Wouldn’t it be nice if your water heater provided hot water instantly, just where you needed it, never ran out of hot water, was cheaper to operate, and helped the environment? If you would like all these, then let’s find the best tankless water heaters to meet your needs and budget.
We have helped many families evaluate their hot water consumption needs and install tankless water heaters in their homes and small businesses for almost a decade. We hope our guides and reviews will save you time in your buying evaluation and selection of tankless water heaters for your home.
Here are our top-rated tankless water heaters, sorted by capacity of high-demand, medium-demand and low-demand: Here we go:
Our pick of the Best Tankless water heaters:
High Demand: Takagi T-H3-DV-N Condensing High Efficiency Natural Gas Indoor Tankless Water Heater
Model: Takagi T-H3-DV-N Condensing High Efficiency Natural Gas Indoor Tankless Water Heater
Type: On-demand Natural Gas Tankless, for single point-of-use or multiple applications
Flow rate: 10 GPM. It can produce sufficient hot water for a large house, including multiple bath rooms and other appliances
Demand type: High-demand, most suitable for high-occupancy of 3-4 bathrooms household, or commercial application.
Why choose Takagi T-H3-DV-N Natural Gas Tankless Water Heater? Here are the top features and benefits:
- Warrenty: 15-year limited heat exchanger for residential; 5-year limited for commercial use.
- Environmental friendly – Lead free standards.
- Ultra-Low NOx Condensing Technology – minimizes pollution and allows easy, low-temperature venting. The vent design provides flexible and convenient venting with PVC, CPVC or ABS.
- Energy Star® Qualified – one of the most efficient tankless gas water heaters on the market with 0.95 Energy Factor results in substantial cost savings.
- Durability – commercial-grade copper primary heat exchanger and type 316L stainless steel secondary heat exchanger.
- No Pilot Light – IID Electronic Ignition.
- Easy trouble shooting – its temperature controller also displays diagnostic information.
- Easy to link up to 4 Units with no Additional Parts or Accessories Needed. With a multi-unit controller, it can link up to 20 units.
- Internal Freeze Protection System
The Takagi T-H3-DV-N Natural Gas Tankless Water Heater is a super-efficient condensing water heater that supplies large volumes of hot water for high-occupancy residential or commercial application. Easy link-up to 4-20 units, durable and environmental friendly. Excellent warranty: 15-year limited heat exchanger for residential, 5 for commercial. Read our full review.
Medium Demand:Takagi T-KJr2-IN-NG Natural Gas Indoor Tankless Water Heater
Model: Takagi T-KJr2-IN-NG Indoor Tankless Water Heater, Natural Gas
Type: On-demand Natural Gas Tankless, for single point-of-use or multiple appliance applications in a moderately sized house.
Flow rate: 6.6 GPM. It can produce enough hot water for two bathrooms at the same time in warmer climates.
Demand type: medium-demand, most suitable for medium-occupancy of two bathrooms household
Why choose Takagi T-KJr2-IN-NG Natural Gas Tankless Water Heater? Here are the top features and benefits:
- Warranty – 15 years limited on the heat exchanger and a 5 years limited warranty on parts (residential use)
- Environmentally friendly -Energy Factor of 0.82 for Natural Gas (quite high for a non-condensing model)
- Numerous safety features including freeze, overheat, and surge protection.
- Easy maintenance with trouble shooting diagnostic codes.
- Includes both a remote control and power cord as standard features.
- Inlet, outlet thermistors for constant temperature monitoring.
The Takagi T-KJr2-IN-NG Indoor Tankless Water Heater has great reviews from purchasers. It provides adequate capacity for a moderately sized house and an attractive price with an excellent warranty. Note: This Takagi model requires 4-Inch category III stainless steel venting. It is a non-condensing model with good energy factor of 0.81-0.83 which is lower than condensing heaters. It is a great tankless option for a medium demand residential applications. Excellent warranty. Read our full review.
Low Demand: EcoSmart ECO 11 Electric Tankless Water Heater
View on Amazon
Model: EcoSmart ECO 11 Electric Tankless Water Heater.
Type: On-demand Electric Tankless, for single point-of-use or for small homes.
Flow rate: 2 GPM. It can produce enough hot water for one low-flow shower head and one sink at the same time.
Demand type: low-demand, suitable for one-bathroom application. Or, consider installing this unit near your primary hot water source to as a “water heater booster”
Why choose EcoSmart ECO 11 Electric Tankless Water Heater? Here are the top features and benefits:
- Advanced self-modulating technology – will adjust how much energy needs based on how much hot water is needed.
- Digital temperature control in 1-degree increments.
- Heating elements are durable and are threaded for easy replacement.
- Compact size – saves valuable storage space.
- Lifetime warranty for residential use.
The EcoSmart ECO 11 Electric Tankless Water Heater is a smaller capacity water heater that provides attractive performance at a low price-point for either small home applications or for use in point-of-service applications. This unit can also be used as a “water heater booster”. With its advanced self-modulating sensor technology, it can save up to 60% on the water heating cost. It is suitable for both warmer and colder climates. Lifetime warranty. Read our full review.
Best seller: Rheem RTEX-13 240V Electric Tankless Water Heater
Model: Rheem RTEX-13 240V Electric Tankless Water Heater
Type: On-demand Electric Tankless, for single point-of-use or multiple applications
Flow rate: 3.17 GPM. It can manage two low-flow shower heads the same time, or a standard bath tub.
Demand type: low-demand, most suitable for low-occupancy of 1-2 persons household.
Why choose Rheem RTEX-13 240V Electric Tankless Water Heater? Here are the top features and benefits:
- Compact, modern and clean-line design
- Digital temperature control from 80°F to 140°F (increments of 1°F)
- Easy installation – It comes with a 3-foot electric cable and 1/2 NPT adapters
- Durable with sturdy copper immersion heating elements and brass top
- Energy Star certification – 99.8% energy efficiency.
- Warranty: 5-year limited warranty by Rheem.
- Manufacturer reputation: Excellent. Rheem has been in business since 1925.
The Rheem RTEX-13 is a super popular tankless water heater with purchasers, a best seller for low-demand tankless water heater. And, Rheem is a well-known brand that delivers on its promises for almost 100 years! Read our full review.
Best Value: Ecosmart ECO 27 Electric Tankless Water Heater
Model: Ecosmart ECO 27 Electric Tankless Water Heater
Type: On-demand Electric Tankless water heater, for single point-of-use or mid-sized home applications
Flow rate: 6 GPM. It can manage four low-flow shower heads at the same time, or two standard shower heads and a standard bath tub.
Demand type: medium-demand, most suitable for medium-occupancy of 2-3 bathrooms household.
Why choose Ecosmart ECO 27 Electric Tankless Water Heater? Here are the top features and benefits:
- An impressive flow sensor technology, self-modulating –precisely regulates the energy required to heat up the amount of hot water needed.
- Highest quality copper and stainless components designed for durability, energy efficiency, and easy maintenance.
- Digital temperature control from 80°F to 140°F provides convenient and precise temperature control in 1 degree increments.
- Performance in low temperatures, e.g. delivering 3GPM at 37°F.
- Lifetime limited warranty
- The Ecosmart ECO 27 is well reviewed by purchasers.
The Ecosmart ECO 27 Electric Tankless Water Heater is a great value (as much as 50% savings on the cost of heating water) in terms of performance for a moderate price. It is well reviewed by new purchasers and long-time owners – quality and durability. Read our full review.
On-demand water heater buying guide
- How much hot water do you use? Are your family’s hot water needs low, medium, or high demand? For example,
- For just 1 bathroom, a low-demand tankless with flow rate 4-5 gallons/minute will likely suffice.
- For two bathrooms, you may want a medium-demand tankless with flow rate of about 7 gallons/minute.
- For three plus bathrooms or a larger family, you likely need a high-demand tankless water heater with a flow rate of 10+ gallons/minute.
- What type of tankless water heater do you need, gas or electric? Typically, you will make the decision, gas or electric, based on the utilities available at your house and their cost.
Checklist to consider before purchasing a Tankless water heater:
- Note that the capacity for a tank water heater is the capacity of the storage tank in gallons (for example, 40 gallons). Whereas a tankless water heater is rated by the flow rate, i.e. gallons per minute (GPM) of hot water it can provide endlessly. Typically usage for:
- A shower is 1.5 to 3 GPM
- A bathroom or kitchen faucet is 2 to 3 GPM
- A dishwasher is 2 to 4 GPM
- A washing machine is 3 to 5 GPM
- Determine your hot water demand.
- Depends on the size and needs of your family or small business – how many hot water demands are you placing on your heater at once?
- Size your tankless water heater to meet your demand needs.
- Take into consideration the geographic region where you live as that effects the ambient water temperature aka the inlet water temperature. The colder the inlet water temperature, the less hot water you get at a given outlet temperature.
- Decide if you want to provide an “up-side” cushion of perhaps 50% for extreme use periods.
- Evaluate whether you want a gas (natural gas or propane) or electric tankless water heater.
- Check energy sources (and prices) available where you want to install the unit.
- Do you have natural gas piped to your house? If so, this will likely be your logical choice.
- Do you have other propane appliances? If so, propane may be your preferred choice.
- Do you have electrical service available or are you considering solar? If so, this may be the environmentally friendly choice.
- Determine the cost of each energy source (operational cost)?
- Typically, natural gas provides the lowest operational cost, but check your actual cost. (For example, electric power may be cheaper near large hydroelectric generation capability—such as the Pacific Northwest or the Tennessee Valley).
- Typically natural gas is less expensive than propane but may not be readily available at your home.
- In general, a gas tankless heater heats water more rapidly than electric tankless and reduces the cold water sandwich problem. Thus, tankless gas water heaters often are more suitable for high demand usage.
- Indoor or outdoor (tankless water heaters are designed either for indoor or outdoor installation).
- Indoor gas tankless water heaters will often require venting; typically electric tankless heaters will not require venting.
- Outdoor gas tankless water heaters typically have simplified venting.
- Make sure you choose the appropriate model for your requirements.
- The brands we recommend are all well respected and the particular models have outstanding reviews among purchasers. Limited warranties range from 10 years to Lifetime. In general, tankless hot water heaters are quite reliable.
- The Initial budget (buying and installing). Consider all of the following:
- Purchase price
- Typically, the purchase price of electric tankless is lower than gas tankless.
- Installation price (consult with a professional)
- Do you want a centralized or multi-point system (affects both purchase and installation costs)
- Consider the cost of bringing the energy source to where you install the unit.
- Certain gas heaters require venting, the cost of which may vary substantially.
- Operational cost (typically the operational costs of natural gas are lower than electricity)
- Consider and check any rebates and incentives available for the installation of these more efficient water heaters.
- Typically, payback of purchase and installation costs may be less than 2 years.
- Maintenance cost
- Typical maintenance cost for tankless water heaters is low. But if you have hard water, you should expect periodic maintenance to descale sediments.
- Compare the warrantees among models you are considering.
Summary: What is the best tankless water heater for you?
The best model is the model that meets your specific needs. We hope our checklist will be helpful to you in your buying evaluation and selection. So, determine your hot water needs, identify the tankless water heater that has an appropriate flow rate, decide whether gas or electric best matches your needs, and determine which specific product options best match your budget.
Because of their features, reliability, and customer reviews, we recommend the following units to provide endless, instant, on-demand hot water:
For more information on key factors to choose the best tankless water heaters for your home, check out our guide and full review of the best GAS tankless water heaters and the best ELECTRIC tankless water heaters.
