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You are here: Home / Water Heaters

Water Heaters

Hot Water Heater Buying Guide

Furnace Prices · Oct 30, 2020 ·

Our Complete Hot Water Heater Buyer Guide: Learn everything you need to know about the best hot water heaters before you buy, including different types of water heaters, different features, top brands, warranty options, and more.

Table of contents

  • Storage Tank Hot Water Heaters
    • How Do They Work?
  • Tankless Water Heaters vs Traditional Tank Hot Water Heaters
    • Tankless Hot Water Heater Pros
    • Tankless Hot Water Heater Cons
    • Best Features To Look Out For
  • Top Water Heater Brands
    • A.O. SMITH / GSW / JOHN WOOD
    • Kenmore
    • Rheem and Ruud
    • Whirlpool
    • Warranties
    • Installation
  • Water Heater Average Price Range
    • Financing
  • New Water Heater Pro Tips
    • Your New Hot Water Heater
  • Water Heater Frequently Asked Questions

If you’re building a new home and looking for the best water heater available, or you’re looking to upgrade your current unit, this guide will help you choose the right water heater for your needs.

With various manufacturers offering different features, units powered by different fuels and various deals and pricing options, it can become confusing purchasing a hot water heater. That’s why we’ve put together this informative page, covering what heaters are, features to look out for, reviews, warranty options, pro tips and FAQS to make sure you’ve got all the information you need!

We tend to take the need for hot water instantly flowing out of our taps or shower for granted. However, behind that, there’s a hot water heater that needs to be sufficient for the needs of your home and family.

On average, a Canadian home uses around 75 litres of hot water every day. Also, water heating makes up approximately 17% of the energy used in homes, constituting the second largest utility cost after your home heating system.

Storage Tank Hot Water Heaters

This guide will focus mainly on the traditional storage tank water heater, although it will cover tankless heaters too. See our Tankless Buyer Guide for a more in-depth overview of those systems. The storage tank water heater is the most common type of water heater in the world today, with particular popularity in the U.S. and Canada.

How Do They Work?

Traditional storage tank heaters consist of a vessel or container, usually found in the basement of a home near where the furnace is kept, and it typically holds water ranging between 75 to 400 litres.

The water heater will heat the entire content of water that’s being held in its container ready for use when called upon. They tend to be efficient thanks to the fact that they can utilize energy at a fairly slow rate as the heat is stored for later use.

However, a disadvantage to water heaters of this type is that during periods of heavy water usage, the heated supply of water in the tank can be used up. This can cause a period of delay before hot water is flowing again!

Storage tank heaters can be powered by a number of different types of fuel. Below, we have compared a number of different types of fuel for water heaters, so you can see what is best for you.

Gas

Gas water heaters are great if there’s a natural gas pipeline available to use for your home. Gas water heaters tend to be cheaper to run than electric heaters and other types, as well as being able to heat the water at a faster pace. They also benefit from the fact that they’re easier to repair than electric water heaters.

However, gas water heaters incur a more difficult installation process due to the need for ventilation due to the emissions that are released. They also tend to have a lower lifespan than an electric heater and can cost more upfront.

Electric

An advantage to electric water heaters is that they’re easier to install thanks to not needing any ventilation. They also do not run on “fuel” like gas or propane which makes them very efficient. Thanks to running on electricity, they tend to be better for the environment because they produce fewer emissions and also manage a longer service life than gas heaters.

Nevertheless, there are some downsides to electric water heaters. Electric water heaters often have a slower flow rate than a gas water heater, and you can be at risk of a short circuit or blown fuse. They also tend to be quite difficult to repair due to the electrical component.

Tankless Water Heaters vs Traditional Tank Hot Water Heaters

Although this guide focuses mainly on traditional tank-style water heaters, it’s worth mentioning tankless water heaters, which are gaining in popularity.

Going tankless can be more efficient than traditional tank hot water heaters because they only heat the water when needed and can provide nearly limitless hot water. We’ve put together the list below to help you weigh up the pros and cons of a tankless water heater.

Tankless Hot Water Heater Pros

  • They save money by not using energy throughout the day when no hot water is being called for
  • Because water is heated on demand, it can be a virtually limitless flow
  • They are smaller and more space efficient than tank water heaters
  • Because of their smaller nature, they can be fitted closer to the areas of your home where you actually need the water, unlike tank heaters which are usually in the basement

Tankless Hot Water Heater Cons

  • It can be very expensive to switch from a tank water heater to a tankless heater. This is because you’ll generally have to retrofit your plumbing and possibly even your electrical system
  • Economically, due to the expensive switch, they only really make sense if you’re building a brand-new home or adding a new space to an existing one.
  • If you have an electric tankless heater and there’s a power outage, you’re left with no hot water. This is unlike an electric traditional tank water heater, as you’re still left with the pre-heated water in the tank to ration until the power is restored

Best Features To Look Out For

Drain Valves

Drain valves are not an expensive part of the water heater in themselves, but they’re crucial to its operation. Brass drain valves may cost more than plastic drain valves, but they’re far more reliable and effective. We suggest going for a water heater with brass drain valves where possible!

Glass Lining

Some water heaters include a glass-lined tank. The glass-lined tank helps to reduce corrosion on the interior of the tank, helping to prolong a unit’s service life and prevent maintenance issues that can be caused by corroded parts.

User-Interface

Premium water heaters include technology such as digital displays. These digital displays can show you exactly how the water heater is performing, can help you monitor your purchase and customize how it runs, and some even include a vacation mode to ensure you save money while you’re away.

Top Water Heater Brands

A.O. SMITH / GSW / JOHN WOOD

These manufacturers offer high-efficiency gas/propane, electric tank, hybrid heat pump, tankless, and solar-powered water heaters. With over 600 different models of hot water heaters available, there’s an option for nearly any home. Many are also ENERGY STAR certified.

These brands are all connected, for example. A.O. Smith operates under John Wood in Canada, and they’re currently the largest manufacturer and marketer of water heaters in North America. Their ProLine & Proline Master Electric models all exceed NRCan energy efficiency standards and meet national energy efficiency requirements.

They also have over 80 years’ experience manufacturing the patented glass-lined water heater – which helps reduce erosion on the interior of the tank. For example, John Wood’s patented Blue Diamond glass coating is zircon-enriched, helping provide a tougher, water-resistant lining.

The price of these units is dependent on how efficient the heater is, your home details and how much additional technology they include. It’s best to ask a wholesaler/contractor to get a better idea of pricing specific to your circumstances!

Kenmore

Kenmore, owned by Sears and available on Amazon, offers gas and electric water tank heaters. They feature their patented RotoSwirl technology, which protects their tank water heaters against lime build up and helps the products have a longer service life.

Kenmore products are affordable, but you’re left with lower efficiency models due to this. This may save you money up-front, but it will cost you more over time.

Rheem and Ruud

Rheem and Ruud manufacture gas-fired tank storage and tankless water heaters, as well as a number of other water heating items and equipment.

Higher-end models have impressive efficiency ratings, and select models are also ENERGY STAR rated. Many of these models also come with high-tech user-interface tools to help provide detailed system diagnostics and control.

There are also natural gas and propane burning models that feature eco-friendly burners with low NOx designs, helping the water heater to achieve its high-efficiency levels as well as helping the environment!

It’s worth considering the models that feature Rheem’s Guardian System air/fuel shut-off device which disables the heater in the presence of flammable vapour accumulation, increasing safety. These units are also low maintenance and require no filter.

Whirlpool

Whirlpool is one of the world’s largest home appliance manufacturers, and chances are something in your home has been made under the Whirlpool Corporation.

Whirlpool water heaters include some impressive features, such as self-cleaning technology, and numerous additional safety features. Some of these safety features include the FLAME LOCK Safety System which reduces the risk of accidental fires, 6th Sense technology which uses microprocessor-controlled Honeywell gas valves for tighter temperature control, fewer moving parts and self-diagnostic technology.

Whirlpool’s heaters also use environmentally friendly non-CC polyurethane foam insulation to reduce heat loss, and their models are certified up to an altitude of 10,100ft, great for those living at higher altitudes.

Warranties

Depending on what model of water heater you choose, and from which manufacturer, warranties can vary. On average though, water heaters generally come with a warranty period of three to twelve years. Unsurprisingly, premium units tend to have longer warranty periods.

Installation

Unless you’re a certified HVAC professional yourself, we strongly recommended having an experienced HVAC company or contractor fit your water heater for you. Mistakes can be extremely costly and do damage to your home.

Depending on what water heater you’re having fitted, the installation time can vary. If you’re moving to a tankless water heater, expect it to be a larger job as often plumbing will need to be changed, and additional professionals may be required for the job.

If, however, you’re upgrading to a tank water heater of a similar type, chances are it won’t take long. Nevertheless, when choosing an HVAC service provider to install your brand-new unit, make sure to look out for their reviews, and don’t be afraid to ask about their certification. Choosing the wrong professional can be costly.

Water Heater Average Price Range

On average, a storage tank water heater tends to cost around $1,000 – $1,300 including installation, but this depends on where in the country you live, what manufacturer and what tier of unit you decide to go for.

Tankless water heaters, on the other hand, tend to be more expensive. This is because they can mean a whole new plumbing system for your home, and that’s why, for many, a tankless water heater is best if you’re building a new home or at least an extension to your home.

On average, a tankless water heater costs around $2,000 – $4,500 including installation.

Financing

When you put the cost of a brand-new water heater and the cost of installation together, you can be looking at a sizeable up-front cost. However, in most cases, there are financing options available to you.

Financing allows you to pay back the cost of a water heater over time, usually a number of years, with bi-weekly or monthly payments. Be wary of interest rates though, as high-interest rates can mean you pay back far more than the cost of your heater and installation by the end of your repayment period.

However, many manufacturers and HVAC companies have special promotions at certain times of the year advertising various models or services, financed, at a lower interest rate. If you’re able to pick up the model or service you’re looking for during a promotional period, you could save a lot of money!

New Water Heater Pro Tips

Insulate

One of the downsides to tank water heaters is that once the water is heated, it slowly cools over time causing the need for more energy to heat the content back up. To slow the rate that water cools, consider insulating the pipes around the heater.

So, if you’re looking to save money on your monthly water heating bill, consider insulating your hot (and cold) water pipes that are within 2 to 3 meters of your water heater. This is one of the most effective improvements you can make to your existing or new storage tank water heater!

Check your hot water heater settings

Most hot water heaters allow you to set the maximum temperature the water in your home can be heated to. If you’re worried about leaving your tap running on maximum heat and then sticking your hand under it, then it may be worth turning down the maximum heat on your water heater.

A lower maximum heat is safer, and this is particularly the case if you’ve got children in your house. But also, by turning down the maximum temperature your water heater can reach, you can save money too! A lower maximum temperature means less energy wasted as you’re heating your water to the temperature you want from the start.

However, be wary of the fact that setting your water heating temperature too low can lead to a growth in bacteria in your water system, as the hot water can help prevent things such as legionnaires’ disease. If in doubt, seek out a professional opinion who can evaluate your home and needs personally.

Your New Hot Water Heater

Buying a new hot water heater is a substantial investment for your home. Whether you’re replacing your old unit or building a brand-new property, we hope this guide has helped you make an informed choice. Remember, take your time when purchasing a new heater – deals are always available, and it’s a good idea to shop around before making a purchase!

Water Heater Frequently Asked Questions

What are the signs that my hot water heater needs replacing?

There are a few key signs to look out for that may suggest that you could do with an upgrade to your hot water heater – The water that’s coming from your taps or shower is discoloured. This could mean that there’s debris or dirt such as rust in the storage tank. If your hot water heater does not perform to the same standard as when you first purchased it, for example, it takes a long time to heat up. If your hot water bills have been steadily increasing or have recently dramatically increased with no explanation. If you can see leaking around the bottom (or anywhere) from your water heater. Your heater is making more noise than usual on a daily basis.

Will my hot water heater work during a power outage?

This depends on your model of hot water heater. An electric hot water heater will stop working during a power outage. However, a gas water heater (if it has a continuous pilot light) may keep working during a power outage.

My home has high water pressure, what can this do to my water heater?

If your home has a high-water pressure, for example, over 80 psi, then it could damage your home’s pipes and appliances as well as putting additional strain on your water heater. Consider purchasing a pressure reducing valve for your home’s water system.

What is the first-hour rating?

The first-hour rating indicates how much hot water your water heater can produce over an hour if it starts with a full tank of hot water. Gas water heaters tend to be better in this regard than electric water heaters. Look out for these ratings if your home uses lots of water in a short period of time.

There is a strange smell coming from my water heater, what should I do?

Egg smell – If there is an egg or sulfur-like small, you may need new sacrificial anodes in your tank. These active metals help prevent the material surface from corroding which also helps to stop the smell. Gas smell – Turn off the gas supply to the hot water tank (if it’s safe to do so) and leave the area and call a gas professional.

Can my hot water heater freeze?

It’s very unlikely that your hot water heater will freeze, even during the Canadian winter. If you’ve found that there’s no water coming from your taps or shower, it’s more likely that a pipe to or from your hot water heater has frozen.

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Tankless Water Heater Buyer Guide – Prices, Top Brands & More

Furnace Prices · Apr 28, 2020 ·

Table of contents

  • What Is a Tankless Water Heater?
  • 6 Reasons to Upgrade to a Tankless Water Heater
    • How Much Do Tankless Water Heaters Cost?
    • Potential Rebates for Tankless Water Heaters
    • Measuring and Comparing Tankless Water Heater Efficiency
      • Standby Loss (Electric Models)
      • Energy Factor (Gas, Propane, and Electric Models)
      • Uniform Energy Factor (Gas, Propane, and Electric Models)
    • Features and Technologies to Consider
      • ENERGY STAR Certification
      • Condensing Technology
      • Wi-Fi Compatibility
      • Recirculation Pumps
      • Smart Preheating Technology
      • Low and Ultra-Low NOx Emissions
      • Modulating Burners
      • Digital Displays
    • Potential Drawbacks of Tankless and How to Avoid Them
      • Potential Drawback: Limited Flow Rate
      • The Fix: Get the Right Size
      • Potential Drawback: Higher Purchase Price
      • The Fix: Saving Money Elsewhere
      • Potential Drawback: Higher Installation Costs
      • The Fix: Find the Right Contractor
    • Sizing Your Tankless Water Heater Accurately
    • Comparing Fuel Options for Tankless Water Heaters
    • Outdoor Tankless Water Heater Options for Milder Climates
    • 3 Important Questions to Help You Determine if Your Water Heater Is Due for an Upgrade
      • How Old is Your Tank?
      • Are You Satisfied with Its Performance?
      • Are You Paying Too Much?
    • Common Warranty Coverage for Tankless Water Heaters
    • Tankless Water Heaters and the Importance of Professional Installation
    • Which Brand of Tankless Hot Water Heater is Best?

Did you know that about 20 percent of your home’s energy expenses are going to heat your water? This is a considerable chunk of change and one you may want to consider more closely if your water heater is over a decade old.

Whether you’re looking to upgrade an older tankless water heater or switch from a storage system to tankless, this buyer guide will help you decide which make, model, and style is right for you.

We’ll go over important things like sizing, fuel sources, the benefits of tankless, how to compare efficiency, common warranty terms, potential rebates, and things you have to consider before settling on the right make and model for your home.

What Is a Tankless Water Heater?

Traditional tank hot water heaters keep a large volume of water heated constantly so that it is available as needed. Tankless water heaters, on the other hand, heat the water on-demand.

In other words, tankless water heaters generate hot water as needed whenever you turn on a hot tap in your house, be that a shower, a kitchen faucet, a utility room tap, or when you run the dishwasher or washing machine.

Moreover, this type of water heater can be more efficient and can also provide virtually limitless hot water, unlike a storage system, which may temporarily run out when your home’s water demands are high (like taking a really long shower).

6 Reasons to Upgrade to a Tankless Water Heater

There are indeed lots of reasons to get excited about installing a new tankless water heater for your home and here are just a few of them:

  1. They Save You Money – A tankless water heater doesn’t use energy throughout the course of the day when no hot water is being called for. Traditional storage water heaters rely on a reservoir tank, and this tank is heated periodically so that when you do need hot water, it can supply it. However, what if you’re not home all day? Tankless models heat water only when it’s needed, so no extra energy is wasted when you don’t need hot water.
  2. They Provide Nearly Limitless Hot Water – Since the water that passes through a tankless unit is heated on demand and fed from your water main, you can rely on nearly unlimited hot water. Tank-style heaters can only supply you with the amount of hot water that fits inside the tank, but advanced tankless water heaters can supply you with enough hot water to last for several consecutive lengthy showers, for example.
  3. They Won’t Burst – Although rare, it can happen with ordinary storage water heaters. Since there is no tank incorporated into a tankless water heating system, there is no danger of one bursting and flooding part of your house.
  4. They’re Space Efficient – Tankless water heaters are by and large much smaller than traditional units, which makes them ideal for smaller homes where storage and free space are at a premium.
  5. Quicker Access to Hot Water – Because of their compact size, some tankless units can be installed in a closet or pantry close to the actual faucets. Traditional water heaters are generally installed in the basement next to the furnace, meaning you have to wait for the water to cycle through the pipes before it reaches the faucet or shower.
  6. Less Maintenance – Storage tank water heaters require regular maintenance, and that includes things like:
    • Testing the temperature-pressure-release valve
    • Draining the tank to get rid of sediment
    • Inspecting the anode rod
    • Maintaining insulation

Tankless water heaters do still need some TLC, but it’s not as labour-intensive as with storage water heaters. This is especially true of electric models, which have very low maintenance requirements.

How Much Do Tankless Water Heaters Cost?

Tankless water heaters are more expensive than storage water heaters, and the units alone can cost anywhere from $1,000 to $3,000. The final price will likely be in the $2000 – $4500 range including installation.

However, the final cost will depend on lots of things, including:

  • The brand and model
  • Flow rate (‘size’ of the unit)
  • Natural gas/propane versus electric
  • Potential installation complications
  • Additional features and technologies

While you might pay more upfront to purchase a tankless water heater, you could save that and more in the long run thanks to lower energy bills, especially if you opt for a high-efficiency model.

And don’t forget to check for available rebates before you buy to see how you could save on your upgrade.

Potential Rebates for Tankless Water Heaters

Tankless water heaters might be more expensive than their storage counterparts, but there are often great rebates available that can help you save.

Rebates worth up to $1,000—which sometimes include free installation too—are often available through:

  • Utility companies
  • Local HVAC contractors
  • Water heater manufacturers
  • The federal or provincial government
  • Energy and environmental organizations
  • Banks and financial institutions

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Measuring and Comparing Tankless Water Heater Efficiency

Like furnaces and air conditioners, modern tankless water heaters come in a range of efficiencies. Buying a high-efficiency model can reduce your energy or fuel consumption and lower your energy bills. Water heater efficiency is measured in a few ways, including:

  • Standby loss
  • Energy factor
  • Uniform energy factor

Standby Loss (Electric Models)

Standby loss is sometimes used to measure the efficiency of electric tankless water heaters. The lower the standby loss in watts, the higher the efficiency.

Energy Factor (Gas, Propane, and Electric Models)

There are two calculations that can be used to measure the efficiency of any tankless water heater, and the first is energy factor.

Energy factor, or EF, is very similar to the AFUE rating on furnaces or the SEER rating on air conditioners. EF compares how much fuel/electricity the water heater uses with how much hot water it produces. The higher the EF rating, the better the efficiency.

Uniform Energy Factor (Gas, Propane, and Electric Models)

UEF, or uniform energy factor, is a more recent efficiency measurement for water heaters. Because it’s more accurate than EF, it’s becoming the industry standard.

UEF is also based on energy consumption versus hot water generated, but it also incorporates other important calculations, such as how much hot water a unit can produce in one hour when it starts with a full load of water. This is called the first-hour rating.

Higher UEF ratings indicate better efficiency.

Features and Technologies to Consider

Modern tankless water heaters have a lot more to offer than just heating up your domestic hot water, and manufacturers have been focusing on improving technologies, developing features, and adding perks to make their brands more competitive. Here’s a glance at some of the features you might like:

  • High-efficiency and ENERGY STAR® certified models
  • Condensing technology
  • Wi-Fi compatibility
  • Recirculation pumps
  • Preheating technology
  • Low NOx emissions
  • Modulating burners
  • Digital displays

ENERGY STAR Certification

One of the easiest ways to ensure you’re getting a high-efficiency and high-performance tankless water heater is to look for ENERGY STAR certification. This tells you the model has been tested and is guaranteed to meet high-efficiency standards.

Natural Resources Canada estimates that ENERGY STAR certified tankless water heaters use an average of 30 percent less energy than storage water heaters, and that will translate to great cost savings over time.

Most of the ENERGY STAR electric tankless water heaters on the market have UEF ratings between 2.3 and 4. Gas tankless water heaters must have an EF of at least 0.90, or a UEF of at least 0.87.

Another benefit of ENERGY STAR models is they may be eligible for additional rebates that non-certified models don’t qualify for.

Learn more about ENERGY STAR certification and what it means here.

Condensing Technology

Many tankless water heaters use heat exchangers to heat water on demand. There are also models available that have secondary heat exchangers, and these are called condensing tankless water heaters.

Condensing models might be more expensive, but they’ll also be more efficient because they have the secondary heat exchanger to recover heat and energy that would otherwise be lost through venting.

Wi-Fi Compatibility

One of the coolest things about modern HVAC equipment is that it can be made Wi-Fi compatible. That means you can use devices like smartphones, tablets, and other smart technology to control and manage your water heater settings remotely, and that includes:

  • Adjusting the water temperature
  • Monitoring water use
  • Keeping an eye on fuel consumption
  • Setting the unit to vacation mode
  • Getting maintenance updates

Recirculation Pumps

Tankless water heaters provide hot water on demand, but there is still a short lag between turning on the tap and getting your hot water, especially when you’re farther away from the heater.

Recirculation pumps reduce waiting time and are particularly useful in homes where the distance between the heater and the point of use is more than 50 feet.

Smart Preheating Technology

Another way some manufacturers reduce lag time between turning on the tap and getting hot water is with smart technology that tracks peak use times and ensures hot water is already there to meet your demands during those times.

Low and Ultra-Low NOx Emissions

Some tankless water heaters have been engineered with special technologies to reduce nitrogen oxide emissions. These models are better for the environment, and they meet strict NOx emissions standards for homes in municipalities that have air quality controls in place.

Modulating Burners

A tankless water heater with a modulating burner will adjust the burner to meet your demands and save as much energy as possible.

For example, if you only have one faucet demanding hot water, then the burner will reduce its output to save energy. The burner output will only increase as your hot water needs go up, so the unit will save energy and money.

Digital Displays

A digital display on the water heater might not be as fancy as Wi-Fi compatibility, but it still makes operating and monitoring your water heater convenient.

Depending on how high-tech the display is, it might let you:

  • See and change the temperature
  • Set different modes
  • Keep an eye on the flow rate
  • Check the water pressure
  • See maintenance requirements
  • Check self-diagnostics for performance and issues

Potential Drawbacks of Tankless and How to Avoid Them

There are far more advantages to tankless water heaters than there are disadvantages, but it’s important to consider the cons before switching so you can take steps to avoid them.

Potential Drawback: Limited Flow Rate

First of all, tankless water heaters do have a finite flow rate, meaning they can only generate so much hot water at a time. For instance, if you have two people showering at the same time, another person doing dishes, and a fourth doing laundry, then the water heater might not be able to keep up with demand.

The Fix: Get the Right Size

Fortunately, there’s an easy way to avoid this problem, and that is making sure you size the tankless water heater properly for your home and your needs (more on that later).

Potential Drawback: Higher Purchase Price

Tankless water heaters do tend to cost more than storage water heaters, and there’s simply no way around this. But you can offset the cost in other ways.

The Fix: Saving Money Elsewhere

While tankless water heaters are more expensive, you will save money in the long run on energy bills because tankless water heaters are more efficient. You might also be able to save on the purchase price by finding rebates, looking for sales, and shopping around for the best prices.

Potential Drawback: Higher Installation Costs

Tankless water heaters can be expensive to install compared to storage tank water heaters, and this is because they often use pipes that are a different diameter and have special ventilation requirements.

The Fix: Find the Right Contractor

We definitely don’t recommend trying to save money by installing a tankless water heater yourself, but you can shop around to find a local HVAC contractor who has the right tools, the right knowledge, and the right price.

Use our independent contractor certification program to find HVAC specialists nearby, or get a free quote today.

Sizing Your Tankless Water Heater Accurately

We’ve already mentioned what can happen if your tankless water heater doesn’t have a large enough flow rate for your needs, so now it’s time to talk about how to size your water heater properly.

Tankless water heaters are sized based on flow rate, which is measured in gallons per minute (GPM). To get an idea of what size water heater you need, start by adding up the flow rate (in GPM) of the water-using fixtures and appliances in your home. Don’t forget to include:

  • Faucets
  • Showerheads
  • Dishwasher
  • Washing machine

For example, if you have one shower with a 2.5-GPM flow rate, three faucets with a 1-GPM flow rate each, and a washing machine with a flow rate of 3 GPM, then you can start to look at water heaters with flow rates in the ballpark of 8.5 GPM.

However, there are other factors that must be considered when sizing a tankless water heater, including temperature rise. That’s the difference between the temperature of the water coming into the system versus the desired temperature of your hot water (this is usually 120 F).

Because sizing a tankless water heater properly is part math and part art, your best bet is to have it properly sized by a professional HVAC technician.

Comparing Fuel Options for Tankless Water Heaters

One decision you’ll have to make when buying a tankless water heater is what fuel to use. This type of water heater is available in natural gas or propane and electric models. There are pros and cons to the different fuel sources, so it’s important to weigh your options carefully.

ConsiderationProsCons
InstallationElectric: Water heaters that are powered by electricity tend to be cheaper to install because they don’t need specially sized pipes for gas hookups, and they don’t have ventilation requirements.Gas: Natural gas and propane water heaters are more expensive to install because of the additional venting requirements and the special gas hookups.
EfficiencyElectric: Electric models are also significantly more efficient than gas or propane ones. As we saw earlier, some electric models with ENERGY STAR certification can have UEF ratings as high as 4.Gas: These models aren't as efficient as electric tankless water heaters. Some of the most efficient ENERGY STAR models still only have UEF ratings of 0.97 percent, compared to the 4 rating of some electric models.
Energy CostsGas: Natural gas and propane tend to be cheaper than electricity, and this can result in lower energy bills for a tankless water heater powered with gas.Electric: Despite their higher efficiency, electric models can still be more expensive to operate because electricity tends to be pricier than gas or propane.
Flow RateGas: Whereas electric tankless models have limited flow rates, gas and propane ones can accommodate homes with much higher hot water demands. Some gas models can even deliver flow rates as high as 11 GPM.Electric: Depending on your hot water needs, an electric tankless system might not be sufficient because these models tend to have lower flow rates than gas ones. One of the highest flow rates available for an electric tankless water heater is 8.8 GPM, but most of them are much lower than that.
LifespanGas: You can usually tell by a warranty how long you can expect a water heater to last (more on that later). Gas and propane models have much longer warranties than electric models, meaning you can expect them to withstand several more years of use.Electric: Tankless electric models tend to have significantly shorter warranties, and this can indicate shorter lifespans.

Outdoor Tankless Water Heater Options for Milder Climates

Tankless water heaters come in both indoor and outdoor models.

Outdoor tankless water heaters aren’t typically practical in Canada. These units do have built-in freeze-prevention devices, but they will use a great deal of energy during our long, cold winters. Moreover, the outdoor pipes must be carefully insulated to prevent freezing.

However, if you live somewhere with milder winters, like Vancouver Island, then you could consider an outdoor tankless water heater.

There are a few advantages to outdoor models, including additional space-saving, and cheaper and faster installation because you don’t have to worry about ventilation.

3 Important Questions to Help You Determine if Your Water Heater Is Due for an Upgrade

How Old is Your Tank?

You can usually find out the age of your water heater by checking the sticker on the side. It should have the name and number of the contractor who installed it and the unit’s serial number. Once you have these, a simple phone call will tell you all you need to know about the age of your water heater.

Are You Satisfied with Its Performance?

Are you getting the hot water you need? Sometimes all it takes to make your water hotter is a simple adjustment of a valve, but if you have already maxed out the capacity of your water heater, then it may be time to consider an upgrade.

Are You Paying Too Much?

Take a look at your energy bills. Have they been steadily rising over the past months or years? The culprit could be your old, inefficient water heater.

If you answered old, no, and yes to these questions respectively, then a tankless water heater might be able to solve all of these issues.

Common Warranty Coverage for Tankless Water Heaters

Warranties are something you will definitely want to consider when buying a tankless water heater, especially when you think about the additional up-front cost of buying a tankless model.

Longer warranties can save you plenty on maintenance and service costs over the years, but they can also give you a good idea of how long you can expect your new water heater to perform reliably and optimally.

The warranty terms you get with your tankless water heater will depend largely on the brand and style. Electric models have much shorter warranties than natural gas or propane ones, but some brands offer longer terms than others.

Here are some common warranty terms to look for when you’re shopping:

WarrantyElectricGas/Propane
Heat Exchanger5 years10 to 15 years
Parts1 year5 years
Labour*N/A1 year

*Labour warranties aren’t common with tankless water heaters, but some brands do offer them.

Our local dealers would be happy to answer your questions regarding particular models, installation, or tankless water heaters in general.


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Tankless Water Heaters and the Importance of Professional Installation

We already mentioned that installing a tankless water heater—especially a gas or propane model—can be more complicated than with storage water heaters, and this is just another reason it’s so important to trust the installation to a professional.

Beyond that, tankless water heaters can be pricey, and proper installation ensures optimal performance and peak efficiency, meaning you’ll get the most out of your investment.

Another reason professional installation is important is your warranty: many terms dictate that installation must be performed by an expert HVAC technician, otherwise you risk voiding your warranty.

Which Brand of Tankless Hot Water Heater is Best?

While the first place you should start when considering a tankless water heater is the needs of your household, you should also be mindful of the brands and models that different manufacturers offer.

Rheem, Navien and Stiebel are among the most popular tankless water heater brands in Canada, but there are many others to check out as well, including:

  • GSW
  • Bradford White
  • Whirlpool
  • Rinnai
  • Giant
  • Takagi
  • John Wood
  • Bosch
  • AO Smith
  • GE

Sources

  • Water Heaters
  • Understanding Energy Efficiency in Water Heaters
  • Sizing a New Water Heater
  • Tankless water heaters
  • ENERGY STAR Certified Water Heaters
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