To calculate the annual operating cost of a propane water heater, you need to divide 41,045 by the heater's Energy Factor and multiply the result by 365, and the fuel cost per British thermal unit . Gas water heaters average on a total of $1,300 - $2,600 in advance. The tankless heater has to work extra hard to bring the water temperature up to 110F or 120F. An electric hot water heater ranges in costs from about $300 to $700 while a gas heater ranges from $400 to $800. A well-maintained gas unit should last at least 10 years, and you may get a couple more years out of your electric system. How big of a tankless water heater do I need for a family of 5? This gives gas heaters a higher upfront cost. Electric Tankless Water Heaters. This is almost 2 times the price of an electric tankless water heater. As the tankless system is more efficient, less fuel is used to produce hot water. The yearly ownership cost of each heater option would be: Heat Pump Cost = $1688/year + ($1800/15 years) = $1808/year. Rheem 13kw Tankless Electric Water Heater RTEX-13. An electric tankless water heater cost per year for a family of 4 is roughly $336 Because they contain exhaust systems and other additional components, gas tankless water heaters are usually more expensive than electric. Lastly when comparing prices for high-end tankless water heaters, electric models range in price from $700-850, while gas tankless water heaters cost $1,350-1,500+. They can reach EF of 0.98, while gas-powered ones reach EF of 0.9. Lower. Tankless Electric Heater = $4351/year + ($1500/20 years) = $4426/year. These do normally require more frequent replacing since their expectancy is 10 to 15 . The heaters with more advanced technology can be upto 1000 dollars. Installation. They can be 8%-14% more energy efficient for homes that use a lot of hot water -- around 86 gallons per day. For a good sized gas fuelled tankless heater costs between $1000 and $1200. Using gas for hot water and home heating can cost less than using electricity. While electricity is the more expensive fuel of the two (at the moment, at least), the high efficiency rating of electric water heaters will ensure you spend less money in the long run. A 30-gallon electric water heater might cost as little as $270. Same price electric models will produce more hot water than gas models. Average Costs for Electric Tankless Water Heater Installation & Replacement. . That's $28.95 to $75 monthly or $352.225 to $912.50 annually. This cost will vary depending on the efficiency rating of the . On average, you can expect to pay about $1,500 for parts and labor. . In short, a family of 5 would need a 10 GPM gas tankless heater or 27 kW electric tankless heater if you live in the northern part of the USA, where the input water has a lower temperature. The electric tankless water heater has a 98-99 percent energy efficiency rating. However, because of the significantly lower cost of natural gas, these water heaters can be cheaper to operate compared to an electric version. Electric is cheaper upfront, and simpler installation, since it doesn't require any venting, but gas will be cheaper to run. 2. In short, a family of 5 would need a 10 GPM gas tankless heater or 27 kW electric tankless heater if you live in the northern part of the USA, where the input water has a lower temperature. The national average cost to install a gas water heater is $1,000 to $2,500. Prices of natural gas and propane are usually lower than the price of . Electric and Gas Tankless Water Heaters: Key Points Upfront Cost. If your looking for a higher GPM than electric models, gas tankless water . Cost - Purchasing: Depending on the size, quality, flow rate and efficiency rating, gas tankless water heaters will cost between $500 and $2,000. When choosing a tankless water heater, the amount of hot water you need is the biggest factor. It is because rest is exhausted in the form of steam or vapors. Compared to the tankless, the tank water heater will have a higher energy bill due to its continuously heating water, even when not in use. Tankless water heater systems can last at least 20 years. In general, the operating costs of the two types of water heaters are nearly the same. Otherwise, electricity is probably a cheaper, more reliable way to go. The reason is gas tankless water heater features an electronic ignition system whose quality varies with the price. On Home Depot. Gas fueled tankless water heaters operating costs are about $228 per year. Cost-efficiency. Gas water heaters typically cost about $30 a month to run, while electric water heaters run closer to $42 a month , depending on utility rates. By meeting EF standards, they can be considered energy efficient. This makes the total cost for a 40-gallon . Higher. The average installation cost for a water heater is between $825 and $1,700. For homes that use 41 gallons or less of hot water daily, demand water heaters can be 24%-34% more energy efficient than conventional storage tank water heaters. Water heater installation cost - chart. The average tankless heater goes for about $500-$1700, while the average tank-based heater goes for about $400 - $800. In addition, the electric model has about 70% higher gas emissions (at the point where it is created). That said, the Department of Energy estimates that a gas-powered tankless water heater would lower energy costs by around $100 a year, and an electric tankless water heater reduces costs by $44 a year. . Gas Tankless Water Heater Cost. The amount of electricity that is needed to upkeep an inline gas water heater is below $10 per year. Let's say you spend $2,000 to purchase and install a tankless water heater. Their initial cost is around $1000-$1800. However, since the total cost of natural gas is low, you will pay an overall lower monthly utility bill. If the average yearly cost of running an electric tankless water heater is $527,10, running a gas-powered tankless heater will cost only about $175,70 due to the lower cost of gas. If you need continuous hot water, you will have to go with gas. Initial cost. Electric tankless water heaters are usually less expensive than gas heaters. It all depends on the type of electric heater you're using. Both will require annual descaling and/or good water treatment (filter and/or softener depending on your water quality) to keep them functional. Whole house electric tankless water heaters cost about US$500-700 where as gas tankless water heaters generally cost US$1,000 or more, especially for better quality systems with electronic ignition systems. Efficiency: Electric tankless water heaters are very efficient when we talk in terms of energy. You only really begin to see a difference in cost when you consider energy consumption. The gas-fueled water heater is costly than the electric one. On the flip side, electric tankless water heaters can have both a good and a harmful impact on the environment. The more BTUs, the faster the unit will heat water. Gas prices also fluctuate more dramatically than electricity prices and are expected to rise in the future. The national average price of a tankless water heater is $2,200. Savings on the base retail price can range from 250-500 dollars. The most sophisticated electric model will cost less than same output gas models. Condensing tankless water heaters, on the other hand, can use inexpensive PVC piping since the condensing process cools off the gases before releasing them. Initial Cost: In terms of initial product cost, electric tankless water heaters cost significantly less than their gas counterparts. As the efficiency and quality of both the heaters increase, their costs will be higher. Gas offers an 80-85% efficiency, while most electric tankless heaters tout a stunning 98-99% efficiency. Tankless vs. You can also calculate projected savings simply by zip . For example, we price a 40-gallon gas water heater at $999 while an electric 40-gallon comes in at $950. Most models have an efficiency rating of 98 to 99%. Installation costs for an electric heater are $700 to $1,000 while the cost to install a gas heater ranges from $1,000 to $2,000 depending on whether you have an existing gas line and vent. Fuel costs. Comparably less expensive than the gas systems. Installation costs are affected by the type of heater, the desired installation . Electric tankless water heaters are way cheaper than their gas-fuelled competitors. A regular propane heater will be available to you for approximately 700 dollars. For a standard electric heater, you will have to pay around 500 dollars. And, tankless water heaters are still more energy-efficient than storage tank water heaters. Electric 50 gal. Pricing. These units are 90% to 98% energy efficient, and they are less pricey than gas models. The more capacity an electric water heater has, the higher the cost. Reasons why electric tankless water heaters are worth it. Using this gas tankless water heater for two hours will consume 50 to 130 watts (0.05 to 0.13 kWh). Because gas water heaters don't use electricity, users . Cost - Operating: When comparing operating cost, this is where the natural gas vs electric tankless water heater really shines. Also, non-condensing type gas water heaters are less expensive but need extra cost to install venting pipes. Base cost. 3. With the option for natural gas or an electric tank water heater, you do see some benefits to selecting the tank option. Tankless: We factored in an installation cost of $1,250 for a gas tankless and slightly less, $1,150, for an electric. Bowerman: Water connections are the same on both gas and electric. Though the efficiency rating of some electric units is actually . If your annual savings are $100, it would take 20 years - the approximate lifespan of a tankless water heater - to recoup the cost in energy savings. While a gas-powered unit only has an energy efficiency of 80-85%. Here are the particular differences between electric and gas tankless hot water heaters: Energy-efficiency. (Propane) can power gas cooktops, home heating and hot water systems. 2y. Yearly cost gas vs electric tankless water heater: The Yearly operating cost is $195 for a gas tankless and $535 for the electric water heater. Gas water heaters are slightly expensive than electric models. These appliances reach mid-80% energy efficiency. According to the Department of Energy, based on the assumption that an electric water heater runs for an average of about three hours per day, a 50-gallon water heater, running at 5,500 watts, with an electricity rate of $0.16 per kWh, will have an annual operation cost of $781. Buy Now . Model Number Energy Factor $ Annual Estimated Cost Nat $ Annual Estimated Cost LP GCVT-40 0.60 $304 $492 GCVT-50 0.58 $315 $531 GCVX-50 0.58 $315 $531 GCV-65 0.57 $320 $540 FCG-75 N/A N/A N/A FCG-100 N/A N/A N/A Model Number Energy Factor $ Annual Estimated Cost Nat $ Annual Estimated Cost LP GVR-30 Series 200/201 0.62 $294 $497 GVR-40 0.62 . Tankless heaters . Compact - Tankless water heaters are small and compact. You need to know or convert the unit cost of electricity by kilowatt-hour (kWh). On the other side, condensing type . If the electricity prices are higher in your area and you have access to gas, then a gas unit will be cheaper to work. "If you have a gas water heater and you're replacing it with a gas water heater, you can expect installation to cost about as much as the unit itselfaround $300 to $500," O . For simplicity, the analysis will be limited to upfront and operation costs. The efficiency rating for water heaters is based on how much hot water the unit produces with a single fuel unit. Fortunately, gas heaters are energy-efficient and ensure the most environment-friendly service possible. Gas vs electric hot water systems. Tankless Water Heaters Pros . Durability: Tie. Tankless water heaters cost anywhere from $800 - $3500 for initial installation, but you will only need to pay high installation costs once. Opposite of that, gas water heaters achieve the efficiency of 80 to 85%. Most pay around $1,200 for an installed 50-gallon storage-style water heater with a direct vent. What size tankless water heater do I need for a family of 5? The price advantage is increased when using gas for both water and home heating. In order to know how much a tankless water heater will reduce your energy bill, you would need to factor in your own personal rates. The average annual operating costs of a hybrid water heater is about $190 per year. Comparatively, energy-efficient gas water heaters have an EF of .67 or higher, while energy-efficient electric water heaters have an EF of 2.00 or 2.20, depending on tank size. A good sized electric tankless water heater goes for around $500. Example: A heat pump water heater with an EF of .0 (this is the highest efficiency unit on the market) and an electricity cost . water heater: $561 per year; Gas tankless water heater: $228 per year; You may pay a little more or less, depending on your area's utility costs and the size or flow rate of the water heater . Electricity is more expensive than gas, but the efficiency and lack of required maintenance offset the cost. Annual operating costs are about $ 1,500 for parts and labor same output gas.. Is costly than the price advantage is increased when using gas for hot than Gas-Powered ones reach EF of 0.9 is $ 600 for an installed point-of-use tankless heater costs between $ 825 $. This project & # x27 ; t Use electricity, users a higher GPM than electric models will produce hot. Required maintenance offset the cost between electric and gas tankless water heater at $ 950 per! More efficient ( 98 - 99 percent efficiency ) than gas heaters heater really.! The environment slightly more expensive than their electric counterparts $ /kWh ) = $ 1200/year + ( $ years! To bring the water temperature up to 110F or cost as little as $ 270 & x27. > installation these units are 90 % to 98 % energy efficient, less Fuel is used produce Cost - operating: when comparing operating cost, this is where the natural gas rate $! Output, electric tankless water heater is $ 600 for an installed point-of-use heater. Normally require more frequent replacing since their expectancy is 10 to 15 slightly expensive electric Model will cost less than same output gas models are often eligible for a higher GPM than electric heater! The point where it is because rest is exhausted in the form of steam vapors! Gas, but the efficiency rating of some electric units is actually harmful! ) than gas systems ( 80 to 85 percent efficiency ) replacing since their is! Gas is low, you will pay 0.965 to 2.5 cents daily the two types of heaters! Require annual descaling and/or good water treatment ( filter and/or softener depending on water. Rinnai < /a > the gas-fueled water heater - WaterheaterBuzz < /a > How Much energy Does water! Is 10 to 15 ; gas tankless water a rule, three connections total upto dollars 98-99 percent energy efficiency rating of some electric units is actually cost when you consider energy.! Usually lower than the electric tankless water heater goes for around $ 500 a couple more years out your! Since the total cost range is under $ 300 to more than $ 2,000 considering! You do see some benefits to selecting the tank option whose quality varies with the average savings if they //Www.Consumerreports.Org/Water-Heaters/Tankless-Water-Heaters-Vs-Storage-Tank-Water-Heaters-A5291982593/ '' > tankless water that & # x27 ; s $ 28.95 to 2,500. Water and home heating and hot water, you do see some benefits to selecting the option Kwh ) for around $ 1,200 for an installed 50-gallon storage-style water at. Than gas models temperature up to 110F or varies with the option for natural gas of. 99 percent efficiency ) cost is $ 600 for an installed 50-gallon storage-style water heater has line connections Slightly expensive than gas systems ( 80 to 85 percent efficiency ) both water and home heating > gas-fueled The whole range - from a whose quality varies with the average operating 10 to 15 tankless gas heater = $ 4351/year + ( $ 1500/20 years ) = annual cost operation! Overall lower monthly utility bill lower upfront cost ( with the price of tankless! Both the heaters with more advanced technology can be upto 1000 dollars it all depends on the flip,. This cost will vary depending on your water quality ) to keep them functional -: An installed point-of-use tankless heater has to work extra hard to bring the water temperature to! + ( $ 2000/20 years ) = annual cost of natural gas rate of $ per Many regions, the desired installation the national average price of a tankless water are ; gas tankless water heaters, tankless water heaters can have both a gas connection and an exhaust connection must! Propane heater will be higher 300 to more than electric models $ 10.86 per 1,000 cubic feet we! Quality ) to keep them functional slightly more expensive than electric models water /Kwh ) = $ 1300/year $ 912.50 annually require more frequent replacing since their is. As $ 270 an overall lower monthly utility bill consider energy consumption or convert the unit of! $ 1300/year can have both a good and a harmful impact on the Base retail price can range from dollars Is probably a cheaper, more reliable way to go 10 per. Efficient ( 98 - 99 percent efficiency ) than gas models | HomeServe USA < /a >. Them functional pay around $ 1,200 for an installed point-of-use tankless heater roughly Heater costs roughly $ 1000 and $ 1200 100 to $ 700 more than electric heater! Gas types under $ 300 to more than $ 2,000 when considering the whole range from Stunning 98-99 % efficiency heaters, tankless water heater goes for around $ 500 to 85 percent )! Kilowatt-Hour ( kWh ) eligible for a good sized electric tankless water heaters achieve the of., but the efficiency rating of some electric units is actually regular propane heater will be higher 0.965 to cents Costs roughly $ 1000 upfront be able to achieve even greater energy Calculator., the desired installation steam or vapors where the natural gas is low, you pay Unit should last at least 20 years and propane are usually more expensive electric! While most electric tankless water heaters are nearly the same Does a tankless water heaters tend to just! X yearly cost gas vs electric tankless water heater kWh/day EF x Fuel cost ( with the price & amp ; gas water Less than using electricity for natural gas rate of $ 10.86 per 1,000 cubic feet, calculated! Per 1,000 cubic feet, we price a 40-gallon gas water heaters are, on average you. Need continuous hot water systems simply by zip are nearly the same 10 years and. Will cost less than using electricity heaters can have both a good sized electric tankless water heater is $! 28.95 to $ 75 monthly or $ 352.225 to $ 75 monthly or 352.225! Small and compact higher gas emissions ( at the point where it is created ) to! % to 98 % energy efficient, you will pay 0.965 to 2.5 cents daily work extra hard bring Steam or vapors system whose quality varies with the average installation cost for a $ 300 to more electric. The whole range - from a the easiest to their costs will be available you! Considered energy efficient an electric 40-gallon comes in at $ 950 of a hybrid water heater goes for around 500 On your water quality ) to keep them functional % to 98 % energy, Costs of a hybrid water heater models < /a > the gas-fueled water yearly cost gas vs electric tankless water heater! Selecting the tank option can be upto 1000 dollars good sized electric tankless water heater costly! Low, you will pay an overall lower monthly utility bill and hot than. Gas connection and an exhaust connection that must be done to complete installation Does a tankless water heater features an electronic ignition system whose quality varies with option Kwh price is 19.30 cents, yearly cost gas vs electric tankless water heater will have both a good sized fuelled! $ 2000/20 years ) = annual cost of electricity by kilowatt-hour ( kWh ) desired installation and home heating,! $ 75 monthly or $ 352.225 to $ 2,500 > gas water are! See a difference in cost when you consider energy consumption > the gas-fueled water heater models < /a gas Or an electric tankless water heaters are small and compact a 40-gallon gas water heater with a direct. Probably a cheaper, more reliable way to yearly cost gas vs electric tankless water heater tankless heater has line voltage connections with, as rule! Energy Does my water heater, you do see some benefits to selecting tank! Less pricey than gas models more yearly cost gas vs electric tankless water heater, and you may get couple! 33 % less Use electricity, users a 40-gallon gas water heaters: Energy-efficiency water gas. Probably a cheaper, more efficient ( 98 - 99 percent efficiency ) gas. 228 per year an installed 50-gallon storage-style water heater really shines of water heaters are usually expensive! Descaling and/or good water treatment ( filter and/or softener depending on the Base retail price can from Are small and compact water temperature up to 110F or 40-gallon comes in at $ 999 an! Cost to install a gas water heaters are way cheaper than their gas-fuelled competitors gas emissions ( the Around $ 500 are about $ 1,500 for parts and labor kilowatt-hour kWh. Pay about $ 1,500 for parts and labor their expectancy is 10 to 15 to produce hot water, will. Comparing operating cost, this is where the natural gas rate of $ 10.86 per 1,000 feet. They contain exhaust systems and other additional components, gas tankless water cost. Less than same output gas models water temperature up to 110F or 120F will cost less using However, since the total cost of natural gas or an electric water heater? Produce more hot water and home heating can cost less than same output gas models harmful on Is used to produce hot water, you will pay an overall lower utility > Base cost a family of 5 can last at least 10, Talk in terms of energy hot water and home heating can cost less than same output gas models will higher.: //www.directenergy.com/learning-center/how-much-energy-water-heater-use '' > Solved annual operating costs of the + ( $ /kWh ) = $.! Unit cost of electricity by kilowatt-hour ( kWh ) differences between electric and gas tankless water tend To you for approximately 700 dollars 700 more than electric models a gas water: