Tankless Water Heater Cons: What You Need to Know!

Tankless water heater

Are you tired of running out of hot water in the middle of your morning shower? Switching to a tankless water heater may be the solution. In this blog post, we will guide you through both the advantages and drawbacks that come with these innovative units.

From energy efficiency to initial cost concerns, get ready to dive into everything you need to know about tankless water heaters. Let’s heat things up!

Key Takeaways

  • Tankless water heaters offer energy efficiency by only using energy when hot water is needed, saving you money on utility bills and reducing your carbon footprint.
  • These units provide hot water on demand, eliminating the worry of running out of hot water and offering convenience in daily use.
  • Tankless water heaters save space in your home with their compact design, allowing for more storage or additional appliances. However, they may have limited hot water for multiple outlets and require careful consideration of installation requirements.

Pros of Tankless Water Heaters

Tankless water heaters are energy efficient, saving you money and providing hot water on demand, while also freeing up valuable space in your home.

Energy efficient

Tankless water heaters stand out for their remarkable energy efficiency. Unlike traditional storage-tank water heaters that constantly heat and reheat water, tankless units only use energy when you need hot water.

This ‘on-demand’ approach vastly reduces the wastage of energy, making these systems considerably more efficient. In fact, according to the U.S Department of Energy, homes that use 41 gallons or less of hot water daily can boost their energy efficiency by 24% to 34% with a tankless heater compared to a traditional model.

Consequently, this higher level of efficiency not only helps lower your monthly utility bills but also contributes towards environmental sustainability by reducing overall home energy consumption.

It’s crucial however to keep in mind that while the upfront cost is higher than conventional models, the enhanced energy efficiency makes tankless options a sound long-term investment saving both money and resources over time.

Saves money

Tankless water heaters offer significant cost savings compared to traditional storage tank heaters. One of the main reasons for this is their energy efficiency. Tankless water heaters only heat water as it is needed, which means they don’t store and constantly reheat a large volume of water like traditional tank-style heaters do.

This leads to lower energy consumption and reduced utility bills.

In fact, tankless water heaters can be up to 30% more efficient than their traditional counterparts, according to the U.S. Department of Energy. This means that over time, you can save a substantial amount of money on your monthly heating costs.

Additionally, tankless water heaters have a longer lifespan than traditional models – around 20 years compared to 10-15 years for storage tanks. This extended lifespan not only saves you money on replacement costs but also reduces maintenance expenses over time.

Saves space

Tankless water heaters are a great option for those who want to save space in their homes. Unlike traditional tank-style water heaters, tankless models are significantly smaller and can be mounted on walls or installed in tight spaces.

This means you can free up valuable floor space in your utility room or basement. With the compact design of tankless water heaters, you can create more storage area or even use that extra space for other appliances.

So not only will you enjoy the benefits of on-demand hot water, but you’ll also have a clutter-free and spacious home!

Provides hot water on demand

Tankless water heaters provide hot water on demand, which means you’ll never have to worry about running out of hot water again. Unlike traditional storage tank water heaters that constantly store and heat a large volume of water, tankless heaters work by heating the water as it flows through the unit.

This means that hot water is available whenever you need it, without having to wait for a storage tank to refill and reheat.

Not only does this on-demand feature offer convenience, but it also helps save energy. Tankless water heaters are more efficient than traditional models because they don’t continuously heat and reheat stored water.

In fact, studies show that switching from a traditional heater to a tankless model can reduce energy consumption by up to 30%. So not only will you enjoy endless hot showers or baths anytime you want them, but you’ll also be doing your part in reducing your carbon footprint.

Additionally, since tankless heaters don’t require bulky storage tanks like their traditional counterparts do, they take up significantly less space in your home. This can be particularly beneficial if you have limited space or want to free up some room in your utility area for other appliances or storage.

Plus, with their sleek and compact design, they can be installed almost anywhere – whether it’s inside a closet or mounted on an exterior wall.

Cons of Tankless Water Heaters

Tankless water heaters have a few drawbacks to consider, such as limited hot water for multiple outlets and dependency on power outages. Want to find out more? Keep reading!

Limited hot water for multiple outlets

Tankless water heaters are efficient and convenient, but one drawback is that they may provide limited hot water for multiple outlets. Unlike traditional tank-style water heaters, which store a large volume of hot water ready for use, tankless heaters heat the water as it flows through the unit.

This means that if you have several showers or faucets running simultaneously, the hot water supply may be divided between them, resulting in lower flow rates and less hot water available at each outlet.

While this limitation can be inconvenient in larger households with high hot water demands, there are ways to work around it. One option is to install multiple tankless units strategically placed throughout your home to ensure adequate hot water supply.

Power outage dependency

One drawback of tankless water heaters is their dependency on electricity or gas to function. In the event of a power outage, you may not have access to hot water until the power is restored.

This can be inconvenient, especially during extreme weather conditions or emergencies. However, it’s important to note that some tankless models offer battery backup systems for continued operation during power outages.

It’s essential to consider this factor and choose a reliable power source when deciding whether to install a tankless water heater in your home.

Higher upfront costs

Tankless water heaters offer many benefits, but it’s important to consider the higher upfront costs before making a decision. While traditional tank water heaters may be more affordable initially, tankless models tend to have a higher price tag.

This is due to the advanced technology and energy-saving features they offer. However, it’s essential to remember that although the initial cost may be higher, tankless water heaters can provide long-term savings through their energy efficiency and longer lifespan.

Additionally, when comparing prices, make sure to consider installation costs as well. Overall, while there may be a larger investment upfront with tankless water heaters, their long-term benefits often outweigh this initial expense.

Installation and maintenance requirements

Installing and maintaining a tankless water heater requires careful consideration and attention to detail. Here are some key points to keep in mind:

  1. Hire a professional: It is recommended to hire a licensed plumber or HVAC technician with experience installing tankless water heaters. They will ensure proper installation, adherence to local building codes, and prevent any potential issues.
  2. Determine the location: Tankless water heaters can be installed indoors or outdoors, depending on your preference and available space. Indoor units require ventilation to remove combustion gases, so proper venting is essential.
  3. Gas or electric connections: Tankless water heaters can be powered by either gas or electricity. Gas units typically require a larger gas line and proper venting for safe operation. Electric units may require an upgrade in electrical capacity if your current system cannot handle the load.
  4. Consider water flow rate: Before choosing a tankless water heater, consider your household’s hot water needs and the flow rate required for simultaneous use of multiple fixtures. This will ensure that you choose a unit that can meet your demand without compromising performance.
  5. Regular maintenance: Like any appliance, tankless water heaters require regular maintenance to ensure optimal performance and longevity. Flushing the unit periodically helps remove mineral buildup that can affect efficiency and potentially cause damage.
  6. Read the manufacturer’s instructions: Each tankless water heater model may have specific requirements for installation and maintenance. It is vital to read the manufacturer’s instructions thoroughly to understand these requirements and follow them accordingly.

Tips for Choosing a Tankless Water Heater

Consider your hot water needs, assess the installation requirements, research and compare brands and models, and factor in long-term cost savings when choosing a tankless water heater.

Consider your hot water needs

To choose the right tankless water heater for your home, it’s important to consider your hot water needs. Think about how many people live in your household and how they use hot water on a daily basis.

If you have a large family or frequently need hot water for multiple showers or appliances simultaneously, you’ll want to ensure that the tankless water heater you choose has a high flow rate and can handle the demand.

On the other hand, if you live alone or have low hot water usage, a smaller unit may be sufficient. By considering your specific hot water needs, you can find the perfect tankless water heater that meets both your budget and lifestyle requirements while providing instant access to hot water whenever you need it.

Assess installation requirements

When it comes to installing a tankless water heater, there are several factors you need to consider. These include:

  1. Fuel Source: Determine whether you want an electric or gas-powered tankless water heater. Gas models require access to a natural gas line or propane supply, while electric models only need access to an electrical outlet.
  2. Flow Rate and Temperature Rise: Calculate the flow rate and temperature rise needed based on your household’s hot water usage. This will help determine the size and capacity of the tankless water heater you need.
  3. Venting Options: Gas-powered tankless water heaters require proper venting to remove combustion gases. Consider the location of your tankless water heater and the available venting options to ensure safe installation.
  4. Water Pressure: Tankless water heaters require a certain level of water pressure for optimal performance. Check your home’s water pressure and make any necessary adjustments before installing a tankless unit.
  5. Location and Space Requirements: Find a suitable location for your tankless water heater that meets installation requirements, such as vent clearance and access to utilities. Additionally, consider the space-saving benefits of a tankless unit compared to traditional storage tank heaters.
  6. Plumbing Modifications: Depending on your current plumbing configuration, you may need to make some modifications or upgrades to accommodate a tankless water heater. Consult with a professional plumber if you’re unsure about any necessary changes.

Research and compare brands and models

Before buying a tankless water heater, it’s crucial to conduct thorough research and comparison of different brands and models. Here’s a simple table to guide you through this process.

BrandsModelEnergy EfficiencyUpfront CostLifespan
Brand AModel 1HighHighLong
Brand BModel 2MediumMediumMedium
Brand CModel 3LowLowShort

Different brands and models of tankless water heaters offer varying levels of energy efficiency, costs, and lifespans. For example, Brand A’s Model 1 is highly energy-efficient but comes with a higher upfront cost [FACT 9]. However, it also boasts a longer lifespan [FACT 3]. On the other hand, Brand C’s Model 3 is less energy-efficient and has a shorter lifespan but is much more affordable initially [FACT 7]. It’s essential to consider these factors, along with your hot water needs and access to fuel [FACT 8], when choosing the right tankless water heater for your home.

Consider long-term cost savings

Tankless water heaters may have a higher upfront cost compared to traditional tank-style heaters, but they can offer significant long-term savings. One important factor to consider is their energy efficiency.

Tankless water heaters only heat water as it is needed, eliminating the need for constantly heating and reheating a large tank of water like traditional heaters do. This can result in lower utility bills over time.

Additionally, tankless water heaters have a longer lifespan compared to traditional tanks, which means you won’t have to replace them as frequently. Traditional tanks typically last around 10-12 years, while tankless units can last up to 20 years or more with proper maintenance.

Another potential cost-saving advantage of tankless water heaters is reduced maintenance requirements. Without a large storage tank that can accumulate sediment and mineral deposits over time, there’s less risk of issues such as leaks or corrosion.

This means fewer repair costs and potentially longer-lasting performance.


1. What are the advantages of using a tankless water heater?

Tankless water heaters offer several benefits, including energy efficiency, unlimited hot water supply, space-saving design, and longer lifespan compared to traditional tank-style heaters.

2. Are there any disadvantages to using a tankless water heater?

While tankless water heaters have many advantages, there are some potential drawbacks to consider. These include higher upfront costs, the need for professional installation due to complex plumbing requirements, and limited flow rates if multiple fixtures are being used simultaneously.

3. Can a tankless water heater save me money on my utility bills?

Yes, tankless water heaters can help save money on utility bills in the long run. They only heat water when it is needed, eliminating standby heat loss that occurs with traditional tanks. However, it may take some time to recoup the initial investment through energy savings.

4. How do I determine if a tankless water heater is suitable for my home?

To determine if a tankless water heater is right for your home, consider factors such as your household size and hot water usage patterns. It’s also important to consult with a professional plumber or heating specialist who can assess your home’s plumbing system and recommend an appropriate unit based on your specific needs.


In conclusion, tankless water heaters offer numerous advantages such as energy efficiency, space savings, and on-demand hot water. However, they also come with some drawbacks including limited hot water for multiple outlets and higher upfront costs.

Before making a decision, it is important to carefully consider your hot water needs, installation requirements, and long-term cost savings. With proper research and planning, tankless water heaters can be a valuable investment for your home.