Types of Water Heaters to Consider Installing at Home
When it’s time for a new water heater installation or a water heater replacement, homeowners often find themselves at a crossroads. Selecting the right system is essential for ensuring the household has a reliable supply of hot water while managing long-term operating costs. Modern technology has expanded the options available beyond traditional tank water heaters, offering additional choices that cater to different space requirements, household sizes, and more energy-efficient performance.
Traditional Tank Water Heaters

One significant benefit of a storage water heater is its lower upfront cost compared to other technologies. However, they are less energy-efficient because they must constantly cycle on to maintain the water temperature, leading to standby heat loss and higher monthly utility bills. Additionally, once the hot water in the tank is depleted, residents must wait for it to refill and reheat before more hot water is available, so it’s important to select the right-sized tank for the household.
Tankless Water Heaters

Because they eliminate the need to continuously heat a large tank of water, tankless water heaters are more energy-efficient and can lower monthly utility bills. They are also smaller than tank water heaters and can be wall-mounted. Another advantage of tankless models is a nearly endless supply of hot water, as the water gets heated as it flows through the unit. However, this can lead to temperature fluctuations if hot water is needed for multiple things simultaneously. While they require a higher initial investment due to installation costs, they also boast an impressive lifespan of up to 20 years compared to the 8-12 year lifespan of a tank water heater.
Heat Pump Water Heaters
For property owners prioritizing energy efficiency, heat pump water heaters are an excellent option. They are the most energy efficient of the three. Rather than expending energy to generate heat directly, these systems use electricity to extract thermal energy from the surrounding air and transfer it into the water tank. Because moving heat is far more efficient than creating it, these units have significantly lower operating costs.
However, to function at peak efficiency, they require specific installation conditions, such as being placed in an unconditioned space like a garage with sufficient air volume and proper ventilation. Over time, the substantial reduction in energy costs and their 10-15 year lifespan often justifies their higher initial installation cost.
About Water Heaters Only, Inc.
Water Heaters Only, Inc. is a trusted water heater company founded in 1968 that serves the Phoenix area. They offer honest, transparent pricing, financing options, and on-time service. Call for water heater installation in Phoenix, AZ.

