Most people spend a lot of money on heating water—more than they may think. Water heating makes up about 17% of the average household’s utilities, which is a lot when you consider how much you actually use the hot water in a given day. If you’re like most people, it’s not very much, and certainly not 17% of the day!
A water heater is a necessary appliance, and most water heaters have to run all day every day in order to ensure you are always in supply of hot water. A tankless hot water heater, though, is not like this. So can you really expect to save money when you trade up to a smaller tankless unit?