Tankless water heaters are more energy efficient than conventional water heaters and only heat water as it is needed. Storage type water heaters have to keep water hot 24 hours per day which results in standby energy losses.
Tankless water heaters save space and are considerably smaller than storage type water heaters. An average conventional heater is about 60″ tall, 22″ wide, and 22″ deep. The average tankless water is about 25″ tall, 14″ wide; and 10″ deep. Tankless water heaters are generally wall mounted saving even more space.
Tankless water heaters supply Continuous Hot Water. Ever run out of hot water while taking a shower? Very typical with a conventional water heater. People with custom shower systems that have multiple shower heads and body sprays will benefit the most from an on demand or tankless system since they never run out of hot water. It is important to note however that a tankless water heater can only supply so much water. That’s why is so important to select the correct unit for your hot water needs.
Switching to a tankless water system can save you money, by decreasing your utility bills up to 25-30% a month. The amount you save on your energy bills depends on how much hot water you use. “For homes that use 41 gallons or less of hot water daily, demand water heaters can be 24%-34% more energy efficient than conventional storage tank water heaters. They can be 8%-14% more energy efficient for homes that use a lot of hot water-around 86 gallons per day. Additional energy savings of 27%-50% can be obtained if you install a demand water heater at each hot water outlet.
The average 40 gallon storage tank will last 13 years, has an initial cost of $380, and uses $179 in fuel per year. An average whole house tankless water heater will last 20 years, have an initial cost of $800, and will use $90 per year to operate. This breaks down to a per year operating cost of $208.23 for the convention heater; and $130 for the modern on-demand tankless water heater. When you take those savings over the life the heater; the cost savings are even more attractive.
The energy efficiency and life expectancy of tankless water heaters make them very eco-friendly. With energy demands readily increasing, steps toward better energy efficiency are very important.
Federal Tax Credit
The Energy Policy Act of 2005 provides valuable federal tax credits for consumers and contractors who make energy-efficiency upgrades to their homes or install this type of equipment during new construction. Homeowners or renters who have energy-efficient products in their facility enjoy multiple benefits. At home, these benefits include lower home energy bills, increased indoor comfort, and reduced air pollution. In addition to helping savvy consumers lower their energy bills, the energy-efficient products are eligible for new federal tax credits, which actually lower the amount of federal income taxes that homeowners or homebuilders must pay our government or “Uncle Sam”.