Top 5 Factors to Consider When Deciding on the Cost of a Water Heater

When it comes to the cost of installing a water heater, there are many factors to consider. From the type of material used to the potential efficiency savings, these considerations should all be weighed carefully when making this important home-improvement decision. Whether you're in Austin, TX (78617) or anywhere else in the United States, here are the top five things to keep in mind when weighing the cost of a water heater:

1. Equipment Type

There are two primary types of water heaters: tank and tankless. Of the two, tank water heaters are the most popular and the least expensive upfront. As the name suggests, tank heaters have an insulated tank that stores heated water until it's ready to be used. This traditional method is ideal for many homes, providing homeowners with a cost-effective way to keep hot water on demand.

Tankless, on the other hand, is the more cost-effective choice between the two. This type of water heater doesn't have a tank and instead heats up water only when it's needed. This eliminates the need to constantly keep a tank of hot water standing by, leading to significant savings over time.

2. Size

Once you've decided upon the type of water heater you want, the next factor to consider is how large of a unit you need. If you're looking for a tank heater, it's important to purchase a unit that's sized correctly. That's because a unit that's too small won't have the capacity to handle the hot water needs of your home. On the other hand, a unit that's too large can waste energy, leading to unnecessary expenses.

When it comes to tankless systems, the size needed is based on the size of your home and the number of people living in it. It's important to talk to a professional to ensure you get the right sized water heater for your unique needs.

3. Fuel Source

The next thing to consider is the type of fuel that's needed for your water heater. Both tank and tankless water heaters use either gas or electric power. Gas units generally have a lower cost than electric, but depending on where you live, you may be limited to electric due to local regulations. Additionally, gas-powered water heaters are also slightly more efficient than electric.

4. Efficiency

Efficiency is another factor to consider when deciding on the cost of a water heater. While both tank and tankless systems are available in a variety of efficiency ratings, some are more energy-efficient than others. If you're looking to save money over the long-term, you'll want to select a model that is more efficient.

5. Installation

Finally, the cost of installation is another factor to take into account. Both tank and tankless water heaters should be installed by a professional, so there will be a fee associated with this service. However, tankless units often require more complex installation due to their design, so the cost of installation will be higher.

Water Heater Cost

Tank Water Heaters

Tankless Water Heaters