Tankless Water Heaters: A Buyers Guide

Apr 1, 2021

Unlike conventional heaters, tankless water heaters heat water on demand. They are largely popular as they take up less space and last longer than tank-style heaters. With a tankless heater, there is no need to keep heating the water (like what a traditional water heater does) which can lead to higher energy bills. Is a tankless water heater the best solution for your business? In this article, we'll discuss what you need to know about water heaters: how the appliance works, its benefits and why you need it in your commercial properties.

How Tankless Water Heater Works




In a tank-style heater, a large tank (with a capacity of about 20-80 or more gallons of water) holds and heats the water. It constantly needs to heat the water in order to maintain the desired temperature. When turned off, it will take an average of 30 minutes to heat the water. The larger the capacity, the longer it takes to heat the water.

A tank-style water heater is powered by electricity, propane, natural gas, or oil. The energy used to keep the water at a preferred temperature is called standby heat loss. The tankless water heater, on the other hand, completely avoids standby loss as it only heats water as needed. This is what makes a tankless heater more efficient than a traditional water heater.

How it works:

A tankless water heater uses a device called a heat exchanger that transfers heat from one source to another. This is the same device used by your car radiator or air conditioner. The heat, generated by either gas or electricity, is transferred to the water that comes out from either your shower or faucet. When you turn on the faucet, the heat exchanger is activated. The incoming flow of water circulates through the heat exchanger and heats the cold water to your desired temperature. 

How much does it cost?

Tankless water heaters may cost three times more than traditional heaters. The price range from a little over $150 to more than $2000 for a high-output heater. Your local Intellihot representative can discuss with you the costs to purchase and install commercial water heaters for your apartments, hotels, and other commercial properties. 

The installation will require a professional to ensure the appliance works efficiently and to also avoid repairs down the road. For maintenance — while you can do it on your own, it's still best to get annual service from a licensed plumber. 

Types of Tankless Water Heaters

Tankless water heaters can either be electric or gas-powered. There are two ways to set up your tankless water heater in your commercial properties: point of use heaters or a centralized heater. 

Point of use heaters are located near appliances and plumbing fixtures. Centralized water heaters deliver hot water to your entire apartment complex or hotel. They also require less plumbing compared to point-of-use heaters. While the latter can be smaller than centralized heaters, you'll need to install several of these in areas where hot water is needed. It will take more time and money. 

If you can't decide which one to get for your property, speak with one of our sales representatives to help you make an informed decision on which one to purchase and install for your commercial property.

Benefits of Tankless Water Heaters

As a business owner, it's imperative to minimize costs for maximum profit. One of the most effective solutions to saving money is to go tankless. Below are some of the benefits you get when you decide to switch from a traditional water heater to a commercial tankless heater. 

Conserves Space

Tanks can take up a lot of space in your apartments or restaurants. By switching to tankless heaters, you eliminate the need to buy these enormous heaters. Imagine when you have several apartment buildings — you could use the extra space for something that can contribute to generating revenue for your business. 

Saves Energy

Intellihot's tankless water heater lets you save energy by about 40%. This means that you get to minimize utility costs for all your commercial properties. Add that up and you get significant savings annually. 

Endless Supply of Hot Water

With a traditional heater, hot water is limited to the capacity of the tank. When you run out of water, the tenants will need to wait for an average of 30 minutes to get hot water again. When you switch to tankless water heaters, your customers and tenants will not run out of hot water ever again.

No Costly Repairs

Traditional tanks can last up to 10 years when properly maintained. However, it will not be as efficient after several years of use. And when they fail, it could mean more costly repairs on your end and inconvenience for your tenants and customers. This could negatively affect your business. When you switch to tankless water heaters, your tenants and customers will never have problems with their hot water.

Lasts Longer

Expect a tankless water heater to last up to 20 years when maintained properly. While the initial cost may be a little higher, you still get to save money in the long run because of the energy savings and you won't have to get another water heater after a few years. 

Minimize Water Damage Caused by Leaks

Leaks can damage the structure of your commercial properties but you never have to worry about this with a tankless water heater. You will have peace of mind knowing that water damage is highly unlikely. 

Get in Touch With Intellihot Today

Do you need more information about our commercial tankless heaters or ready to install one for your apartments, hotels, or restaurants? Do not hesitate to contact us. We are more than happy to assist!

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