How much does a tankless water heater cost? That’s a common question that people ask and for good reason. The price difference between a tankless water heater and a traditional storage tank heater is remarkable. You could be getting that high-dollar estimate on a tankless water heater. Most tankless water heaters aren’t that pricey, and they last for years. But what does a tankless water heater cost? It depends on a lot of factors.
Tankless water heaters, also called tankless home water heaters, do not store hot water for you to use later. Tankless water heater technology is based on a constant supply of hot water as needed. It seems like prices will vary according to your location, installation costs, and personal price preference. In my opinion, tankless water heaters are generally more expensive and it makes sense to me why someone would think otherwise.
There are several factors that determine how much a tankless water heater costs. Tankless water heaters can range from $500 to more than $5,000. These prices are based on the number of gallons of water it can heat per hour, the type of gas supply, and any energy efficiency rebates available. This article explains the many factors that determine how much a tankless water heater costs.
This article will break down all the factors you need to consider when making your decision and help you determine what the best investment for you is. First, let’s go over what exactly a tankless water heater is and how it works. Then we’ll define how much they cost and figure out your own price range based on a few different factors.
Cost Factors of Tankless Water Heater
The cost of your tankless water heater is dependent on several factors, including the size you need, whether or not it’s electric or gas, and what features you want. Deciding which model to choose also depends on determining what types of features are most important for you and your family. Because tankless water heaters are relatively new to the market, there aren’t that many models, sizes, and options available yet. As more companies develop this technology and put it to use in homes all over the world, hopefully, there will soon be many more sizes, shapes (materials), features, and higher efficiency ratings offered.
Single point Vs Whole house tankless water heater
There are two main types of tankless water heaters: single-point systems and whole-house systems. Single point systems are used in smaller applications such as RVs, mobile homes, small apartments, vacation homes, campers, and boats. For a whole-house tankless water heater, the size needs to be sufficient to supply hot water for all faucets and showers.
Electric or Gas Tankless water heater
There are two different types of tankless water heaters that a homeowner can choose from when replacing the traditional on-demand models, electric tankless and gas. Gas is simpler and cheaper to maintain than an electric model but is not suitable for all homes. The choice between the two really depends on the individual home owner’s needs. How much does a tankless water heater cost? This really depends on what type it is and whether you choose gas or electric.
System Cost: An electric one will cost you $500-$700, while a gas-powered water heater will be around $1,000-$1,200.
Cost of Installation: If you’re aiming to install a tankless water heater, keep in mind that it will run you anywhere from $1,000 to $2,000. Gas models need some additional steps during the installation process as they require special ventilation systems while there is no such requirement for electric water heaters.
Utility Cost: If you live in an area with expensive utilities, a gas water heater may be cheaper to operate than an electric one.
Impact on Environment: An electric tankless water heater produces no greenhouse gases and will be easier to dispose of at the end of its life cycle. While they cost more initially, in the long run, they are often cheaper than a gas-powered equivalent.
Tankless Water Heater Benefits
With a tankless water heater, you can enjoy hot water all the time. It is like having a built-in backup heating unit. The main benefits of tankless heaters include saving money, reduction in the amount of wasted water, and the elimination of cold showers. Pay less on your energy bill by turning the hot water on only when you are using it–no more wasted energy from an unused tank.
Tankless water heaters are simple to install and often are more energy-efficient than traditional models. Although the initial cost of a tankless water heater is higher than that of a traditional water heater, the savings can be considerable over time and should easily offset the initial higher price tag. Tankless water heaters can last up to 25 years, saving you money in the long run.
A tankless water heater provides a clear path for hot water. It can reduce your energy costs by up to 30% compared to standard tank-style water heaters.
Tankless Water Heater Disadvantages
Tankless water heaters are more expensive than traditional storage-tank water heaters. Tankless water heaters require special plumbing to connect the unit to the house and require a larger power supply than storage tank water heaters. However, there are some long-term advantages to owning a tankless heater that significantly lowers your utility bills and could save you money in the long run.
Some units need to be installed professionally, there needs to be enough amperage in the electrical circuit and it may not work well with a well pump. Some electric tankless heaters only produce small amounts of hot water and push it through a copper coil submerged in a bathtub or laundry tub.
Impact on tankless water heaters due to environment
Tankless water heaters are gaining popularity as people are growing to love them. However, there are fewer tankless water heaters being manufactured today, and the question in everyone’s mind is if they should get a tankless water heater or a tank-type water heater. But before making a decision, here you should understand what the environment does affect tankless water heaters.
Not only is installing an on-demand water heater financially beneficial, but it will also have positive environmental impacts on your home. For example, it will reduce your utility bills and extend the life of your hot water system. An on-demand water heater provides continuous hot water, so it can decrease your water and energy use. And because it uses natural gas or propane to heat water, it can decrease your carbon footprint.
They help reduce pollution by generating fewer greenhouse gases and other pollutants being emitted into the atmosphere. You can completely eliminate your carbon footprint and cut your energy costs in half by switching all of the energy in your home from fossil fuels to solar, including your tankless water heater. Solar electricity powers your tankless hot water system. It has no emissions and is free. The electricity that produces your tankless hot water use is the same as the electricity used to power your home.
Maintenance and Operating cost of tankless water heater yearly
The first step in determining the cost of a tankless water heater is calculating maintenance and operating costs. Tankless water heaters have higher energy efficiency ratings than storage tank water heaters, so they cost about 20 percent less for the consumer to use. However, maintenance and downtime are more expensive because when the tankless water heater malfunctions you need more resources to fix it.
Electricity & Gas Tankless Water Heater
Gas and electric units will make up your main operating costs, depending on what kind of water heater you have. Hot water consumption depends on the amount of hot water needed, and the greater the need the more expensive it is to operate. When it comes to the cost, a gas water heater will cost about a third less to run than an electric unit. Gas water heaters are more affordable than electric units although this also depends on utility costs in your area.
Natural Gas & Propane Tankless Water Heater
Natural gas and propane water heaters are both options. Natural gas is cheaper than propane, but propane is the more efficient fuel. If you live in an area with high propane prices, the gas tankless water heater is a more cost-effective option. However, if you live in an area with a natural gas utility, the tankless heater can be more expensive than a conventional model.