Are storage tank water heaters cheaper?

Storage tank water heaters are much cheaper to install than tankless models, though they are typically less efficient, which can mean higher utility costs. Storage tank water heaters do present a more affordable installation cost than small tankless water heaters.

How much does a tank water heater cost?

The cost to install a tank water heater ranges from $650 to $2,500 or more, depending on tank size. A natural gas water heater costs between $600 and $2,700, while an electric option runs from $600 to $3,500. A tankless water heater, sometimes called an instant hot water heater, supplies hot water on demand, without the need for a storage tank.

How much does a tankless water heater cost?

The cost difference stems from the more complex installation requirements of tankless water heater systems. Tankless water heater costs run from $1,171 to $3,331, with many homeowners spending $2,216. The overall price depends on the brand, flow rate, and type of heater. Plumbers typically charge between $45 and $150 per hour for installation.

Are tankless water heaters energy-efficient?

Tankless models only heat water when needed, making them exceptionally energy-efficient. This condensing indoor unit operates at a 0.93 Uniform Energy Factor (UEF) to reduce energy consumption and save money on energy bills. Its design supports easy indoor wall mounting, saving valuable storage space.

Is a tankless water heater better than a solar water heater?

A tankless gas water heater tends to have a higher flow rate and is better suited for a larger household with higher hot water demands. Solar water tank heaters are environmentally friendly options. These systems use the sun’s energy to heat water, which is stored in a tank for later use.

How does a storage water heater work?

A single-family storage water heater offers a ready reservoir -- from 20 to 80 gallons -- of hot water. It operates by releasing hot water from the top of the tank when you turn on the hot water tap. To replace that hot water, cold water enters the bottom of the tank through the dip tube where it is heated, ensuring that the tank is always full.