Are you tired of paying high energy bills just to heat water? Or running out of hot water during a shower? Or even having to call for plumbing services in Vancouver to fix water heater issues? You’ve likely heard about tankless water heaters and their promise of endless hot water and energy savings. But are they the right fit for your home?
Whether you’re exploring water heater replacements or planning a boiler installation, understanding how tankless systems work helps you make an informed decision. In this guide, you’ll learn the pros and cons, so you can decide what fits your home, lifestyle, and budget best.
What is a Tankless Water Heater?
Think of your traditional water heater as a giant kettle. It constantly heats and reheats gallons of water, 24/7, just in case you need it. This wastes a lot of energy and, when that tank is empty, you’re stuck waiting in the cold. A tankless water heater, also called an on-demand water heater, heats water only when you need it.
A tankless unit uses powerful burners or electric coils to heat cold water as it flows through the system. In other words, it heats water instantly as it passes through the heating element. This means once you shut the tap, it stops heating. No storage, no energy loss, no waiting for a tank to fill up. It’s a smarter, more efficient way to heat your water.
Tankless heaters come in two main types:
- Gas models use natural gas or propane, often heat water faster, and are common in larger homes because they handle higher flow rates.
- Electric models are smaller, easier to install, and work well for small homes, condos or single-bath setups.
Both can deliver reliable hot water when sized and installed properly.
Why Consider Tankless Systems for Vancouver Properties?
In Vancouver and the Lower Mainland, every square foot matters. Many homes here are compact, and upgrading to a large traditional tank can steal space. A tankless water heater solves this problem because it is small, and the wall-mounted design frees up floor space.
Plus, in BC, you might be qualified for a new water heater system rebate, up to $2,500 for eligible homeowners installing a high-efficiency condensing tankless system. This local incentive helps lower upfront costs.
Pros of Tankless Water Heaters
High Energy Efficiency & Lower Energy Bills
With a traditional tank water heater, you pay to keep 40 or 50 gallons of water hot all day, every day. A tankless system stops this waste. It only heats water when you need it, which cuts your monthly utility bills. Over time, you spend less while lowering your environmental footprint. It’s a smart choice for homeowners who want both comfort and efficiency.
Endless Hot Water Supply (No Running Out)
As long as the unit is sized right for your home, you won’t run out of hot water. Tankless heaters warm water instantly as it flows through, providing continuous hot water without the limits of a storage tank. This means no cold showers during busy mornings or waiting for the dishwasher to finish its job to finally take a bath without fear of running out of hot water.
Space-Saving Design & Longer Lifespan
Traditional tanks are bulky, stealing an entire closet. Tankless units are compact and wall-mounted. This allows you to recover valuable storage space. These systems also last longer than traditional tanks, often 15 to 20 years compared to 10 to 15 years for standard systems. It is an upgrade that serves you better, for longer.
Reduced Risk of Tank-Related Issues
Imagine a rusty 40-gallon tank bursting in a basement or utility closet, causing a major leak and expensive water damage to your property. Without a tank, since there’s no large volume of water being stored, there’s also no risk of burst, corrosion, sediment buildup, leaks, or water damage that often come with older tank heaters. A tankless system protects your home and gives you peace of mind.
Cons of Tankless Water Heaters
Higher Up-Front Cost & Installation Complexity
Tankless water heaters cost more initially than traditional tanks, especially if you’re not eligible for a rebate. Installation can be complex, requiring professional plumbing services, and upgrading often needs new, specialized venting, a larger gas line to fuel the powerful burner, or a dedicated, high-voltage electrical circuit for electric units. In many older Vancouver homes, this means extra work to bring your system up to code, which adds to the final bill.
Flow-Rate Limitations
A tankless heater produces endless hot water, but has limits on how much hot water it can provide at once. If multiple showers and appliances run simultaneously, one unit might struggle to heat the entire water flow. Large homes might need a higher-capacity, multiple units, or a small storage tank to balance demand. Sizing the system correctly matters if you want to avoid temperature drops.
Not Always Ideal for Every Home
If your household uses little hot water or has a newer tank in good shape, upgrading may not be worth it. Tankless systems cost more up front and, while energy savings are real, they can take years to pay back when usage is low. Tankless systems are great options for higher usage and when replacing old tanks or being installed in a new property.
How to Know if a Tankless Water Heater is Right for Me?
Deciding on a tankless system comes down to a few key questions. This is not just about the heater, but about your home and your habits.
To decide if a tankless water heater suits your needs, ask yourself these key questions:
- How many people live in your home? Do you often run multiple showers, the dishwasher, and laundry at the same time? Large homes, high and simultaneous demand require higher-capacity units or dual systems.
- Is your home older? A professional must check if your gas line or electrical panel can support the system or if your home needs upgrades.
- Do you have space for a storage tank? A tankless system frees up floor space, a benefit for small homes or condos.
- How long do you plan to live in your home? The initial cost is higher. The savings come over the unit’s 20-year lifespan.
- What is your budget? Are you eligible for a BC rebate? Initial costs for tankless systems are higher, but they have a longer lifespan and help you save on energy bills.
If you’re unsure, the best option is to ask a professional. Reach out to Impetus Plumbing & Heating for local inspections, expert plumbing recommendations, and quotes tailored to your Vancouver home’s needs.