How Much Install Tankless Water Heater? - ERNIEGRAVES

How Much Does It Cost to Install a Water Heater? (2022 Price Guide)

We rely on water heaters to supply warm and hot water to every indoor faucet in our houses, making them a necessary household item.Although the appliance itself is usually very pricey, don’t forget to factor in the cost of installation as well when making your budget.Multiple factors influence the price of a new water heater installation project.Installing a water heater in 2021 will typically cost between 1,000 and 3,000 dollars, depending on the type of unit.

That isn’t inexpensive at all!
Fortunately, you have some wiggle space in terms of what features you want to include in your water heater installation, depending on your preferences.
It is possible for you to go through our guide and determine which features are most essential to you and how they affect the cost of your water heater installation, both positively and negatively.

Tank or Tankless water heater?

There are two types of water heaters that you may have placed in your home: a large tank water heater and a smaller tankless water heater. A large tank water heater is the most common form of water heater. What you pick will decide how much money you pay up front and how much money you wind up saving in the end.

Tank Water Heaters

Essentially, a tank water heater works by heating a big 20- to 80-gallon tank full of water that can be distributed throughout your home.They may be powered by either natural gas or electric power.This is the less expensive of the two primary types of water heaters to purchase up front; however, they can wind up being more expensive if they require repair or maintenance later down the road.The cost of installing a tank water heater is between $1,300 and $2,000.

Tankless Water Heaters

It’s also referred to as an on-demand water heater because it’s placed on your wall and warms water just when you need it.It may be powered by either natural gas or electric power.As soon as you switch on the hot water portion of your home’s faucet, the tankless water heater will begin to heat the water you require for consumption.As a result, there is no reservoir with hot water already in it, which is considered to be preferable for environmental reasons.

From $1,200 to $5,000 will be required for the installation of a tankless water heater.

Factors That Influence Water Heater Installation Cost

Regardless of whether you go for a tank or a tankless water heater, you will still need to take a few other factors into account when determining how much the installation procedure will cost you.

Tank Size

Water heaters in tanks are the only ones that are affected by this aspect. What amount of tank do you require for your household? A larger water tank will be more expensive to purchase than a smaller one.

Gas vs Electric Water Heaters

Consider the source of energy that will be used to power your water heater. Although electric water heaters are less expensive to install than gas water heaters, gas water heaters are less expensive to operate. There are hybrid variants available from some manufacturers, which can be fueled by either gas or electricity. These are the most costly varieties available.

Energy Efficiency

The majority of water heaters will be labeled with an energy efficiency rating. The lower the rating, the more sophisticated the technology in the water heater, and hence the higher the cost of the water heater. Although these more energy-efficient water heater tanks may cost you more money initially, they will save you money over time.

Permits

When installing a new water heater, you may be needed to get a permission from your local government. Check your local city’s website to discover if this is the case in your area, and to learn how much these permits will cost you if it is.

Removal of Old Water Heater

In advance, find out whether your water heater installation will also remove your old water heater and whether they will charge you an additional fee for this service, if applicable.

Renovation of Space for New Water Heater

There are various factors to consider in this situation.If you are purchasing a gas water heater but your previous water heater was electric, would you be required to relocate gas lines in your home?What is the best location for the water heater in order to be close to the existing gas lines?Will you have to relocate other equipment, such as the furnace or the washing machine, in order to install the new heater?

Your plumbing system in your home is in good working order, right?
All of these elements contribute to the final cost of your installation.

Warranties

Examine the warranty that comes with your new water heater. If you want a warranty that is longer than the one that comes with the device, you will have to pay extra for it. This will very certainly be available at the place where you purchased the water heater.

Regional Costs

According on where you reside in the country, the cost of installation will either increase or decrease. For example, the New Jersey Metro region is one of the most affordable areas to have a tankless water heater installed, but the Pacific North is one of the most costly places to have a tank water heater put in the country.

Professional Installation

It goes without saying that hiring a professional to install your water heater will be more expensive than doing it yourself. You may, on the other hand, enjoy piece of mind knowing that your water heater is being installed professionally by a professional.

Conclusion

A new water heater is an investment in your house that will provide you with service for several years to come. Although it is expensive, you now understand all of the many aspects that influence the final installation cost. Hopefully, you now have a better understanding of which elements are most essential to you and which areas you may save money by skipping. Related articles include: Cold vs Hot Water Pressure Washing & Which Should You Choose?, 6 Different Types of Water Heaters Explained (with Pictures), and 6 Different Types of Water Heaters Explained (with Pictures).
What Is the Difference Between Cold and Hot Water Pressure Washing?

Credit for the featured image goes to Narah of Shutterstock.

How Much Does Tankless Water Heater Cost? (Prices for Gas & Electric)

You’ve weighed your choices and determined that investing in a tankless water heater is preferable to continuing to use a conventional tank water heater.In order to make a final selection, all you need to know right now is how much your water heater will actually cost you.This is critical since the purchase price of the water heater is only one of a number of expenditures that must be considered.We will go through everything you need to consider in order to calculate the true cost of a water heater, from the purchase to the installation and regular upkeep and maintenance costs.

Tankless Water Heater Cost Comparison Chart


Type of Cost	Tankless Gas Water Heater	Tankless Electric Water Heater
Purchase Cost	$1,000 to $1,200	$500 to $700
Installation Cost	$1,750 to $2,000	Up to $1,300
Maintenance Cost	$45 to $130 yearly	$45 to $130 on occasion
Lifetime Energy Costs* for Condo	$1,400	$2,700
Lifetime Energy Costs* for Average Home	$1,600	$3,300
Lifetime Energy Costs* for Large Home	$1,900	$3,800

*Lifetime energy expenses are based on the assumption that your tankless water heater will survive for at least twenty years.

Tankless Gas Water Heater Cost Breakdown

There is no definitive answer to the question ″How much does a tankless water heater cost,″ as you can see from the chart above.When comparing the pricing of tankless water heaters, there are some significant discrepancies between gas and electric models.It is necessary to consider the costs of installation, maintenance, and energy consumption in addition to the cost of the equipment itself.Aside from that, the latter varies depending on whether you reside in a condominium, an average-sized home, or a large property.

Let’s take a deeper look at each of these expenditures associated with a gas tankless water heater in more detail.

Prices of Hot Water Heaters (Gas)

You should expect to pay at least $1,000 for a high-quality gas tankless water heater of this type.For a system with electrical ignition, the cost is closer to $1,200 per system installed.Because these models do not have a pilot light, you will realize even larger energy savings over the course of their lifetime.The typical cost of a gas tankless heater is between $1,000 and $1,200 dollars.

Gas Tankless Water Heater Installation Cost

Gas tankless water heater installation costs vary substantially depending on your present house arrangement, but it is generally pretty expensive regardless of your requirements.Regardless of the situation, you’ll need to hire a qualified plumber to complete the installation because it’s far too complicated (and perhaps dangerous) to do it yourself.The following are all of the various installation tasks that you may be required to do in order to install a new gas unit:

Venting

If you want to place your heater indoors, you’ll need to make sure you have enough ventilation to get the heat out to the fresh air. This will prevent dangerous gases from being emitted into your residence. A category II stainless steel pipe connected with tightly-sealed silicon joints will be required for the work.

Condensate Drain

The cold air created by condensation will most likely want to travel through the vent and back into your home if you live in a cold climate, or even in a region where winter temperatures can be quite low.If you do, you’ll want to take precautions to prevent the cold air from traveling through the vent and back into your home.In order to accomplish this, a condensate drain must be installed, which increases the overall cost of the project.Through the use of a plastic tube, the condensate drain will remove the water from the condensation.

It must be channeled to a floor drain or a utility sink in order to be effective.

Gas Line

It’s possible that you’ll need to run a new gas line to your heater as well. Once again, this is work that should only be performed by a certified plumber.

Gas Meter

The cost of updating your gas meter is yet another possible expense.In order to properly install a water heater, you must first confirm that the meter has the capacity to adequately feed the heater with fuel.In particular, if you intend to use other gas appliances at the same time as the heater, this is critical.You should request that your gas provider check the capacity of your meter on your behalf.

Meanwhile, you’ll need to make certain that your gas meter is providing the proper amount of manifold pressure.
The good news is that any upgrades to your gas meter are merely a minimal outlay of your money.
In fact, the gas supplier may not charge you anything at all on occasion.

Removal of Current Unit

The removal of your existing tankless water heater is the final connected expenditure before the actual installation of the tankless water heater.The vast majority of users are switching from a tank system to a tankless device.It is likely that your tank will need to be removed and disposed of, which will cost you around $500.For those who are building a new home and have never had a water heater before, this is an installation expense that can be omitted from the total cost of the project.

Installation of the Unit

We’ve now arrived at the actual installation. This is the most straightforward step. For the installation of your heater, you may expect to pay a plumber between $45 and $65 in hourly labor fees.

Creating a Space for the Heater

We have now arrived at the actual installation. This is the most straightforward section. To install your heater, you could expect to spend a plumber between $45.00 and $65.00 per hour.

Maintenance for Gas Tankless Heaters

Another cost to consider is the cost of upkeep and maintenance. Due to the fact that gas tankless heaters require at least yearly maintenance, but electric tankless heaters do not, this is somewhat more costly for gas tankless heaters than for electric tankless heaters. The cost of a plumber in your region, whether or not you have hard water, and whether or not your water heater is set to a high temperature are all factors that impact the price. The following items are included in annual maintenance: An examination of the heater’s overall condition is performed. Cracks and corrosion in gas lines, as well as symptoms of leaking, will be checked for by the plumber.
A check to ensure that the heater is properly combusting the fuel is performed. This is necessary in order to keep your heater from emitting carbon monoxide.
It is possible to clear limescale by hand (in fact, you can do it yourself)

One further thing to consider is the cost of routine maintenance.Due to the fact that gas tankless heaters require at least annual maintenance, but electric tankless heaters do not, this is somewhat more expensive for gas tankless heaters.The cost of a plumber in your region, whether or not you have hard water, and whether or not your water heater is set to a high temperature all have an impact on the final pricing.A list of what has to be done on an annual basis is below.

a visual examination of the heater’s condition Gas line fractures and corrosion, as well as symptoms of leaking, will be investigated by the plumber.
The heater is being tested to ensure that the fuel is being burned properly.
Carbon monoxide production from your heater must be prevented at all costs.

It is possible to clear limescale on your own (in fact, you should).

Electric Tankless Water Heater Cost

Let’s take a look at how much an on-demand water heater costs when it’s powered by electricity now that we’ve covered the costs of purchasing, installing, and maintaining a gas tankless water heater.Because the costs of a propane tankless heater are significantly higher than those of a natural gas tankless heater, the answer may have an impact on your decision on which type of heater to purchase.Consider the following scenario: if you are looking for the best deal on hot water heaters, you may be immediately drawn to an electric tankless heater because the upfront costs are significantly lower.Maintenance expenses are likewise cheaper, but operational costs are significantly greater, resulting in a higher overall cost over the course of the project’s lifetime.

Cost to Purchase an Electric Water Heater

Electric tankless heaters are a reasonably inexpensive option for heating water. A $500 electric tankless heater may provide the same quality as a $1,000 gas tankless heater while costing less than half of the price. In order to get the best heater possible, you shouldn’t have to spend more than $700 on it. The typical cost of an electric tankless heater is between $500 and $700 dollars.

Electric Tankless Water Heater Installation Cost

Electric tankless heater installation is also less complicated and expensive than the installation of a gas tankless heater.As a result, there is no requirement for venting, condensate drainage, or a gas line, and you will not be required to update your gas meter.The following are all of the different installation chores that you may be required to do in order to install a new electric unit:

Plugging or Wiring

You will, however, need to connect your heater to a 240-volt power source.The majority of the time, homeowners simply connect the heater to an electrical outlet.This being the case, it is probable that you will be able to install the electric water heater yourself.Alternatively, it may be required to connect the electric heater directly to your service panel or breaker panel.

Except if you have extensive knowledge in this field, you will need to employ an electrician to do the job.
You’ll need to put up a subpanel adjacent to your heater to keep the electricity flowing.
This is equipped with its own circuit breakers, which may be used to terminate the electricity from the water heater.

The wiring must be routed to this subpanel and then from the subpanel to the water heater in order for the water heater to function.The simple act of connecting a water heater to your existing system may not be adequate in some situations.Perhaps you’ll need to upgrade your electrical system or change the layout of your electrical system.

This will increase the expenses of installation, since an electrician will most likely charge between $65 and $85 per hour for his or her services.

Remove the Current System

As with a gas water heater, you’ll need to hire a plumber to remove your old system (if you still have one), and you may want to hire a carpenter to build a place for the new heater. Installation of an electric water heater might cost up to $1,300, depending on the model.

Maintenance for Electric Tankless Heaters

As previously stated, the maintenance requirements for electric heaters are the same as those for gas tankless heaters.However, you will not require maintenance every year, but rather just on occasion, and the plumber will inspect the electrical connection rather than the gas lines and fuel combustion.The examination will most likely cost you between $45 and $130 dollars.The sum will be determined by the rates charged by your plumber as well as whether the maintenance will take one or two hours.

Because a gas tankless heater operates at a high temperature and is located in an area where the water is particularly hard, it would require yearly maintenance, just like a traditional tankless heater would do.
Once again, you may prevent this and save money by performing the limescale removal on your own time and budget.
Maintenance expenses will range between $45 and $130 every visit for an infrequent examination.

Do Tankless Water Heaters Save Money?

Whether you pick a gas or electric tankless water heater, you will save money as compared to the cost of a traditional tank-style water heater.
For starters, because tankless heaters may typically last up to twice as long as tank types, you will have a considerably longer period of time before you will need to pay for a replacement.
Installation expenses for a tank water heater are often lower than those for a tankless water heater since there is no need to prepare your house — or at least not to the same extent — prior to installation.
However, because you will need to replace your heater much sooner, you will wind up spending roughly the same amount in the long run.
Furthermore, when compared to their tank equivalents, electric and gas tankless water heaters tend to have lower running expenses than their tank counterparts.
With tankless heaters, you’ll also save money on upkeep because they require less maintenance.

This is especially true at the end of the service life of a tank water heater.Tank heaters frequently begin to corrode and leak water as a result of this corrosion.It is possible that the cleaning may cost a lot of money.

Tankless Gas Water Heater Costs Compared to Tank Gas Heater Costs

The most accurate approach to determine how much water heaters cost — whether tank or tankless — is to look at how much they cost to operate.
In this aspect, a gas tankless water heater is the most affordable of all the many types of water heaters.
As you can see from the table above, the actual amount you’ll have to pay will be determined on the size of your property.
Given a tankless gas water heater’s 20-year lifespan, you’ll spend $1,400 in lifetime energy expenditures if you live in a condo, $1,600 in lifetime energy costs if you live in a typical home, and $1,900 in lifetime energy costs if you live in a big home.
Comparatively, tank water heaters with a lifespan of 13 years cost $1,400 in lifetime energy expenditures for a condo, $1,650 for an ordinary home, and $1,900 for a big home in terms of lifetime energy costs.
So, over the course of 20 years, you will spend about the same amount in energy expenditures for a gas tankless heater that you will over the course of 13 years for a conventional gas tank heater

Tankless Electric Water Heater Prices Compared to Tank Electric Heater Prices

In the following section, we will compare the same for an electric tankless heater with an electric tank heater.
It is far less expensive to utilize an electric tankless water heater than it is to use a conventional tank unit.
The water is only heated when it is needed, rather than requiring a steady source of power to maintain the tank stocked with hot water at all times.
Lifetime energy expenditures for a condo are $2,700, a medium home is $3,300, and a big home is $4,000, according to the Energy Information Administration.
This implies that your water heater will survive 20 years, but there is a significant probability that it will last much longer.
You should expect to pay $2,500 in lifetime running costs for a condo, $3,000 for an average-size house, and $3,500 for a large house if you have an electric tank water heater with a lifespan of 13 years (many don’t even survive that long).

Which Type of Heater Is the Best Investment in the Long Run?

Which sort of tankless heater is the best investment for you — gas or electric — will be determined by your needs and wants.
If you want to live in your home for a long period of time, a gas heater may prove to be the most cost-effective alternative, but only if you have the time and resources to complete all of the necessary installation.
Alternatively, if you want to spend less money now and plan to sell your house in a few years, an electric tankless heater will likely be less expensive if it is adequate for meeting your hot water needs.
You might consider point-of-use heaters if you need to heat a large house and prefer to utilize electricity instead of gas.
A single source of hot water is provided by these, such as a bathroom, a dishwasher, or a clothes washer, among others.
It is less expensive to acquire and install a point-of-use heater than it is to install a whole-house gas unit.

The overall expenses, on the other hand, may be greater, especially when you include in running expenditures.On the whole, if your home has smaller water demands or you intend to stay in the house for a shorter period of time, an electric tankless unit is a good investment, whereas a gas tankless unit is usually a better investment if your home has larger water demands or you intend to stay in the house for a longer period of time.

Are Tankless Water Heaters Worth It?

By now, it should be evident that tankless water heaters are a sensible investment in almost every situation.
Which type of heater you choose will depend on how much money you want to pay up front, how much money you want to spend over the length of your heater’s lifetime, how much water you need, and whether it is practical to install a gas heater in your home (due to the installation requirements).
Whatever the case, it will be more convenient and less expensive than continuing to use a typical tank water heating system.
Check out our assessment of the top quick hot water heaters available on the market before making a purchase decision!

How Much Does A Tankless Water Heater Cost?

Note from the editors: We receive a commission from affiliate links on Forbes Advisor.
The thoughts and ratings of our editors are not influenced by commissions.
If you are considering making the move from a regular water heater to a tankless water heater that is more energy efficient, your first inquiry is likely to be, ″How much will this cost?″ The total tankless water heater cost includes the purchase price of the device as well as installation fees.
The pricing range for each item is shown in the chart to the right.
We’ll take a look at the aspects that influence tankless water heater pricing and installation costs, and we’ll provide you with information to assist you make the best decision possible.
Additionally, you may be interested in the tankless water heaters available at Home Depot.

Testimonials from customers Exceptionally well-written Performance Platinum 9.5 GPM Liquid Propane Water Heater by Rheem Performance Platinum 9.5 GPM Liquid Propane Water Heater by Rheem 3Rinnai RU199iP RU Model Series 3Rinnai RU199iP RU Model Series 3Rinnai RU199iP RU Model Series 3Rinnai RU199iP RU Model Series 3Rinnai RU199iP RU Model Series Testimonials from customers Exceptionally well-written 3Rinnai RU199iP RU Model Series 3Rinnai RU199iP RU Model Series 3Rinnai RU199iP RU Model Series 3Rinnai RU199iP RU Model Series 3Rinnai RU199iP RU Model Series 4Rinnai V53DeP V Model Series 4Rinnai V53DeP V Model Series 4Rinnai V53DeP V Model Series 4Rinnai V53DeP V Model Series Model Series: Rinnai RL75eP RL Model Rinnai RL75eP Testimonials from customers Exceptionally well-written Model Series: Rinnai RL75eP RL Model Rinnai RL75eP If you’re considering purchasing a propane tankless water heater, you may feel overwhelmed by the number of options available.The following top-five list was compiled using parameters such as price, customer rating, maximum GPM flow rate, heating capacity (in BTUs), and Energy Star certification as a guide.

Average Cost of Tankless Water Heaters

Whole-House vs. Single Point

Choosing between installing a whole-house tankless water heater or one or more single-point units is an option when upgrading to a tankless water heater.

Whole house

It is possible that a whole house tankless water heater is the best option for your home, depending on the layout of your plumbing system.
With this configuration, a single unit meets all of the hot water requirements of your house on demand.
A whole-house system will be more expensive up front than a smaller single-point system, but you will only have to pay for one installation and you may see a reduction in your energy bills.

Single point

Installing one or more single-point tankless water heaters in properties where the plumbing is dispersed over a wider area may be a more cost-effective solution. It wastes less water and energy when the unit is closer to the point of water consumption because less time is spent waiting for hot water to arrive at the faucet.

Tankless Water Heater Costs by Size

Tankless water heaters are available in a range of sizes to ensure that a sufficient amount of water is delivered while maintaining the required temperature rise.
gallons per minute is the unit of measurement for water volume rating (GPM).
Depending on whether the model is based on combustion or electricity, the heating capacity is expressed in either British Thermal Units (BTU) or kilowatts (kW).
Do not attempt to save money by purchasing a tankless water heater that is too small.

GPM

Calculate the total GPM of all water outlets that will be used at the same time to determine the appropriate tankless water heater size for your property. In order to take a shower while doing laundry and running the dishwasher, add the GMP for the shower (2-3), washing machine (2-2.5), and dishwasher (2-2.5) together (1.5-2). The GPM rate of a tankless water heater should be between 5.5 and 7.5, depending on the model. The flow rates for common household appliances are listed below on a typical basis. Showerheads ranging from 2 to 3 GPM
older or rain shower heads ranging from 4 to 6 GPM
water faucets ranging from 1 to 2 GPM
dishwashers ranging from 1.5 to 2 GPM
washing machines ranging from 2 to 2.5 GPM

Temperature rise

The temperature increase is defined as the difference between the temperature of the entering water and the temperature at which you require the water to be. Tankless water heaters are rated based on the premise that the water is roughly 50 degrees Fahrenheit when it enters the system. For the majority of applications, water must be heated to around 115 degrees Fahrenheit. As a result, a temperature increase of 65 degrees is required (115 – 50 = 65). In cold or warm climates, the beginning temperature will be cooler or warmer, depending on the season. In cold regions, the required temperature increase is greater, but in warm climes, the required temperature increase is less. With the GPM and temperature rise calculations, you may be confident in your selection of the appropriate unit. The pricing of tankless water heaters are shown below, organized by flow rate. 2 to 4 GPM range from $200 to $700
5 to 7 GPM range from $425 to 900
8-plus GPM range from $600 to $2500 or more

Tankless Water Heater Costs by Fueling Method

The typical cost of a tankless water heater varies depending on the kind of fuel used. The majority of users prefer either electric or natural gas (natural gas or propane). Models that are powered by electricity are the least expensive to acquire. Gas-powered units are slightly more expensive up front, but they are less expensive to operate on a monthly basis and have greater power. Consumers in areas where heating oil is common may find it to be a more cost-effective alternative. Solar energy may be a better choice for those looking for an off-grid solution. Electricity costs between $450 and $1,500
natural gas or propane costs between $500 and $2,000
oil costs between $600 and $3,000
and solar costs between $1,000 and $4,000

You May Also Be Interested In Tankless Water Heaters Available On Home Depot

Testimonials from customers Exceptionally well-written Performance Platinum 9.5 GPM Liquid Propane Water Heater by Rheem Performance Platinum 9.5 GPM Liquid Propane Water Heater by Rheem 3Rinnai RU199iP RU Model Series 3Rinnai RU199iP RU Model Series 3Rinnai RU199iP RU Model Series 3Rinnai RU199iP RU Model Series 3Rinnai RU199iP RU Model Series Testimonials from customers Exceptionally well-written 3Rinnai RU199iP RU Model Series4Rinnai V53DeP V Model Series4Rinnai V53DeP V Model Series5Rinnai RL75eP RL Model Series6Rinnai RL75eP RL Model Series7Rinnai RL75eP RL Model Series8Rinnai RL75eP RL Model Series9Rinnai RL75eP Testimonials from customers Exceptionally well-written Model Series: Rinnai RL75eP RL Model Rinnai RL75eP If you’re considering purchasing a propane tankless water heater, you may feel overwhelmed by the number of options available.
The following top-five list was compiled using parameters such as price, customer rating, maximum GPM flow rate, heating capacity (in BTUs), and Energy Star certification as a guide.

Labor Costs For Tankless Water Heaters

After paying for the tankless water heater, the cost of installing it might easily quadruple the total bill. Installation prices vary depending on your present system, the type of unit being installed, the accessibility of the installation area, and a variety of other considerations.

Basic installation

Costs range from $100 to $2,000 or more on average.
Installing a basic system presupposes that the site is generally accessible to the installer and that the power supply is available near the installation location.
Some minor components and supplies may be included, but further pipe fitting or electrical work may be required, which will increase the overall cost.
Speaking of disposal, consult with your installer on how to properly dispose of the old unit.
It is possible that some installers will include this in their fee, while others will not.

Converting to a different power source

Costs range from $500 to $1000 on average. If your existing water heater is electric and you wish to replace it with a gas-powered tankless water heater, the cost of the installation will increase. If you need to install an electric tankless water heater to replace a gas-powered conventional water heater, you will need to connect a new circuit to your home’s electrical circuitry.

Other/miscellaneous

Costs range from $300 to $1,000 on average. Any expenditures associated with installation may include venting the system, treating hard water, adding an access panel, painting, and other touch-up work as needed. Some of these improvements may be doable on your own, but others may require professional installation, which can add hundreds of dollars to the overall cost.

Tankless Water Heater Maintenance Costs

Hard water can cause difficulties with tankless water heaters, which makes them more prone to failure. Maintenance should be conducted by a professional twice a year to safeguard the investment and ensure that it continues to operate at peak performance. The total cost of preventative maintenance visits ranges from $45 to $200 each visit, depending on the service.

Pros and Cons of Tankless Water Heaters

Even while tankless water heaters have significant advantages over traditional tank water heaters, they may not be suitable for all households. Let’s have a look at the advantages and disadvantages.

Pros

Energy-efficient
reduces water use
saves space
has a long operational life
and

Cons

Tank heaters are more costly than space heaters.
During power disruptions, there is no reserve
More yearly maintenance is required.
More than one unit is required for larger dwellings.

How to Find a Pro to Install Your Tankless Water Heater

When it comes to installing your tankless water heater, a plumber is the specialist you should choose.
Plumbers are trained professionals who are capable of performing all of the essential water and gas line work, as well as basic electrical wiring.
If you are building an electric heater from the ground up, you may need to hire an electrician to first create a new circuit on your electrical panel, which will cost you extra money.
Make careful to verify references and only hire experts who are licensed and insured, and make sure to ask for recommendations.

Compare Quotes From Top-rated Water Heater Installers

Estimates are provided without obligation.

FAQs

Why is a tankless water heater better than a traditional water heater?

Tankless water heaters have the potential to reduce energy consumption by 24 percent to 34 percent in houses that consume fewer than 41 gallons of hot water per day, according to the Environmental Protection Agency. When compared to typical tank water heaters, they also take up far less space and last twice as long.

Is one tankless water heater enough for a whole house?

In many circumstances, a tankless water heater for the entire house is sufficient. The installation of a supplementary point-of-use water heater in bigger homes, or in homes where hot water demands are dispersed throughout the house, may be essential.

Can you run out of hot water with a tankless water heater?

A tankless water heater that has been appropriately sized provides hot water on demand. It never runs out of hot water since it doesn’t store it.

How long does a tankless water heater last?

Compared to standard tank water heaters, tankless water heaters have a lifespan of around 20 years, which is up to double that of a tank heater.

Is a tankless water heater worth the expense?

The initial cost of purchasing and installing a tankless water heater is much higher than the cost of purchasing and installing a conventional water heater. However, the lower energy expenses translate into monthly savings that accumulate fast. Furthermore, because of the longer lifespan of the tankless water heater, it is significantly more cost-effective in the long term.

How Much Does A New Tankless Water Heater Cost?

We at Bankrate are dedicated to assisting you in making more informed financial decisions.
Despite the fact that we adhere to stringent guidelines, this post may include references to items offered by our partners.
Here’s what you need to know about There are few things in life that are more unpleasant than taking a hot shower only to be met with water that is so cold it seems like it has come straight from a melting glacier.
A tankless water heater is one method to ensure that you never again have to take a cold shower when you least expect it.
Although they are less expensive than traditional tank water heaters, tankless water heaters with installation are roughly $3,000 on average.
The entire cost is determined on the model selected as well as whether or not your home requires retrofitting.

Tankless vs. traditional

Understand the differences between tankless and regular water heaters may be easier if you look at this chart.
A typical water heater warms and stores water in a tank with a capacity of 30 to 50 gallons, depending on the manufacturer.
The heated water remains in the tank until it is required, and when it is consumed, the tank is refilled and the preheating process is repeated.
A tankless water heater heats water on demand by using either electricity or natural gas as a fuel source.
As a result, as soon as you switch on the dishwasher or step into the shower, the water that is required is heated at the source and is instantly available for use.
When making home upgrades such as installing a tankless water heater, a home equity line of credit (HELOC) is a wonderful option.

Check out our guide to obtaining the lowest rate on a home equity line of credit.

Electric or gas?

It may be helpful to understand the differences between tankless and regular water heaters…………………….. Water is heated and stored in a tank, which typically has a capacity of 30 to 50 gallons, using a conventional water heater. The hot water remains in the tank until you require it, and when you do, the tank is refilled and the preheating process begins all over again. A tankless water heater heats water on demand by using either electricity or natural gas. As a result, as soon as you switch on the dishwasher or step into the shower, the water that is needed is heated at the source and is instantly available for use. When making home upgrades such as installing a tankless water heater, a home equity line of credit (HELOC) is a fantastic option. Find the best HELOC rate for you with our guide to finding the best HELOC rate.

Benefits of a tankless water heater

A tankless water heater consumes 30 to 50 percent less energy than a traditional water heater, resulting in annual savings of more than $100 for the average household on heating bills.
Instead of wasting 30 percent of its energy, a tankless water heater wastes only 5 percent, according to Energy Star.
Although you may have to wait a few seconds for the water to heat up at the source, a tankless water heater ensures that you will never run out of hot water in your home.
A tankless water heater is more compact and takes up less space than a standard water heater.
A garage, basement, attic, utility room or even the outdoors are all possible locations for this unit to be put.
Lastly, a standard water heater has an average lifespan of eight to ten years, but the average lifespan of a tankless water heater is closer to twenty years.

If a home equity line of credit (HELOC) is not an option for your remodeling expenses, consider taking out a personal loan.

Disadvantages of a tankless water heater

It is more expensive to purchase and install a tankless water heater upfront than it is to purchase and install a regular water heater.
In fact, depending on the unit and the amount of retrofitting your home required, it might cost up to twice as much as a standard unit.
It might take up to ten hours to complete the installation due to the level of skill required.
The time it takes for hot water to be heated and supplied is longer.
You may encounter what is known as a ″cold water sandwich,″ which occurs when the hot water is switched on but does not have enough time to heat up properly.
Water hardness can cause failures in tankless units, and manufacturer warranties do not often cover the damage caused by hard water in most cases.

The final word

It is possible to use a tankless water heater when rebuilding your house or building a new one, or while staying at home on a part-time basis and do not want to be concerned about a leaky hot water heater while you are gone.
Unless you have professional-level installation abilities, installing a tankless water heater is not a do-it-yourself effort.
Despite the fact that they can be purchased online or at your local home improvement shop, it is better to leave installation to the professionals because it may be necessary to adapt your home in order for the water heater to function effectively.
Tankless water heaters are more expensive up front than traditional versions because of the labor costs associated with installation.
It is possible that a tankless water heater will be less expensive in the long term when yearly energy savings and the fact that you will only have to replace it half as frequently as a standard unit are taken into consideration.

Water Heater Installation Cost Guide (2022)

Tank vs.
Tankless Water Heater Costs |
Gas vs.
Electric Water Heater Costs |
Energy-Efficient Water Heaters |
Signs of a Failing Water Heater |

Choosing Your Water Heater |When to Call a Plumber |Frequently Asked Questions |In practically every family, having access to clean, hot water has become a luxury.While the requirement for hot water in a home is constant, the methods by which it is produced are constantly evolving, with a wide range of tanks and fuel sources accessible to homeowners.If you’re buying a water heater for the first time or replacing an old one, it’s crucial to understand the different types of water heaters available and how much each one costs.

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.
The storage tank water heater is a traditional water heater that is simple to install.
Storage tank water heaters are less expensive than tankless systems, with prices ranging from $820 to $1,290.

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 have a greater initial cost than tank water heaters, with prices ranging from $1,200 to $3,500 for a typical home.
The increased cost is due to the more labor-intensive set-up necessary for the installation, which necessitates the construction of additional gas and water lines.

Electric tankless heaters will require the installation of brand new electrical wiring.Even while tankless heaters are more expensive to install than traditional versions, they are more energy efficient and have a cheaper total cost of ownership than their counterparts in most cases.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

In comparison to a gas tank, an electric tank is less expensive to purchase and install, with a home 50-gallon tank water heater costing approximately $500.
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 A Guide to the Best 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.
A passive system will cost roughly $2,000, while an active system will cost around $3,000, according to the National Association of Home Builders.

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 cheap, the initial purchase and installation costs are higher than those of standard heaters, with the cost of an indirect water heater ranging from $1,500 to $2,000.

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

More information may be found at: How to Maintain a Water Heater.

Selecting Your Water Heater

Keep the following considerations in mind when selecting a water heater for your residence: Fuel type and availability—Before purchasing a water heater for your house, evaluate whether or not the required fuel type is 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 home should be taken into consideration when purchasing a gas tank of the appropriate size. 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. While you may opt to replace a water heater as one of your home improvement projects, the amount of effort required and the extensive expertise required to install a system make water heater repairs and replacement a job best suited for a plumbing professional.

Frequently Asked Questions About Water Heaters

How long does it take a new hot water heater to work?

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 at reviews@thisoldhousereviews.com if you have any comments or questions about this post.

Are Tankless Water Heaters Worth It? 10 Pros and Cons

Tankless water heaters are one of the more recent techniques available for making a home more energy efficient.
Tankless heaters, as opposed to normal units, which continually heat and reheat water to ensure that it is always hot, create water that is heated quickly using high-powered gas burners or electric coils to heat the water.
In order to achieve this immediate heating, more electricity is required; but, because the water does not have to be heated repeatedly, as in a traditional ″tank″ type, tankless systems consume less energy in total.
According to Consumer Reports, which conducted a thorough investigation into these products, gas-powered tankless water heaters are around 22 percent more efficient than standard water heaters when compared to the latter.
Is there a catch to this?
Both yes and no.

When the circumstances are favorable, a tankless water heater is the most cost-effective solution.However, it is a good idea to examine the advantages and disadvantages of these relatively new technologies before making a final decision.Before we get into the advantages and disadvantages of tankless water heaters, if you’ve already decided that you’re going to get a new water heater (with or without a tank), have you considered how you’re going to pay for the purchase?Allow us to assist you!By clicking on the button below, you will get accepted within 30 minutes (with no credit check)!Get Pre-Approval for Financing for Your New Water Heater Today!

Now, we’ll go over some of the advantages and disadvantages of tankless water heaters, so you can determine if a tankless water heater or a regular water heater is the better option for you.

Pro1: Instant Hot Water

Tankless water heaters may offer an almost instantaneous stream of hot water after flushing the cold water from the pipes out of the faucet with hot water from the faucet. Consequently, at their most fundamental level, these devices are capable of fulfilling their promise to provide warmth without the hassle of huge storage tanks in the process.

Con1: Inconsistent Temperatures

In the Consumer Reports poll noted above, one of the most common consumer concerns was that the water temperature was constantly fluctuating.
Most of the time, this problem arises as a consequence of the heater’s failure to deliver adequate hot water to several outlets at the same time.
Tankless heaters, on the other hand, do not always turn on if the faucet is only slightly open (when shaving or rinsing a toothbrush, for example).

Pro2: Longer Lifespan

Unpredictable water temps are one of the most common consumer concerns, according to a Consumer Reports poll conducted in 2015.
In most cases, this is caused by the heater’s inability to deliver enough hot water to several outlets at the same time.
Tankless heaters, on the other hand, do not always switch on when the faucet is only slightly open (when shaving or rinsing a toothbrush, for example).

Con2: Higher Initial Cost

Tankless units are intrinsically more costly because of their greater life expectancy. The average conventional model costs roughly $500, and the lowest tankless choices start at $1,000 for the most basic configuration. These specialty models are also more expensive, and they need more time to install, thus labor costs must be considered into the entire cost of the product or service.

Pro3: Lower Month-to-Month Costs

Despite the fact that these systems are more costly, they are also more productive. In fact, according to Consumer Reports, tankless water heaters are 22 percent more energy efficient than regular kinds of water heater. Homeowners should expect to save hundreds of dollars yearly, despite the fact that the monthly savings may be little.

Con3: Limited Hot Water Supply

Despite the fact that tankless water heaters provide a constant stream of hot water, the supply is not limitless.
Ordinary versions can heat many liters of water at the same time, making them ideal for a single person having a shower or doing the dishes.
While one person is running the dishwasher or washing machine, another person is having a shower (or two people are taking showers in two separate bathrooms at the same time), a tankless heater will be unable to keep up with the demand.
A typical water heater, which can hold between 30 and 80 gallons of water depending on the type, will have no trouble supplying hot water to many outlets at the same time without breaking a sweat.

Pro4: Space Savings

Tankless water heaters are significantly lower in size than traditional storage ones. Installers often attach them on a wall in an unobtrusive location in the basement, according to the manufacturer. The reduction in floor area is especially beneficial in smaller residences.

Con4: Additional Equipment is Often Necessary

In most cases, a water softener is required to guarantee that a tankless heater performs effectively.
Obviously, the additional equipment increases the cost of the device at the time of purchase.
Because the softener (as well as the requisite bags of salt) will take up valuable space next to the wall-mounted heater, the softener will offset the space-saving benefit.
In fact, it is possible that this equipment will take up more room than a standard hot water heater.

Pro5: Special Financing and Tax Breaks

The fact that tankless heaters are more energy efficient makes them eligible for federal tax credits, which assist to offset the high initial installation costs.
The federal government provided a 10 percent tax credit on the total cost of purchasing and installing a tankless hot water heater as of December 2016.
Traditional storage heaters that have earned the Energy Star certification are likewise eligible for the same 10 percent tax credit.

Con5: Rerouting Gas Lines

As previously said, tankless water heaters require a non-traditional installation, which increases the cost of the unit’s installation. Even worse, a contractor may be obliged to redistrict a gas line or install new vents, which would raise the entire cost of the renovation.

Pro6: Tankless Water Heaters Eliminate “Standby Loss”

When it comes to tankless heaters, the most significant selling feature is that they remove ″standby loss.″ Traditional water heaters reheat water repeatedly, increasing energy expenses with each reheating operation. Even if no one is at home, the water heater is still consuming energy since it is continuously heating up the water in its tank to a safe temperature.

Con6: Could Take Years to Make Up for the Higher Price Tag

While tankless water heaters are less expensive on a month-to-month basis, it might take years for the savings to offset the hefty initial investment.
Consumer Reports estimates that switching to a tankless water heater can save a homeowner up to $75 per year in energy savings over the long haul.
As a result, it might take anywhere from 6 to 12 years (or more) until the month-to-month savings exceed the price of installation.

Pro7: Never Run Out of Hot Water

Storage tanks will ultimately run out of hot water in homes with high hot water consumption (for example, if three or four people take showers in a row while the dishwasher is running).
Using a tankless heater guarantees that everyone has an equally warm shower – as long as the showers are taken consecutively, rather than all at the same time – since it does not rely on stored water to supply the necessary water.

Con7: Changing Water Usage Habits Could Save as Much Money as Going Tankless

An energy-efficient water heater is not the only technique to improve the efficiency of a home’s water system.
The simple act of altering bathing habits can result in a large reduction in water bills for a household.
Additionally, when the monthly costs of water and heating are combined together, low-flow plumbing fixtures or a more energy-efficient dishwasher might save as much money as a new water heater.

Pro8: Both Electric and Gas Models are Available

Typically, natural gas is used to power tankless water heaters, although electric ones are also available on the market. Depending on the electrical infrastructure of a property, a non-gas unit may be a viable alternative to rerouting gas lines or making other costly and time-consuming modifications.

Con8: Other Options Like Solar Heating are Available

Tankless water heaters are not the only energy-efficient alternative available; solar water heating is becoming increasingly popular around the country.
Solar water heaters, which are equipped with solar collectors and storage tanks, avoid the need to reroute gas lines or install new electrical fixtures in the home.
Solar water heaters may be utilized in any environment and can even help you recoup your installation expenses more quickly because they do not rely on gas or electricity and instead rely on the power of the sun to heat the water.

Pro9: Tankless Heaters Offer Longer Warranties

Tankless heaters are covered by extended warranties as a result of their long service life. As a result, in the event that something goes wrong, the homeowner will not be responsible for any repairs or replacement costs. Warranties for tankless heaters can last up to 20 years, which is the normal lifespan of a heater of this type.

Con9: Additional Maintenance is Possible

In order to keep the guarantee valid, owners must execute yearly maintenance and, in certain cases, use a water softener. Aside from that, homeowners should flush out their system once a year to avoid mineral build-up in the heater or the water line. The expense of doing these chores may outweigh some of the savings realized as a result of