Growing in popularity, especially with families using greater amounts of hot water, how do you know if a tankless water heater is right for your home? Also known as on-demand or instant water heaters, they offer many advantages over traditional tank-style water heaters and can be an excellent long-term investment. But, like any product, they have downsides and are not the right solution for every home. Professionals like Covenant Heating & Air Conditioning can advise you on why a tankless water heater may be a great choice for your home. Below is basic information about the advantages and also the disadvantages that may come with a tankless water heater.

The most significant advantage is energy and cost savings

The main advantage of tankless water heaters is that they are energy efficient and save you money over the long term. Unlike traditional tank-style water heaters, which continuously use energy to maintain a hot water supply, tankless water heaters only expend energy when you turn on a hot water tap or use appliances that require hot water.

• A tank-style water heater expends energy around the clock to maintain the temperature of a 40 to 50-gallon water supply so that hot water is ready when it’s needed.
• By only heating water when it’s needed, tankless water heaters do not experience standby heat loss, which occurs when heat escapes the water tank and needs constant reheating.
• When a tap, shower, or appliance is turned on, cold water passes through the tankless water heater where it’s heated by either a gas-fired burner or electric coils.
• Once the water is heated (this happens in seconds), the hot water travels through the pipes and out the tap, showerhead, or any other outlet in your home.

How much energy will you save?

Your energy savings depends on the amount of water you use and the efficiency of your previous tank-style system. According to the U.S. Department of Energy, tankless water heaters can be between 8% and 50% more energy-efficient than tank-style water heaters, but the actual efficiency depends on the amount of hot water you use.

• If you use less than 41 gallons of hot water per day, a tankless heater is 24%-34% more efficient than a tank-style heater.
• If you use a lot of hot water, around 86 gallons per day, tankless water heaters are only 8% to 14% more efficient since they are running more often.
• If you install tankless water heaters at each outlet (shower/sink) instead of a centralized system for your entire house, you can save even more; between 27% and 50%.
• Switching from a tank-style water heater to a tankless water heater will save a family of four an average of $100 per year or over $1500 throughout the lifetime of the system, according to Energy Star®.

An unlimited supply of hot water

For instance, you come home from a family outing, and everyone needs to take a shower. By the fifth shower in a row, the hot water is running low, and last person takes a cold shower. With a tankless water heater, you will never find yourself in that scenario because:

• Each tankless water heater has a maximum flow rate; in other words, they’re only able to heat a certain amount of water at a given time.
• If you have 5 showers running simultaneously, most tankless heaters won’t be able to keep up, but as long as your water usage at any given time is below the maximum allowable flow rate, tankless water heaters provide an endless supply of hot water.
• Since tankless water heaters work by heating water from the external source on-demand, you could take a shower for 10 hours (or longer), and the water would be as hot as it would be for a 10-minute shower.

Other reasons to choose a tankless water heater over a traditional tank-style heater:

• Take up less space
• Lower risk of leaking
• Safer – zero risk of tank exploding since today’s plumbing code requires all tank-style water heaters to have a temperature & pressure relief valve that opens to release pressure and eliminate the possibility.
• Significantly longer lifespan (20+ years on average)

Disadvantages of a tankless water heater

The main disadvantage of tankless water heaters is the higher upfront cost (unit and installation). Including installation, tankless water heaters cost three times more than tank-style water heaters (on average).

Other disadvantages compared to tank-style water heaters are:

• They take longer to deliver hot water

• Water temperature is inconsistent when multiple outlets are on simultaneously
• They cannot provide hot water during a power outage
• Tankless heaters need to be flushed annually by a plumber to remove mineral buildup in the heat exchanger, which can damage the unit over time. Failure to follow this maintenance routine may void the warranty.

5 simple questions to ask yourself:

1. Do you have $3,000 to invest in an appliance that will require several years to return that money back to you?
2. Is your house new construction or are you planning on staying in it for a long time (10+ years)?
3. Do you often run out of hot water due to several showers back-to-back?
4. Could you benefit from extra space in your basement?
5. Do you have three or fewer people living in your home?

We’re here to help you assess whether a Tankless Water Heater may be a great choice for your home. We service over 5,000 property owners in this area, providing peace of mind you can count on. Consult with the experts at Covenant Heating & Air Conditioning.