There are several types of water heaters on the market, and understanding which one is right for you and your home is key to having access to hot water without running out. Tankless water heaters, conventional water heaters, and heat pump water heaters can provide a house with hot water, but they share more differences. It can get confusing trying to figure out which one of these water heaters is right for you, but we’re here to help by breaking down the differences between conventional water heaters, heat pump water heaters, and tankless water heaters.
At Monkey Wrench Plumbing, Heating & Air, we are trained and certified by top water heater manufacturers. Since 2007, we’ve helped thousands of homeowners across the Los Angeles area with their water heater needs, including assisting them to decide which water heater is right for them. Now, it’s your turn!
We’ll compare these three water heaters by the following categories.
- Water heating design
- Energy efficiency
- Cost differences
- Sizes
- Maintenance
By the end of this article, you’ll have a better understanding of which water heater is the right choice for you and your home.
What’s the Difference Between Tankless Water Heaters,
Conventional Water Heaters, and Heat Pump Water Heaters?
In the following section, we’ll review how these water heaters achieve their goal of providing a home with hot water.
How Do Tankless, Conventional, and Heat Pump Water Heaters Heat Up Water?
Tankless water heaters, conventional water heaters, and heat pump water heaters all have different methods of heating water. Here’s a short overview of how each water heater works.
- Conventional water heaters: Traditional water heaters store gallons of water in their tank and keep it heated at a set temperature using electricity, natural gas, or propane. Gas-powered conventional water heaters have a burner at the bottom connected to a gas line that applies heat to the water. Electric-powered water heaters use electricity to generate heat through heating elements within the tank to maintain hot water temperature.
- Tankless water heaters: The internal heating systems within a tankless water heater are initiated by a flow sensor, which activates an igniter flame that heats the heat exchanger. The heating element then transfers the heat to the water and sets it at a set temperature before it disperses throughout a home’s fixtures.
- Heat pump water heaters: First introduced in 2009, these water heaters have a heat pump unit that pulls in the surrounding air and uses its heat pump technology to extract heat from the air to apply it to water. The heat pump water heater has a built-in sensor that maintains the water heated using the ambient temperature. If there isn’t enough heat in the air, electrical components within the system help heat the water in the tank.
All of these water heaters operate differently but are installed right after a home’s main water line. They also share similar power sources. Tankless and conventional water heaters can be powered by gas, electricity, or both, whereas heat pump water heaters run on electricity.
Their ability to heat water and the energy they use to produce hot water ties in with their energy efficiency ratings.
Which Water Heater Is the Most Energy Efficient?
Here’s a rank of water heaters by most energy efficient.
- Heat pump water heaters
- Tankless water heaters
- Conventional water heaters
Heat pump water heaters are the most energy-efficient choice among all water heaters. To make it easier for homeowners to compare water heaters, the Department of Energy set ratings for water heaters known as the Uniform Energy Factor (UEF). With a 4.0 UEF rating, heat pump water heaters are three to five times more efficient than tankless and conventional water heaters.
Unlike tankless and conventional water heaters, heat pump water heaters consume less energy thanks to how they heat water. Nonetheless, tankless water heaters are more energy efficient than traditional water heaters. Tankless water heaters have a .91 to .99 UEF rating, whereas conventional water heaters have a .60 to .96 UEF rating.
Energy efficient ratings are helpful for homeowners to compare which water heater can save them more money throughout the year. Water heaters have energy guide labels with that specific model of water heater’s potential energy cost savings per year to help narrow down choosing between water heater units.
Energy efficiency plays a crucial role in determining savings, but how do these three water heaters compare in terms of upfront costs?
Cost Comparison: Tankless Water Heaters vs. Conventional Water Heaters vs. Heat Pump Water Heaters
Heat pump water heaters may have higher energy efficiency ratings but also cost more than tankless and conventional water heaters. Furthermore, traditional water heaters are commonly the lowest price of the three water heater choices.
Here’s a breakdown of their price ranges.
- Conventional water heater: $3,200 to $5,900
- Tankless water heater: $4,500 to $8,500
- Heat pump water heater: $9,500 to $13,000
The price ranges for these water heaters include installation. Other factors, such as the water heater brand, parts, and size of the water heater, also play a role in the final cost of these three water heaters.
All three water heaters have different upfront costs but can all provide long-term savings. Tankless and heat pump water heaters can offer more savings thanks to their energy efficiency. Aside from hundreds of dollars in long-term savings, tankless water heaters and heat pump water heaters, each have eligibility for California rebates and federal tax credits.
Like any investment you make, it’s essential to ensure you’re maintaining your water heater so it can provide your home with hot water with minimal issues.
Sizing Differences
Conventional water heaters, tankless water heaters, and heat pump water heaters serve the same purpose of providing a home with hot water available in all fixtures. Some main differences between these three water heaters are how they heat water and how much space they can take up.
Here’s how these three water heaters compare in space requirements.
- Conventional water heaters: Usually the largest of the three. The more gallons a traditional water heater can hold, the more space it will take up. It’s typically a large cylinder containing between 30 to 100 gallons of water, with the most common size for homes usually holding about 50 gallons of water.
- Tankless water heaters: Also known as on-demand water heaters, these units are compact and take up less space than any other water heater type.
- Heat pump water heaters: These moderate-sized water heaters are smaller than some conventional water heaters but take up more space than tankless water heaters.
Homeowners should consider how much space they have available to see if these water heaters are ideal for their setting. Regardless of their size, all three water heaters use similar connections to a home’s water line, and it is recommended that a certified technician install them. A technician will inspect the work site to see if any other modifications are needed to complete the installation.
Water Heater Maintenance Comparison
Regardless of which water heater you decide to go with, it will require maintenance. Tankless, conventional, and heat pump water heaters all require a water heater flush once or twice yearly.
Here’s the maintenance you can expect with the following water heaters.
- Conventional water heaters: Traditional water heaters have an anode rod that helps prevent tank corrosion. The anode rod and the temperature relief valve should be inspected yearly to see if it needs to be replaced.
- Tankless water heaters: These water heaters should have their heat exchanger flushed to remove any sediment buildup. It’s also recommended to schedule tankless water heater service once a year so technicians can inspect the unit for leaks or other possible concerns.
- Heat pump water heaters: Heat pump water heaters have an air filter that must be cleaned to properly absorb the surrounding air. It’s also important to check for any potential leaks to ensure that there’s no loss of water or water damage.
Routine maintenance is essential because, without any care, water heaters can experience issues. Any issues caused by failure to maintain a water heater can result in voided warranties.
When comparing warranties, tankless, conventional, and heat pump water heaters have similar conditions and terms.
Comparing Warranties
The terms and conditions for heat pump water heaters, conventional water heaters, and tankless water heaters are very similar when explaining what is and isn’t covered. All water heater manufacturers provide a warranty booklet with a water heater regardless of whether it’s tankless, conventional, or heat pump. It’s recommended to review the selected water heater’s warranty terms and conditions to see what is covered.
Warranty periods vary from the manufacturer, but here’s a quick summary of the warranty ranges plus the lifespan of each water heater:
- Conventional water heater: A new traditional water heater can last 8 to 12 years, with some lasting over 15 years with maintenance and care. The average warranty can range between 6 to 12 years of coverage on the tank and parts.
- Tankless water heater: The average warranty for a tankless water heater is 10 to 15 years, but a few from Noritz have a 25-year warranty. Some tankless water heaters can last over 25 years, offering the most longevity of water heaters.
- Heat pump water heater: A heat pump water heater can last for 10 to 15 years and has a warranty coverage of 8 to 15 years. These water heaters have parts and tanks generally covered under warranty.
Most water heater brands also offer extended warranties for further coverage for tankless, conventional, or heat pump water heaters.
Which Water Heater Is Right for Me?
We highlighted and compared the differences and similarities between tankless water heaters, conventional water heaters, and heat pump water heaters. Now that you have a clearer picture of what these water heaters offer, you can narrow down your choice for a new water heater. You can continue researching a specific water heater that can meet your home’s hot water demands.
After 15 years of installing, servicing, and replacing water heaters, we have seen how all the different water heaters operate and differ. At Monkey Wrench Plumbing, Heating & Air, we continue to help homeowners in Los Angeles and the surrounding areas navigate through the different water heaters until they find one suitable for their unique home.
If you’re interested in a tankless, conventional, or heat pump water heater, contact us using one of the buttons below. To help you get started on your water heater journey, book an appointment with our water heater scheduler.
If you're unsure which water heater to choose from, here's a list of side-by-side comparisons of each water heater with each other. By exploring these in-depth comparisons, you can narrow your search for your ideal water heater.
- Tankless water heater vs. conventional water heater
- Conventional water heater vs. heat pump water heater
- Heat pump water heaters vs. tankless water heaters
