Whether flipping houses or rent them, water heaters are certainly an appliance that needs regular maintenance and periodic replacement. With so many water heater choices for your rentals, it can get confusing.
From conventional storage tanks to tankless water heaters, having a good understanding of your options in selecting a new water heater will help a busy landlord decide when and why to repair or replace the hot water heaters in their portfolio.
Water Heater Types
There are two main types of systems, a storage tank hot water heater and a tankless water heater. Within these two types, there are subtypes based on fuel sources. Below is a general overview to consider.
Storage Tank Hot Water Heaters
Conventional
Conventional hot water heaters are available for either gas or electric fuel hookups and come in a range of sizes.
Benefits:
A traditional storage-tank is likely the least expensive option to purchase. Additionally, swapping out an old unit for a new may be less expensive to install.
Disadvantages
Temperature variations can cause issues on both extremes. Set too high without proper regulators and adaptors and the scalding hot water can burn skin quickly.
Set too low and the storage tank can become a breeding ground for bacteria such as legionella, a harmful bacteria that can cause a pneumonia-type illness called Legionnaires’ disease and/or Pontiac fever, an illness with flu-like symptoms.
Routine maintenance is required to flush the tank of sedimentation.
Lifespan
The standard storage tank water heater has an average lifespan of eight to fifteen years.
Solar-Powered
Similar to the traditional tank with the exception that the fuel source comes from the heat of the sun. From direct or indirect circulation and integral collector to thermosyphon systems, there are many choices within this category.
Benefits
Perhaps the most energy-efficient.
Ideal for use in sunny climates.
Disadvantages
It requires solar panels to be in use.
Rainy or cloudy days will produce less hot water which may require a secondary type system to accommodate hot water needs during those periods.
One of the most expensive options to purchase.
Lifespan
The standard solar water heater has a life expectancy of twenty years.
Heat Pump
The heat pump (also known as a hybrid water heater) pulls its energy from the heat of the ground or air around it.
Benefits
Compared to a conventional electric hot water heater, this option can use up to 60 percent less electricity which will translate to cost savings.
Disadvantages
Not recommended for areas colder climates or if installed near the ground.
Heat pump water heaters are one of the most expensive to purchase.
Lifespan
The average heat pump water heater should last approximately thirteen to fifteen years.
Condensing
A condensing hot water heater recycles the natural gas fumes created by using gas in your home for heat and cooking to heat the water.
Benefits
Due to the system using recycled fumes, this is a very energy-efficient system.
The large storage tank capacity should handle simultaneous and continuous usage well.
Disadvantages
Not a recommended option unless the house is set up for natural gas as the primary fuel source. It does not come in smaller sizes.
Lifespan
Condensing tanks are similar to traditional water heaters. Although the average lifespan of a traditional water heater is about 10 years, there are many factors to take into consideration that may increase or decrease that amount. It’s important to know those factors when estimating the lifespan of a water heater.
If you are deciding on a traditional conventional tank system you’ll want to consider the benefits and disadvantages of the following:
Tank Linings: glass, enamel, or ceramic
Anti-Scale Devices
Drain Values: plastic vs brass
Capacity
Tankless Water Heaters
A tankless water heater is also called an on-demand, instantaneous, continuous flow, etc. Unlike the conventional tank system, these heat water as needed and is never stored.
Benefits
Fits in small areas and suitable for tight living quarters.
More energy efficient than a traditional storage system.
Cost savings on usage
Disadvantages
More expensive to purchase than a traditional storage tank.
Typically can not accommodate multiple simultaneous uses such as taking a shower while running the dishwasher.
Lifespan
Most tankless water heaters have a life expectancy of more than twenty years.
If you’ve decided on a tankless system, you’ll want to consider if you need to place multiple units at different usage points to accommodate simultaneous usage.
What to Consider Before Replacing
It may be that you need a quick solution and simply replacing your old unit with a similar new one might just be the best option at the time. You’ll want to take into consideration warranties, maintenance, and efficiencies.
Regardless of the system you choose, you can use remember to keep informed on building code updates and of course, stay current on any maintenance requires.
With a new system in place, you’ll have the added benefit of being able to promote that in your marketing and increase your property value in general.
Final Thoughts
After researching your options, you might choose to simply swap out your old units for newer, more efficient models or you might consider changing system or fuel types. Regardless, make sure to check with all building codes, your local and state regulations, and your trusted plumbing vendor before making that final decision.
