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New Tankless Water Heater Price: A Comprehensive Guide to Costs and Options

Tankless water heaters offer a modern and efficient alternative to traditional storage tank models. These units heat water directly as it flows through the device, eliminating the need for a storage tank and reducing energy waste. The price of a new tankless water heater depends on several factors, including the unit’s capacity, energy source, brand reputation, and additional features like smart technology integration.

Factors Affecting Tankless Water Heater Prices

The cost of a tankless water heater can range from $500 to $2,500 or more, depending on the model and specifications. Electric units are generally less expensive than gas-powered ones, with prices starting around $500. Gas models, which often provide higher flow rates, typically start at $1,000 and can exceed $2,000 for high-end units.

Installation Costs

Installation expenses can significantly impact the total cost of a tankless water heater. Professional installation is recommended due to the complexity of electrical or gas connections and venting requirements. Installation costs vary based on the unit type and home setup, ranging from $800 to $3,000. Retrofitting an existing system may require additional modifications, further increasing the price.

Long-Term Savings

While the upfront cost of a tankless water heater is higher than traditional models, the long-term savings on energy bills can offset the initial investment. Tankless units are up to 34% more energy-efficient for homes that use 41 gallons or less of hot water daily. Over time, these savings can make tankless water heaters a cost-effective choice.

Comparison of Popular Tankless Water Heaters

Brand	Model	Type	Price Range ($)	Flow Rate (GPM)
Rinnai	RU199iN	Gas	1,200 – 1,500	9.8
EcoSmart	ECO 27	Electric	500 – 700	6.6
Navien	NPE-240A	Gas	1,500 – 2,000	9.9
Stiebel Eltron	Tempra 36 Plus	Electric	1,000 – 1,300	7.0

Choosing the Right Unit

Selecting the right tankless water heater involves evaluating your household’s hot water needs, available fuel source, and budget. Electric models are suitable for smaller households with moderate hot water demand, while gas units are ideal for larger homes with higher usage. Consulting a professional can help determine the best option for your specific requirements.

For more information, visit trusted sources like energy.gov or consumerreports.org .

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