Not only does it offer great energy efficiency, but there is no storage tank to deplete. Instead, you get to enjoy hot water on demand for as long as you like.
The advantage of a system like this is that it can help lower your electricity bills at the same time, and this is why so many people are making the switch.
In the following guide, we’ll take a look at some of the best tankless water heaters (see also ‘Richmond Tankless Water Heaters Review And Buying Tips‘) out there and why you should be investing in them.
Best Electric Tankless Water Heater – Reviews & Buying guide for 2023
- EcoSmart ECO 27 Electric Tankless Water Heater
- Rheem 240V Electric Tankless Water Heater
- Stiebel Eltron Tankless Water Heater
- Rheem Heating Chamber Residential Tankless Water Heater
- Bosch Electric Mini-Tank Water Heater
Best Overall: EcoSmart ECO 27 Electric Tankless Water Heater
The EcoSmart Electric Tankless Water Heater saves up to 50% on water heating costs. In order to allow for the control of hot water, it’s equipped with a digital temperature control mechanism.
For efficiency, easy replacement, and durability, it is also fitted with copper and stainless steel components.
When it comes to saving space, this compact design will definitely do the trick. It has an advanced and stylish design that is pleasing to the eye, while the stainless and copper components are designed for maximum efficiency.
Developed for both the home and office, this electric tankless water heater offers endless hot water all while saving space, money, time and energy as well.
They are technologically advanced, and it was suitable for any residential or commercial setting. Installation is also easy, dependable, and you have the help of a knowledgeable customer support team.
- Compact size
- Saves energy
- Easy installation
- Prone to corrosion
- Size: 3.63 x 17 x 17 inches
- Power: 240 volts
- Flowrate: 27000 Watts
Runner Up: Rheem 240V Electric Tankless Water Heater
The Rheem 240V Electric Tankless Water Heater offers continuous hot water quickly and conveniently. This professional classic tankless electric water heater is designed for single-point use and multiple applications.
Some of the bonuses include on-demand and continuous hot water. The design is also stylish and compact, with digital temperature control in increments of 1 degree Fahrenheit satellite ranging from 80 degrees Fahrenheit to 140 degrees Fahrenheit. When it comes to energy efficiency, it is 99.8% effective.
The robust copper heating immersion elements with glass top increase the robustness of this tankless water heater, and they are threaded for easy replacement. Insulation is seamless and simple, and there is a handy digital temperature display to keep an eye on the temperature at all times.
Some of the applications that it is compatible with include the standard hand sink, kitchen sink, washing machine, dishwasher, standard showerhead, water saver shower head, bath tub, and in fact, it is suitable for the whole home.
- Stylish and compact design
- Energy efficient
- Suitable for entire home use
- Works with only one faucet at a time
- Size: 18.25 x 3.50 x 17.63 inches
- Power: 240 Volts
- Flowrate: up to 5.9 GPM
Alternative: Stiebel Eltron Tankless Water Heater
The Stiebel Eltron Tankless Water Heater is designed for use in the entire home. This electric water heater was engineered in Germany and performs to the highest standards of both comfort and reliability.
Accurate temperature delivery and maximum energy efficiency is achieved thanks to the digital displays. The preset temperature buttons contain memory settings, as well. Ultimately you get savings and water flow monitors on this device, which helps bring down your energy bills.
Advanced flow control is an exclusive industry feature which automatically maintains hot water temperature for constant comfort. So, in other words, your shower only stays hot.
This device contains a 0.99% energy savings factor and no standby with its intelligent self-modulating technology, which continually ensures energy savings.
The operation is also totally silent, and it’s small and compact to fit into any size home. With this device installed in your home, you’ll never run out of hot water.
- Silent operation
- Intelligent self-modulating technology
- Digital displays
- May not provide enoughhot water for all applications
- Size: 4.63 x 16.63 x 14.50 inches
- Power: 240 Volts
- Flowrate: 1.50 GPM
Alternative: Rheem Heating Chamber Residential Tankless Water Heater
The Rheem 240V Heating Chamber Residential Tankless Water Heater contains an external adjustable digital thermostat control with an LED display. This provides +1 degrees of Fahrenheit accuracy.
Installation is also simple, and it comes with the compression water connections and adapters included.
The tankless water heater also comes with digital copper immersion with two heating elements, field serviceable self-modulating power control as well. It has 99.8% energy efficiency saving you money on your electricity bills.
The water heater also has handy external controls to adjust the temperature in increments of 1°F. When it comes to water saver showerhead function, it operates at 1.5 GPM. This unit is also threaded for easy replacement.
- Threaded for convenient replacement
- Adjustable thermostat
- Digital temperature display
- Only heats to approximately 60 degrees
- Size: 12.63 x 8.25 x 3.63 inches
- Power: 240 Volts
- Flowrate: 3.17 GPM
Alternative: Bosch Electric Mini-Tank Water Heater
The Bosch Electric Mini-Tank Water Heater is a convenient hot water heater. It contains a 4-gallon point of use, so this mini-tank fits under the sink and provides hot water as and when needed.
The thermal efficiency is 98%, and it’s made to last for years to come. The water heater is easy to maintain and has premium glass-lined material for long service and life. Thanks to the independent installation, it can be fitted anywhere inside the home or even commercial setting.
Ultimately, with this device in your home, it eliminates long waits for hot water at your sink, and you can now get hot water on demand. The bonus is that it supplies up to two sinks at a time. This device is easily mounted on the wall, floor, or any shelf.
- Built to last
- Fast recovery rate
- Easy to mount
- Prone to leaks
- Size: 13.75 W x 13.75 H x 13.5 D Inches
- Power: 120 Volts
- Flowrate: Not specified
Tankless Water Heater FAQ
Which is better a hot water heater or a tankless water heater?
Would you be surprised if someone told you that you could get the same amount of hot water if not more from a water heater the size of a carry-on suitcase that you get from your conventional storage water heater?
Well, that’s actually what we’re saying.
In fact, you can save up $100 on your utility bill each year. This is basically one of the promises of tankless water heaters, also referred to as on-demand water heaters, which produces hot water only as and when you turn on the faucet.
However, it is suitable for various applications such as use in the shower, washing machine, dishwasher, or other applications that require hot water.
The reality is, however, that when it comes to hot water heaters and tankless water heaters, people don’t know the pros and cons of each or don’t have enough information to make an informed decision on which option to go with.
However, the advantage that traditional water heaters have over tankless water heaters is that they’ve been around for much younger and are considered the norm, so people usually feel comfortable with what they know best.
The good news is that we’re going to take a closer look at the differences between storage hot water heaters and tankless water heaters, so that’s you can decide which is best for you.
How do they work?
Tankless heaters or on-demand water heaters don’t store water in a tank, as the name suggests. The water instead is heated as it passes through the units using a heat exchanger to rapidly bring it up to temperature.
So these tankless water heaters work on either electricity, propane, or natural gas. However, the primary feature and function are that it only heats water when you need it, eliminating the standby energy losses you get to the storage tank.
Another advantage is that the whole-house tankless units can be mounted on the wall, saving you floor space and also means you can fit it into tighter spaces. Each unit varies in size, but the average is approximately 2 feet tall and a little over a foot wide.
Storage tank water heaters have a capacity of usually between 30 to 60 gallons; however, the most common size is 50 gallons.
Ultimately, the capacity that you require would depend on the size of the household and how much water you use on a daily basis. These storage tanks make use of natural gas, electricity, propane, or fuel oil and it continues to heat water to keep a full reservoir at the ready.
Ultimately, it means you’re paying to have hot water whether you are using it or you need it or not. So when it comes to energy efficiency, this system is not very helpful.
Pros of Tankless water heaters
- Saves you money in the long run
- Will save homeowners around $44 per year on utilities
- Lasts longer than tank water heaters
- Takes up less space
- Heats up water quickly on demand
Cons on tankless water heater
- Large initial investment as compared to tank water heaters
- Installation costs may be more
- Can be output challenged
- Does not do well with multi-tasking
Pros of storage tank water heaters
- Costs to purchase is lower
- Simple operation
- Repairs will not be costly since they work on a simple and straightforward operation
Cons of tank water heaters
- Utility bills will be higher
- Water is constantly heated and kept at a consistent temperature resulting in higher energy bills
- Takes up more space
- Takes a while to heat up once the hot water has been used
- Lifespan is short
Can you run out of hot water with a tankless water heater?
Answering this question is not as straightforward as it may seem, and some explanation is required. A storage tank system does exactly what it says. It stores water, which is kept at a high temperature, so it’s ready to use.
However, this means that the supply in the tank can also be depleted and then take quite a while for the natural gas burners or heating elements to replenish the heated water supply. And until this happens, you will need to settle for cold showers.
With the tankless system, however, there isn’t a supply of hot water that can be depleted.
The water instead heats up as there is a demand for it. So as you turn on the shower or faucet, the tankless system will detect the movement of water in the water lines and start heating the water using the heat exchanger.
As long as there’s demand, it will continue to do this and ultimately means you never run out of hot water.
We do, however, need to mention that there is a drawback to this. While it’s true that a tankless system will never run out of hot water, that doesn’t mean it cannot be overwhelmed by demand.
Using a single tap in the house at a time won’t do this, neither will running a single shower at a time, but when more than one tap is on demand for hot water, it’s going to struggle to keep up and drain extra power.
How long will a tankless water heater last?
Tankless water heaters (see also ‘Marey GA10LP In-Depth Review For 2021‘) have a life expectancy of 20 years. The fact that they have replaceable parts also extends the lifespan by many years.]
When compared to storage water heaters that only last 10 to 15 years, tankless water heaters (see also ‘Takagi T-H3-DV-N In-Depth Review For 2021′) can avoid standby heat loss associated with storage water heaters. Ultimately, this gives it a life expectancy of anywhere between 20 to 30 years.
What size tankless water heater do I need for a family of 5?
If five people live in a household, they can use several faucets and showers at the same time. So when choosing the size of a tankless water heater, you have to take this into consideration.
A household hot-water consumer that requires hot water fastest is a shower. However, five people can also run several hot water faucets, do laundry, work a dishwasher, etc., at the same time.
So, in short, a family of five would require a 10 GPM gas tankless heater or 27 kW electric tankless heater, especially in regions where input water has a lower temperature. The tankless heater will therefore need to do extra hard work to bring the water temperature up to 110° Fahrenheit.
Do tankless water heaters need maintenance?
The reality is that tankless water heaters so require maintenance (see also ‘Rheem Tankless Water Heater Error Codes‘); however, the good news is that they don’t require much maintenance.
It should, however, be serviced as part of the regular preventative maintenance that heating systems receive. Consequently, gas and electric components should also be inspected.
Aside from that, tankless water heater systems require some special considerations. Water softners should be used by homeowners as buildup from hot water can wreak havoc and lead to scale buildup, staining and erosion of both the system itself and the pipes.
For those who already have really hard water, then you’re probably already using a water softener.
Hot water is particularly a problem for storage tank systems because the water passes through the tank, and its acidity causes buildup that drops to the bottom. Eventually, this affects the efficiency of heat transfer, which can lead to premature system failure.
The same thing is highly likely with tankless units, but this process is much slower.
Eventually, when buildup does occur, the system will lock up. You can reset it without attending to the problem, but it will lock up again soon enough. In this case, you should flush it to remove buildup. With storage tank units, however, there is no remedy for buildup.
So tankless water heaters are, therefore, a great choice for certain applications. You do, however, need to bear in mind that the flow rate is just as important.
Tankless water heaters offer unlimited hot water, but gallons per minute should also be taken into account. So contractors will usually offer one tankless unit for the shower and bath and a second one for the kitchen and laundry.
Ultimately, a tankless water heater is low-maintenance and also contains the efficiency and ability to get rid of build-up.
And with this, the benefits of tankless heaters become even more apparent. They also have a lifespan of nearly ten years longer than traditional conventional storage-tank water heaters that separate it from the competition.
So if you are considering tankless water heaters (see also ‘ Best Under Sink Water Heater’ ), then you’re making a good decision with regards to energy efficiency, saving time, and having hot water supplied as and when you need it.