The Pros and Cons of Installing a Tankless Water Heater

Tired of that old water heater tank taking up precious space in your basement? More and more Chicago homeowners are making the switch to sleek, modern tankless models. But before you jump on the tankless bandwagon, it’s important to understand the pros and cons.

Unlike traditional tank-style heaters that keep dozens of gallons hot 24/7, tankless units heat water on-demand as you need it. No more paying to keep a huge reserve piping hot when you’re not even using it! Just endless hot showers, dishwashing cycles and laundry whenever you want. These compact, energy-efficient units also have a much lower risk of leaving you stranded with an icy cold water disaster.

But going tankless isn’t all rainbows and unicorns. The upfront costs are higher, your electrical or gas usage could increase, and you may deal with lower water pressure. There are some potential downsides to think about based on your home’s hot water needs and energy costs.

We’re digging into all the nitty-gritty details on tankless water heaters – the awesome benefits but also the not-so-awesome drawbacks. Get ready to be an informed, educated homeowner who makes the right call for your Chicago home’s hot water setup. No getting burned here!

The Pros of Installing a Tankless Water Heater

Alright, let’s talk about the good stuff – the straight-up awesome reasons to go tankless with your Chicago home’s water heater. Because trust us, there are some serious perks!

Energy Efficiency

Instead of paying to keep gallons upon gallons of water piping hot 24/7 whether you need it or not, tankless units only heat up water when you actually turn on the faucet. No more wasted energy! 

Chicagoland homeowners can expect to see some nice savings on those utility bills, especially during our brutally cold winters when traditional tanks are working overtime.

Endless Hot Water Supply

Speaking of never running out, say goodbye to those dreaded cold shower shockers halfway through washing up. Tankless heaters deliver a continuous supply of hot water on-demand. Perfect for larger households with multiple people showering back-to-back or just a family of hot water loving Chicagoans.

Space-Saving Design

These things are tiny! Tankless units are sleek and compact, designed to be mounted right on the wall. For smaller city homes, condos or just cramped basements, every bit of reclaimed floor space is a win. No more wasting square footage on an ugly, hulking tank.

Longer Lifespan

While traditional tank models sadly max out around 10-15 years, tankless water heaters are built to keep on trucking for up to 20 years or more with proper maintenance. You’re making an investment, but one that’ll pay off long-term.

Reduced Risk of Water Damage

With no big tank of water just waiting to spring a leak and flood your basement or utility room, tankless units minimize the risk of serious water damage. The last thing any homeowner wants is an indoor pool where it doesn’t belong!

The Cons of Installing a Tankless Water Heater

As amazing as tankless water heaters sound, we have to keep it real – going tankless comes with some potential downsides too that Chicago homeowners need to be aware of.

Higher Upfront Costs

Tankless units are pricier upfront, both for the equipment itself and the installation costs. You could be looking at a thousand dollars or more just to get one up and running in your Chicago home. And if you need electrical or gas line modifications to support it? Even more cash out of pocket.

Limited Hot Water Output

While these babies can theoretically supply endless hot water, they may hit their limit if you’ve got a busy household trying to run multiple showers, the dishwasher, and washing machine all at the same time. Larger homes may need to install two units to keep up.

Inconsistent Water Temps

On that note, if your tankless system gets overwhelmed, you could start experiencing some temperature fluctuations and cold water surprises mid-shower. Nobody wants a frigid wake-up call like that!

Maintenance Requirements

Unlike traditional tank models you can just set and forget, tankless heaters require some routine maintenance love. Flushing out mineral buildup is a must, especially here in Chicago where hard water is an issue in many areas. Neglecting maintenance means reduced efficiency over time.

Installation Complexity

Don’t expect a simple swap-out job. Tankless installation is no casual DIY project. You’ll need a pro to assess if your home’s gas or electric supply can even handle a tankless unit in the first place. Upgrading utilities? That’s more money down the drain.

Is a Tankless Water Heater Worth the Investment in Chicagoland?

Now, let’s take a hard look at whether these tankless water heaters are actually worth the investment for Chicago-area homeowners.

Upfront Costs vs. Long-Term Savings

We already know the initial sticker shock is no joke – tankless models run anywhere from a thousand dollars to a couple thousand or more installed in the Chicagoland area. Yowza! Compare that to a few hundred bucks for a basic traditional tank and you’re paying a premium. But with a lifespan of 20+ years and major energy savings, a tankless unit could easily make up that upfront cost over time.

Energy Efficiency Savings

Most households can expect to shave 20-30% off their annual energy costs by going tankless. For a typical Chicago home using around $600 per year on water heating, that’s at least $120 back in your pocket annually. Over 15-20 years, those savings really start adding up!

Rebates and Incentives

The good news? There are some sweet rebates and incentives to help offset those high upfront tankless costs. Many Chicago-area utility companies offer up to a few hundred bucks back for installing ENERGY STAR-certified models. Plus, federal tax credits can score you another 30% of the total installed cost deducted from your taxes. Free money to go green? Yes please!

At the end of the day, while tankless water heaters require a bigger initial investment, their long-term energy savings and lower operating costs make them a smart money move for many Chicago homeowners – especially if you max out those rebates. Just crunch the numbers based on your home’s hot water usage to see if the math pencils out for your situation.

Ideal Situations for Installing a Tankless Water Heater

Here are some situations where these energy-efficient water heaters make a ton of sense if you’re still not sure if it’s the right move for your home:

Small Families or Low Hot Water Usage

If you’re a smaller family or live solo, a tankless system could be the perfect fit. Since they only heat up water when you turn on the faucet, they’re ideal for homes that don’t have a constant, massive demand. No more wasting money keeping tons of water piping hot around the clock.

Tight Living Spaces

Tankless units are super compact and sleek – about the size of a carry-on bag. If you’ve got a tiny basement, cramped utility room, or just live in a cozy Chicago condo or apartment, that space-saving design is huge. Wall-mount that unit and instantly free up all the floor space your old tank model was hogging.

Eco-Conscious Homeowners

For all the tree-huggers out there, tankless checks the green living box. They lower emissions and cause less drain on natural resources because of their superior energy efficiency. You get all the hot water amenities while doing your part to reduce your carbon footprint. Win-win!

Of course, every home has unique needs. But if you fall into one of those categories, making the switch to tankless could be the ideal solution for you. Just be sure to weigh the potential downsides too before pulling the trigger.

When a Traditional Water Heater Might Be a Better Choice

In some situations, sticking with a traditional tank-style unit is still the smarter move.

Big Families Who Love Hot Water

A tankless system may not be able to keep up if you have a house that is constantly running multiple showers, the dishwasher, washing machine – you name it – all at the same time. Those units have their limits for simultaneous hot water output. 

A big traditional tank can better handle those high-volume, high-demand situations without cold showers or temperature fluctuations.

Homeowners on a Tight Budget

Let’s be real – we already know tankless water heaters require dropping some serious cash upfront. If you’re a homeowner working with a tight renovation or replacement budget, that lofty price tag could just be a non-starter. As much as you’d love to save on energy costs long-term, sometimes the cheaper traditional tank option is the only thing that pencils out financially right now.

At the end of the day, choosing the traditional water heater or going tankless all comes down to your specific situation. But getting an expert’s opinion can help you make the best call for your particular circumstances.

Don’t Roll the Dice on Your Water Heater Decision – Trust Precision Today

Are you still feeling a little hot and cold about whether to make the switch to tankless? Don’t sweat it – bring in the seasoned pros at Precision Today to guide you. We’ll take a deep dive into your Chicago home’s hot water needs and usage patterns to make sure you end up with the perfect long-term solution.

Ready to potentially save big bucks on energy bills while enjoying endless hot showers? Give us a call at (630) 425-8995 to schedule a free, no-pressure consultation. With our seasoned advice and quality installs, you can kiss that old tank goodbye without any rude cold water surprises down the road.