In most homes, water heaters use the second most energy (right behind HVAC systems).
Electric water heaters consume the most energy by far. And gas water heaters still use their fair share. Not only does your water heater require energy to heat your water when you need it, but it also keeps the water warm when not in use.
Tankless water heaters do save energy. And they do so because they only heater your water as you need it because they have no storage tank.
A tankless water heater actually costs more than one with a tank up front. But because of their efficiency, they pay for themselves quickly. Water heating typically accounts for about 30% of your energy costs, and a tankless water heater can reduce your water heating costs by 25-60%.
Here’s other reasons tankless water heaters save you money:
Say you have a family of 4, and two people want to take showers at the same time. Will one have to wait for hot water?
No. And that’s because tankless water heaters heat all the water you need immediately. However, yours does need to be appropriately sized for your needs. So, you’re wise to hire an experienced contractor you have no doubt you can trust to do the installation.
Another benefit of tankless water heaters is that they give you a little extra storage space. After all, they don’t have a tank. So if you’re in a smaller home, or if you just like to have a lot of stuff that you can’t part with, they help a little in that regard too.
Finally, don’t forget that because you’re using so much less electricity that you’re doing the environment good also.
If you have the cash available for a tankless water heater, it’s undoubtedly a sound investment.