Have you been hearing about tankless water heaters and wondering how they work? If you’re a homeowner looking to save space and improve energy efficiency, a tankless water heater might be the perfect upgrade for your home. These modern water heaters offer on-demand hot water without the need for a bulky storage tank. This guide will cover everything you need to know about tankless water heaters, including:
- How does a tankless water heater work
- The benefits of using a tankless system
- Important things to know before installing one
🔎 What Is a Tankless Water Heater?
A tankless water heater, also referred to as an on-demand water heater, is a modern solution to providing hot water efficiently and only when you need it. Unlike traditional water heaters that store heated water in a large tank and maintain its temperature until it’s used, tankless systems heat water directly as it flows through the unit. This means that when you turn on a hot water tap, cold water travels through the system, gets heated by either gas or electric elements, and is delivered to you instantly.
One of the key benefits of a tankless water heater is the elimination of standby energy loss. Traditional water heaters consume energy continuously to keep a tank full of water hot 24/7, even when you’re not using it—like during the night or when you’re away from home. Tankless water heaters, on the other hand, only operate when hot water is required, making them more energy-efficient and cost-effective in the long run.
How Does a Tankless Water Heater Work?
At its core, a tankless water heater operates using advanced heating technology designed to deliver hot water instantly. Here’s how it works step by step:
- Cold Water Intake: When you turn on a hot water tap, cold water enters the tankless water heater through the intake valve.
- Flow Sensor Activation: A flow sensor detects water movement and signals the heater to activate.
- Instant Heating: A heating element or gas burner quickly heats the water to the set temperature as it flows through the unit.
- Hot Water Output: The heated water is delivered directly to your faucet, shower, or appliance, providing hot water on-demand without any waiting or waste.
🤔 7 Things to Know About Tankless Water Heaters
Before you install a tankless water heater, here are seven important things to keep in mind:
1. Upfront Costs Can Be Higher
Tankless water heaters come with a higher upfront cost compared to traditional storage tank systems, which can deter some homeowners from making the switch. This higher cost includes both the price of the unit itself, which is often significantly more expensive than storage tanks, and the installation, which requires professional expertise and can add to the expense. However, while the initial investment may seem steep, tankless systems often offer long-term savings due to their energy efficiency. Unlike traditional systems that continuously heat water in a storage tank, tankless models only heat water on demand, reducing energy consumption and lowering utility bills over time. For those willing to invest upfront, the savings can make this option worthwhile in the long run.
2. Proper Sizing Is Essential
Choosing the right-sized tankless water heater for your home is critical to ensuring it meets your household’s hot water needs. Tankless systems heat water on demand, so their efficiency is tied directly to the unit’s capacity and your home’s water usage. For homes with multiple bathrooms or high water demands—such as running a shower, dishwasher, and washing machine simultaneously—a higher-capacity unit may be required. In some cases, homeowners may need to install multiple systems to meet the demand. Improper sizing can lead to issues like fluctuating water temperatures or reduced water flow, which can be frustrating for users. Consulting a professional to determine the correct size and capacity for your home is a key step in choosing a tankless system.
3. Requires Professional Installation
Installing a tankless water heater is a complex process that typically requires professional expertise. Unlike traditional systems, which are more straightforward to set up, tankless units often require adjustments to your home’s plumbing, electrical, or gas lines to ensure they function properly. Incorrect installation can lead to inefficiencies, safety concerns, or even damage to the unit. Professional technicians are trained to comply with local building codes and optimize the installation for maximum efficiency and safety. While professional installation adds to the overall cost, it ensures the system is installed correctly and operates as intended, giving homeowners peace of mind.
4. May Need Electrical or Gas Line Upgrades
Tankless systems demand more power than traditional storage tank heaters, which may require upgrades to your home’s infrastructure. For electric tankless water heaters, this could mean rewiring your electrical system or increasing your home’s amperage to handle the higher load. For gas-powered models, you might need to upgrade gas lines or install special ventilation systems. These upgrades can add to the cost of installation but are necessary to ensure the system operates safely and efficiently. It’s essential to factor these potential costs into your decision-making process when considering a tankless system. A professional installer can assess your home’s current setup and provide an estimate of any additional work needed.
5. Regular Maintenance Is Required
While tankless water heaters are known for their longevity and reliability, they still require routine maintenance to perform at their best. Mineral buildup, especially in areas with hard water, can reduce efficiency and damage internal components over time. Regular cleaning and descaling, typically once a year, can prevent these issues and extend the unit’s lifespan. Some manufacturers recommend installing a water softener to further reduce the effects of hard water. Additionally, filters and other components may need periodic checks and replacements. While maintenance is relatively simple, neglecting it can lead to decreased performance and costly repairs down the line. Investing time in routine care ensures your tankless system remains energy-efficient and lasts for many years.
6. May Struggle with High Demand
One of the potential downsides of tankless water heaters is their capacity to handle high water demand. Because they don’t store heated water, they rely on heating water as it’s needed, which can be challenging in homes with multiple simultaneous users. For example, running several showers, a dishwasher, and a washing machine at the same time may exceed the unit’s capacity, leading to inconsistent water temperatures or reduced flow rates. In such cases, homeowners may need a larger-capacity unit or even multiple tankless systems installed in different areas of the home. Proper planning and consultation with a professional can help address these challenges and ensure your system meets your household’s needs.
7. Potential Tax Incentives
One of the advantages of investing in a tankless water heater is the potential cost savings through tax credits or rebates. Many energy-efficient models qualify for government or utility incentives aimed at encouraging eco-friendly upgrades. These programs can significantly reduce the upfront cost, making tankless systems more affordable for homeowners. Incentives vary by location and may include federal tax credits, state or local rebates, or discounts from utility companies. To take advantage of these savings, homeowners should research available programs in their area and ensure their chosen tankless model meets the eligibility requirements. These incentives, combined with long-term energy savings, can make tankless systems a financially appealing option.
👉 Benefits of a Tankless Water Heater
Switching to a tankless water heater offers several compelling advantages for homeowners, including:
1. Energy Efficiency
Tankless water heaters are designed to heat water only when you need it, unlike traditional tank models that continuously maintain a reservoir of hot water. This on-demand heating system significantly reduces energy consumption, which means lower utility bills for you. Over time, the energy savings can really add up, making tankless water heaters a cost-effective and eco-conscious choice.
2. Unlimited Hot Water
Forget about running out of hot water during a relaxing shower or while doing laundry. Tankless water heaters supply hot water continuously for as long as needed, so you’ll never have to wait for a tank to refill. This makes them ideal for large families or households with high water usage.
3. Space Savings
One of the biggest advantages of tankless water heaters is their compact design. Without the need for a bulky storage tank, these units can be mounted on walls, saving you valuable floor space. This is especially beneficial for smaller homes, apartments, or anyone looking to optimize their storage areas.
4. Longer Lifespan
Investing in a tankless water heater means you’ll enjoy a product with a longer lifespan. While traditional tank water heaters typically last 10-15 years, tankless models can last up to 20 years with proper maintenance. This durability makes them a smart long-term investment for your home.
5. Eco-Friendly
Tankless water heaters use less energy, which not only saves you money but also reduces your home’s carbon footprint. By choosing a more energy-efficient system, you’re making a positive impact on the environment. For homeowners who want to live more sustainably, a tankless water heater is a great step toward greener living.
🏡 Tankless Water Heaters
A tankless water heater is a smart investment for homeowners seeking energy efficiency and endless hot water. Understanding how it works is just the first step—choosing the right team to handle your installation or upgrade is just as important. At Thelen Mechanical, our certified technicians have the expertise and dedication to ensure your heating system operates at its best.
With unbeatable customer service, affordable pricing, and a commitment to quality, we’re the team you can trust for all your heating needs. Ready to make the switch? Contact Thelen Mechanical today and let us help you enjoy the many benefits of a tankless water heater!
