Tankless Water Heater Installation Labor Cost [ Answered – 2018 ]

How much to install a tankless water heater

Water heater is an essential part of the commercial buildings and residential plumbing system. Since cost efficiency will normally be the prime concern of everyone, it is not surprising that tankless water heaters will always be the winning choice. Since these types of heaters are energy efficient, endless hot water is expected and unexpected flow of cold shower will not be experienced anymore.

But these units aren’t cheap. The total cost can surmount to as high as $3,000 inclusive of the installation. All costs depend on the retrofitting of your home (if necessary) and the price of the chosen model. Other costs may include structural modifications to put up your new heater, detachment and discarding of your heating system, added insulation, and any electrical updates needed.

Since installation of water heater is a very sensitive project, you should consider hiring professionals instead of having DIY projects. This article will focus mainly on the labor costs corresponding to tankless water heater installation, maintenance and repairs or replacement.

Let us begin with the installation. The installation will differ with the unit type which can be: 1. Tankless Gas Water Heater and 2. Tankless Electric Water Heater. Below is an estimation of the costs for gas powered and electric types:

Labor costs to install tankless gas water heater

Tankless gas water heater installation is a lot pricey than electric ones since there is a need to vent. These are some of the estimated costs when installing the gas water heater:

Particulars Length of time to finish Approximate Costs
Basic Labor costs  (under satisfactory site conditions)

·         Planning, area surveying, setup, preparation, demolition, modifications, restoration and cleanup (if necessary)

·         Materials and equipment acquisition

·         Connection of vent to an available vent ducting

·         Connection of water and gas in an existing supply lines

 

6.4 hours

 

 

$535.00 to $649.00

Job Supplies

Expenses of related supplies and materials usually required in the installation of the water heater such as:

·         Mounting hardware

·         Connectors

·         Fittings

 

1 EA

 

$41.00 to $47.00

 

 

Equipment Allowance

Costs related to extra consumables and daily rentals of specialty equipment needed for job efficiency and quality such as:

·         Tubing Cutter

·         Pipe threading and cutting

·         Pipe wrenches

·         Brazing Kit

 

1 job

 

$24.00 to $49.00

Water Heater Removal

·         Turning off connections and detachment

·         Draining of unit

·         Removal from premises and disposal in a legal and safe manner

 

1.3 hours

 

$22.00 to $127.00

Disposal of Debris

Loading and hauling away of installation wastes, old materials and associated debris and disposal in a legal and safe manner

 

1EA

 

$53.00 to $60.00

TOTAL COSTS   $657.00 to $932.00

 

Labor costs to install tankless electric water heater

Although cheaper, installing tankless electric water heater still spells large budget. The typical costs are presented below:

Particulars Length of time to finish Approximate Costs
Basic Labor costs  (under satisfactory site conditions)

·         Securing and mounting of new water heater

·         Connection of water in an existing supply lines

·         Testing of cycle and leaks

·         Planning, area surveying, setup, preparation, demolition, modifications, restoration and cleanup (if necessary)

 

5.4 hours

 

 

$447.00 to $542.00

Job Supplies

Expenses of related supplies and materials usually required in the installation of the water heater such as:

·         Mounting hardware

·         Connectors

·         Fittings

 

1 EA

 

$27.00 to $31.00

 

 

Equipment Allowance

Costs related to extra consumables and daily rentals of specialty equipment needed for job efficiency and quality such as:

·         Tubing Cutter

·         Pipe threading and cutting

·         Pipe wrenches

·         Brazing Kit

 

1 job

 

$24.00 to $49.00

Water Heater Removal (Optional)

·         Turning off connections and detachment

·         Removal from premises and disposal in a legal and safe manner

 

1.3 hours

 

$22.00 to $127.00

Disposal of Debris

Loading and hauling away of installation wastes, old materials and associated debris and disposal in a legal and safe manner

 

1EA

 

$53.00 to $60.00

TOTAL COSTS   $562 to $859.00

Clearly, the costs will not only cover the cost of purchasing the water heater and initial installation. If you want your heater to last longer, it will need to be maintained; thus maintenance costs will be considered as presented below.

Labor cost to maintain tankless water heater

Frequency of maintaining your water heater depends of the location and the water scale visibility thus has no set schedule. Normally, the labor costs associated to maintaining tankless water heater may it be gas powered or electric type are the following:

Particulars Length of time to finish Approximate Costs
Basic Labor Cost (under satisfactory site conditions)

·         Includes moving, protecting or replacing materials and surfaces near or in the water heater cleaning area

·         Also includes loading and hauling away of materials, supplies and equipment consumables used in cleaning the water heater and the disposal in a legal and safe manner

 

2.1 hours

 

$190.00 to $228.00

Equipment Allowance

Costs typically required equipment rental or purchase to complete the clean up of water heater

 

1 job

 

$25.00 to $55.00

 

TOTAL COSTS   $215 to $283.00

Apart from all the above costs, you must also have available cash for repairs and replacement of your water heater. The usual costs associated to replace water heaters are:

Labor cost to repair tankless water heater

Particulars Length of time to finish Approximate Costs
Basic Labor Cost (under satisfactory site conditions)

·         Includes inspection of the temperature control system

·         Also includes repair or replacement of the valve or thermostat

·         Includes area protection and preparation, planning, material and equipment acquisition

 

2.0 hours

 

$171.00 to $208.00

TOTAL COST   $171 to $208.00

If all repairs have been done yet your water heater will not function well, it may be a signal to replace your old unit. The costs may include the following:

Labor cost to replace tankless water heater

Particulars Length of time to finish Approximate Costs
Basic Labor Cost (under satisfactory site conditions)

·         Includes replacing, disconnecting and removal of existing heater

·         Placing, aligning and securing of the new unit

·         Connecting of the unit

·         Connecting the outlet and inlet water to existing plumbing (5 ft. runs)

·         Verification of proper operation and power unit

·         Planning, materials and equipment acquisition, setup, protection, preparation and cleanup

 

4.8 hours

 

$401.00 to $486.00

Job Supplies

Expenses of related supplies and materials usually required in the installation of the water heater such as:

·         Mounting hardware

·         Connectors

·         Fittings

 

1EA

 

$90.00 to $102.00

Disposal of Debris

Loading and hauling away of installation wastes, old materials and associated debris and disposal in a legal and safe manner

 

1EA

 

$14.00 to $16.00

TOTAL COSTS   $505 to $604.00

 

If you are choosing a professional, you must choose whether to pay him a flat fee or hourly fee. The typical hourly rate of a plumber for example falls from 45 to 150 dollars. A carpenter who will do the finishing and drywall charges $60 to $70.00. The expenses above typically include transportation costs to and from the work area.

States with lower labor costs

The costs discussed above are the average labor costs based on the national average. Interestingly, there are states where labor costs are higher and lower than the national average cost. Your location is still a big consideration when acquiring for your labor cost quotation. Some of these states with lower labor costs are the following:

State Cost
Lewisburg Kentucky -43%
Lawton Oklahoma -38%
El Paso, Texas -28%
Ogden, Utah -20%
Bloomfield, New Mexico -19%
Davenport, Florida -15%
Oklahoma City, Oklahoma -12%
Columbia, South Carolina -10%

And here are some of the states with higher add on costs

State Cost
Chicago, Illinois +40%
Philadelphia, Pennsylvania +40%
Oakland, California +36%
Fremont, California +35%
Bronx, New York +32%
Levittown, New York +31%
Bensalem, Pennsylvania +29%
Laurel, Maryland +26%

Conclusion

It’s true that shifting to tankless water heater maybe a costly venture (gas powered heaters require 1470 to 2500 dollars while electric costs about 800 to 1000 dollars) but in the long run, these costs are easy to cover. The above costs presented that tankless electric water heater is cheaper to install, maintain and replace than the gas powered ones. Yet, the units need minimal maintenance and has low operating expenses. Even the American Council for an Energy and Efficient Economy and the US Department of Energy supports and confirms these information regarding tankless water heaters.

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