Tankless water heater installation costs $800 to $3,500 on average, depending on the brand, fuel source, flow rate, and labor rates. Tankless hot water heater prices are $300 to $2,100 for a gas or electric on-demand system, plus $300 to $2,500 for installation labor.
Tankless water heaters save $40 to $200 per year on energy costs and are 8% to 34% more energy-efficient than traditional water heaters.
Tankless water heaters last 10 to 20 years on average. In comparison, traditional tank water heaters last 8 to 15 years on average.
A tankless water heater is worth it for homeowners who want an endless hot water supply and increased home value. Tankless water heaters are more energy-efficient and save $40 to $200 per year on energy costs, but cost more to install. Most homeowners see a total return on their investment after 20 years.
Tankless water heater installation takes 3 to 10 hours for a new install or 2 to 4 hours to replace an existing tankless unit. New tankless water heater installs require upgraded gas supply lines, new venting, and a new electrical outlet.
Plumbing companies install gas and electric tankless water heaters. Home Depot and Lowe's also offer tankless water heater installation through their network of licensed plumbers.
A tankless water heater provides hot water on demand, heating water only when needed rather than continuously using fuel to heat water in a storage tank. When a hot water tap is turned on, cold water travels through the heat exchanger in the tankless unit and is warmed instantly.
Plumbers can install tankless water heaters on inside or outside walls, including utility rooms, attics, garages, or basements. Tankless water heaters can also be installed in place of an old tank water heater if the area provides enough combustion air. Tankless units installed outside can freeze and needs protection from the weather, direct sunlight, rain, and bugs.
Signs a water heater is going out:
A tankless water heater does not work without electricity. Natural gas and propane tankless water heaters need electricity to operate the internal PC board, ignition, and thermostat.
Gas tankless water heaters have many advantages over electric on-demand systems.
Gas tankless systems are:
Electric tankless water heaters are:
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