Choosing between a tank and tankless water heater is a big decision for homeowners in Toronto. Both options provide hot water, but they differ in terms of energy efficiency, upfront cost, space requirements, and long-term savings.
How Do Tank and Tankless Water Heaters Work?
- Store a set amount of hot water (typically 40 to 80 gallons) in a tank.
- Continuously heats the water, even when not in use (standby heat loss).
- Works with gas or electricity.
- Heats water on demand, meaning it only heats water when you turn on a faucet.
- No storage tank, so there is no standby energy loss.
- Available in gas and electric models, but gas is more common for whole-home use.
Pros and Cons of Tank Water Heaters
Pros of Tank Water Heaters:
Lower Initial Cost
- Tank water heaters are cheaper to buy and install (typically $1,000 to $2,500 including installation).
Simple Installation & Maintenance
- They are easy to install and have fewer complex components than tankless models.
- Maintenance is straightforward—mainly flushing the tank once a year to remove sediment.
Ideal for Homes with High Water Demand
- Since they store hot water, they work well for households with multiple people showering or using appliances at the same time.
Cons of Tank Water Heaters:
Higher Energy Bills
- Since they continuously heat water, they consume more energy, even when you’re not using hot water.
Bulky and Space-Consuming
- A large tank requires significant space, which can be a problem in condos or small homes.
Limited Hot Water Supply
- Once the stored hot water runs out, you must wait for the tank to refill and reheat, which can take 30 minutes to an hour.
Pros and Cons of Tankless Water Heaters
Pros of Tankless Water Heaters:
Energy Efficient = Lower Utility Bills
- Since they only heat water when needed, they use 30% to 50% less energy than tank models.
- Ideal for reducing energy costs in Toronto homes, where heating expenses can be high.
Unlimited Hot Water Supply
- Since water is heated on demand, you’ll never run out of hot water.
Space-Saving Design
- Tankless systems are compact and wall-mounted, freeing up storage space in your home.
Longer Lifespan
- Tankless water heaters last 20+ years, compared to 10-15 years for tank models.
Cons of Tankless Water Heaters:
Higher Initial Cost
- They cost more upfront, ranging from $3,000 to $5,500 including installation.
May Require Upgraded Gas Lines or Electrical Work
- Gas-powered tankless models may need larger gas lines, adding to installation costs.
- Electric models might require upgraded electrical capacity in older homes.
Flow Rate Limitations
- If multiple people use hot water at the same time (shower + dishwasher + laundry), a single unit may struggle to keep up.
Best Choice Based on Home Type in Toronto
For larger families using hot water at the same time: Tank water heater
For condos, small homes, or those looking to save space: Tankless water heater
For long-term savings and lower energy bills: Tankless water heater
For instant hot water with no waiting: Tankless water heater
For homeowners on a budget who need a simple replacement: Tank water heater
Before making a decision, consult a professional HVAC contractor in Toronto to assess your home’s hot water needs and installation requirements.