There’s no doubt that tankless water heaters cost less to operate because they are more energy efficient than traditional tank water heaters. Since tankless water heaters heat water on demand instead of continuously heating and reheating water in a tank, they only consume energy when hot water is needed. Test results have shown that a tankless gas water heater costs about 40% less to operate than an electric water heater, and about 30% less than a natural gas water heater.
In addition to energy savings, tankless water heaters take up less space and since they’re wall-mounted, they’re less susceptible to flood damage.
