How Efficient are Tankless Water Heaters?

Tankless water heaters give you hot water when you need it. No more waiting for the cold water to heat up and having to choose between shower or laundry; now you can do both at the same time. Empty the hot water closet and go tankless; not only will you save space, but you’ll also save money, time, and help protect the environment. That is how efficient tankless water heaters are.

How Do Tankless Water Heaters Work?

Standard water heaters hold about 20-80 gallons of hot water. But, the process can actually waste water in the long run. Once the hot water exits, cold water has to be run back into the tank to refill and is then heated by fuels such as natural gas, fuel oil, propane, and electricity to satisfy the thermostat. This results in wasted energy because water is always being reheated in the tank even when hot water isn’t being used by the homeowner.

Tankless water heaters don’t need a storage tank full of hot water because their “on demand” system means cold water is heated by gas or electricity through a pipe, rather than a tank. With a tankless water heater you’ll always have hot water without waiting for a tank to fill up first. Take back your closet space by installing a tankless water heater.

Save Some Green by Going Green

Tankless water heaters are an investment. These water heaters have a lifespan of 20 years or more and can save you money and help the environment based on your home usage. Save between 8% and 34% energy savings when you install an “on demand” water heater as well as $100 or more per year with an ENERGY STAR® rated water heater. Though the initial investment is higher, the savings will pay out in the long run.

Some water heaters can be found for lower prices than the tankless versions, but they may need parts replaced and add to your utility bills since they’re always running. If they’re not maintained properly, they may need to be replaced sooner than expected. These are some of the “hidden” costs of traditional water heaters. As tankless water heater technology continues to improve, it makes more and more sense to purchase one over a regular water heater.

When you choose an “on demand” tankless water heater, you can save up to 40% in energy costs because there’s less water to heat and reheat. An electronic ignition system on the tankless water heater results in additional savings as it uses less energy than the constantly running pilot light of a conventional water heater.

The efficiency of propane used in a tankless water heater is not only a “greener” alternative to the traditional water heater system, but is also more cost effective. By using greener alternatives and cutting energy costs, you can also save money through rebates and tax credits by increasing your home’s energy efficiency.

On demand water heaters offer flexible installation, recyclable parts, and up to 40% energy savings and are a great way to improve the value of your home. Rebates and tax credits for utilizing more efficient and smaller “on demand” water heaters offer more incentive to protect your home and your environment. You’ll also appreciate the extra space, especially if you have a smaller home, and with a longer life expectancy than regular water heaters you won’t have to worry about a replacement for a long time.

Contact Us

Whether you’re building a new home or want to update your existing home with a more efficient water heater, contact your Diversified Energy service center find out more about how tankless water heaters can help you save space, money, and benefit the environment.