What if we told you that you could cut water heating bills without compromising water availability? That is the proposition of tankless water heaters. For most homeowners, low-cost water heating is a priority, so it makes sense that you would opt for an energy-efficient tankless water heating system.
Energy efficiency and low utility bills go hand in hand. But how energy efficiency factors into lower long-term operating costs isn’t clear-cut.
At MyGuy Plumbing, we analyze whether tankless water heaters save money. So let’s get into it.
What Are Tankless Water Heaters?
Tankless water heaters or on-demand heaters deliver hot water to your faucets when you need it. Traditional tank heaters store hot water and release it when you open the tap. In contrast, tankless systems use rapid heating powered by gas or electric devices to heat the water as it passes through the machine.
The low initial upfront cost is one of the main reasons tank water systems are still in use. But tankless systems provide an appealing option for the Toms River homeowner looking to lower utility costs.
How Much Can a Tankless Water Heater Save?
The US Department of Energy points out gas-fired tankless heaters save $108 annually. Electric tankless heaters save $44 for the same period. Knowing the pricing model is imperative before you rush to the store and buy the tankless system.
Conventional tank water heaters use far less energy. The water must always be hot in a tank system even when you aren’t home. The result is the system running up your bills through constant heating and reheating.
In contrast, tankless systems only use energy when needed. The advanced heating technology keeps running until you switch off the hot water faucets. The differing operating modes mean tankless systems use less energy than their tank counterparts.
Most homeowners don’t enjoy lower utility bills. Tankless systems mean you have constant hot water access.
Here’s some quick math to jog your brain—electricity bill+ water bill= utility bill. Increasing your water usage by 30% and lowering your electricity bill by 30 is a classic example of robbing Peter to pay Paul. Using the same gallons per day on a tankless system will dramatically cut down utility bills.
The sweet spot is installing multiple tankless systems in your house. By doing that, you can reduce your utility bills by up to 27%.
The Cost of Tankless Water Systems
You may shudder when inquiring about the price of a tankless water system at your local vendor. There is a vast range of on-demand systems—some cost up to $3000 depending on the brand, underlying technology, and manufacturing material.
Gas-powered systems cost more than electric-fired ones. For example, an electric-powered heating system will set you back $1100 while you’ll pay $3000 for a gas-powered one.
The tankless systems employ complex engineering mechanisms. It means the accessories and installation costs are significantly higher than installing tank heating systems, but the long-term operating costs offset the initial upfront cost. As a result, you not only save money but also contribute to a greener environment.
For the costly investment, you save energy, instantaneous heating, and enjoy water heating system longevity. Tankless heating systems can last up to 20 years, and most of them have a 12-year warranty compared to 6 years for the tank-style system.
Other Benefits of Tankless Systems
Besides saving money, here are other benefits tankless systems confer to you:
- The compact designs save space. If you live in a condo or a home where space is a concern, tankless systems are the solution.
- Instant water heating means you won’t wait even seconds for the water to heat.
- Tax breaks for installing the system. You can get a 10% tax credit for tankless water heaters.
The Ideal System
If you are looking for a hot water system, you will find a gas-powered tankless system the ideal choice. The compact design enables you to fit the system in tight spaces in your home. Also, you get an unparalleled hot water supply without increasing your electricity bill.
Let Us Pick the Right Tankless Water Heater for You!
Tankless systems have little net savings, but cumulatively the savings enable you to spend your money on other things. Therefore, always ensure you work with top-rated plumbing experts for your installation.
At MyGuy Plumbing, we are committed to providing you with the best water heating systems. Our customer-centric approach will have you benefiting the most from your water heaters.
Give us a call today to learn more.