Having hot water is a requirement for every home. It is used for bathing, cooking and cleaning daily. It is the water heater’s job to make sure you have this provided whenever you need it. Heating up water can be very costly, and it is actually the second highest expense in your home. Heating water can take up as much as 20% of your utility bill. Keeping this in mind, it would be best to have the right water heater for your home’s needs. If you are going to purchase a new home, or it’s just time to replace your current water heater, it is a necessity to make the right choice or else you may end up costing yourself hundreds of dollars. In the following article, we will discuss the differences between gas and electric water heaters and the pros and cons of each.
Choosing a hot water heater
The very first thing you should think about before buying a water heater is how much water your household needs. Most residential water tank sizes can range anywhere from 20 to 80 gallons. As the hot water empties out of your water tank, it is replaced with cold water that needs to be heated. Just because you have a family of four, does not necessarily mean you need a large water tank, but you also don't want to constantly be running out of hot water. If you have a large tub, the water heater should be about 2/3 the size of the bathtub, so you will still have some hot water for use after the tub is filled. Therefore, if you have a large 75 gallon tub, you would want to have a 50 gallon water heater. If you have a 60 gallon tub you would want to have a 40 gallon water heater.
Determine how much hot water you expect to use at the busiest time of your household usage. Determine the faucets you normally use during this peak time, find out what the flow rates are for each one of them, and how many times they are used in that hour. Keep in mind that roughly one-third of the water flow will be cold water mixed with the hot. Add all of the flow rates for the hot water and this will be the total desired flow rate you'll need during your peak water demand.
Pro Tip: Use our handy Water Flow Rate Guide to help you determine the gallon per minute flow rate for your faucets.
The next thing you should consider is your first hour rating, or water heater FHR. The FHR can be found on the printed yellow EnergyGuide on the side of the water heater. This tells you how much hot water is available for use in the first hour, when the tank is fully heated. You will want to find a water heater that has a FHR rating that is equal to, or higher than, your peak hour water demand.
Electric VS Gas
Once you have decided the size tank that best suits your need, and considered the first hour rating, you will need to choose either a gas or electric water heater. If your home has access to natural gas, choosing a gas water heater will typically be cheaper to operate than an electric water heater. This depends on utility costs, but most people with gas connected to their home tend to have less expensive utility bills. Before you jump the gun and decide to buy a gas water heater, let’s take a closer look at the pros and cons of both options.
Gas water heater advantages
Faster hot water
In almost every instance, gas water heaters will heat water faster than electric ones will. While it may take 30 minutes for a gas water heater to heat 25 gallons of water, it could take an electric water heater double the time to heat the same amount of water. If you have numerous people living in your home, choosing a gas heater may be the better option due to the higher demand of water.
Lower cost of energy
As we mentioned earlier, gas water heaters are usually less expensive to operate than electric water heaters. One exception to this rule is if you don’t have natural gas hooked up to your home already. If you have to install a natural gas line into your home for your gas water heater it could cost you an additional thousands of dollars.
Hot water during power outages
Some gas water heaters ignite via a pilot light. If your water heats up this way, your water heater will still work during a power outage. This may not matter to you depending on where you live, but if you live in area prone to power outages, like Tornado Alley, then you may find having hot water during times like these a requirement for your home.
Gas water heater disadvantages
Installation isn't easy
Installing a gas water heater can be a very costly and harrowing experience if you are not a seasoned professional, especially if you do not have a gas line already installed in your home or did not already have a gas water heater installed previously. Also, gas water heaters need to be vented out through the roof which is an additional cost for the initial installation. The skill required, and the costs associated with installing a gas water heater can make it an unattractive choice for most people. Therefore, when comparing it to an electric water heater, it is easy to decide on the cheaper and easier option.
Less efficient
Gas water heaters need to be vented in order to remove the byproducts caused by the burning of the natural gas during the heating process. Unfortunately, some of the heat is wasted along with the exhaust as it flows through the vent and out through the roof.
Electric water heater advantages
Cheaper upfront costs
Installing an electric water heater is not nearly as difficult or elaborate as installing a gas one. Due to this, and the fact electric water heaters cost less, the upfront costs are much less than a gas water heater. However, the costs depend on the type of electric water heater you choose. For example, if you decide to buy a tankless electric water heater, the wiring required can be larger, and in some cases a bigger main breaker panel may be needed. These factors can substantially increase the costs involved for installation compared to a traditional electric water heater.
Less energy loss
Electric water heaters are more efficient than gas water heaters because there is less energy waste. Electric water heaters use almost all the required power used to heat hot water. Tankless electric water heaters are even more efficient than traditional tank type water heaters because you only heat the water you use as you need it, and you're not heating a reservoir tank to be on stand-by status.
Tankless electric water heaters are usually more compact than gas tankless water heaters and since they don't require an exhaust flue, can be placed close to the point of use. This reduces heat loss that can occur due to long pipe runs. There can be significant heat loss if your water heater is fifty feet or more away from your shower, as the water line has most likely cooled down since your last use. And then there's the water wasted while you are waiting for the hot water to arrive. So you're potentially wasting energy and water.
Electric water heater disadvantages
Slower heating time
If you have a traditional tank type electric water heater, it’s going to take almost double the time to heat your water compared to a gas water heater of the same capacity. So, since electric water heaters have a longer recovery rate, the amount of water that can be heated in a hurry is limited. If you have a lot of people living in your home, a gas water heater might be a better choice so that everyone can have hot water.
Higher heating cost
Natural gas is billed in therms and electricity is billed in kilowatt hours (kWh) which makes it difficult to compare costs. Utility companies add extra charges for delivery, invironmental improvement as well as many other charges which makes it even more difficult to evaluate cost differences accurately. Depending on where you live in the United States of America you will find that natural gas prices are consistently lower than electric prices. In some areas as much as two to three times lower. Natural gas does not have tiered pricing for peak energy time periods like there is with electricity. Some states burn coal to produce electricity so it's not always environmentally greener and cleaner as you might be lead to believe.
Final thoughts
Water heaters play an important role in the routine you go through on a day by day basis. There are many things to consider before purchasing and installing a gas or electric water heater, especially since heating water is an expensive proposition. How big of a tank will you need for everyone in your home? Does electric or gas make more sense? If you consider everything discussed in this article, and do research ahead of time, you will be well prepared to make a decision that is viable, efficient and saves you money in the long run.
