I've been told that a tankless electric water heater is enormously more expensive than a tank water. I have a 50 gallon water heater that I must replace. I have a friend who is a plumber telling me that I would pay 2-3 times more for electricity with a tankless water heater, but what I've been reading doesn't seem that it would be more.
Does anyone have any experience with an electric tankless water heater that would do at least 7 GPM (2 bathroom home; don't need it for washer or dish washer)? What kind of an electric bill differential are you seeing?
Best Answer
...in a modern tanked heater with modern levels of insulation, and people actually using hot water from time to time, standby losses are microscopic .vs. use. So a tankless electric is a very expensive electrical installation (huge power draw needs huge wiring and often a service upgrade to support something like 3X 40A breakers) that might save 1-3% on heating water.
If you want to save money on heating water, consider a tanked heat pump water heater - there you can get some serious efficiency that actually applies to the hot water you use. Unless you heat your house with electric resistance heat, it's a win even in the winter, (your heating source heats the air that the heat pump removes heat from to heat the water) and in the summer it helps keep the house cool "for free."