replacement costs can range from $810 to $1,570, and the cost is determined by whether you are performing a straightforward one-for-one exchange or a more involved upgrade to a tankless system.

How Much Does It Cost to Buy a Hot Water Heater?

Hot water heaters are crucial components of any household, whether you’re washing linens in hot water or resting in a nice bubble bath. When estimating the cost of replacing a water heater, consider the cost of the unit itself, as well as the time it will take your pros to install the unit. Water heaters range in price from $300 to $2,000 for the device alone, with labor costs ranging from $45 to $150 per hour. If the plumber does not need to make any changes to the system, such as switching from an electric to a gas system, the installation visit should take no more than two to three hours on average.

The Average Cost of Hot Water Heaters With Installation

  • 900 dollars for a 40- to 50-gallon tank
  • 3,000 dollars for a tankless system

Additional Hot Water Heater Costs

Assuming all goes smoothly, all you’ll need is a simple water heater exchange—out with the old, in with the new. Some households, however, will require additional services in order to complete the changeover appropriately. The requirements for residential water heaters change from time to time, necessitating frequent modifications. But try not to be concerned about these code upgrades; they are strictly for safety reasons. Your plumber will inform you of the code requirements (and may direct you to other local specialists such as an electrician), which is especially important if you want to convert from a gas to an electric water heater or if you want to relocate the water heater.

  • Electricians charge between $50 and $100 per hour
  • Additional wiring costs between $550 and $2,200
  • New gas lines cost between $250 and $800
  • New water lines cost between $350 and $1,900
  • Required permits cost between $100 and $1,500
  • Wall framing costs between $200 and $400
  • Drywall installation costs between $1,000 and $2,900
  • Water heater removal costs between $100 and $500

How Much Does It Cost to Buy a Hot Water Heater Near You?

Hot water heaters are high on the list of must-have items for each household! Americans pay various prices for their long, hot showers depending on where they live:

The City or State Average Cost Range

  • $750–$1,250
  • Dallas:$950–$1,675
  • Denver:$985–$1,900
  • Houston:$950–$1,600
  • Minneapolis:$715–$1,300
  • San Diego:$935–$1,600
  • San Francisco:$1,050–$1,850
  • Seattle:$1,050–$1,700
  • Atlanta:$775–$1,350
  • Austin, TX:$850–$1,650
  • Atlantic City, N.J.:$1,129

How Much Does It Cost to Buy a Hot Water Heater by Type?

$750–$1,250; Dallas:$950–$1,675; Denver:$985–$1,900; Houston:$950–$1,600; Minneapolis:$715–$1,300; San Diego:$935–$1,600; San Francisco:$1,050–$1,850; Seattle:$1,050–$1,700; Atlanta:$775–$1,350; Austin, TX:$850–$1,650; Atlantic City, N.J.:$1,130

Gas Water Heater Costs vs. Electric Water Heater Costs

Natural gas units, on average, cost $100 to $200 more than electric units and operate at a lower efficiency than electric units. However, if your city’s electric rates are high, the gas alternative will be a more cost-effective option in the long run. In an apartment or a compact area, electric water heaters (both tank and tankless) are the most efficient option since they do not require various types of venting.

Gas Water Heater

  • Over a 12-year period, the cost is $5,000. The device ranges in price from $250 to $1,800.

Electric Water Heater

  • A total of $5,000 will be spent during a 12-year period. Approximately $250–1,800 for the unit
Type Cost
Gas Water Heater $250 – $1,800
Electric Water Heater $200 – $2,880

Average Cost of a High-Efficiency Water Heater

Despite the fact that you use your water heater on a regular basis, you may not be aware that it is the second-highest source of energy usage in your house (an HVAC ranks first). Investing in a high-efficiency water heater is both a cost-effective and ecologically responsible decision. High-efficiency water heaters typically cost between $1,000 and $3,000, including the equipment and installation labor. Their energy efficiency ranges from 100 percent to 300 percent more than that of typical water heaters, and they include features such as high-quality insulation, plastic tanks, and sophisticated controls that detect leaks.

Tankless Hot Water Heater Costs

If you decide that the expense of a tankless water heater is a suitable long-term investment, you’ll spend more up front (about $1,000 to $3,000), but you’ll make up for it in energy savings during the heater’s 20-year life span. Tankless heaters have an additional benefit: they provide on-demand hot water with no waiting time, which is ideal after a chilly day of skiing. But keep in mind that this is not a do-it-yourself job. Because of the gas lines, electrical, and venting involved, it is advisable to leave the installation of a tankless water heater to local experienced installers.

A reasonably easy activity that will assist to extend the life of your heater while also ensuring that your warranty is not canceled.

Tankless heaters are extremely energy efficient, but they are also quite prone to damage if they are not properly maintained. Make sure you speak with your heating contractor about establishing a preventative maintenance schedule for your heater.”

Solar Water Heater Costs

You’ll see a solar water system on any “off the grid” home-building show if you pay attention. The owners save money over time as a result of this technology, although the initial investment is substantial. It costs between $1,800 and $5,500 to install a solar water heater; however, the price can rise to as much as $13,000 depending on the product, installation fees, maintenance expenses, and the availability of a qualified contractor.

Hybrid Heat Pump Water Heaters Costs

If you don’t care about saving space or money, a hybrid heat pump water heater is the best option for your home. This is the most costly choice, with prices ranging from $1,200 to $3,500. However, hybrid water heaters are the most energy-efficient, thus they are the most expensive. However, small dwellings (sorry, tiny-house people) are not the ideal prospects since the water heater requires 7 feet of space from the floor to the ceiling, as well as 1,000 cubic feet of surrounding air to function properly.

Indirect Water Heater Installation Costs

An electric hybrid heat pump water heater is the best option if you aren’t concerned with saving space or cutting costs. The most expensive choice is the hybrid water heater, which costs between $1,200 and $3,500. Hybrid water heaters are the most energy-efficient of the options available. However, small dwellings (sorry, tiny-house people) aren’t the ideal prospects since the water heater requires 7 feet of space from the floor to the ceiling, as well as 1,000 cubic feet of surrounding air to operate effectively.

Type Cost
High-Efficiency Hot Water Heater $1,000 – $3,000
Tankless Hot Water Heater $1,000 – $3,000
Solar Water Heater $1,800 – $13,000
Hybrid Heat Pump Water Heater $1,200 – $3,500
Indirect Water Heater $800 – $1,500

What Factors Influence the Cost of a Hot Water Heater?

Hot water heaters require a lot of space in order to function properly. If you’ve been thinking about having a yard sale to clear out the basement, there’s no better time than now to do it in order to create way for an upgraded water heater. The gallon size is another element that determines the cost of the unit and the installation.

Location of the Hot Water Heater

Most homeowners purchase a new water heater only after their current one fails, and this usually occurs at an inconvenient time—for example, when you have houseguests who love hot showers. A hot water heater upgrade or a relocation of your hot water heater is most likely in order. The position of the hot water heater might be changed by homeowners in order to conserve space or make way for additional changes. If you choose for a tankless unit, the position of the installation may be altered as well.

Water Heater Sizes

The simplest way to determine what size water heater you’ll need is to count the number of people who live in your home. Calculate your first-hour rating (FHR), also known as peak hot water demand, as well as the recovery rate of your tank to become more specific. As an illustration: Gallons consumed in one hour using the function XPeak Use during one hour = Gallons consumed in one hour Showering for 10 gallons on average each hour multiplied by three hours is 30 gallons.

Tank Water Heater Measured by Gallons

  • The simplest way to determine what size water heater you’ll need is to count how many people live in your home. Calculate your first-hour rating (FHR), also known as peak hot water demand, as well as the recovery rate of your tank to get down to the facts. As an illustration, consider: Gallons consumed in one hour according to the function XPeak Use during one hour 10 gallon average shower volume multiplied by three showers per hour Equals 30 gallon average shower volume.

Tankless Water Heaters Measured by Gallons Per Minute

  • For one individual, 20–30 gallons of water will be used in 2–3 minutes. 2–3 people: 30–40 gallons in 3–5 minutes
  • 4–5 people: 40–50 gallons in 4–6 minutes
  • 6+ people: 55 gallons in 5–6 minutes

Getty Images photo by brizmaker from the iStock collection.

FAQs About Water Heater Costs

Even though most people wait until the last minute, you should consider purchasing a hot water heater if you begin to see the telltale indications of approaching failure. Keep in mind that the lifespan of a normal tank water heater is eight to twelve years, depending on the model. Here are a few red flags to look out for:

  • Metallic aftertaste water that is rusty or stained
  • Water does not heat sufficiently, but just warms
  • Pops and cracks that make a lot of noise
  • Leaks

How can I extend the life of my water heater?

The longevity of a tank-type heater is determined by the anode rod that is put within the tank. This rod is intended to attract corrosive substances and pull them away from the metal components of the tank’s metal components. Anode rods have a lifespan of around five years. Replacing the anode every three to four years may effectively double the tank’s lifespan, effectively doubling it practically indefinitely. In addition, the anode rod is one of the least costly changeable elements of a heater (costing on average approximately $30).

See also:  How Often To Change Pelican Water Filter?

How do I find a professional to install my hot water heater?

The sort of unit that your home requires is something you’re looking for in a trained, local, and licensed plumber with expertise installing that type of unit. Not every contractor or plumber have the necessary expertise to install these systems. Consult with each professional to determine whether they have previous experience dealing with your particular scenario, particularly if you want skills for an electric to gas conversion or a complex tankless or solar heating system.

How Much Does It Cost to Replace a Water Heater?

The good news is that, with any luck, you will not have to replace your water heater for at least a decade after this. In light of this, we believe the bad news is rather obvious: Please accept our apologies for informing you that your outdated water heater will no longer be able to provide you with additional time. It is past due for a complete overhaul. It is natural for you to ask yourself, “How much will this cost me?”. And, of course, we have the solution to your question. This Might Also Be of Interest to You: If the hot water runs out while you’re in the shower, what should you do?

  • The purchase price of the unit itself
  • Materials needed for the installation. Plumbing services provided by a qualified plumber
  • Permits for the installation of equipment
  • The current condition of your plumbing system
  • You should consider the placement of your pipes. It is optional for us to remove your old unit. Whether you want to install a water heater in a new location or relocate an existing one, we can help. If you want to make the switch from electric to gas, or from tank to tankless, you’ll need to rewire your home or install a gas line, among other things. Anything else that adds to the amount of hours it takes to finish the project is prohibited.

According to research from HomeServe, the national average cost to replace a water heater is more than $1,700 on average. Keep in mind that your selected contractor will almost definitely charge you an additional hundred dollars or so for a diagnosis fee, which will be charged regardless of what you decide to do when he or she comes to your home and determines the nature of the problem. The type of water heater you choose to install has the greatest impact on the cost of water heater replacement.

  1. Additional costs, such as a new drain pan, seismic strapping, or exhaust venting, might add several hundred dollars to the total cost of the project.
  2. For example: The total cost of a similar-sized property in Kentucky might be as little as 1,300 dollars, while a homeowner in Idaho may pay about two thousand dollars for the same-sized unit.
  3. Check out our cost guide for a more in-depth look at water heater price, which includes national and state-specific pricing averages for both repair and replacement.
  4. Everything you see here is based on aggregated HomeServe data provided by a nationwide network of contractors totaling thousands of employees.

Also keep in mind that the regional averages shown below should be interpreted as referring to conventional “tanked” models — the most prevalent kind — as opposed to tankless or “on-demand” types, which can cost up to twice as much as conventional “tanked” models.

National Average Job Cost for Water Heater Diagnoses and Replacement

  • Insufficient data is the diagnosis
  • Insufficient data is the replacement.

3. Arizona

  • There is insufficient data for a diagnosis
  • Thus, there is no replacement.

4. Arkansas

  • Insufficient data was the diagnosis
  • Insufficient data was the replacement.

13. Idaho

  • Diagnosis: insufficient data
  • Replacement: insufficient data

21. Maryland

  • Insufficient data is the diagnosis
  • Insufficient data is the replacement.

47. Virginia

Additional Related Articles:

  • Do not forget to flush your hot water heater! How to Maintain a Hot Water Heater
  • Don’t Forget to Flush! The following is a 6-Step Guide for Flushing Your Gas or Electric Water Heater: There are several different types of hot water heating systems. The following are the costs of installing a water heater: What’s the difference between a tank and a tankless system? Determine whether or not a tankless water heater is appropriate for your home. What is a Smart Water Heater and how does it work?

Water Heater Price Ranges by Type

  • Natural gas tankless water heaters range in price from $4,211.67 (7.5 gallons per minute) to $4,703.04 (9.4 gallons per minute)
  • Tankless water heaters range in price from $3,743,85 (7.5 gallons per minute) to $4,404.52 (9.4 gallons per minute)
  • Electric water heaters range in price from $928.20 (30 gallons) to $1,327.86 (80 gallons)
  • Propane water heaters range in price

Additional Expenses Contributing to Water Heater Replacement Costs

  • Expansion tank:$118.60
  • Water heater stand or platform:$151.61
  • Drain pan:$94.04
  • Earthquake strapping:$129.26
  • Exhaust venting:$114.77
  • Expansion tank:$118.60

What Goes Into the Price You Pay for Installation?

As you can see, the unit itself is the most expensive component of a water heater. However, while determining total expenditures, it is important to take into consideration the cost of installation. The price of components such as pipe fittings, the cost of permits, and the cost of labor will all be included in the installation expenses for a water heater replacement project. When purchasing supplies such as pipe fittings, valves, and connections, expect to pay an additional $8 to $10 per foot in addition to the base price.

Some jurisdictions may not require a permission at all, but others may charge a cost of up to a few hundred dollars to get a permit for the installation of solar panels.

While a plumber is installing your heater, you should expect to pay between $45 and $150 per hour.

Which Water Heater Brands Cost the Most to Install?

Varying manufacturers charge different costs for their heaters, although some brands may design heaters that are more powerful than others. The brands you choose should be ones that offer a good combination of cost, dependability, and durability; this is especially true when it comes to electronics. Consumer Reports has awarded good ratings to A.O. Smith, Rheem, Whirlpool, GE, and Kenmore, among other brands of appliances.

  • Rheemhas a reputation for being a company that allows you to save money, with tank water heaters ranging in price from $400 to $2,300. A.O. Smithheaters are comparable in performance, however they may cost up to $3,500
  • Noritz appeals to people who are looking for a more affordable tankless water heater, with units starting as low as $515 on Amazon. Tankless heaters from the Rinnai brand, on the other hand, may cost anywhere from $900 to $1,995 depending on the model.

Are Energy-Efficient Models Worth It?

While attempting to determine water heater pricing, many homeowners question if it is really necessary to consider energy efficiency when making their decision. Most energy-efficient versions will be a bit more expensive than normal ones, but they will promise to make up for that difference in price through lower monthly utility expenses. If you want to know if an energy-efficient model is worth the investment, you should compare its yearly operating expenditures to the operating expenses of cheaper, non-energy-efficient versions that are less expensive.

In general, the amount of money you save will be determined by factors such as your local energy costs and the level of energy efficiency.

The use of a high-efficiency tankless water heater might result in even greater savings, ranging from 45 percent to 60 percent.

How Long Before You Need to Replace Your Water Heater Again?

When estimating overall water heater expenses, it’s beneficial to consider the product’s typical lifespan, which may be found on the manufacturer’s website. The standard hot water heater tank has an expected lifespan of eight to twelve years. Meanwhile, the average tankless water heater has a lifespan of 15 to 18 years on average.

Because tankless water heaters do not corrode as much as traditional water heaters, they last far longer. Due to the tank’s extended life duration, you may discover that paying a greater price up front results in a cheaper cost per gallon over the course of the tank’s whole life cycle.

Signs of Trouble (and How to Avoid Them)

The following are examples of warning indications that your water heater is about to fail:

  • The tank is emitting banging or rumbling noises. Water that is hot and appears red or yellow
  • Energy bills that are unusually high
  • A abrupt drop in the temperature of the hot water
  • Leaking from the tank’s perimeter

Maintaining your hot water tank on a regular basis, such as flushing it and changing the sacrificial anode rod, can help it survive as long as possible. If you discover any difficulties with your water heater, contact a water heater repair service right enough to avoid more damage. With a little regular maintenance on your tank, you can avoid having to pay for water heater replacement prices any more frequently than is really required in most cases.

Homewyse Calculator: Cost to Replace Hot Water Heater

January in the next year, 2022

Itemdetails Qty Low High
Water Heater CostNon-discounted retail pricing for: 40 gallon gas water heater. Tank type with 40,000 BTU rating. 9 yr warranty. 1 heater $667.56 $750.48
Hot Water Heater Replacement Labor, BasicBasic labor to replace hot water heater with favorable site conditions. Replace tank type gas water heater. Drain and dispose of existing unit. Secure new unit and install with new connection kit. Includes planning, equipment and material acquisition, area preparation and protection, setup and cleanup. 1 heater $667.56 $750.48
Hot Water Heater Replacement Job SuppliesCost of related materials and supplies typically required to replace hot water heater including: connectors, fittings and mounting hardware. 1 heater $667.56 $750.48
Water Heater Debris DisposalCosts to load and haul away old materials, installation waste and associated debris. 1 heater 17.7188 20.1563
Unused Minimum LaborBalance of 2 hr(s) minimum labor charge that can be applied to other tasks.
Totals – Cost To Replace Hot Water Heater
Average Cost per Heater

Custom Calculators with Homewyse Lists

Service Professionals: develop a reusable estimating software that is completely tailored to your company’s needs and procedures. Make use of one of the templates provided or create your own (both are free; account registration is required): The cost to Replace a Hot Water Heater for a typical job in zip code 47474 with one heater ranges from $1,289 to $1,497 per heater. Job size, circumstances, and alternatives will all have an impact on final prices. To get an idea of how much your project will cost, do the following: Set the zip code for the project in step one.


The number of “things” necessary for the project should be entered here.

RecalculateClick on the “Update” button to restart the calculation.

Unit Costs: How Pros Price

Instead of publishing prices from unrelated tasks in the past, Homewyse produces up-to-date estimates based on currentUnit Costs, as opposed to other websites. Due to the use of location, information, and alternatives tailored to the specific requirements of each work, the Unit Costmethod provides great accuracy. Businesses in the construction, commerce, design, and maintenance industries rely on the Unit Costmethod for transparency, accuracy, and equitable profitability.

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