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This section provides estimated Tankless Water Heater Cost Comparisons for the Tankless Water Heater Installation and operation of the tankless water heater in new residential homes.

Conventional electric and gas storage tank heaters have been the standard in new construction until the late 1990’s. Tankless Water Heater’s technology has opened the way for new design options for all water heating applications including space heating.

There are a great many other issues that are favorably impacting the acceptance and use of Tankless Water Heater type electric tankless water heating systems including the current deregulation of electric utilities in the U.S., rapidly rising energy costs particularly gas.

The global movement for reduction of the burning of fossil fuels is expected to create energy shifts and new technologies. These issues, although very significant, are so broad and complex that they can only be noted at this time.

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1. The Average American Home

In the average electrically heated or cooled home, the electric storage tank water heater is the second largest user of electricity, ranging from 20 to 40% of total energy use. It is the largest user of electricity in homes with non-electric heat. Tankless Water Heater’s energy efficiency and technology gives the homeowner an opportunity to significantly cut the operating cost and energy use for hot water. In addition, the tankless water heater provides numerous other benefits over storage tank heaters as follows:

• A Continuous and Endless Supply of Hot Water
• Space Savings
• Safety and Health Benefits
• Smart Technology
• No Maintenance
• Environmental Benefits

2. New Home Versus Existing Home Tankless Water Heater Installation

Designing a new home with new technology can be fun and rewarding. The cost of installing new technology in a new home can also be controlled. The Tankless Water Heater Installation costs can be many times lower than the after-thought of installing the same technology in an existing home. Although this is not necessarily true in all cases, there are a few factors and variables that affect the cost of retrofitting the tankless water heater into an existing home.

Costs of installing a Tankless water heater in an existing home can vary greatly. For instance, the possibility of running additional electrical circuits through finished walls and ceilings can be more costly. These additional cost factors are generally eliminated during the construction phase of a home because the equipment and labor costs can be anticipated. Wiring and plumbing for the tankless water heater can be planned ahead to avoid fishing wires and pipes through finished walls and ceilings. Also, a properly sized electrical service, and the appropriate electrical panel can be planned ahead as well. The location of the tankless water heater can be optimized in any home to take advantage of the avoided costs of potentially wasted water and valuable additional space for a tank heater.

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