Tankless water heaters have been used for some time in Japan and parts of Europe. They are a relatively new concept in the U.S., where conventional water heaters are the norm. Tankless systems use heating elements to heat the water as it passes over them. There is no holding tank or reservoir of hot water.

There are many benefits to tankless water heater systems. Here are some of them.


Tankless water heaters address several environmental factors:

1. You use less water with a tankless system, because you do not have to let the water run for a long time before it gets hot. Tankless systems heat the water almost instantly.

2. Because there is not a large reservoir of water to keep hot all the time, tankless systems use less energy. This “standby energy” usage can be significant in cold weather.

3. The average tankless system lasts around 20 years as compared to the 7-year lifespan of a conventional hot water tank. This means much less waste.


Because of their efficiency, you can expect to save close to $100 a year by switching to a tankless system. Other sources say your water heating bills will be cut in half with a tankless water heater. Your electric and water bills should both decline, because your tankless system will use less of both.


Personal comfort is another benefit of tankless systems. You don’t have to worry about running out of hot water. If you just ran the dish washer or a family member just took a shower, then you can shower right after and not run out of hot water.

You may also have a personal preference for a smaller system. Tankless water heaters take up much less space, freeing up some square footage for another purpose.


1. Conventional water heaters have been known to explode when the water pressure inside gets too great. And they are prone to leaks. Tankless systems don’t hold a reservoir of water, so the water pressure can’t build and build within its walls.

2. It is much easier to set the “real” water temperature in a tankless system – that is, the temperature that you actually want the water to be rather than much hotter. Conventional tanks are usually set around 130 degrees, which is hot enough to scald if it is not mixed with cold water. With a tankless system, you can set the temperature to whatever is comfortable and use it straight from the tap, without adding cold water.