With almost every major purchase or cost, the question always comes down to price. A lot of times, we disregard long-term benefits or quality over price, and that’s okay as everyone’s situation is unique. In this article, we will discuss how much it costs to install a new hot water tank or water heater.
Unfortunately, there is more than one answer, and for that, we need to dive into the various variables that affect the installation cost for your hot water tank.
The vital role of a water heater in your home
Your hot water tank plays a crucial role in the functionality of your home, as well as a comfort role. Just stop to think for a second. You run your dishwasher with hot water. You may wash your clothes with hot water. These are functional. My guess is that you bathe in hot water, which would be the comfort role.
Essentially, water heaters will last anywhere from 10 to 20 years. The longevity depends a lot on the type of water heater.
There are two types:
- Tankless water heaters
- Tank water heaters
The first variable in the cost to install a new water heater begins with the type of tank you choose.
Tankless water heater vs tank water heater
There is little grey area when it comes to the cost difference between these two. It’s very opposite ends of the spectrum. One is super expensive, and the other is not, relatively.
Tankless water heater benefits
- Much more energy efficient as they heat up water on-demand
- Save around 25% of annual operation cost
- Lasts a long longer (probably twice as long as a tank system)
- Will never run out of hot water
- Takes up less space
Tank water heater benefits
- Since hot water is stored, you can use this tank for multiple things at once, like showering and running the dishwasher
- Less expensive to install and maintain
- Provide hot water quicker
- Proven technology and frequent technological advancements
Cons of tankless water heater systems
- Way more expensive to install
- Cost more to buy
- Might have to wait longer for hot water
- More difficult to have multiple things happening at once
- If you have to retrofit your home, installation costs could skyrocket
Cons of tank water heater systems
- Higher operational energy costs, as the system is always on heating water even when not in use
- Don’t last as long as tankless, usually around 10 to 12 years
- Take up a lot of room
Gas water heater or electric water heater
The next variable to consider is whether you are getting an electric hot water tank, or a gas hot water tank. There are pros and cons for both.
Recently, the province of Manitoba released new guidelines concerning gas water heaters, which basically means that we professional Winnipeg plumbers have to do extra work that unfortunately gets passed on to you.
Pros of gas water heaters
- Very popular so there are many models to choose from
- Not that expensive to operate
- Works during a power outage
Pros of electric water heaters
- Not as expensive to buy compared to gas heaters
- Lots of models available
Cons of gas water heaters
- The aforementioned regulation for exhaust, more complex to install
- May not be available in all areas
Cons of electric water heaters
- Not very energy efficient
- Does not work during power outage
Water heater capacity
This is more for the tank water heaters, as more capacity means bigger tank which means it’s going to take up more space. If you are upgrading to a larger size, you may have to have additional renovation work done to accommodate it.
Permits for installing a new water heater
As much as we all probably find permits annoying and inconvenient, in the end they are there for our protection. Imagine doing a permit-required task without a permit and then having an accident. Do you think your insurance will cover it? Probably not, as in most definitely not. It’s just not worth it to cut corners. While getting a permit for installing a new hot water tank is important, it’s also important that the work is done by a licensed Winnipeg heating professional.
Removal of old hot water tank
Normally, Winnipeg plumbing companies will already have the infrastructure and logistics in place to properly dispose of old hot water tanks. You can definitely do it yourself, but now you’re spending how much time and money to do it? At the end of the day, it’s probably better just to have it disposed of for you.
Depending on the current state of your plumbing, you may need to replace some older infrastructure. Make sure your plumber tells you beforehand which parts will need replacing. However, keep in mind that sometimes there are unforeseeable issues, which can only be known once the installation has started.
Cost of installing a new water heater
After reading all of the above, which we really hope you did, you should have a better idea of what the hot water tank installation will cost you.
Remember, every situation is different. There is no one price fits all, unfortunately.
For tank water heaters, you can expect to pay anywhere from $600 to $1000 on average.
For tankless water heaters, you can expect to pay anywhere from $2000 to $3000 for installation.
Need a new hot water tank installed?
At Dean’s Plumbing & Heating, we’ve installed our share of both gas and electric hot water heaters. Not only will we install it for you, but we could also give you advice on which is the best type for your situation.
Our work is guaranteed, period.
Contact us today!