Why is it so expensive to install a hot water heater?

Author: Prof. Brando Koss  |  Last update: Tuesday, February 11, 2025

For instance, tankless water heaters often require extensive plumbing and electrical work which can significantly increase the installation cost. The size and capacity of a water heater also influence its installation cost. Larger units with higher capacities usually cost more to install due to their complex setup.

Why is installing a hot water heater so expensive?

One of the most common factors as to why tankless water heater installations are expensive is that they have very complex designs which include gas lines, water lines, electrical wiring, and more.

Why do plumbers charge so much to replace a 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 average labor cost to install a water heater?

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.

What does Home Depot charge for hot water heater installation?

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.

Actual Cost For a New Water Heater (Complete Breakdown)

How much does Lowes 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.

Can I install a water heater myself?

Do not attempt installing a gas water heater yourself unless you're experienced and comfortable with soldering, working with natural gas and following local installation codes. Save yourself the hassle with our gas water heater installation services which include removal of the old water heater.

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.

What do most plumbers charge per hour?

The average plumbing contractor hourly rate will greatly depend on the level of expertise you're hiring.
  • Master plumber: $90 to $200 per hour.
  • Journeyman plumber: $70 to $120 per hour.
  • Apprentice plumber: $45 to $90 per hour.

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.

Should I buy a water heater from a plumber?

Water Heater Quality

The units available at a retail store or online typically are not the same as those sold through a local plumber. Low retail prices are often possible due to lower product quality and the use of less durable components.

Why are 80 gallon water heaters so expensive?

For those considering an 80-gallon gas water heater, expect the initial costs to be higher compared to smaller units due to the increased material and manufacturing requirements.

What is the life expectancy of a water heater?

While today's water heaters are better designed than older models, they still require regular maintenance in order to prolong their lives. With regular inspection, draining, and flushing, you can expect a gas water heater to last anywhere from 8-12 years and an electric water heater to last anywhere from 10-15 years.

Are tankless water heaters better?

Because tankless water heaters are more efficient, they cost less money to operate. This can save you money in the long run since utility bills are lower than with a tank water heater. Many people find that the cost savings in energy usage eventually makes up for the higher initial cost of a tankless heater.

Which type of water heater is the most expensive to install?

Cheaper upfront costs — Solar water heaters are by far the most expensive type of water heater. A heat pump water heater is less than half the cost of a solar water heater.

Does a 50 gallon water heater last longer than a 40 gallon?

In general, 40-gallon heaters last eight years, while 50-gallon heaters can last 12 years. This is because 50-gallon heaters have thicker tanks. As a result, they are less likely to develop leaks. A 50-gallon water heater will last about 8 to 20 years, which is longer than most water heaters.

What is the best water heater brand?

Conclusion. Choosing the best water heater brand includes considering factors like energy efficiency, capacity, and the sort of water heater that suits your household's needs. Brands like A.O. Smith, Rheem, Bradford White, Bosch, and EcoSmart offer a extend of dependable and productive choices.

How much is the labor to install a hot water heater?

Expect to pay $920 to $1,177 for electric water heater installation costs.

Am I allowed to install my own water heater?

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 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.

Is Rheem or AO Smith a better water heater?

If you're looking for a reliable, efficient, and cost-effective water heater, Rheemhas the edge over A.O. Smith. With superior energy efficiency, longer warranties, and better overall performance, Rheem units are designed to meet the needs of modern homeowners.

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.

How long does it take to install a water heater?

For a standard water heater replacement, installation usually takes between 2 to 3 hours. The technicians will remove the old unit, install the new one, and ensure everything is connected and working perfectly.

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