Video Transcript: Tankless vs Tank Water Heater: Pros and Cons

Hello, my name’s Dave Schuelke. – And I’m Jim Schuelke. – [Both] And we’re with – We’re here to talk about a tankless water heater and a regular water heater, what the pros and cons are. You know, we get questioned all the time, hey, should I go with a tankless water heater? Should I switch with a tankless water heater? – And actually, that’s a really, really good question to consider.

So what we’re gonna do is we’ll start with a regular conventional-type water heater. Definitely a lot less expensive, especially if you already have one. So take for insistence, wouldn’t you agree, Jim, if it’s already in the garage, you switch it out, you put a brand new one in, easy to go get, so the convenient factor if it is in the garage, it’s gonna be a lot easier to replace verses, you know– – Verses a tankless water heater. So if you decided to go and switch it up with a tankless water heater in this application for example, it would be definitely double the cost right off the bat just for the heater. This heater would run, you know, double the cost of this tank-type 50 gallon heater. – Right. – The other issue would be on the tankless water heater is upsizing of the gas is a huge thing to consider because if that gas line is undersized, which is typically is, especially is you’re replacing your standard tank-type heater, you’d have to run a designated line, so that increases the cost for this.

– Exactly. And keep in mind that the tankless is a lot more sensitive, so if the gas piping or the water pipes are not sized properly, you’re not gonna get the peak performance out of a tankless water heater. – Correct. One thing about this storage tank is that it’s you know, it’s heating up that 50 gallons, or 30 gallons, or 100 gallons water heater 24/7 whether you’re using the water or not, so the energy savings between the two are probably about 30%.

– Yeah, that’s right. I think really the other good thing about tankless is that if you have this in your house, or in an area that you definitely need to use the space, a lot of people decide to upgrade to a tankless water heater, and that makes a huge difference as well. – Well, keep in mind too, if this is inside the house, you’ve got 40, 50 gallons of water that’s, you know, if it leaks, it can cause serious damage to your indoor home, so that’s one thing to consider as well. – That’s right. Well, the other con too is you have to keep in mind, you know, water issues is a big deal, our municipality water, we definitely have to make sure that your water is being dealt with, especially with a tankless water heater.

They tend to, over about a year to two years, especially if you’re not maintaining them, can get calcified within the burner tube, so– – That is correct. Now, one thing to keep in mind though, if you do maintain both of these heaters, the life expectancy of a tankless water heater, you could probably get 20 to 25 years out of it. Out of a traditional tank-type heater you’re probably gonna get anywhere between six to 14 years out of the heater. – Yeah, that’s true, good point. – Well, I hope we answered all of your water heater questions, and thanks for watching.

– Thanks for watching..

Some Frequently Asked Questions

Advantages and Disadvantages

They can virtually eliminate standby losses – energy wasted when hot water cools down in long pipe runs or while it’s sitting in the storage tank. By providing hot water immediately where it’s used, tankless water heaters waste less water.

Tankless water heaters save money in the long run, but initial costs are higher than tank models. … Tankless water heaters cost up to three times more than storage heaters — from less than $1,000 for an electric, whole-house model to $3,000 for a gas-powered one, including installation by a qualified plumber.
A new tankless water heater costs between $1,500 and $2,000 installed, while a whole house tank costs between $600 and $800. A tankless hot water heater costs around $430 without installation and a traditional heater costs around $440.
  • Somewhat higher utility bills.
  • Since storage tank water heaters heat, then reheat water to pre-set temperature, irrespective of what your hot water needs happen to be, they increase your utility bills. …
  • Occupy more space because of their size than on-demand water heaters.


Disadvantages include: Tankless water heaters usually can’t supply enough hot water for simultaneous uses such as showers and laundry. … If a gas-powered unit has a pilot light, it can waste energy (with a conventional water heater, the pilot heats the water in the tank so it isn’t really wasted).

yes, there’s a downside to this. Although a tankless system can‘t run out of hot water, it can be overwhelmed with demand. … If more than one tap is on demanding hot water at the same time, however, such as other showers or a running washing machine, the water heater will struggle to keep up and drain extra power.
The Most Reliable Water Heater Brands On The Market
  • Rinnai Water Heater. …
  • Ecosmart Tankless Water Heater.
  • GE GeoSpring Water Heater. …
  • Stiebel Eltron Water Heater. …
  • Bosch Water Heater. …
  • Takagi. …
  • Kenmore Water Heater. …
  • American Standard Water Heater.


Aside from the concern about carbon monoxide, a tankless water heater is a very safe piece of equipment. Because there is no tank which can overheat or experience a massive spike in pressure, a tankless system doesn’t have the danger of bursting or exploding.

Yes, you should, if it is for any significant length of time or there will be significant loss of water from the piping. For temporarily allowing repairs it probably is irrelevant, but if for vacation, remodeling, or the like you should shut off the source of heat, whether gas or electric.

Depending on your local utility costs, gas water heaters are typically cheaper to operate than electric. They also cost more upfront than an electric. However, based on energy savings, gas heaters generally make up the difference in price in about one year. Cost: $300 to $600 for gas; $250 to $500 for electric.

*The information above does not constitute legal advice or opinion, nor is it a substitute for the professional judgment of a qualified attorney.