What Does It Cost To Replace a Water Heater?

Understanding What Goes Into Installing New Hot Water Equipment

water heater service delaware How long do you have to wait at the kitchen sink for the tap water to warm up? Are your showers not lasting as long as they used to? Are you burning through more fuel even though you aren’t using more hot water?

If your water heater is at—or near—10 years old, it could be time to look for a replacement. Not only will this ensure that your home has reliable hot water but upgrading to high-efficiency propane-fired equipment will also save you serious money on energy use. After all, hot water comprises around 20 percent of the average home’s energy spending.

Here are some factors to consider when budgeting for a new water heater:

What’s the Cost of a New Water Heater?

Installing a new water heater will cost $1,200 on average. However, there is a wide case-by-case variance. If you have a smaller residence requiring less hot water, your cost might be closer to $800. If you opt for a higher-end model, you could spend as much as $10,000.

We can help you determine what size and features match your household needs and narrow your search.

What are Typical Water Heater Sizes?

When looking for a replacement for your aging water heater, you should first consider how much hot water you need. The larger the storage tank—or the higher gallons-per-minute (gpm) of a tankless unit—the pricier the model. Here’s a quick sizing guide:

People in Household Tank Size Tankless GPM
 1-2 people  20-30 gallons  2-3 gpm
 3-5 people  30-50 gallons  3-5 gpm
 5+ people  50+ gallons  6+ gpm

Water Heater Power Sources

Water heaters are generally powered either by electric coil or gas (or oil) flame. Typically, electric heaters cost $100-$200 less at installation, but they are significantly pricier to operate. Propane water heaters cost up to 30 percent less to run than electric models.

If you plan to replace an electric water heater with a gas or oil product, you should also factor in the cost of installing a pipe to vent the exhaust. This installation can run from $500 to over $2,000, depending on whether you add a power vent with a fan.

Tanked vs. Tankless Water Heater Models

More and more homes are choosing to make the change from traditional tank water heaters to tankless systems. Tankless water heaters use a powerful flame to heat water on demand when a tap is open. They are usually more expensive. While you can get a tank water heater for $650-2,100, tankless models range from $1,000-$3,500.

But you can expect better performance and serious fuel savings with a tankless system. Because you are no longer constantly reheating a full tank of unused water, your propane use will be about 22 percent more efficient.

Plus, with a virtually unlimited supply of hot water, you no longer must choose between showering and running the dishwasher!

Need Water Equipment Services? Call Poore’s Today!

There are early warning signs that you should consider replacing your water heater, including:

  • Mechanical noises coming from your tank
  • Rusty or brown water from the tap
  • Standing water near the base of your water heater
  • Difficulty draining your water heater tank

Please do not wait to contact the team at Poore’s Propane and Oil.* The sooner you call us, the quicker we can secure your equipment. Equipment is in short supply everywhere. If you wait until your current water heater breaks down, you’ll be left scrambling to get your hot water back on. This will limit your selection and potentially increase your expenses.

The team at Poore’s is ready to help. Contact us today to learn more.

*Water heater services are available within our Delaware HVAC service area only. Please speak to a customer service representative for details.