Tankless Water Heater Benefits

• Tankless water heaters don’t run out of hot water. They can operate all day long because they heat water instantly on demand.
• Units can last 20 years or more. Storage tanks don’t last as long because they store water and have to handle things like hard water minerals and sediment.
• Tankless water heaters save floor space. You can free up an area for storage. This may very appealing if you live in a condo or smaller urban dwelling.
• They provide safer temperatures and usage. You can avoid scalding because tankless water heaters allow you to set the ongoing water temperature to a safer temperature.
• On demand water heaters save energy (and money). Because hot water is not stored in a tank and kept hot, the energy savings are immediate. Also, by managing outgoing temperature on a tankless water heater, you gain more energy and cost savings. According the EPA, for each 10ºF reduction in water temperature, you can save between 3%–5% in energy costs.

Energy Efficiency and Calculating Costs

Use the energy factor (EF) to determine the energy efficiency of a tankless water heater. The energy factor indicates a water heater's overall energy efficiency based on the amount of hot water produced per unit of fuel consumed over a typical day. For tankless water heaters, this includes the following:

• Recovery efficiency - the efficiency of how the heat from the energy source is transferred to the water
• Cycling losses - the loss of heat as the water circulates through inlet and outlet pipes.

The higher the energy factor, the more efficient the water heater system is. However, higher energy factor values don't always mean lower annual operating costs, especially when you compare fuel sources. For example, a gas tankless water heater with an EF of .85 will always have a lower operating cost of an electric tankless water heater with an EF of .90.

Important note: Don't choose a tankless water heater model based solely on its energy factor. When selecting, consider size, fuel type, and overall cost. A one bathroom heating unit may have a high EF, but it may not meet your true demand. You have to factor in the fuel used and the specific number of gallons used.

Tankless Water Heater Tax Credits Extended through 2010

You can claim the credit on your federal income tax form. This tax credit applies to any water heaters with an energy rating of .80 or above. Here are some of the models that may qualify:

• Bosch Aquastar 2400E (NG) & (LP)
• Bosch Aquastar 2400EO (NG) & (LP)
• Bosch Aquastar 250SX (NG) & (LP)
• Bosch Aquastar 250SXO (NG) & (LP)
• Bosch Aquastar 125HX (NG) & (LP)
• Bosch Aquastar 125FX (LP) only
• Takagi TKJr (NG) and (LP)
• Takagi TK2 (NG) and (LP)
• Takagi TKD20 (NG) and (LP)
• Takagi TM1 (NG) and (LP)
• Takagi TK3 (NG) and (LP)
• Takagi TK1S (NG) and (LP)
• Toyotomi Oil Water Heaters

Here is a list of Rinnai Tankless Tax Credit Models:

• Rinnai REU - V1616W - US (LP)
• Rinnai REU - V1616WC - US (LP)
• Rinnai REU - V2520 FFU - US (NG)
• Rinnai REU - V2520 FFUC - US (NG)
• Rinnai REU - V2020 W - US (LP)
• Rinnai REU - V2020 WC - US (LP)
• Rinnai REU - V2520 FFU - US (LP)
• Rinnai REU - V2526 W - US (NG)
• Rinnai REU - V2526 W - US (LP)
• Rinnai REU - V2520 FFUD - US (NG)
• Rinnai REU - V2520 FFUD - US (LP)
• Rinnai REU - V2520 FFUCD - US (NG)
• Rinnai REU - V2520 FFUCD - US (LP)
• Rinnai REU - V2532 W - US (NG)
• Rinnai REU - V2532 FFUC - US (NG)
• Rinnai REU - V2532 WC - US (NG)
• Rinnai REU - V2532 FFU - US (LP)
• Rinnai REU - V2532 W - US (LP)
• Rinnai REU - V2532 FFUC - US (LP)
• Rinnai REU - V2532 WC - US (LP)
• Rinnai REU - V2532 FFUD - US (NG)
• Rinnai REU - V2532 WD - US (NG)
• Rinnai REU - V2532 FFUCD - US (NG)
• Rinnai REU - V2532 WCD - US (NG)
• Rinnai REU - V2532 FFUD - US (LP)
• Rinnai REU - V2532 WD - US (LP)
• Rinnai REU - V2532 FFUCD - US (LP)
• Rinnai REU - V2532 WCD - US (LP)

Tankless Water Heaters | How to Select a Tankless Water Heater | How Tankless Works | Tankless Benefits