Tankless water heaters have become more popular in recent years, promising endless hot water and energy savings. But like any home upgrade, they come with trade-offs. If you’re wondering whether one might be right for you, it helps to weigh both the benefits and the limitations. AJ Danboise Plumbing, Heating, Cooling & Electrical helps homeowners explore the facts so you can make the best choice for your space and your routine. Let’s look at what you’re getting with a tankless system.
How Tankless Water Heaters Work
A tankless water heater doesn’t store hot water like a regular tank system. Instead, it heats water only when you need it. When you turn on a faucet or run the dishwasher, water flows through the unit, and the heater kicks on. It warms the water as it passes through, so you never run out in terms of supply. However, you might notice a drop in temperature or pressure if too many fixtures are running at once. This is because of the limited flow rate that individual tankless heating units can accommodate.
This setup means there’s no big tank in your basement or garage, slowly heating water all day. You’re only using energy when someone needs hot water. If you live in a smaller household or don’t use a lot of hot water all at once, that might work well.
Most tankless systems run on gas or electricity, and the size of the unit you need depends on how much hot water your home uses simultaneously. A single unit might handle a shower and a sink just fine, but it could struggle if someone’s running laundry, dishes, and a bath simultaneously. That’s why figuring out your daily habits matters when choosing one.
What You Might Like About a Tankless System
One of the best things about a tankless heater is that it takes up less space. You won’t have to dedicate a corner of the laundry room or a big closet. Many units mount on the wall, leaving more room for storage or upgrades.
Another major benefit is the ability to have a continuous supply of hot water. With a traditional tank, once the hot water runs out, you have to wait for the tank to heat up again. That wait can feel long, especially if your household uses a lot of hot water. A tankless system doesn’t store hot water; it makes it as needed. So in theory, you could take back-to-back showers without worrying about running cold.
Energy savings also draw people in. Because the unit doesn’t constantly heat a tank of water, it often uses less gas or electricity. That lower use can show up on your energy bill, though how much you save depends on your home’s habits and system setup. The lifespan of a tankless system is another plus. Some units last 15 to 20 years or more with diligent maintenance habits. That’s longer than many standard tank-style heaters, which usually need to be replaced after about 10 to 12 years.
Where Things Can Get Complicated
While there’s a lot to like, tankless water heaters also have a few challenges. One of the biggest is the upfront cost. The unit itself tends to cost more than a standard tank. On top of that, installation can be pricey, especially if your home needs upgraded gas lines, new venting, or electrical changes to handle the system.
A single unit might not be enough if you have a bigger household or like to run multiple appliances at once. Some people install two smaller systems—one near the kitchen and one near the bathrooms—to split the demand. That helps, but it adds more cost.
There’s also something called the “cold water sandwich.” When you turn the hot water on and off quickly, like during short handwashing or when someone else just used the shower, the water can start out warm, turn cold, and then go warm again. It’s not dangerous, but it can catch you off guard.
Another thing to think about is the delay. A tankless system often takes a few seconds longer to deliver hot water compared to a tank, especially if the faucet is far from the unit. That wait might not be a big deal, but it’s something you’ll notice when you’re in a hurry.
What Maintenance Looks Like
A tankless water heater doesn’t need much day-to-day care, but it still needs attention now and then. If your home has hard water, minerals can build up inside the system. That buildup can block the heat exchanger and reduce performance. Flushing the system helps remove that scale and keeps the heater running smoothly. Most manufacturers recommend flushing once a year, or maybe twice if your water is very hard.
You might be able to flush it yourself with a kit, but professional flushing is recommended to avoid damage and ensure thorough descaling. Either way, skipping this step can shorten the life of your unit and lead to repair costs down the road. There are also filters in some systems that trap debris before it enters the heater. Those need to be checked and cleaned every six to 12 months. If you notice a drop in water pressure or slower heating, a dirty filter could be part of the problem.
Checking for error codes or strange sounds can help catch small issues before they turn into bigger ones. A little maintenance goes a long way in keeping things simple and stress-free.
How to Know If It’s a Good Fit for Your Home
Whether a tankless system makes sense depends a lot on how you use water. If you live alone or with one other person, and you’re not running laundry and dishes at the same time as your shower, a tankless system might be just right.
For families or larger households, it gets more complicated. A single tankless unit may have trouble keeping up when everyone wants to shower in the morning or when appliances are running together. That’s where sizing matters. Getting a unit with the right gallons-per-minute rating can help, but it often means going with a higher-end model.
You’ll also want to think about how long you plan to stay in your home. A tankless heater can take several years to make up for the higher cost through energy savings. If you’re not planning to stick around, a traditional tank might make more sense.
Older homes may need more prep work before switching to a tankless setup. The existing plumbing or wiring might not support the unit. If upgrades are needed, that adds to the price and timeline. It’s something worth checking before making a decision.
Where a Tank-Style Heater Might Still Win
While tankless models get a lot of attention, tank-style water heaters still work well for plenty of households. They’re simpler to install and usually cheaper upfront. If your current heater fails and you need a quick replacement, a tank model can get you back up and running fast without major changes.
Tank heaters deliver hot water quickly and reliably for one or two uses at a time. If your family doesn’t run high-demand appliances all at once, you might not even notice the difference. Some models even come with better insulation or energy-saving features that help lower usage.
Tank systems also have more predictable installation needs. There’s usually no need to rework your home’s plumbing or power setup unless you’re changing size or fuel type. That makes replacement faster and simpler in most cases. For some homes, the convenience and lower cost of a tank system outweigh the long-term benefits of a tankless model. Ultimately, it comes down to your home’s layout, your family’s habits, and how you prioritize cost, comfort, and energy use.
Go Tankless With AJ Danboise Plumbing, Heating, Cooling & Electrical
Tankless systems offer many advantages, but they’re not perfect for every home. Whether you value efficiency, space-saving design, or never running out of hot water, there’s plenty to like, as long as you know what to expect. If you’re thinking about upgrading your water heater, start with a quick call with AJ Danboise Plumbing, Heating, Cooling & Electrical to see what best fits your Farmington Hills, MI home.
We also offer services like water heater installation, plumbing repairs, drain cleaning, bathroom fixture upgrades, and whole-home plumbing inspections. Call today to learn more!
