Moving Into a New Home? New Water Heater Technology to Consider

Anyone who has ever experienced the joys of having a nice, hot shower suddenly turn cold can attest to the fact that a water heater is one of the most important elements of a home. A solid, well-performing one means an almost limitless supply of warm water for cooking, cleaning, bathing, and doing laundry. An outdated, under-performing one means constantly wondering how long the heat will last and what your family will do in the event that it conks out for good.

Today, there are more options on the market than ever before when it comes to purchasing a water heater for your home. One of those is a tankless water heater. Also known as demand-type water heaters or instantaneous water heaters, these systems are changing the industry game and you may have heard of them in your research. Yet, with all of the competing data available, you may be wondering exactly how one works and whether or not it’s an ideal fit for your new home.

Thankfully, the U.S. Department of Energy has compiled a knowledge center focused solely on the topic, wherein the experts weigh in on how tankless water systems work, their pros and cons and how to go about installing one. Let’s take a look at some of the highlights.

How does a tankless water heater work?

In short, a tankless water heater only provides hot water as you need it. That means there is no excess energy loss from hot water sitting unused in a tank. When the times comes to utilize it, the system heats water directly, bypassing the use of a storage tank.

As soon as you turn on the hot water tap, cold water travels through a pipe and enters the unit. Depending on the type of heat you have in your home, that cold water is then warmed by either gas or an electric element. This means that hot water is available instantaneously and as long as the unit is in working condition, you’ll have a steady supply of it. You don’t have to wait for a storage tank to become full of hot water before it’s ready to be used.

The main downside associated with these types of water heaters is that while supply is constant, a tankless water heater can limit the rate at which the water flows out (known as the flow rate). Their average gallon-per-minute output is around two to five gallons. Keep in mind that gas-powered ones will have a faster rate than electric ones. While that number might not be as high as the flow rate available through a standard water heater, it’s typically enough to power a household, so long as there aren’t too many sources of hot water usage occurring simultaneously. To that end, if someone is showering, it’s wise to wait a while before running the dishwasher, starting a load of clothes, or taking a shower yourself, to conserve as much heat and energy as possible.

One workaround to avoid this issue is to simply install a second, backup tankless water heater. Doing so can help ensure that you never run out of hot water. Or, if you have an appliance such as a dishwasher that you plan to utilize frequently in your home, you can even hook up a tankless water heater dedicated solely to that unit.

The Pros and Cons of Tankless Water Heaters

One of the main advantage of installing a tankless water heater is the opportunity to conserve energy use. If your home uses 41 gallons of water or less per day, you can stand to use 24% to 34% less energy with an energy-efficient tankless water heater, such as a Navien NPE-240a tankless water heater than a traditional one. If you have a larger household that uses more hot water daily (around 86 gallons), the savings are slightly less at around 8% to 14%, but still significant.

Experts at the U.S. Department of Energy’s Energy Star program maintain that the average family can save around $100 per year on utility costs by installing an Energy Star-certified tankless water heater.

One of the cons of installing a tankless water heater is that at the onset, these units can cost more than their storage-tank counterparts. Yet, over time the energy savings alone is enough to make the investment worth it. Moreover, your tankless system has a longer lifetime and should last 20 years or more with fewer repairs needed. Alternatively, a standard system will only last around 10 to 15 years before needing to be replaced or significantly repaired.

Installing and Maintaining Your Tankless Water Heater

At the end of the day, deciding between a tankless water heater and a standard, storage tank one is a personal decision that will be determined by your family’s anticipated hot water usage. Before hiring a professional to install one, consider the size, costs and fuel type you’d prefer. Understanding these details can help you narrow down the options and make a more educated purchase decision.

Before partnering with a contractor, ensure that the company is verified by the Better Business Bureau and comes well-recommended by local homeowners and partners. Always request a cost estimate in writing and ensure safety is top-of-mind. Your specific project will be based on your available fuel type, climate, building code requirements, and safety concerns (especially with gas-fired models), so take your time selecting a system as well as an installer. Then, you’ll be ready to take that next step toward a more comfortable, energy-efficient home.