Quick Answer: How Much Does The Average Tankless Water Heater Cost?

What is the downside of a tankless water heater?

The primary disadvantage of on demand or instant hot water heaters is the upfront cost.

The smaller units that you often see won’t produce enough hot water to serve most households.

They’ll only serve one faucet at a time—a problem if you want to shower while the dishwasher is running..

How much does it cost to replace a hot water heater with a tankless?

Tankless water heaters generally require a higher initial investment, but they are less costly to operate and provide additional benefits like endless hot water. Nationwide costs generally fall within the range of $1,200 to $5,000.

Why is tankless water heater installation so expensive?

Installation is expensive because the unit needs a bigger gas supply than a conventional water heater does, and it needs to run its own exhaust flue to the exterior. Installation costs can vary widely, depending on the location of the flue and the gas supply. The unit itself costs between $800 and $1,000.

Can a homeowner install a tankless water heater?

Installation. While it is possible to install your own tankless water heater, it’s not a job for inexperienced do-it-yourselfers. There are a number of different sizes and styles of tankless water heaters, including propane, natural gas and electric, along with single-room or whole-house sized models.

What do I need to know before buying a tankless water heater?

How to Select the Right Size Tankless Water HeaterDetermine the maximum number of devices you want to run and their total flow rate. Then, add up their flow rates (gallons per minute). … Determine required temperature rise. … Sizing Example: An average shower will be between 104–106° and uses 2.6 gallons of water. … Other Sizing Notes.

Is a tankless water heater worth the cost?

While month-to-month water heating costs are cheaper with a tankless unit, it could take years to make up for the high initial cost. Over time, a homeowner will likely come out ahead, but according to Consumer Reports, the energy savings for going tankless add up to $75 per year, on average.

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

Although a tankless system can’t run out of hot water, it can be overwhelmed with demand. … If more than one tap is on-demand hot water at the same time, however, such as other showers or a running washing machine, the water heater will struggle to keep up and drain extra power.

What size tankless water heater do I need for a family of 5?

In short, a family of 5 would need a 10 GPM gas tankless heater or 27 kW electric tankless heater if you live in the northern part of the USA where the input water has a lower temperature. There the tankless heater has to work extra hard to bring the water temperature up to 110˚F or 120˚F.

What is the lifespan of a tankless water heater?

20 yearsMost tankless water heaters have a life expectancy of more than 20 years. They also have easily replaceable parts that extend their life by many more years. In contrast, storage water heaters last 10–15 years.

Should I replace my water heater with a tankless?

Arguably the biggest benefit offered by tankless water heaters is less energy consumption. Because there is no tank of heated water continually having to be kept hot, tankless water heaters don’t experience the same standby energy losses that traditional tank water heaters do.

Can you claim a tankless water heater on your taxes?

The Non-Business Energy Property Tax Credit has been extended through 2020 and made retroactive to cover 2019. The credit amount for Gas, Oil, Propane Water Heaters, including tankless units, is $300. … Of course, any qualifying tankless water heater installed this year would also qualify on taxes due in April 2021.