When researching a new tankless water heater for your home, you’ll come across one major disadvantage: the cost. It doesn’t matter where you shop; the cost of a tankless hot water heater is more expensive than a conventional system. On average, you can expect to pay around $1,900 for a new tankless water heater in San Antonio. The total price depends on the model, labor requirements, and whether retrofitting is required.
However, you can expect to receive a 30 percent tax credit for going tankless. You can also watch for deals from local plumbing companies to save even more money.
Installation and Other Factors
When determining the total cost for a new tankless hot water heater, the two biggest factors are materials and labor. Not only do you need to purchase the unit itself, but also any necessary accessories. These may include a termination vent kit, gas connector kit, two-piece lead-free brass valve set, fittings, and mounting hardware. Typically, these items are considered part of the retrofit mentioned previously.
Regarding the actual system, you have single-point and whole-home models to choose from. A single-point electric unit costs around $150 per point. A high-end, gas-powered home unit will be over $1,000. Depending on how many hot water points there are in your home, it may be more cost effective to choose the whole-home unit instead.
As we referenced, one significant factor to consider is the possibility of tax credits. The U.S. government offers a 30 percent tax credit for the installation of a tankless hot water heater. You can receive even more for a solar-powered water heater unit.
You can learn more about solar tax credits from the experts at Energy Star.
Type of Tankless Water Heater
The type of tankless water heater you choose will also influence the cost. You will purchase either a natural gas/propane unit or an electric model. For natural gas and propane water heaters, expect to pay between $1,000 and $1,500 for installation, then up to $350 per year for fuel.
Electric model are less expensive, typically costing between $800 and $1,500 for installation. Overall, an electric tankless model is more efficient, as you can lower your energy use by up to 30 percent while emitting no greenhouse gases during operation.
The downside to an electric model is the wiring. You may require an experienced electrician to rewire your home, which can cost upwards of $100 per hour in some cases.
You’ve spent a considerable amount of time researching the total costs associated with a tankless hot water heater. It’s a lot to swallow. That’s why you should know that bluefrog Plumbing + Drain of San Antonio is currently offering a limited time special on tankless water heater units. For a short period, you can “try before you buy” a brand-new tankless water heater. We even offer financing options with approved credit.