How hard is it to replace hot water heater with tankless?

Author: Weldon Von  |  Last update: Saturday, August 9, 2025

Tankless water heater replacement is a complex process that involves the skills of a highly trained technician. Unless you are experienced and comfortable enough to solder pipe, make gas connections and follow local codes, hire a licensed professional.

What is the downside of a tankless water heater?

Before you commit to buying a tankless water heater, the primary drawbacks to know include: Higher upfront costs. Tankless water heaters are, on average, quite a bit more expensive to buy and install than tank water heaters. Access to fuel.

How much does it cost to switch from a water heater to a tankless water heater?

Tankless units are more expensive. An electric tankless unit will cost about $500 to $700, roughly the same as a traditional tank model, while the cost of a gas tankless heater runs about $1,000 to $1,200. Beyond the initial cost, the national average for the installation of a tankless unit is slightly over $1,700.

Is it hard to replace a water heater with a tankless water heater?

Tankless water heater is surprisingly easy to install. Buy the ones you want and watch a few Youtube videos. It's not as challenging as it sounds. It's pretty basic, it runs one cold water, a gas line, and an electrical plug.

Is it worth replacing a tank water heater with a tankless?

Electric tankless water heaters still save homeowners around $44 per year according to the US Department of Energy. Longer useful lives than storage tank water heaters. Tankless water heaters typically last 20 to 30 years, double the forecasted useful life of a storage tank water heater.

Replacing A Water Heater Tank? Probably the Best Tankless Option for You.

Can I replace my 40 gallon water heater with a tankless water heater?

Absolutely! In fact, tankless water heaters are becoming the standard for new home construction because of the energy efficiency.

Why don't more people use tankless water heaters?

Some people hesitate to decide on a tankless water heater because they can be a slightly higher cost; however, you get significantly more life out of one. A standard water heater tank lasts about 8-12 years. A tankless water heater can last as long as 25 years!

Do you have to replumb your house for a tankless water heater?

Do I need to replace all my home's plumbing if I install a tankless water heater? Rarely is a complete overhaul necessary. However, you may need to upgrade certain sections of your plumbing, particularly those leading into and out of the tankless unit, to ensure proper water flow and volume.

Can you replace a 50 gallon water heater with a tankless water heater?

A 50-gallon water heater should be replaced with a tankless system with a 10 GPM flow rate just to be safe. Selecting the right flow rate ensures you won't experience cold showers or excessive energy costs. Proper sizing optimizes performance, providing hot water on demand without unnecessary waste.

What to know before switching to a tankless water heater?

3 Things to Know About Tankless Water Heaters Before Making the Switch
  • Tankless Water Heaters Require Maintenance. ...
  • Tankless Water Heaters Don't Work During a Power Outage. ...
  • Exterior-Mounted Tankless Water Heaters Require Freeze Protection.

Can you switch from water heater to tankless water heater?

Switching from a traditional tank water heater to a tankless heater has its benefits, like energy efficiency, space savings, and a consistent supply of hot water. However, the transition comes with a higher upfront cost and potential challenges.

How much does your electric bill go up with a tankless water heater?

How Much Electricity Does a Tankless Water Heater Use? Many people wonder if tankless water heaters increase electric bills. The answer is no — tankless water heaters can save money on your monthly electric bill because they're 8%-34% more efficient than storage water heaters.

Does home insurance cover a water heater?

It's important to note that standard homeowners insurance policies typically only cover damage to the structure of your home and personal property. They do not include replacement cost coverage for the heater itself.

Is there an IRS tax credit for a tankless water heater?

The federal tax credit for tankless water heaters can lead to significant savings for homeowners. Eligible tankless gas water heaters must have an ENERGY STAR certification and a UEF of greater than 0.95. Homeowners can claim up to $3,200 in tax credits for eligible home improvements in a single year.

When not to get a tankless water heater?

Electric Tankless Water Heaters

They're less expensive than gas-powered ones but aren't efficient if you run multiple hot water devices. They may struggle to keep up with multiple appliances at the same time.

Can you take a long hot shower with a tankless water heater?

While a tankless water heater will deliver an unlimited stream of hot water, they struggle to deliver a lot of hot water at one time. So while you might be able to take 100 showers in a row if you have the dishwasher, washing machine, and shower going at the same time you might have problems.

Should I replace old water heater with tankless?

Tankless Water Heaters Last Longer — On average, tankless water heaters last longer than tank-type heaters. Most tank-type water heaters have a life span of 10-15 years. The average life expectancy of a tankless heater is more than 20 years. Therefore, there are substantial long-term savings with a tankless unit.

Do I need to upgrade my gas line for a tankless water heater?

The Tankless Truth is, in many cases, you don't need to upgrade your gas supply line when going tankless.

Does a plumber or electrician install a tankless water heater?

While some handy homeowners might feel comfortable installing small electric point-of-use units, whole-house systems require licensed professionals for gas lines, venting, and electrical work. A certified plumber can provide the following services: Correct gas line sizing. Safe electrical connections.

Do tankless water heaters need to be flushed every year?

Over time, a tankless water heater may accumulate mineral build up which can erode the walls inside your tank's heating chamber. To properly maintain and clean your tankless water heater, it's important to flush those mineral deposits at least once a year.

Why is tankless water heater installation so expensive?

Fueling the Price Difference: Gas vs.

The type of fuel your tankless heater uses can also impact the installation cost. Gas-powered models generally require more complex venting systems and potentially new gas line installations, leading to a higher price tag.

Can multiple people shower at the same time with a tankless water heater?

A: Yes, but depending on the wattage of your unit, and the temperature you set, the pressure may go down.

What is the downfall to a tankless water heater?

A tankless water heater cannot provide hot water faster than its ability to heat the water. While a tank unit can provide hot water for multiple uses at once, a tankless unit might not be able to support simultaneous usage, such as washing dishes, taking a shower and running a washing machine all at once.

What is the lifespan of a tankless water heater?

Tankless water heaters usually last for around 15-20 years before they need to be replaced, but they may need replacing sooner if they start to break down or lose efficiency. Some common signs your tankless water heater needs to be replaced include: Low water pressure. Water doesn't get hot.

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