Tank Water Heaters (Traditional)
These are the most common water heaters in homes. They store and heat a large volume of water (usually 40–60 gallons) in a tank that keeps hot water ready until it's needed.
How it works: The tank fills with water and maintains it at a set temperature, ready to send hot water to your taps when called.
Pros:
- Lower upfront cost
- Simple and familiar technology
- Easier installation
- Works well for homes with low to moderate hot water demand
Cons:
- Limited supply—when the tank runs out, you wait for it to reheat
- Less energy efficient (keeps water hot even when you're not using it)
- Larger physical footprint
Tankless Water Heaters (On-Demand)
Tankless systems heat water only when you need it, using powerful burners or electric coils. There’s no storage tank—water flows through the unit and gets heated instantly.
How it works: When you turn on a hot water tap, the heater kicks on and instantly warms the water as it passes through.
Pros:
- Endless hot water supply
- Compact size (mounts on a wall)
- Higher energy efficiency = lower utility bills
- Longer lifespan (typically 15–20 years)
Cons:
- Higher upfront cost
- May need upgraded gas or electric service
- Can struggle if multiple showers/appliances run at once (unless sized properly)
