6 Factors that Influence the Cost of Water Heater Installation
Hot water is more of a necessity than a luxury in our homes, especially during the winter season. Whether you are purchasing a new water heater or replacing your old one, you need to understand the overall cost of installing it.
The cost of installing a water heater depends on various factors we want to discuss comprehensively in this blog. Of course, it’s crucial to understand these factors to budget effectively and make a more informed decision. Without wasting more time, let’s delve into these factors that influence the cost of water heater installation in Saratoga Springs.
1. Type of water heater
One of the most significant factors that can influence the total cost of installing a water heater is the type. Various types of water heaters are available today, each with different prices and installation requirements.
Storage tank water heaters: they are commonly used and affordable to install. They hold hot water reservoirs in various sizes, and installation costs range from $500 to $1,500.
Tankless water heaters: These water heaters heat water on demand and are more energy-efficient. However, due to advanced technology and complex installation processes, they are expensive to install, ranging from $1,000 to $3,000.
Heat Pump (Hybrid) Water Heaters: they use electricity to heat water, offering energy savings but higher installation costs, ranging from $1,500 to $3,500 depending on complexity and infrastructure.
Solar water heaters: offer energy savings but require complex installation involving solar panels and water storage tanks, which can cost from $2,000 to $5,000.
2. Energy source
The cost of installing a water heater depends on the energy source, which can be electricity, natural gas, propane, or solar. Electric models are easier and less expensive, with installation costs ranging from $500 to $1,500. Gas heaters are more energy-efficient but require more installation, with costs ranging from $1,000 to $2,500.
Propane and solar water heaters are expensive, especially if new propane tanks or lines are needed. Solar water heaters are the most expensive to install because they require solar panels and storage tanks, but they are eligible for rebates or tax incentives.
3. Size and capacity of the water heater
The size of a water heater significantly influences its upfront cost and installation. Larger households require larger units, which are generally more expensive due to their size and energy demands.
4. Labor and installation complexity
Labor costs in water heater installation vary based on the job’s complexity. Basic replacements typically cost $200-$1,000, while upgrading to more complex systems may require additional work. Additionally, hard-to-reach areas may increase labor costs due to accessibility issues.
5. Permits and local building codes
Municipalities typically charge permits for water heater installations, ranging from $50 to $500, depending on local building codes and regulations. They may also require modifications or additional work.
6. Geographic location
The installation cost may differ depending on your area since labor costs, living expenses, and material availability differ from place to place. For instance, installing a water heater may cost more in urban areas or places with higher living costs than in rural areas.
