How much should I charge to replace a hot water tank?

Author: Roberta Ferry  |  Last update: Saturday, August 2, 2025

The typical range for water heater replacement is between $1600 to $5500, averaging around $3,550. For the rest of the cases, the price tag on your electric water heater repair project, one of the most critical aspects, will be the specific part that requires work. The average cost of repairing a water heater is $506.

What is the average labor cost to replace a hot water tank?

In general, plumbers cost $45 to $200 per hour, while electricians cost $50 to $100 per hour. Expect the following average price ranges for labor alone: Replacing a tank-style water heater: $150–$450. Replacing a tankless water heater: $600–$1,850.

Why do plumbers charge so much to replace water heater?

This is because the process of installing a new water heater can be quite complex and often requires the use of special tools and equipment. Additionally, the cost of labor for this type of project can be quite high.

What is the labor cost to install a 40 gallon hot water heater?

The cost to replace a 40-gallon water heater is $600 to $1,600 for an electric unit or $900 to $3,000+ for a gas unit, including installation labor. A 40-gallon water heater costs $400 to $2,000 for the unit alone, depending on the brand, features, energy efficiency, and fuel type.

How much does Lowe's charge to install a hot water heater?

The price depends on whether you want an electric or gas water heater. The basic installation fee at Lowe's is around $320. But, before the contractor can set up the heater, they'll need to come to your home to check the conditions and determine the best location for it. This inspection will cost you an additional $34.

Actual Cost For a New Water Heater (Complete Breakdown)

How much does Home Depot charge to install a hot water heater?

The Home Depot offers traditional water heater tanks and modern tankless units, both powered by either gas or electricity. Depending on your selection, the average cost for water heater installation is between $1,600 to $5,400.

Why is installing a water heater so expensive?

Newer models require specialized tools and training to install, and the associated labor costs can add up quickly, making the total cost of the water heater higher than you expected.

How long does it take to replace a 40 gallon water heater?

Water Heater Installation

Installing a new water heater usually only takes 2 to 3 hours. Keep in mind that if you are switching from a tank water heater to a tankless water heater or vice versa, it could take a little longer.

Can I replace a water heater myself?

In short: Yes, you can install a water heater on your own. There are, however, a lot of things to take into consideration. For one, you need to know what you're doing, and you need to have the proper paperwork or permits to do it.

How can plumbers charge so much?

Plumbing Requires Parts

Unless you're calling us over to simply unclog a drain, we'll need some “stuff” to fix your plumbing problem: pipe, fittings, hardware, appliances (like a garbage disposal), putty, valves, and so on. The costs of parts and materials get factored in to your bill.

Does homeowners insurance cover a water heater?

Whether or not homeowners insurance covers water heater leaks depends on the specific circumstances of the leak and the terms of your policy. In general, if the leak is sudden and accidental, and not caused by your negligence, your policy will likely cover the cost of repairs.

How much does a plumber charge to service a water heater?

It can cost $100 to $1,000 to fix a leak. Flushing and cleaning the tank is a common service that can cost $75 to $250, while flushing/descaling a tankless water heater can run up to $300. But a tune-up, which can also prevent major repairs, goes from $100 to $500.

How many hours does it take to replace a hot water tank?

On average, it takes two to three hours to replace a hot water heater — this includes each step of the installation process. There are three common types of replacements: Tank to tank installation: Whether you have a gas or electric water tank, the process is similar.

How much should it cost to replace a 50 gallon gas hot water heater?

Gas water heaters typically range from $1,100 to $4,000 for complete professional replacement depending on your area and complexity of installation.

How much is labor to replace a well tank?

Labor. You'll need to hire a handyperson or local plumber to tackle this job. A plumber's cost to replace a well tank ranges from $125 to $200. However, they may charge more if your pressure tank is in a hard-to-reach area.

What is the average cost to replace a 40 gallon water heater?

For example, the average 40-gallon water heater installation cost runs between $1,000 and $2,500, while its 80-gallon counterpart runs between $2,650 and $3,910.

How long of a shower can you take with a 40 gallon tank?

A 40-gallon water heater can provide up to 2 showers in an hour (if you're not using any other water appliances).

How much does Home Depot charge to install a hot water tank?

The labor cost to install a water heater through Home Depot ranges between $50 and $150 per hour. On average, you will spend between $100 and $450 because the installation usually takes two to three hours.

Will a plumber install a water heater I bought?

Licensed plumbers have the training and experience to properly install hot water heaters of all types. This includes electric and gas, tank and tankless, heat pump and geothermal. The job sometimes requires skills in addition to plumbing.

Is Rheem a good water heater?

Rheem water heaters are designed to be energy efficient. They come with a variety of features that help reduce energy costs, such as insulated tanks and advanced temperature control systems. Rheem also offers solar-powered water heaters, which can save you even more money on your monthly utility bills.

How much does it cost for a 30 gallon water heater?

The national average for replacing a 30-gallon water heater is $700 to $1,200, with most people spending around $950 on a gas-powered, energy-efficient 30-gallon water heater in a direct replacement in an accessible location.

Does home insurance cover a water heater?

As long as you've properly maintained the water heater, your homeowners policy would likely cover the water damage. For example, it could pay for new flooring and replace ruined furniture. However, it wouldn't pay to fix or replace the water heater unless you've added equipment breakdown coverage to your policy.

How much does Lowes charge to install a water heater?

The price depends on whether you want an electric or gas water heater. The basic installation fee at Lowe's is around $320. Once you purchase the project, a trusted independent installer will contact you to schedule your installation.

Should I replace my 20 year old water heater?

Absolutely! After 20 years, your tank water heater is well past its life expectancy. If you have a tankless water heater, it's approaching its life expectancy. At this point, you should expect additional repairs from wear and tear.

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