Is a tankless water heater good for a whole house?

Author: Benny Roob  |  Last update: Tuesday, July 8, 2025

Whole House Model. Tankless water heaters are very efficient and very durable. A tankless water heater saves energy, and it can provide endless hot water when you need it. It also has smaller carbon footprint as it uses less materials and less prone to corrosion since there is no water tank.

Can a tankless water heater run a whole house?

Yes, a whole-house tankless water heater is designed to meet the hot water needs of an entire household. These systems are capable of delivering a continuous supply of hot water, ensuring that multiple showers, appliances, and taps can run simultaneously without running out of hot water.

Are whole house tankless water heaters worth it?

A tankless water heater can help you save a lot on your utility bills. In fact, a tankless unit can cost up to 50% less to operate than a traditional hot water heater. Opting for a high-end model can help you save even more by reducing your energy consumption by up to an additional 9%.

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

You can go with a small tank and a small tankless water heater at the same time. You install this as a single device (1.5 gal per minute) tankless water heater with the output going to the tank and the tank feeding your household. If you need a lot of hot water quickly both water heaters run at the same time.

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.

Pros And Cons Of Electric Tankless Water Heaters

Why do people not like 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!

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.

Is it worth converting to a tankless water heater?

Even for homes with high water usage, up to 85 gallons per day, tankless water heaters can offer up to 14% energy efficiency savings. However, while they offer energy savings, the higher upfront costs and installation expenses can result in a long payback period, ranging from 12 to 27 years.

What is the life expectancy of a tankless water heater?

One of the most common questions asked by consumers about tankless water heaters is how long they will last. A tankless water heater can last anywhere from 15 to 20 years with proper maintenance and operation. In comparison, a standard tank water heater normally has a working life of 10 years or less.

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.

Where should a tankless water heater not be installed?

Keep your water heater away from outside elements

If your tankless heater is exposed to extremes weather conditions, it will run a greater risk of premature failure. So, make sure your appliance is away from doors and windows, and never installed in the garage or basement.

Do tankless water heaters increase the electric bill?

Because tankless water heaters only consume energy when you need hot water, they're more energy efficient, saving you money on water and energy bills.

What is not a benefit of 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.

Can you run 2 showers with a tankless water heater?

The right tankless water heater can definitely take care of all your family's hot water needs, including taking multiple showers at once. If you're considering upgrading to a tankless water heater, it's essential to work with experienced professionals.

Do you ever run out of hot water with a tankless water heater?

You can't run out of hot water with tankless water heaters – unless, of course, the power supply is off or goes out. However, a tankless water heater can have trouble keeping up with demand if too many things require hot water all at once.

Does Costco sell tankless water heaters?

And to keep the hot water flowing, we offer a variety of high-performance water heaters, including electric water heaters, energy-saving tankless water heaters, and the latest smart water heaters. Costco carries a variety of lighting that's perfect for your kitchen, bathroom, dining room, and outdoor living areas.

What are the downsides of tankless water heaters?

Tankless water heaters have several drawbacks and disadvantages, including a higher initial cost, limited flow rate, specialized venting requirements, potential need for additional equipment, limited hot water supply, delayed hot water delivery, mineral buildup and maintenance, complexity of installation, dependence on ...

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.

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.

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.

Why is tankless water heater installation so expensive?

Installing a tankless water heater can require gas line upgrades, electrical modifications, and specialized venting—all of which can increase costs. Professional labor also runs from $500–$1,500 due to complex installation requirements.

Why would someone want a tankless water heater?

Tankless water heaters, also known as demand-type or instantaneous water heaters, provide hot water only as it is needed. They don't produce the standby energy losses associated with storage water heaters, which can save money.

What is the best tankless water heater?

7 Best Tankless Water Heaters for Large Homes in 2025
  • Best Overall: Rinnai RU199iN.
  • Best Premium: Navien NPE-240A.
  • Best Gas Option: Rheem RTGH-95DVLN.
  • Best Electric: Stiebel Eltron Tempra 36.
  • Best Value: EcoSmart ECO 36.
  • Best Compact: Takagi T-H3-DV-N.
  • Best Warranty: Noritz NR981-DVC-NG.

Is there a tax credit for tankless water heaters in 2024?

Federal Tax Credit for Energy-Efficient Appliances

As part of this program, the tankless water heater tax credit for 2024 provides homeowners with a financial incentive to upgrade their water heaters to more energy-efficient models.

Which is better, a tankless water heater or a heat pump water heater?

Heat pump water heaters are the clear winner in most categories. They are extremely energy efficient, which can lead to lower operating costs, and they're eligible for excellent incentives. They're also safer and more reliable than gas-fired tankless water heaters.

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