The Cost Benefits of a Tankless Water Heater
Many people are making the switch to tankless water heaters. There are many pros to having a tankless water heater, but it doesn’t necessarily make sense for every household. Having a look at both the pros and also the cons will help you choose the best option for your lifestyle.
Let’s start by looking at the benefits of a tankless water heater. One of the biggest reasons to consider switching your water heater is the energy savings and operating costs. A tankless water heater costs more upfront, but your operating costs down the line should make up for your initial investment. Tankless water heaters save you money by conserving your heat. With a traditional water heater, the water in the tank is constantly being heated regardless of whether you are currently using the water or not. This constant heating is a waste that increases your heating bills. With a tankless heater, the water is heated as it is needed. So, without the standby heat loss of tradition systems, you save energy. By only needing enough power to heat the amount of water at a given moment you can save up to 20% on your water heating bill.
A tankless water heater’s lifespan is another great reason to consider switching over. The lifespan of a traditional heater is about 10 to 13 years whereas a tankless heater can last 20 years. If you are planning on staying in your home for a long time this is a great investment. Investing in a tankless heater will save you from a hefty replacement fee down the road.
The benefits of a tankless water heater may seem like a no-brainer investment. However, the biggest draw-back for homeowners is the install cost. A tankless water heater can cost up to three times more than a traditional system. The point of a tankless water heater is that long term benefits will pay off, but of course, this upfront cost is not always a comfortable option.
Additionally, it is important to consider whether you will be installing a natural gas water heater or an electric model. Complications with both natural gas and electric tankless models can affect your installation costs. A natural gas model may require installing a larger gas line to supply the unit with enough fuel. A gas system also requires annual servicing and produces greenhouse gases. An electric model will stop your greenhouse gas emissions, but the system will require a lot of energy. Depending on your home, an electric model may require the installation of an additional circuit. These additionally considerations with tankless water heaters could increase the overall price of an already large investment.
With all of these considerations, your decision comes down to what is best for your home. There are many long term cost benefits to having a tankless water heater but it’s functionality or upfront cost might not work for you. As you make your final choice, consider some of these questions.
- What is will the payback period for your water heater be?
- Is life expectably important to you?
- Do you have the proper gas or electrical requirements for a tankless heater? If not, are you willing to instal them?
- Does saving money, freeing up space, and having a long term system outweigh the initial cost and a tankless water heater?