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Is a Tank or Tankless System Better For Your Home?

Is a Tank or Tankless System Better For Your Home?


Are you currently looking for a new water heater but not sure which system is best for your home and lifestyle? Let our Wolfgangs team help! There are many reasons homeowners choose the system they do and before you make sure your decision, we want to make sure you feel fully versed on the pros and cons of each system. Read below to find out the differences and how each system benefits your home. 

Cost & Installation


Tankless: Tankless systems are typically a larger investment upfront. Even though they may cost more initially, they do have long-term benefits that pay off. One of those advantages is their higher efficiency which can cause your monthly utility bill to lower, leaving you with more money in your pocket. It is important to note that these systems should be installed by professionals and some gas systems major require additional venting during installation. 


Tank: Tank systems are more cost-effective upfront but do not have a lower efficiency when compared to tankless systems. This means you won’t see those monthly savings on your utility bill. These systems should be only handled by a professional as well to stay within your manufacturer's warranty in the case that something does happen to your system. 


How Do They Work?


Tankless: As the name declares, this system is TANKLESS! It produces hot water on demand and does not need to store and heat any water when not in use. Rather than wait for hot water, this system heats the water as it passes through to ensure you and your family are getting instant and endless hot water. These systems are ideal for larger families who are always fighting over hot water. 


Tank: In contrast, a tank system stores and heats the water before you need it. Considering there is only a predetermined amount of hot water allocated, it does mean that you can run out of hot water and it may take some time for the system to produce more when you need it. If you have a larger family, tank systems are not ideal as they may cause more headaches for your family members. The other downside is when you use up the hot water, the tank will automatically start the reheating process whether you need it or not. Meaning you will be paying for this energy usage, unlike a tankless water heater.




Tankless: As you read prior, tankless systems are more energy-efficient than a traditional tank water heater. This is because they produce hot water only when you need it rather than a tank that has to reheat its tank after each use. The Department of Energy reports that a tankless system is 20-30% more efficient than a tank water heater which translates to about $100 in savings potentially per year. When taking into account the life expectancy of a tankless system, which is around 20-25 years, you could potentially save around $2,000-$2,500 in comparison to a tank water heater. 


Tank: As you now know, in comparison to a tankless water heater, tank systems are not as efficient. This is due to their constant need to heat water whether you need it or not. Over time and with usage, this will begin to show up on your utility bills. While the cost of investment upfront may be less, you will make that cost up in your bills. 


Now that you are familiar with both systems and their pros & cons, our Wolfgangs team is here to help with your next installation. Our team has a wealth of knowledge when it comes to water heaters and we will help guide you through the decision-making process to help make the best decision for your home.