Sometimes referred to as an instantaneous or on demand water heater, a tankless water heater has countless benefits over traditional storage water heaters. From cost savings to overall efficiency, there are numerous reasons for wanting to go with a tankless. But first, it is important you understand what exactly a tankless water heater is.

A tankless unit will provide water only when necessary. As a result, it will eliminate the standby energy losses that can be quite costly with traditional storage water heaters. Think of it as any other form of a heater. No one runs the heat full blast while on vacation or a business trip so why should you worry about how hot the water is when you are away?

This form of heater will heat your water on demand without taking up precious space with a storage tank. As a result, the use of standby heat losses that are associated with storage tanks are avoided. How it works is by cold water traveling through a pipe into the unit as you turn on a hot water tap. The water is heated as it travels through the unit.

There are different forms of tankless water heaters you will want to become familiar with. With an electric unitr, there is an electric element that heats the water. With a gas-fired version, a gas burner will heat the water. Both deliver a constant supply of hot water.

One of the many benefits of a tankless water heater is that you will no longer need to wait for a storage tank to completely fill with hot water. Within a single minute a tankless unit can produce anywhere from two to five gallons of hot water. Keep in mind that gas-fired versions will produce higher flow rates than electric.

It is important to note that these units come in varying sizes. A larger house or building will require a larger unit. Some of the smaller heaters will not be able to supply enough hot water for simultaneous uses in a large household. As a result, you may not be able to take a shower and run the washer at the same time if your unit is too small. There is a simple solution to this minor problem.

You can install a whole house style of heater or simply place two or more heaters that connect in parallel. This provides the ability to meet simultaneous demands of hot water. Another option is to install separate tankless water heaters for each appliance that may take up a lot of hot water in the home. Your certified installer will carefully evaluate your water needs.

The benefits to a tankless unit are vast. It can be 30% more energy efficient than conventional heaters. It can be around 15% more energy efficient if you are using hot water constantly. And best of all, it can save you money in the long run.

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