How to Choose Between Traditional and Tankless Water Heaters

A man in overalls fixes a water heater, demonstrating practical home repair

Choosing the right water heater feels daunting, especially with so many options available today. Homeowners often find themselves torn between traditional and tankless water heaters, each offering unique advantages and challenges. 

Understanding the differences between these two types makes all the difference in meeting your household’s hot water needs.

This article will explain the essential factors to consider when deciding between traditional and tankless water heaters. Keep reading to learn more.

Traditional vs. tankless water heaters

Traditional water heaters store hot water in a tank, so it’s always ready when you need it. However, they have standby heat loss, meaning they use energy even when not heating water. They usually have lower upfront costs but may lead to higher energy consumption over time.

Tankless water heaters, also called demand water heaters, heat water only when you turn on the hot water tap. This results in energy savings because there’s no standby energy loss. They cost more initially and might have higher installation costs, but they often last longer and save money due to energy efficiency.

How do traditional water heaters work?

Traditional water heaters, also known as storage tank water heaters, work by housing a reservoir of water that is constantly heated and ready for use. Here’s a simple breakdown of how they work:

Water storage

Cold water enters the tank from your home’s plumbing system. Depending on its size, the tank can typically hold 30 to 80 gallons.

Heating process

A burner below the tank or electric heating elements in the tank heat the water. These heating mechanisms maintain the water at a set temperature.

Insulation

The tank is insulated to minimize heat loss, although some standby heat loss is inevitable.

Availability

When you turn on the hot water tap, hot water is drawn from the top of the tank, and cold water fills the bottom, ready to be heated.

Constant supply

The cycle ensures a constant supply of hot water, but once the tank empties, you’ll need to wait for it to refill and reheat.

A person interacts with a wall-mounted control panel, adjusting settings or monitoring systems

How do tankless water heaters work?

Tankless water heaters provide hot water only when you need it, without storing it. Unlike traditional tank water heaters, which keep a reservoir of hot water, tankless models heat water directly as it flows through the unit. Here’s how they work:

Activation

When you turn on a hot water tap, cold water travels through the pipes into the tankless water heater.

Heating process

Inside the unit, a powerful heat exchanger heats the cold water to the desired temperature almost instantly, providing a constant supply of hot water.

Output

Once the water reaches the set temperature, it travels to the tap or appliance and is ready for use.

You can power tankless water heaters with electricity or gas, with each having unique benefits and installation requirements. They ensure you always have hot water on demand, promoting energy efficiency by eliminating standby heat loss associated with traditional heaters.

Traditional vs. tankless: Operational costs

Operational costs refer to the expenses related to the day-to-day functioning of a product or system. For water heaters, these costs include energy usage and maintenance expenses.

Tankless water heaters often have higher operational costs. Initially, those costs come from the need for specific installations and sometimes higher energy consumption under certain conditions. 

However, they are generally more energy efficient than traditional heaters because they heat water only when needed, offering significant energy savings over time.

Traditional tank water heaters store hot water in a storage tank, leading to standby heat loss. This means they frequently consume energy to keep the water hot, even when not in use, potentially increasing operational costs.

Installation space requirements

Traditional water heaters typically require more space. These units often need a dedicated area like a utility room or basement because they include a large tank that stores hot water.

On the other hand, tankless water heaters are much more compact. They don’t hold hot water in a tank but heat water when you need it, which allows you to save valuable space. You can easily mount these heaters on a wall to free up floor space. 

Choosing between these two types largely depends on the available space in your home and your hot water demand. If space-saving is a priority, a tankless option might be more suitable. 

A man wearing a blue shirt and gloves inspects a water heater for maintenance or repairs

Analyze maintenance needs and services

Maintaining your equipment will help ensure it works efficiently and lasts longer. Regular maintenance checks can prevent unexpected breakdowns and costly repairs. Here’s a quick guide to analyzing maintenance needs and services:

Conduct regular inspections: Schedule routine inspections to identify wear and tear early on. This helps avoid bigger issues down the road.

Prioritize equipment: Focus on machinery critical to operations. Prioritizing these can prevent major disruptions.

Create a maintenance schedule: Develop a schedule outlining when each piece of equipment should be serviced. Adhering to this schedule ensures nothing is overlooked.

Monitor usage: Track how often each piece of equipment is used. More frequent usage may require more frequent servicing.

Use professional services: Hiring experts ensures correct maintenance. Look for licensed professionals who understand specific needs.

Document services performed: Maintain records of all services and repairs. This helps in tracking issues and planning future services.

A well-thought-out maintenance plan saves time, money, and energy, ensuring optimal performance and longevity of your equipment.

Determine your household’s hot water demands

Determining your household’s hot water demands is essential when choosing a water heater. Start by looking at your daily activities. Count how many times you wash dishes, take showers, or do laundry. Each activity requires a certain amount of hot water.

Next, think about how many people live in your home. More people usually mean more hot water demand. If you often have guests, that might increase your demand too.

Let’s look at a few common activities and their average hot water usage:

ActivityAverage Hot Water Usage
Shower10-15 gallons per use
Dishwashing6-12 gallons per load
Laundry20-30 gallons per load

Once you know which activities use the most hot water, you can better understand your needs. This will help you decide between a traditional or tankless water heater.

Lastly, remember to consider future changes. If your family might grow or you plan to add appliances, your hot water demand could increase. It’s better to prepare now for future needs!

Review the size of water heaters suitable for your home

Choosing the right size water heater for your home is important to make sure you always have enough hot water when you need it. Here’s a quick guide to help you pick the right size:

For Traditional Water Heaters

  • 30-40 Gallons: Ideal for 1-2 people or small spaces.
  • 40-50 Gallons: Good for 2-3 people.
  • 50-60 Gallons: Suitable for families of 3-4.
  • 60-80 Gallons: Best for 4 or more people or homes with large hot water demand.

For Tankless Water Heaters

  • Takes GPM (Gallons Per Minute) into Account: Calculate based on simultaneous water use.
    • 2-5 GPM: Good for apartments or small homes.
    • 5-10 GPM: Better for medium to larger homes with more hot water taps.

Before deciding on a type of water heater, consider your home’s hot water usage and the space available for installation. Traditional water heaters take up more space, while tankless models are more compact and may suit smaller homes better. Be sure to consult a plumbing in Utah expert, especially if you’re addressing specialized needs.

Call Pando Plumbing today

Are you looking to upgrade or replace your water heater? Whether you’re considering the reliability of a traditional water heater or the efficiency of a tankless model, Pando Plumbing has you covered. Choosing the right water heater for your home is an important decision, and our team of expert plumbers is here to guide you every step of the way.

We’ll help you weigh the pros and cons of each option, factoring in your household size, hot water usage, energy efficiency goals, and budget. Once you’ve made your choice, our professionals will handle the installation with precision, ensuring your new water heater operates seamlessly and meets all safety standards.

At Pando Plumbing, we pride ourselves on providing exceptional service from start to finish. From offering reliable advice to completing professional installations, we make your satisfaction our top priority. Don’t settle for anything less than the best for your home.

Call Pando Plumbing today to schedule your consultation and start enjoying a more efficient, reliable, and comfortable hot water experience!