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Home » How Much Will Water Heater Installation Cost? What to Know

How Much Will Water Heater Installation Cost? What to Know


Water Heater Installation Cost

About 20% of the average home’s energy consumption comes from the water heater. This staple of modernity is crucial for almost all modern plumbing amenities and makes life much more comfortable.

But how much does it cost to install a new water heater? Read on for your guide to your estimated water heater installation cost and what factors can play into your costs!

What Is the Overall Water Heater Installation Cost?

This is actually a tough question to answer, as water heater prices can vary widely. However, there is a typical range for what you can expect to pay for your water heater installation.

Typically, you can expect to pay somewhere between $2,000 and $10,000 to install your water heater. This is quite the range, but that’s because there’s such a variety of water heaters to choose from!

This cost covers both the purchase of the heater and the costs for installing it. However, it doesn’t include the general cost of running your water heater, which depends a lot on what type and size you get.

What Will Affect Your Costs?

There are a few things that will affect how much you’ll have to pay for a water heater. The biggest factor is the type of water heater you get, including fuel source and size.

You also have to factor in the overall costs in your area, any rebates or taxes you might have to pay, and the cost of the plumbing service you hire.

Type of Water Heater

There are three primary types of water heaters. These are gas, electric, and solar heaters.

Electric heaters are the cheapest type of water heaters to install, typically costing somewhere between $500 and $700 just for the parts. They don’t require a lot of extra construction or exhaust vents and are generally less expensive than other options. However, you pay for these initial savings by having to pay more in utilities to keep your water heater running.

Gas heaters are more expensive to install and cost around $1000, not including installation costs. You’ll need exhaust vents added to your boiler room to help prevent gas buildup, and may need extra pipes put in to bring in the gas. Thankfully, gas is a lot cheaper than electricity, so you’ll save money once you have the heater installed!

There are also solar-powered water heaters. These are the most expensive to buy and install, but you might have the chance for some solar rebates, depending on where you live.

The good news is, your energy costs will be greatly reduced once you get a solar heater installed. You can compare your costs and savings, but it’s likely you’ll save money in the long run.

Size and Energy Factor

You also need to pay attention to the size of your water heater, no matter what method it uses for heat. Additionally, the Energy Factor rating, or EF, is crucial to understand. Both of these things can affect your cost but are also directly tied to how your family uses water.

The size of the heater relates to how many gallons of hot water it can provide. You want to find a heater that will give you enough hot water during your peak usage times, without going too overboard and wasting energy heating water you won’t use.

In general, one or two people will want a 30-gallon tank. This seems like a lot, but you’d be amazed at how much water the average person goes through! For larger families, tanks in the 40, 50, or even 80-gallon range may be a better match.

Be careful not to just buy the biggest water heater on the market! Unless you have a family that will use that much water, you’ll simply waste money as it constantly heats water you don’t need. On the flip side, be careful also not to buy something too small that leaves your water cold after only a few minutes!

Additionally, you’ll need to look at a water heater’s Efficiency Rating. The higher the EF, the more expensive the tank will be, as these typically are higher-end products. However, a higher EF also means you’ll save more money on electricity or gas over time.

With both of these things, you’re going to have to do some research and find the happy medium that works for you. Pick a water heater that suits your needs while still saving you money!

Tank or Tankless?

Another interesting thing you’ll have to consider when looking to buy a water heater is whether you want a tank or a tankless system. Yes, we’ve mentioned hot water tanks a lot here, but tankless water heaters still need many of the same principles.

The primary difference is that tankless heaters will heat the water as you use it, rather than heating gallons of water to store for when you need them. The average cost of a tank water heater is a little under $2000, while the average cost of a tankless water heater is a little over $4000.

While the tankless water heaters are pricier, many people enjoy them because they never run out of hot water. Additionally, they tend to be smaller and can fit in a smaller space in your house than a regular water heater.

The Installation Crew

Finally, which plumbing services you go with will also affect your final installation costs. You can try searching for “plumber near me” or something similar to find a crew who can help you install your water heater, but that doesn’t always work out great.

Ideally, the best plumber will be able to talk with you and plan exactly what you need to do to get your water heater installed. They should do this all while providing great service and a reasonable price, helping you get your water heater installed without you needing to worry about extra issues or costs.

Learn More About Installing a Water Heater!

Now that you have a better idea about your estimated water heater installation cost, it’s time to get one for your home! There are plenty of great options out there to choose from, and you can find one that works for your situation.

If you’d like to learn more about installing water heaters, or you have other plumbing-related questions, contact us! We’re happy to help you with any of your plumbing needs. We want to make sure you have the best plumbing service possible!

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