Pros and Cons of a Tankless Water Heater?

Wondering what are the pros and cons of a Tankless water heater? We got you!

Most of the oldest water heaters are standard unit provided with a tank that store hot water so that it is available in your house.


When replacing the old unit with a new one, or when in need of purchasing a new water heater unit for a new house, many people wonder whether a tankless water heater could be more convenient. 

According to the Department of Energy, a tankless water heater is 24%–34% more energy efficient than a standard tank water heater.

So are there more amazing benefits of using a tankless water heater?

If this is the decision you are making, we’d like to help by discussing the pros and cons of a tankless water heater.

Read: How Does A Tankless Water Heater Work?

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Tankless Water Heater: Pros and Cons

Tankless Water Heater


1. You never run out of hot water

This is probably the main advantage of having a tankless water heater. With standard units, you have a tank storing a limited amount of hot water: if you use all the water, you need to wait before hot water is available again.

This never happens with tankless water heaters that heat the water according to the need.

2. Energy-saving

Tankless water heaters are great because they use less energy than tank units.

This is mainly because tank-style units need to heat the entire tank of water, which requires a lot of energy. They also need to maintain it hot during the day.

Tankless water units heat the water only when you open a hot water faucet, and they need to heat only a small quantity of water at a time.

3. Long-term cost efficiency

Being energy-saving, tankless water heaters are also cost-efficient in the long term. In the long term, tankless water heaters determine money-saving.

4. Fits in compact spaces

In tank-style water heaters, you have the heating unit and the tank: the latter can be very big (it needs to supply the entire house) and takes up a lot of room.

Tankless water heaters are smaller units, and it’s easier to find a place for their installation.

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1. Might dig a hole in your pocket

Tankless water heaters are more expensive than the alternative. Furthermore, when you purchase a new water heating unit, you also need to pay the installation costs: when you pick a tankless water heater, the installation costs are also higher.

2. Hot water is not immediate

With tank-style units, the water stored in the tank is already hot. It means that as soon as you turn the hot water faucet open, you have hot water running.

With tankless water heaters instead, when you open the hot water faucet, the water would be still cold at the beginning. It’ll get hot as the water keeps flowing. This can determine some waste and added costs.

3. Inconsistent water temperature

Because of how tankless water heaters work, you have inconsistent water temperatures when multiple appliances are in use.

For example, if you use the shower and the kitchen tap at the same time, you don’t have the same temperature, or you’ll have a lower temperature on both appliances. 1

Hear it from Reddit users

What are the pro’s and con’s of a tankless water heater?
by u/foxi44 in homeowners

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Also Read: Calculate The Size Of The Water Heater?

Are Tankless Water Heaters Worth it?

Factors to Consider Before Buying a Tankless Water Heater

There are some things that you should consider before you decide to buy a Tankless Water Heater:

Hot Water Demand

A tankless water heater is made to provide hot water on demand. However, they need to be sized on the basis of the amount of water you use at any given point in time.

This water heater may not be able to supply hot water to all the channels in the house unless you have a point-of-use water heater system.

If you want hot water throughout your house, then you should buy a whole-house tankless water heater.

Getting Old Water Heater Removed

Installation cost could be more or less depending on the type of heater you had before and whether your new tankless water heater requires any additional plumbing work, gas lines, water lines, etc.

Before upgrading to a tankless water heater, you should consider these things to determine how much getting a tankless water heater installed will cost you.


If you live in a colder region, then water may take up more time to heat, and your tankless water heater might consume more energy to heat up the water.

People living in such cold regions should opt for a gas setup as opposed to an electric one. 2

What is the Installation Cost of a Tankless Water Heater?

You should hire a professional to do the installation of any kind of heater because doing it yourself can lead to mistakes, and any mistake you commit while installing will cost you much more than hiring a professional in the first place.

So installing a gas-based model will cost you $1,000 to $1,500, and an electric model will cost you $800 to $1,500.

Apart from this, you will also have to pay your plumber, who will charge $45 to $150 per hour, depending on different factors. 3

Tankless Vs. Tank Water Heaters

Wrap Up

So Tankless water heaters are energy efficient, provide hot water throughout, and are of small dimensions.

But they also have a high up-front cost and may offer inconsistent water temperature, so it is up to you if you want to buy this heater or go with a traditional water heater.


What are the common types of problems that I may have with a Tankless Water Heater?

The most common types of problems that you may face with a Tankless water heater are:

  • Sediment buildup
  • Ignition & flame failure
  • System overload
  • Exhaust blockage
  • Cold water mixup

How much maintenance does a Tankless water heater require?

Tankless water heaters, like other heaters, require yearly maintenance, so you should get it checked yearly by your plumber.

How often should I flush my water heater?

You can flush the water heater tank yourself, and you can get a plumber to do it for you. This should be done once a year.

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