How to Determine Tankless Water Heater Cost in Austin, TX

Are you a homeowner in the Austin, Texas area considering replacing your traditional water heater with a tankless water heater? Tankless water heaters offer many financial, environmental, and space-saving benefits that can make them a great investment for home owners. Unsurprisingly, understanding the true cost of a tankless water heater isn't a straightforward process. But don't worry, this article will discuss everything you need to know to determine the cost of installing a tankless water heater in your Austin, TX home.

The exact cost of a tankless water heater will vary based on a number of factors, such as the type of appliance you choose, the brand, the size, and the accessories you require. As a general rule, the cost of a tankless water heater installation should range around $1500 to $3750 depending on the various factors.

Necessary Components For Tankless Water Heater Installation

Much like any traditional water heater installation, the cost of installing a tankless water heater in Austin, TX includes various components such as the actual unit, labor, and materials.

Unit Cost

The unit cost is likely going to be your biggest expense. In fact, the purchase of the resources for the installation of a tankless water heater can range anywhere from $800 up to $2,800 or possibly more depending on the amount of power needed to heat your water. Generally, the higher the power of the tankless water heater, the higher the cost of the appliance. On average, an electric tankless water heater can cost around $800, while a gas model may cost approximately $1,200. Consider additional features or installation options (i.e. connecting to a recirculation pump, accommodating for natural gas, etc.), which may add to your cost.

Labor Cost

The labor cost associated with an Austin, TX tankless water heater installation is typically much higher than the cost of the unit. The labor requirements and cost of installation will vary depending on the complexity of the project. Most significantly, installation requires the services of a professional plumber for gas hookups and electrical connections. A professional plumber can typically charge anywhere from $1,000 to $2,000.

Accessories and Materials Cost

Finally, you may need to buy some additional accessories and/or materials to complete the installation. This could include venting, pipes, or additional electrical wiring and outlets. The cost for these items will vary depending on the needs of your particular installation.

Additional Tankless Water Heater Installation Costs to Consider

When looking to install a tankless water heater in Austin TX, there are some additional costs that homeowners should take into account.

Rebates

There are significant rebates available from both Federal and State governments to help offset the cost of purchasing and installing tankless water heaters. Be sure to investigate the various rebate programs available to help drive down your total installation cost.

Tax Credits

While rebates are generally used to offset the cost of the actual unit, tankless water heater tax credits can help reduce your total installation cost. Generally speaking, if you go with a gas powered tankless water heater, the total tax credit amount can range from $200 to $1,000, depending on the unit you buy.

Utility Savings

While the upfront costs of installing a tankless water heater in Austin, TX can be significant, the lower long-term energy costs should be taken into account. Due to modern design and higher efficiency, tankless water heaters can significantly reduce monthly energy costs. Studies suggest that homeowners who switch from a traditional water heater to a tankless water heater can save up to 60 percent of their total energy costs per year. Over time, this can significantly reduce or potentially even eliminate the cost of installation.

The Bottom Line

Ultimately, the cost of installing a tankless water heater in Austin, TX will depend on the brand, type, size, accessories, and labor requirements. Generally, the cost of tankless water heater installation can range anywhere from $1,500 to $3,750. Be sure to consider all the additional costs, like rebates, tax credits, and long-term utility savings, to determine what's best for your home.

Tankless Water Heater Cost

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