In this article…
- What Is a Tankless Water Heater?
- What Are The Benefits of a Tankless Water Heater?
- How Much Does A Tankless Water Heater Cost?
- Is a Tankless Water Heater Right for Me?
Whether your old water heater is starting to give out or you’re just curious about upgrading your home appliances, you’re interested in a tankless water heater and want to know if it is worth it.
Your water heater plays a major role in your home’s comfort and energy efficiency. From taking a hot shower, doing laundry, or running the dishwasher, having reliable hot water is essential.
For decades, traditional tank-style water heaters have been the standard. But in recent years, many homeowners have switched to tankless water heaters for their energy efficiency, space-saving design, and unlimited hot water.
But, is a tankless water heater better than a traditional tank? Are they worth it? When is a tankless water heater better for me?
If you’re interested in making the switch, these are just a few questions you need answered. Lucky for you, we’re here to help.
Jim’s Plumbing Now has been the trusted plumber for DFW homeowners for all kinds of plumbing needs, including sewer line repairs and replacements, drain clearing, and water heater replacements.
No matter your need for a new water heater, having all the information before making a decision is crucial. We’re here to educate you on all you need to know regarding water heater replacements and finding the right solution for you.
This article will explore what tankless water heaters are, how they work, their top benefits, and if a tankless water heater is for you.
What Is a Tankless Water Heater?
A tankless water heater, also known as an on-demand water heater, works differently than a traditional storage tank.
Instead of keeping a large supply of hot water heated at all times, a tankless unit heats water only when you need it.
Here’s how it works:
- When you turn on a hot water tap, cold water flows into the tankless unit.
- High-powered burners heat the water almost instantly.
- The heated water is delivered directly to your faucet or shower—without the need for a storage tank.
Because the system only runs when needed, it’s much more energy-efficient than a traditional water heater. Plus, it takes up significantly less space in your home, making it ideal for smaller homes and spaces.
What Are The Benefits of a Tankless Water Heater?
Before making any home upgrade, understanding the benefits of the new product is an essential step to ensure you make the right choice.
You want to know if a tankless water heater will meet your needs and improve the efficiency of your home.
Let’s look at five of the top benefits of tankless water heaters so you can have a better idea of if this is the right move for you.
1. Endless Hot Water
If you’ve ever been in the middle of a shower and suddenly ran out of hot water, you know the frustration of a traditional tank. Once the tank is empty, you have to wait for it to refill and reheat.
With a tankless system, there’s virtually no limit to how much hot water you can use.
Whether you’re taking long showers or running multiple appliances and faucets at once, you won’t have to worry about running out of hot water.
2. Lower Energy Bills
Traditional tank water heaters constantly heat and store water, even when you’re not using it. That means energy is being wasted 24/7, driving up your utility bills.
Tankless water heaters eliminate this issue by only heating water when you turn on a tap. According to the U.S. Department of Energy, switching to a tankless system can reduce your energy costs by 24–34% compared to a traditional tank heater.
Over time, those savings add up, helping you offset the upfront cost of a tankless unit.
3. Small Frame
Water heaters take up a surprising amount of space, especially traditional 50-gallon tanks. If your current unit is stored in a utility closet, attic, or garage, you know how much room it takes up.
Tankless water heaters are compact and wall-mounted, freeing up valuable space in your home. They’re especially ideal for:
- Smaller homes and apartments
- Homeowners looking to maximize storage space
- Remodels looking for a more modern solution
If you’re looking to get rid of your large, clunky, traditional tank water heater, the compact design of tankless water heaters may be a large benefit for you.
4. Longer Lifespan
If you’re replacing a traditional water heater, you may not have known that tankless systems last much longer.
Traditional water heaters typically last around 10–15 years, while tankless water heaters can last upwards of 20 years.
Because tankless units don’t store water, they are less prone to rust and corrosion. That means fewer leaks, breakdowns, and expensive repairs over time, allowing your tankless water heater to run more efficiently for longer.
5. Eco-Friendly & Energy Efficient
If you’re looking to reduce your home’s carbon footprint and improve overall efficiency, a tankless water heater is a great choice. Since they only heat water when needed, they consume less energy and produce fewer emissions.
Many modern tankless models are ENERGY STAR® certified, meaning they meet strict efficiency standards and also qualify for:
- Utility rebates
- Tax incentives
- Lower overall operating costs
By upgrading, you’re not just saving money. You’re making an investment in a more sustainable and efficient home.
How Much Does A Tankless Water Heater Cost?
While tankless water heaters offer long-term savings, they do come with a higher upfront cost, which can deter some from making the investment.
Tankless water heaters cost around $2,000 – $4,000 on average, while traditional tank water heaters cost as low as $800 to upwards of $2,500.
While traditional tanks are cheaper upfront, tankless units last twice as long and lower your energy bills, making them the smarter long-term investment.
Is a Tankless Water Heater Right for Me?
Now that you know all about how tankless water heaters work, their top benefits, and how they compare to traditional tank water heaters, you have a better idea of whether a tankless water heater is right for you and your home.
Tankless water heaters offer numerous benefits, like their energy efficiency, ability to fit in small spaces, and providing you with endless hot water.
Although they are more expensive than traditional tank water heaters, the long-term energy savings pay off the difference.
A tankless water heater may be the best choice if:
- You have a large family or high hot water demand
- You want lower energy bills and long-term savings
- You need more storage space in your home
- You plan to stay in your home for many years
A traditional tank heater might be better for you if:
- You’re on a tighter budget and need a lower-cost replacement
- Your home isn’t set up for a tankless system without major modifications
- You’re happy with your current hot water demand
If you’re tired of running out of hot water or want a more energy-efficient home, it may be time to make the switch. However, choosing the right water heater type depends on your wants, goals, needs, and budget.
Remember, every home and family is different, and plumbing solutions aren’t always one-size-fits-all. Finding the right plumbing company that listens to your needs and provides you with all the information you need to make the best decision for you, and educating yourself is the first step.
So, if you’re considering upgrading to a tankless water heater, you want to fully understand the cost to know if this investment is worth it.
Check out this article that outlines how much a water heater replacement costs, what factors most affect the cost, and how to find the right water heater solution for you.
Then, you’ll have a full knowledge of how much this project costs and can find the best company to work with that will provide you with honest, upfront pricing.
Ready to upgrade your water heater? Schedule your appointment with Jim’s Plumbing Now today!
