When your old water heater fails, quickly installing a new one is key to resuming daily activities like hygiene, washing, and cooking. This task generally runs between $906 and $3,910, depending on factors like heater type and tank size. Our guide details the typical costs and highlights when it’s time for a replacement.

Water Heater Installation Costs

In the U.S., the average cost to install a tank water heater ranges from $906 to $1,583, including both the unit and labor. Tankless models are pricier, costing about $1,833 to $3,910 for purchase and installation. Your final price will vary based on heater type, tank size, and any additional required work.

Brand Type of Water Heater Tank Size Cost Range
Rheem Electric 40-gallon $450 – $700
50-gallon $500 – $750
AO Smith Gas 40-gallon $600 – $850
50-gallon $650 – $900
Bradford White Propane 40-gallon $700 – $950
50-gallon $750 – $1,000
Bosch Tankless (Gas) N/A $800 – $1,500
Navien Tankless (Electric) N/A $700 – $1,200
State Solar 80-gallon $2,000 – $4,500
120-gallon $3,500 – $6,000
GE Oil 50-gallon $1,100 – $2,500
80-gallon $1,500 – $3,000

This table provides a general idea of the costs you might encounter when choosing a water heater. It’s important to consult with a professional installer for more accurate pricing based on your specific needs and local prices. Remember, the total cost can also include installation fees, which vary depending on the complexity of the job and local labor rates.

Upgrading or replacing your water heater is a significant decision that impacts your daily comfort and energy expenses. Understanding the different types of water heaters and their associated costs is crucial. Below, we delve deeper into various water heater types and additional considerations for your 2024 installation.

In-Depth Look at Water Heater Types

  1. Electric Water Heaters Electric water heaters are popular due to their efficiency and relatively low upfront cost. They heat water using electrical resistance coils and are typically easier and less expensive to install than gas models, as they don’t require venting systems. However, they might not be as efficient as gas models in the long run, especially in regions with high electricity rates.
  2. Propane Water Heaters Propane units are a great option for areas lacking natural gas infrastructure. They heat water faster than electric models and are more efficient than traditional natural gas heaters. Installation might require additional costs for setting up a propane storage tank, but the long-term energy savings can be significant.
  3. Natural Gas Water Heaters These are a go-to choice for their efficiency and cost-effectiveness, particularly in areas with affordable natural gas. Gas water heaters heat water quickly and are available in both tank and tankless models. They require venting to the outdoors, which can add to the installation complexity and cost.
  4. Oil Water Heaters Less common than other types, oil water heaters are an option in areas without natural gas or propane service. They are similar in operation to gas heaters but use oil as their fuel source. These heaters require an onsite storage tank for oil, which can increase installation complexity.
  5. Solar Water Heaters Solar heaters represent the cutting edge in energy efficiency, harnessing solar energy to heat water. They are an excellent choice for environmentally conscious homeowners and can significantly reduce energy bills. However, they require a substantial initial investment and are dependent on your location’s solar resource.

Installation Considerations

  • Energy Efficiency: Consider the energy efficiency of each type. More efficient models may have higher upfront costs but can save money in the long run through lower operating costs.
  • Space Requirements: The installation space can also influence your choice. Tankless models are more compact and can be installed in smaller spaces, whereas traditional tank models require more room.
  • Long-Term Cost Savings: While initial installation costs are important, consider long-term savings. Solar and propane heaters, for example, can offer greater savings over time despite higher initial costs.
  • Environmental Impact: Your choice can also be influenced by environmental concerns. Solar and electric models, particularly those powered by renewable energy, have a lower environmental impact compared to fossil fuel-based systems.
  • Maintenance Needs: Maintenance requirements vary by type. Tankless models generally require less maintenance than tank models, but solar systems might need more regular checks to ensure optimal performance.

Choosing the Right Professional for Installation

Selecting the right installer is as important as choosing the heater type. Look for licensed, experienced professionals who specialize in water heater installations. They can provide valuable advice on the best type for your needs and ensure a safe, efficient installation.

Benefits of Timely Replacement

Replacing your water heater before it completely fails can prevent inconvenient disruptions. A new, more efficient model can offer improved hot water supply, lower energy costs, and increased home value.

Planning for Future Needs

Consider your household’s future hot water needs. If you anticipate higher usage, opt for a model with a larger capacity or faster recovery rate. Planning ahead ensures your new water heater will meet your needs for years to come.

Final Thoughts

Investing in a new water heater is a decision that affects your daily life and long-term finances. By understanding different water heater types and their costs, you can make an informed choice that balances upfront installation costs with long-term benefits in efficiency, reliability, and comfort.

Frequently Asked Questions About Water Heater Installation

  1. What are the key differences between tank and tankless water heaters?
    • Tank Water Heaters: Store and heat a predetermined amount of water. They are generally less expensive upfront but can be less energy efficient due to standby heat loss.
    • Tankless Water Heaters: Heat water on demand and do not store it, leading to greater energy efficiency. They have a higher initial cost but can reduce long-term energy bills.
  2. How long does a typical water heater installation take? Installation time varies based on the type of heater and the complexity of the job. On average, it takes about 2-4 hours for a standard tank water heater and 6-10 hours for a tankless water heater, including any necessary modifications to plumbing or venting systems.
  3. Can I install a water heater myself to save on costs? While DIY installation is possible, it is not recommended due to the complexity and potential safety hazards involved. Improper installation can lead to water damage, gas leaks, or even voiding the manufacturer’s warranty. It’s best to hire a professional for safe and efficient installation.
  4. How do I know what size water heater I need? The size depends on your household’s water usage. A general rule is 30-40 gallons for 1-2 people, 40-50 gallons for 3-4 people, and 50-80 gallons for 5 or more people. For tankless water heaters, the flow rate (gallons per minute) is also an important consideration.
  5. How often should I replace my water heater? Most water heaters have a lifespan of 8-12 years, depending on the type, usage, and maintenance. Regular maintenance can extend the life of your heater, but if you notice issues like leaks, inconsistent water temperature, or discolored water, it might be time for a replacement.
  6. Are there energy-efficient water heaters available? Yes, many modern water heaters are designed for energy efficiency. Look for models with an Energy Star rating. Tankless water heaters, in particular, are known for their energy efficiency since they only heat water as needed.
  7. What should I consider when choosing a brand or model? Consider factors like energy efficiency, warranty, customer reviews, and your specific needs regarding water usage and space availability. It’s also wise to consult with a professional installer for recommendations based on your household’s requirements.
  8. Does the installation cost include the removal of the old water heater? Typically, yes. Most installers will include the removal and disposal of your old water heater in their installation fee. However, it’s important to confirm this with your service provider.
  9. Are there any maintenance tips to extend the life of my water heater? Regular maintenance, such as flushing the tank annually, checking the pressure relief valve, and inspecting for leaks or corrosion, can help extend the life of your water heater and improve its efficiency.
  10. Is it worth investing in a solar water heater? Solar water heaters can be a great investment, especially in regions with ample sunlight. They have higher upfront costs but can significantly reduce energy bills and carbon footprint over time. Consider your local climate, the cost of installation, and potential savings when deciding.