Installing a Tankless Water Heater in Austin: Cost Considerations

When it comes to home maintenance, few jobs are as murky, time-consuming, and potentially expensive as installing a tankless water heater. Weighing the costs and benefits of installing a new tankless water heater can be a daunting task. The cost of the unit itself is only the beginning, and the confusion can quickly mount. Here, we'll consider what factors influence the cost of installation, and how to determine whether a tankless water heater makes sense for your home.

Living in Austin, Texas, 78749, homeowners have different considerations when it comes to tankless water heater installation than those living in other parts of the country. The average Austin homeowner pays around 1.13 per kWh for electricity, and the winter days can be chilly, so the potential energy savings of a tankless unit might not be as great. On the other hand, natural gas prices in the city are among the lowest in the country, so the cost of installing and operating a gas-powered tankless unit could be attractive.

Factors that Influence Tankless Water Heater Cost in Austin

Though the upfront cost for a tankless water heater is higher than that of a traditional water heater, the long-term savings can justify the expense. To determine the true cost of your tankless water heater, factor in the following:

Size of your Home

Tankless water heaters come in many sizes, from small units for apartments and small homes to larger units suitable for larger homes and even commercial buildings. The size of your home, as well as the number of bathrooms, will influence the size and cost of the water heater.

Fuel Source

The majority of tankless water heaters in Austin are powered by natural gas or electricity. Gas-powered units can help reduce energy costs, while electric units have the advantage of easier installation. Gas-powered units must be installed by a professional with experience in gas line installation.

Combi-Boiler

A combi-boiler is a tankless water heater and boiler combined in one unit. This type of unit can provide both hot water and space heating. It can be more expensive than traditional tankless units but may save in energy costs and provide an additional benefit of space heating.

Installation

Tankless water heater installation requires a professional with experience in gas or electric installation. Installation costs can range from several hundred to several thousand dollars, depending on the size and type of unit and the complexity of the installation.

Permits

In addition to the installation cost, a homeowner may also be responsible for obtaining necessary permits, such as plumbing or gas permits. Each permit can cost up to $50 or more, depending on the city regulations.

Calculating Cost Savings

Once the upfront costs of installation and permits is determined, you can estimate the energy cost savings from a tankless water heater. Traditional water heaters lose a great deal of energy as they operate, whereas tankless water heaters only heat the water when it is needed, resulting in significant energy savings over time.

Also, traditional water heaters have to be replaced every few years and come with high installation costs. Tankless water heaters are designed to last up to 20 years or more with proper care, so the long-term cost savings can be significant.

Finally, some utility companies provide rebates for tankless water heater installation. Contact your utility company for information on available rebates.

Are You Ready?

Choosing the right tankless water heater for your home may seem intimidating at first, but with a little research and the right information, you can make an informed decision. Speak to a local plumbing professional for expert advice and an estimate on installation cost.

Tankless water heater cost

Austin TX

gas-powered units