Unlike a conventional storage tank water heater, a tankless water heater starts to heat water only on demand. It has a heating device that is automatically triggered by the flow of water when the hot water valve is turned on. Once it gets activated, the heater delivers an uninterrupted supply of hot water. You can run it for as long as you need to at a stretch without the water going cold.



Most of the latest tankless water heaters have computer-monitored safety devices and automatic water and gas valves. They are more flexible in terms of possible applications. Some of them can even be used in boats, mobile homes and RVs, radiant heating systems, etc. These water heaters are used to fulfill all your hot water needs or else to supplement the heat from a solar hot water system. They save up to 20 per cent of your water-heating bill. This can be considered to be a significant saving in view of the fact that water heating accounts for about 14 percent of the average U.S. household energy budget.

Tankless water heaters, which could either run on gas or electric, are rated by the maximum flow rate at a desired preset temperature. Latest features allow you to set the delivery temperature. Efficiency is considerably higher compared to an equivalent tank water heater system in that standby losses are almost completely eliminated. In addition to electric tankless water heaters, residential gas models are available which can heat more than five gallons per minute at 60 Degrees Fahrenheit temperature, supposedly enough for two showers running at a time. Unlike point of use water heaters, whole house electric units usually have a flow amount of about three gallons per minute.

Spiraling fuel and energy prices are crying out for effective changes in the way we heat our domestic hot water. Since tankless water heaters only use energy when in use they are likely to save you more money over their expected lifespan of 20 years than they will actually cost you initially. Besides energy efficiency, they occupy less space, are easy to maintain and user-friendly. The payback period for a tankless water heater is between 3 and 7 years depending on your consumption of hot water and the cost of energy in your state. As a rule of thumb, the smaller the amount of hot water used, the faster the payoff. Because of their compact size, greater durability, higher energy efficiency, and ability to provide hot water endlessly, you get true value for money when you buy tankless water heaters.