Tankless Water Heater

In Denver, a tankless water heater can set you back anywhere from $800 to $2,500 just for the unit. Adding the installation costs makes the total go from about $1,000 to $3,000 upwards, and that can vary quite a lot depending on how complex the model you've chosen is, whether any retrofitting is needed, and what the going rate for labor is here in Denver. So, definitely get some estimates, both for the unit and for the installation, from local suppliers and installers.

A tankless water heater can come with a greater price tag than a standard water heater that uses a tank. Once the price is paid, the hope is that the unit delivers enough hot water to satisfy simultaneous demands from several pipe fittings. As anyone who has ever taken a shower while a load of clothes is washing knows, if more than one device calls for hot water at the same time, a tankless unit can struggle to maintain the desired temperature. Taking load demands and temperature maintenance into account, folks with larger households might need more than one unit to adequately serve their piping hot needs.

On average, it costs between $1,000 and $3,500 to install a tankless water heater. The price depends on several factors—mostly the kind of heater (gas or electric) and how difficult the installation is. Regional differences in labor costs also affect the price.

You can substitute a conventional 40-gallon water heater with a tankless model. Water heaters that lack a storage tank supply instant hot water and can be more energy-efficient compared with traditional water heaters. However, replacement is not as simple as plucking a water heater from its pedestal. One must consider several factors, including how much hot water the household requires, the size of the household, and the installation requirements of the tankless unit. Most important, can the tankless unit you install supply an adequate amount of hot water for your needs? If not, what kind of modifications to the home's electrical or plumbing system are required? Consulting with an expert can help you navigate the many choices and find the best solution for your home.

Saving money with a tankless water heater can depend on several factors, such as how much hot water you use, what your local energy costs are, and how efficient your particular tankless model is. On the whole, tankless water heaters are more energy-efficient than traditional water heaters and can save the typical homeowner about 10 to 30 percent on energy bills. For an average household that could mean about 100 to 200 dollars in savings each year. When calculating your potential savings, also consider the higher purchase price and maintenance costs.

Installing a tankless water heater can be pricey because it often requires extensive changes to your plumbing and your home's power systems. Even if you're doing the installation in new construction, the plans may need to be significantly altered for a tankless system to work properly and safely. If you have a natural gas line, it may not be able to handle the increased demand that a tankless heater may require. On top of all this, the units themselves cost more than traditional water heaters, and you can't really do the job properly unless you also purchase new venting materials suitable for the demands that a tankless unit places on a home's infrastructure.

Owners of tankless water heaters may qualify for an IRS tax credit—if their systems are suitably energy efficient. Whether or not you hit the mark might depend on the heater's Energy Factor (EF) or Uniform Energy Factor (UEF). Both of these numbers are essentially ratings that demonstrate how well a water heater can perform under standard conditions.

You cannot exhaust your supply of hot water when using a tankless system, as it heats water on demand to supply an uninterrupted flow of hot water to your fixtures and appliances.

Compared to conventional tank water heaters, water heating units with no tanks are usually more energy-efficient. They don't have to maintain a reservoir of hot water at all times, but rather, they heat water as it's needed. If you use a lot of hot water, or if your tankless unit is plumbed to serve a large household, you may find that your electric bill has increased since installing it. Yet, when looking at the bigger picture, these units usually save more energy than water heating that's done in convenient tanks.

Models from reputable brands such as Rinnai, Rheem, and EcoSmart are often regarded as the finest tankless water heaters. These models stand out for their energy efficiency and reliable performance. They also ensure that you always have hot water when you need it. If you're contemplating a switch from a tank water heater to a tankless model, you should pay careful attention to the unit's specifications, particularly the flow rate. This will determine whether or not the unit can keep up with your household's hot water demands.