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You are here: Home / Mom Life / From House to Home / The Water Tank Heater Question – Should I get a Tankless System?

The Water Tank Heater Question – Should I get a Tankless System?

February 14, 2011 by Deanna Tousignant 30 Comments

We just got a new hot water tank installed. One of the major things I had to decide was whether or not we would change over to a tankless system. Since I have spent literally hours over the past week considering this, doing the math, and pouring over the internet looking for info, I figure I’ll share my findings with you guys.

So, what about a tankless system?  I’ve heard that they are supposed to conserve energy and cut your gas bills considerably.

Renting a tankless “in-line” system would cost $476.60.
Supposedly the tankless system should last about 20 years.
Over 10 years the rental fees for the tankless would be $4766.00.
Over 20 years the rental fees for the tankless would be $9532.00

I received two estimates for installing a tankless system, both were for around $3300+taxes.

Okay, it seems like it would definitely be worth purchasing a tankless system vs. renting it! But is the initial outlay worth it?  Is it worth it vs. a power vented tank? How much do you potentially save with a tankless system?

I found this article from Consumer.Org interesting. Basically it says that in terms of 2008 dollars, you should see a savings on your gas bill of roughly  $70 to $80 per year. However, apparently the tankless systems have higher maintenance and repair fees that negates any savings to your gas bill.

The tankless systems are much more complex, making repairs more complicated and replacement pieces more expensive.  Also, to prevent clogging from calcium build up tankless systems need to be flushed out with acid by a professional about once every two years. Estimated cost; $200 per flush.

There is also the fact that you can get inconsistencies in the temperature with the tankless system. First, there is a delay while the water warms up and gets to the destination.  Then I found reference to something called “the cold water sandwich effect”, a term used to describe the introduction of cold water into the hot water supply line during frequent on/off operation of a tankless water heater.  Basically, once everything is warmed up and the tap is running hot you can get hit with a blast of cold “buffer” water.

Finally, a tankless system requires electricity to run.  If the power goes out you are left without any hot water.  Plus the additional hydro fees are going to offset your gas bill savings.

It appears that the only sites touting the advantages of the tankless systems are manufacturer or retailer sites.  I did not turn up any impartial websites praising the advantages of the inline heater. (If anyone knows of any non-biased pro-tankless articles out there I’d love to read them.)

What I also found conspicuous in it’s absence is that fact that not one of the installers that I had provide me with an estimate tried to sell me on the tankless system.  They only provided the figures when I specifically asked for them, and they didn’t talk up the system at all.

I also found several articles on the Toronto Star warning against purchasing a tankless system:
*  Tankless water heat not so hot
*  Do the math before you take on a tankless job
*  Tankless not always best way to heat water

Based on this research I ‘m ditching any ideas of getting a tankless system.  $3729 is prohibitively expensive for me.  Also on top of the costs mentioned above, I would have to take into account the fact that any savings are going to be offset by the fact that I would  be purchasing it on my credit card.

I’d love to hear your guys opinions and thoughts on this.  Own a tankless system and love it? Thinking about getting one?

If you’re interested I wrote a second article on this topic, The Water Tank Heater Question – By the Numbers, which addresses pricing, and some comparison between Conventional, Power-Vented and Tankless systems.

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Filed Under: From House to Home, Mom Life Tagged With: home improvements

Comments

  1. mybabyjohn says

    February 14, 2011 at 10:23 am

    Good information…thanks for this.

    Reply
  2. milo johnston says

    February 14, 2011 at 2:16 pm

    Thanks for the info. My father in law was looking into buying a tankless and I will let hime know your research info.

    Reply
  3. Sara says

    February 14, 2011 at 6:38 pm

    We were told it was a bad idea here in MI because the groundwater is so cold. Perhaps if you lived in Florida

    Reply
  4. Kelly's Lucky Y says

    February 15, 2011 at 6:01 am

    Interesting! I had never heard of these before. We probably have the same problem here in Chicago as Sara, icy groundwater. We had a power vent system once that was horrid. It wouldn't work and shut down the system. Nothing worse than a cold shower *shiver*.I stumbled ya, I hope you like my post http://t.co/HFaJG7w

    Reply
  5. Snowflake07 says

    February 15, 2011 at 2:19 pm

    We've actually been toying with the idea of a tankless system. Our repair guy mentioned it. I'm glad you posted your research. I didn't realize there was maintenance. I read something the other day about a solar way to get hot water; I might be researching that harder now. I suppose I'm just so tired of the monopoly the electric company has. 🙂

    Reply
  6. Sara says

    February 15, 2011 at 4:02 pm

    I have to have super hot water. Our water heater was broken when we moved in (it would give us just enough for barely a bath), I was glad to get it fixed.I stumbled your post, mine is http://booksyourkidswilllove.blogspot.com/2011/02…

    Reply
  7. Heather @ Family Fri says

    February 15, 2011 at 6:01 pm

    I know very little about tankless water systems but I know that my friend who is a plumber advises against them. I stumbled your post! Mine is http://www.familyfriendlyfrugality.com/2011/02/to…

    Reply
  8. Colleen (Shibley Smi says

    February 15, 2011 at 6:16 pm

    I stumbled you, my post is: http://www.shibleysmiles.com/2011/02/justin-biebe…

    Reply
  9. Texas Type A Mom says

    February 15, 2011 at 6:34 pm

    Thanks for the info – my husband and I were considering making the switch to tankless as well, glad we didn't now. I Stumbled your post!I'd love if you Stumbled mine! http://www.texastypeamom.com/2011/02/meal-plan-monday-214.html

    Reply
  10. Self Sagacity says

    February 15, 2011 at 6:57 pm

    hello, I stumbled your post. Very informative, have to save and come back to it. Here is my post. Thanks! Google Adword Advertising & Management

    Reply
  11. Heidi says

    February 15, 2011 at 7:21 pm

    We are in the same boat as you…although less days without hot water, and were trying to figure out if we should buy or rent, tankless or not. Thank you for posting this information. My husband was actually leaning towards tankless, and I think we'll be changing our mind now!

    Reply
  12. Tamara says

    February 16, 2011 at 12:00 am

    I currently live in Europe and they use a tankless system. I am not sure if it is like what you are talking about. It is heated by a pilot light in the attic. But considering I have not had to pay for it out of my pocket…. I love it! For the simple fact that we never NEVER run out of hot water! Like I said though I haven't had to pay installation expenses and so forth.

    Reply
  13. Jen says

    February 16, 2011 at 4:18 am

    We have a tankless system (this is ours http://jenandjoeygogreen.blogspot.com/2010/05/our… and absolutely love it. The only issue is the less than a minute delay in water heating up sometimes. But there is no blast of cold water that you wrote about. You can get remote sensors that will help with this delay.We have no maintenance issues either. No maintenance at all actually in the 4 years we have lived here (never had a need for a professional to pour acid into it). The cost savings from an energy perspective come into play with the fact that your water is not constantly being heated over and over again like it is in a water tank. So in a typical tank your water is constantly being heated regardless if you are using the water. So that is wasted energy (and money).

    Reply
  14. SLM says

    February 16, 2011 at 5:47 am

    I stumbled you. I've been debating on the tankless water heater. Thank you for the information! http://whatithinkaboutyou-sm.blogspot.com/2011/01…

    Reply
  15. Maple Leaf Mommy says

    February 16, 2011 at 4:20 am

    Good point Tamara, which I forgot to address. I did read several places that tankless is pretty much the standard in Europe. I believe it’s a little different then the North American version. From what I read, in Europe it’s more common to have point of use tankless systems, even electric shower heads and a system where you hit a button to tell your system to prep some hot water for you… All of which sound pretty cool, but none of which were options presented to me.I totally agree, if my house came with tankless pre-installed, I’d might just grow to love it.

    Reply
  16. Maple Leaf Mommy says

    February 16, 2011 at 4:49 am

    Thanks Jen. I'm glad someone finally weighed in on the pro-tankless side. When I heard about the "cold water sandwich effect" I searched around a bit and the best description I could find of it was actually on a manufacturer's (Riani) website… stating that all tankless systems have this problem to some degree. From a green standpoint, I think there are pros to a tankless system – in that energy is being saved. If you're right and there is no maintenance required, that's great! However, any repairs required over the 20 year lifespan of the system are still going to cost more then repairs made to a conventional tank. For my personal situation, particularly once I have to add in the fact that I would be purchasing it on credit, it looks like the financial savings would end up being nil.

    Reply
  17. Angela (Library Girl says

    February 16, 2011 at 3:13 pm

    We talked to our contractor about a tankless system when we were doing some work on the new house. He really didn't recommend them and said we would not be happy with them at all. I like to take long showers and he said that the hot water just wasn't going to last long enough at a time.Great research! thanks for sharing it.thanks for stumbling my post – I've stumbled yours as well.

    Reply
  18. heather@actingbalanc says

    February 16, 2011 at 3:58 pm

    catching up on my stumbling – great article!

    Reply
  19. Monica says

    February 16, 2011 at 4:08 pm

    Great article!! Thanks for stumbling my post….I've stumbled back.http://oldermommystillyummy.blogspot.com/2011/02/february-is-heart-monthand-i-dont-mean.html

    Reply
  20. Kelly-Ann aka hijab- says

    February 17, 2011 at 1:09 am

    Tankless systems has a lot of cost attached to it. Here in Trinidad most people don't use it because water becomes scarce due to flooding. I'm stumbling on your post! Thank you for your kind words on my post. I'm excited about your next post!

    Reply
  21. Ourfamilyworld says

    February 17, 2011 at 1:15 am

    Thanks for this interesting information. Never heard of this before.I stumbled your post. Thanks for stumbling mine.Olfa.T http://www.ourfamilyworld.com/blog

    Reply
  22. Clisty says

    February 17, 2011 at 3:50 am

    I'm glad to hear the info on that, I have been considering a tank-less as well, I just hadn't gotten to the research part yet. So thank you!Stumbling you back and following you!Thanks Again http://www.ruralgrace.blogspot.com

    Reply
  23. Still Blonde after a says

    February 20, 2011 at 5:59 pm

    Hi Stumbled yours, Please stumble mine! <a href="http://stillblondeafteralltheseyears.com/2011/02/visual-summary-of-changes-to-facebook-pages-quick-review-and-guide/http://stillblondeafteralltheseyears.com/2011/02/… />Can't comment on the water heater thing…IDK

    Reply
  24. Anne says

    February 21, 2011 at 8:54 pm

    Hi, stumbling you back (yes I'm slow). I haven't looked into this much, but I probably should because a hot water heater is one of those things you have to make a quick decision on if it fails.

    Reply
  25. Katie says

    February 23, 2011 at 2:57 am

    We Love our tankless system which we installed last fall. For us it was not so much about cost savings (however we ARE saving $$$) it was more for the environmental impact of not heating a big tank of water for no reason. The water is always nice and hot, no trouble with temperature variation. And in our house it doesn't take any longer to get the hot water from the tankless vs the tank.I would say the only difference I see is with the tank heater when you turn on the hot water it goes from cold and then slowly you get warmer water. With the tankless it is cold for a little bit longer, but then you get HOT water (not that long delay to get up to temp).The cost of the tankless water heater and associated materials was around $2000.

    Reply
  26. Unknown says

    April 25, 2012 at 4:18 pm

    This comment has been removed by a blog administrator.

    Reply
  27. Javier Hallum says

    January 30, 2013 at 12:34 pm

    I've always thought that going tankless would make my life easier but apparently, it would even cost me even more in maintenance. This information made me think twice on buying a new water heater. We really should research about the product before we purchase them.

    Reply
  28. Elia Lester says

    March 26, 2013 at 6:40 pm

    We've been discussing the advantages and disadvantages of a tankless water heater because we're in desperate need of a new one. What I hate the most about a conventional water heater is the tank. It eats up a lot of space and it only has a limited amount of hot water (too bad, if you're the last one to take a bath). Perhaps, more research and feedback from friends would settle this for me.

    Reply
  29. John Decker says

    November 6, 2013 at 2:33 pm

    I think a tank-less water heater is always a good idea. They save a lot of space but still are powerful. I think water heaters are great in general because they make sure houses have hot water when needed. They are also very important during winter months when it is really cold. You need hot water for the dishes and to take showers. That is why it is very important to make sure your unit is always working properly.

    Reply
  30. Anonymous says

    January 30, 2014 at 4:53 am

    I work for a plumbing & heating outfit on Vancouver island and have installed many tankless water heaters. They are getting more and more popular as time goes by and as they improve on minor flaws. I installed a GAS fired tankless heater in my personal home and am very happy with it (of course doing work myself cost was around $1500). Making the switch was a no brainer as hydro here is rising drastically while natural gas remains very affordable. I highly advise to stay away from the electric tankless as they just don't seem to meet the demands of the average household. Another thing to look for in a gas tank less is if its self igniting(IID), this avoids having a standing pilot slowly burning away your savings.

    Reply

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