Tankless water heaters have become popular in recent years but are often a costly investment for homeowners in Maryland. With so many homeowners looking to save on their water bill and energy costs, upgrading from a traditional to a tankless water heater seems ideal. However, homeowners need to know which type of water heater is better for their home before investing in a new tankless water heater system.
If you’re looking to replace your unit, there are a few things you should consider when choosing between storage water heaters or tankless water heaters: cost of the unit, energy efficiency, water usage, and potential retrofit costs.
How do tankless water heaters work?
Tankless water heaters rely on high-powered burners to instantly heat water as it passes through. The water then travels directly to your shower, appliances, and faucets without storing it in a tank. These types of water heaters can come as either gas-fired or electric, in different sizes and capacities. Everyone’s water usage and needs are different, so make sure to review the different types of tankless water heater models and select the one that fits your home best.
Is a tankless water heater worth it?
A huge selling point for tankless water heaters is the amount of space they save, along with a reduction in long-term energy costs. Tankless heaters are much smaller than traditional water heaters making them easy to install out of sight.
Typically, standard water heaters store and heat around 30-60 gallons of water as needed. They can either use gas or electricity to operate, however, most homes use natural gas water heaters as they cost less to operate.
If your home is frequently running out of hot water you may want to consider a tankless heater. Tankless systems provide a more consistent supply of hot water since they heat water on demand, versus storing a limited amount of hot water like a traditional storage water heater.
What is the downside of a tankless water heater?
The initial cost of a tankless water heater is higher than conventional storage tank models. Additionally, you may have to upgrade some electrical or gas components in your home to accommodate the new water heater. However, compared to traditional water heaters, a tankless system can last 20+ years. On average, you can expect between 30-50% of energy savings. Homeowners can save more than $100 a year on operating costs.
A traditional water heater is generally less expensive and readily available in various sizes. Installation is quick and requires no new changes to your gas line or electrical panel. Storage tank water heaters are also simpler to operate, repair, and maintain. The biggest drawback is their size and ability to refill and reheat water quickly, especially in colder months.
How much does a tankless water heater cost?
Tankless water heaters don’t come cheap: the average price, with installation costs, is around $1,500-3,000. Tankless gas water heaters typically cost more than electric units but perform best. Your cost may differ depending on the model you choose and if your home installation includes retrofitting.
Tankless water heater installation isn’t cheap and energy savings are not immediate. Add in maintenance and potential repair costs, buying a tankless system may not be financially beneficial.
If you’re looking to save some space, a constant flow of hot water, or improved energy efficiency, installing a tankless water heater can make financial sense. Even more so if there are no retrofitting costs involved. Like most things, whatever you choose is dependent on your needs and budget.
Selecting a Water Heater for Your Maryland Home
For professional tankless water heater installation services in Maryland, contact BGE HOME today. We specialize in electric and gas water heater installation and repair services as well. If you have any questions about buying conventional or tankless water heaters, give us a call at 888-243-4663.