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Cost To Install a Tankless Water Heater in Texas

May 13, 2022

In Texas, it can cost anywhere from $4,500 to $10,000 to install a tankless water heater, with most people paying around $7,000.

Several factors will influence the installation cost, so the best way to get an accurate estimate is to hire a plumber. They can come out to your home and give you a quote based on your family’s hot water needs.

Regardless, the main factors that will affect the price of a tankless water heater installation include:

  • The contractor you hire
  • The size of the tankless water heater
  • The type of fuel the water heater uses
  • The type of tankless unit you select

We’ll take a closer look at each of these cost factors to help you anticipate the expense of installing a new tankless water heater in your home.


Want an exact estimate for your tankless water heater installation? We make the process easy with free estimates, flexible in-house financing, and a 10-year parts and labor warranty. Call (210) 293-6700 or schedule your estimate online today.


The Contractor You Hire

Not all plumbers provide the same quality work and service. In general, contractors with more experience and qualifications will charge more to install a tankless water heater in Texas, but they’ll provide higher quality work.

We highly recommend hiring a licensed and experienced plumber to do the job. That way, you won’t have to pay for repeat work down the line, and you’ll have peace of mind that the contractor installed your water heater correctly.

To hire a qualified and experienced plumber for this job, we recommend looking for one that:

  • Has been in business for at least 10 years
  • Has excellent reviews on sites like Better Business Bureau, Google, and Facebook
  • Is licensed, bonded, and insured
  • Provides upfront pricing and guarantees for their work

The Size of the Tankless Water Heater

The “larger” the tankless water heater, the more expensive the installation may be.

Sizing tankless water heaters is based on two factors:

  • The flow rate: The number of gallons of hot water the unit can produce in one minute. The higher the flow rate is, the larger the water heater size, and the more expensive it will be.
  • The temperature rise: The difference in temperature between the cold water that flows into your house and the desired temperature you set on the water heater.

Not sure what size tankless water heater you need? The easiest way to determine your household's ideal water heater size is to have a plumber come to your home. For a quick, accurate estimate, call the experts at Jon Wayne at (210) 293-6700.

To estimate the flow rate you’ll need, start by listing all the hot water appliances and fixtures in your home that you expect to use at one time. Then, add up their flow rates (gallons per minute). The sum of those numbers is the flow rate you’ll want for your new tankless water heater.

To help you calculate this, below are the typical flow rates for common appliances and fixtures:

  • A bathroom faucet: 2-3 GPM
  • A dishwasher: 2-4 GPM
  • A kitchen faucet: 2-3 GPM
  • A shower: 1.5 to 3.0 GPM
  • A washing machine: 3-5 GPM

To determine the temperature rise you want in a water heater, subtract the temperature you want your water to reach (usually 120 degrees Fahrenheit) from the average groundwater temperature (here in San Antonio, it’s about 67 degrees Fahrenheit). In this case, you’d want a tankless water heater with a temperature rise of 53 degrees Fahrenheit.

The Type of Fuel the Water Heater Uses To Operate

Gas water heaters are more expensive to install, but they cost less to operate than electric water heaters.

Generally, natural gas is cheaper than electricity, which translates to lower utility bills. As a result, many people choose to install a gas water heater even though it’s more expensive upfront. The installation is more costly because plumbers often need to do extra work like:

  • Installing a gas line (if you don’t already have one)
  • Extending the gas line so it will reach the tankless water heater
  • Installing vents to allow gases produced by your water heater to escape to the outside of your home

Even still, installing an electric tankless water heater could come with the additional expense of upgrading your electrical panel. This might be necessary if your current panel isn’t able to support the load of your new water heater. If you upgrade your electrical panel, it could potentially tack several thousand dollars onto your installation price.

The Type of Tankless Unit You Select

The two types of tankless water heaters are whole-home units and point of use (POU) units.

Whole-home tankless units are usually more expensive because they provide hot water to all the hot water appliances around your home simultaneously.

POU tankless units tend to be cheaper because they only provide hot water to a single appliance or room at once.

Most people choose to go with a whole-home tankless water heater, but a POU unit may be beneficial if:

  • Some of your home’s fixtures or appliances are far from the whole-home unit
  • You have bathrooms or a hot tub that is far from your whole-home unit
  • You use less than 20 gallons of hot water per day

Need an Estimate for a Tankless Water Heater? Call Jon Wayne

Our licensed and insured plumbers can come to your home, assess your hot water needs, and help you select the type of water heater that’s best for your household and your budget. We always provide 5-star tankless water heater installation with the highest-quality work and same-day service. We also offer a 100% satisfaction guarantee. So, if you’re not satisfied with our work for any reason, we’ll make it right. Call (210) 293-6700 or schedule your free estimate online to get started.

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