Water heaters, upgrade to an "on demand" system or not?

Home Inspector with 203kOnLine.com, covering the USA S0289

We have lots of our clients ask if they should upgrade to an "on demand" water heating system and the answer is all the same. It might make them feel better but the chance of it paying for itself isn't going to happen for a number of years. If they plan to  live there the rest of their lives it might pay for itself but if they are typically homeowners they will likely upgrade to a new home within 3-5 years and, OOPs, they didn't recover their investment as they thought they were going to.

Does this make it a bad investment. Not for the environment, or the city/county you live in. You certainly are helping them by not storing hot water. But you are doing it for the environment and that is okay to make that decision. Does it cost more than a standard water heater... YES it does, quite a bit more. We are seeing them cost from $2,000 - $3,800 fully installed vs about  $650 - $1,000 for a standard water heater. 

BTW it is a "Water Heater" not a "Hot Water Heater". I get such a laugh when I hear someone call it a "hot water heater", heck, if it was hot water already they wouldn't need the water heater... LOL. I never here anyone talk about the "cold refrigerator". It is just a refrigerator.

I was told there is no need for a TPR or Temperature Pressure Relief valve or a drain line on a tankless water heater the other day... NOT true, they have to be safe for operation just like a standard water heater. Does it save energy, YES it does.

Posted by

Mike Young, 203k Team Leader    Mike ready for your 203k order

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Edward & Celia Maddox
The Celtic Connection Realty - Queen Creek, AZ

Thanks for the information on the On-demand system versus others.

Nov 26, 2012 10:58 PM #1
Mark Loewenberg
KW of the Palm Beaches - Palm Beach Gardens, FL
KW 561-214-0370
How much is the investment for these systems? My 19 yr old system is about to croak... Also is it more cost effective than solar?
Nov 27, 2012 12:53 AM #2
Mike Young
203kOnLine.com, covering the USA - Las Vegas, NV
FHA 203k Consultant 916-758-1809

Thanks for stopping by Edward and Celia

Mark, "from $2,000 - $3,800 fully installed" it pretty typical. I would contact a plumber in your area or do a 203k and get other items repaired or upgraded if you need it.

Nov 27, 2012 12:56 PM #3
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Mike Young

FHA 203k Consultant 916-758-1809
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