The Ultimate Guide to the Best Tankless Hot Water Heaters (2025)

In recent years, tankless hot water heaters have surged in popularity due to their energy efficiency, space-saving design, and the convenience of providing hot water on demand. Unlike traditional tank-style heaters that store hot water, tankless systems heat water directly as it flows through the unit, which can lead to significant savings on energy bills. This guide will explore the various types of tankless water heaters, key considerations for your purchase, and provide in-depth reviews of the best models available in 2025.

Comparison of Different Types and Applications of Tankless Water Heaters

Type of Heater Fuel Source Flow Rate (GPM) Ideal for Average Cost
Electric Tankless Electricity 2-5 Small homes, condos $200 – $800
Gas Tankless Natural Gas/Propane 5-10 Larger homes, multiple fixtures $500 – $1,500
Point-of-Use Electricity 0.5-3 Specific fixtures (sinks, showers) $100 – $400
Whole House Gas/Electric 5-10 Entire household $500 – $1,500

Benefits of Tankless Water Heaters

Energy Efficiency

Tankless water heaters are significantly more energy-efficient than traditional models. By heating water only when needed, they eliminate the standby heat losses associated with keeping a tank of water hot. According to sources like www.bobvila.com, this can translate into up to a 30% reduction in energy costs.

Space-Saving Design

The compact size of tankless heaters allows for installation in tight spaces, making them an excellent choice for apartments and homes with limited room. They can be mounted on walls, freeing up valuable floor space that would otherwise be occupied by bulky tanks.

Long Lifespan

Tankless water heaters generally have a longer lifespan compared to traditional tank units. With proper maintenance, they can last up to 20 years or more, as stated by experts from www.popsci.com, which means fewer replacements and lower long-term costs.

Key Considerations When Choosing a Tankless Water Heater

Flow Rate Requirements

When selecting a tankless heater, consider the flow rate, measured in gallons per minute (GPM). This indicates how much hot water the unit can provide simultaneously. For larger households with multiple bathrooms, a higher flow rate is essential to ensure that everyone can enjoy hot showers without interruption.

Fuel Type

Tankless water heaters typically run on either electricity or gas. Electric models are easier to install but may have lower flow rates, making them ideal for smaller homes. Gas models usually offer higher flow rates and are better suited for larger homes with multiple fixtures in use.

7 Best Tankless Water Heaters (2025) - This Old House

Installation and Maintenance

Professional installation is highly recommended for tankless water heaters, especially gas models due to venting requirements. Regular maintenance, including descaling and filter cleaning, can extend the lifespan and efficiency of your unit.

Top Picks for the Best Tankless Water Heaters in 2025

1. Stiebel Eltron Electric Tankless Water Heater

  • Type: Electric
  • Flow Rate: Up to 3.5 GPM
  • Key Features: Self-modulating technology, compact design, energy-efficient.
  • Price: $500 – $800
  • Best For: Small to medium households.

2. Rinnai RU199iN Tankless Water Heater

  • Type: Gas
  • Flow Rate: Up to 9.8 GPM
  • Key Features: High efficiency, durable construction, Wi-Fi capability for remote monitoring.
  • Price: $800 – $1,500
  • Best For: Larger homes with multiple bathrooms.

3. EcoSmart ECO 27 Electric Tankless Water Heater

  • Type: Electric
  • Flow Rate: Up to 6.5 GPM
  • Key Features: Digital temperature control, space-saving design, energy-efficient.
  • Price: $400 – $700
  • Best For: Medium to large households.

4. Rheem Performance Platinum Tankless Water Heater

  • Type: Gas
  • Flow Rate: Up to 9.5 GPM
  • Key Features: 94% energy efficiency, built-in Wi-Fi, easy to install.
  • Price: $1,000 – $1,400
  • Best For: Large homes needing high-demand hot water.

5. Bosch Greentherm C 1050 ES Tankless Water Heater

  • Type: Gas
  • Flow Rate: Up to 10 GPM
  • Key Features: Compact, high efficiency, advanced technology for optimal performance.
  • Price: $800 – $1,200
  • Best For: Larger households with high hot water demands.

Technical Features Comparison of Top Tankless Water Heaters

Model Type Flow Rate (GPM) Energy Efficiency (%) Dimensions (inches) Price Range
Stiebel Eltron Electric Electric Up to 3.5 99 13 x 8 x 4 $500 – $800
Rinnai RU199iN Gas Up to 9.8 95 14 x 24 x 10 $800 – $1,500
EcoSmart ECO 27 Electric Up to 6.5 99 17 x 14 x 4 $400 – $700
Rheem Performance Platinum Gas Up to 9.5 94 18 x 30 x 10 $1,000 – $1,400
Bosch Greentherm C 1050 ES Gas Up to 10 95 20 x 14 x 5 $800 – $1,200

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Conclusion

Choosing the right tankless hot water heater can dramatically enhance your home’s efficiency and comfort. By considering factors such as flow rate, fuel type, and warranty, you can select the perfect unit for your needs. Our top recommendations, including the Stiebel Eltron Electric Tankless Water Heater and Rinnai RU199iN, are designed to meet various household demands while providing significant energy savings.

FAQ

What is a tankless water heater?
A tankless water heater heats water on demand, providing a continuous supply of hot water without the need for a bulky storage tank.

How do tankless water heaters save energy?
They eliminate standby heat loss by heating water only when it is needed, resulting in lower energy bills compared to traditional tank heaters.

The best tankless water heaters, as chosen by experts

What is the average lifespan of a tankless water heater?
With proper maintenance, tankless water heaters can last 15 to 20 years, significantly longer than traditional tank models.

Can I install a tankless water heater myself?
While some electric models may be easier to install, gas models generally require professional installation due to venting and safety requirements.

What size tankless water heater do I need?
The required size depends on your household’s hot water demand, typically measured in gallons per minute (GPM) for simultaneous use.

Are tankless water heaters worth the investment?
Yes, they offer long-term savings on energy bills and have a longer lifespan, making them a cost-effective choice over time.

Best Tankless Water Heaters - Forbes Home

Can I use a tankless water heater for my entire home?
Yes, whole-house tankless models are designed to supply hot water for multiple fixtures simultaneously.

What maintenance do tankless water heaters require?
Regular maintenance includes descaling to remove mineral buildup and checking filters to ensure optimal performance.

Are there any downsides to tankless water heaters?
Initial installation costs can be higher than traditional heaters, and they may not provide sufficient flow rates for very large homes with high hot water needs.

What brands are the best for tankless water heaters?
Some of the top brands include Rinnai, Stiebel Eltron, Rheem, and EcoSmart, known for their quality and efficiency as noted by sources like www.forbes.com and www.bhg.com.