Water Heater Buying Guide
Gas vs electric, sizing for your household, energy factor ratings, and what to expect when replacing your water heater.
When to Replace Your Water Heater
Most tank water heaters last 8–12 years. If yours is approaching that age or showing any of the following signs, it's time to start planning for a replacement:
- Rusty or discolored hot water — the tank may be corroding from the inside.
- Rumbling or popping noises — sediment buildup at the bottom of the tank.
- Leaking around the base — a sign the tank itself is failing.
- Not enough hot water — the heating elements or burner may be worn out.
- Rising energy bills — older units lose efficiency as they age.
Don't wait for a catastrophic leak. A proactive replacement on your schedule is always better than an emergency swap when your tank fails on a Sunday morning.
Gas vs Electric: Which Should You Choose?
The simplest answer: replace with the same fuel type you have now. Switching from gas to electric (or vice versa) requires additional work — running new gas lines or upgrading your electrical panel — which adds cost and complexity.
| Feature | Gas | Electric |
|---|---|---|
| Recovery rate | Faster — reheats water more quickly | Slower — takes longer between uses |
| Operating cost | Often lower (depends on local gas prices) | Varies by electricity rate |
| Installation | Requires gas line and venting | Simpler — just needs a 240V circuit |
| Energy factor | 0.59–0.67 typical | 0.92–0.95 typical |
| Maintenance | Annual inspection recommended | Minimal — fewer moving parts |
| Safety | Requires proper venting for combustion gases | No combustion — no venting needed |
Sizing: What Capacity Do You Need?
Water heater size is measured in gallons. The right size depends on how many people live in your home and your peak hot water usage patterns.
| Household Size | Recommended Capacity | Notes |
|---|---|---|
| 1–2 people | 30 gallons | Apartment, condo, or small home |
| 2–3 people | 40 gallons | Most common replacement size |
| 3–4 people | 50 gallons | Standard family home |
| 5+ people | 80 gallons | Large family or high usage |
Pro tip:Check the gallon capacity on your current water heater's dataplate. A like-for-like replacement at the same capacity is usually the best approach unless your household size has changed.
Understanding Energy Factor (EF)
Energy factor (EF) measures how efficiently a water heater converts energy into hot water. A higher EF means less energy wasted. The newer metric, Uniform Energy Factor (UEF), works the same way — higher is better.
Gas Water Heaters
Typical EF: 0.59–0.67
Gas models convert 59–67% of the energy from natural gas into hot water. The rest is lost through venting and standby heat loss.
Electric Water Heaters
Typical EF: 0.92–0.95
Electric models are more efficient at converting energy to heat (92–95%), though electricity costs per BTU are typically higher than natural gas.
What to Expect During Replacement
A standard water heater replacement is one of the simpler home improvement projects. Here's what the process looks like:
- 1
Assessment
A licensed plumber evaluates your current setup — fuel type, location, venting, and any code requirements.
- 2
Removal
The old unit is drained, disconnected, and hauled away for proper disposal.
- 3
Installation
The new water heater is set in place, connected to your water lines and fuel source, and tested for proper operation. Most installs take 2–4 hours.
- 4
Verification
The plumber checks for leaks, verifies the temperature setting, and ensures everything is working before they leave.
Our Water Heater Pricing
All-inclusive pricing — equipment plus licensed plumber install, direct from us. Gas runs higher than electric because of the venting, flue, and gas-line work.
| Size | Gas Installed | Electric Installed |
|---|---|---|
| 30-Gallon | $1,967 | $1,467 |
| 40-Gallon | $2,101 | $1,504 |
| 50-Gallon | $2,179 | $1,552 |
| 80-Gallon | $2,550 | $2,111 |
Prices shown are all-inclusive for like-for-like replacement. Fuel conversions, upsizes, and non-standard locations may adjust the final quote. All units are Rheem Performance or Performance Plus models with 6-year tank and parts warranty.
Ready to get started? Schedule a free site visit and we'll confirm your sizing and schedule the install.
Ready to Get Started?
Schedule a free site visit — or use our Dataplate Scanner to identify your system first.