If you’re considering installing a new water heater for your home, you’re probably weighing between a tank and a tankless water heater. You want to know which one will salon serve you well and for the longest. The truth is both of them work well, but how best they suit you depends on various factors such as your needs.
So, how do the two compare? Here, we’ll briefly compare tankless and tank storage water heaters.
Comparing Tank vs. Tankless Water Heaters
| Feature | Tankless Water Heater | Tank Storage Water Heater |
|---|---|---|
| Energy Efficiency | High efficiency as it heats water on demand, leading to less standby energy loss. | Lower efficiency due to constant heating and reheating of stored water, leading to more standby energy loss. |
| Initial Cost | Higher initial cost due to advanced technology and potential need for retrofitting. | Lower initial cost, simpler technology and installation. |
| Operating Cost | Lower operating costs over time due to higher energy efficiency. | Higher operating costs over time due to less energy efficiency. |
| Lifespan | Longer lifespan, often 20 years or more. | Shorter lifespan, typically 10-15 years. |
| Space Requirement | Compact, requires less space. Can be installed on a wall or in small spaces. | Bulky, requires more space. Typically installed in basements or utility rooms. |
| Water Supply | Endless hot water supply, ideal for simultaneous demands. | Limited by tank capacity, can run out of hot water during heavy usage. |
| Recovery Rate | Instantaneous heating, no recovery time needed. | Takes time to heat up a new tank of water after the stored water is used up. |
| Environmental Impact | Lower environmental impact due to higher efficiency and less water waste. | Higher environmental impact due to more energy consumption and potential for more water waste. |
| Maintenance | May require annual maintenance to remove mineral build-up, depending on water hardness. | Requires regular maintenance to prevent rust and sediment build-up, includes tank flushing. |
| Installation Complexity | More complex and potentially costly, may require upgrading electrical or gas systems. | Simpler and generally less expensive, compatible with existing connections in most homes. |
Initial Cost Comparison
The initial cost of these two waters varies greatly. Installing a tankless water heater is much more expensive than a tank storage water heater. First, it requires both plumbing and electric work.
Secondly, tankless water heaters have a higher price tag than tank-style heaters. According to Forbes, it costs between $500 to $800 for the electric one and $750 to $2,300 for the gas-powered one. On average, you can pay about $800 for a new system.
Labor also costs money, with tankless water heaters costing more. You can expect to pay anything from $1,000 to $3,500 for a basic installation. Tank storage water heaters cost $300 to $2,000 and $200 to $1,100 for installation.
Operating Costs
When selecting a water heater for your home, the operating costs are among the most significant factors. Despite having higher upfront fees, tank less water heaters have far less operational cost than tank storage water heaters. However, this cost can vary depending on how frequently you use it and your household size.
A tank-style water heater can sometimes heat more water than you require. It inflates your operating costs by increasing your energy bills and water wastage.
Equipment Life
How long you want your equipment to serve you is also a factor when selecting the perfect water heating system for your home. These home appliances can last close to two decades before you replace them. According to the U.S. Department of Energy, tankless water heaters have a service life of about 20 years.
On the other hand, a tank storage water heater can serve you for 10–15 years. This difference of five years translates to long-term cost savings despite the initially higher upfront costs. While the tank-style water heater is more affordable, it has a higher operational cost and less lifespan, making it less economical.
Energy Savings
Whether you want to shower or clean clothes, heating water can be expensive. In fact, it’s the second-highest energy consumer in the average American home. According to the Department of Energy, water heating accounts for 18% of total energy usage in most homes.
If you’re keen on saving energy, a tankless water heater is your best option. Usually, it only heats water on demand instantly, meaning it doesn’t use energy when not in use. Tank storage heaters store hot water throughout, which is enough for multiple uses. That means they will heat more gallons of water even if you only need a few to clean skip the dishes.
Hot Water Usage
Tankless and tank storage water heaters differ significantly in how they provide hot water. The best one for your home will depend on your water needs and how much you want to spend on energy expenses.
A tankless system heats water instantly as it flows through it. That means it can provide hot water for multiple showers and other uses on demand. Tank storage works differently. They heat and store the water in an insulated tank that you can use for several showers. This tank comes in various capacities, and if you use it all at once, you will have to wait for 60–80 mins. It might not be your best option if you have more need than its capacity.
Conclusion
Water heaters are an excellent way to provide hot water, especially in cold months. However, the two types differ in their operation and the cost of owning and maintaining one. Generally, the best one depends on your goal and immediate needs. Ready to switch to the energy-efficient side of tankless water heaters? Call Anderson Plumbing, Heating, and Air today for a free quote.
