Don’t older houses need expensive upgrades in order for electric water heaters to be properly used?
Yes, that can be the case with older homes, especially if the panel is small or the wiring is older. A standard electric tank usually needs a dedicated 240-volt circuit, so it is worth checking the panel capacity and getting a quote before deciding. Gas can avoid that electrical work, but it needs proper venting and a gas supply, so the cheaper option really depends on what the house already has.
To understand why I’d like to know Clark Howard’s preference, SaylorBennett, check out this article:
I agree that just replacing what your house already has is the best option. I live in N.E. NC near the coast and there’s no natural gas here. If someone wants gas they use propane. But nowadays that’s more expensive then an all electric house like I have.
I did look into an instant hot water heater but it uses A LOT of power and you have to be wired big time (60 amp breaker? Or more?) To run those wires from my circuit breaker box to my water heater location would cost me, so no go. I’m also looking at a heat pump water heater on my next replacement. I have a friend in FL that has one, he swears by it.
My thinking is, if you already have gas, I’d stick with gas and compare a regular tank to tankless.
If you already have electric, I’d probably stay electric but look at a heat-pump/hybrid instead of just replacing it with another standard electric tank.
I wouldn’t go through the expense of changing from gas to electric or vice versa unless there was a really good reason to do it.
I’d be much more cautious in an older home because a whole-house unit can put a very large demand on the electrical system.
Here in Hawaii, our electric rates are horrible. If you are on Time Of Day, the cheapest rate is 9am to 5pm. Then 3 times that 5pm to 9pm and then slightly less is 9pm to 9am. So a regular electric water heater (that constantly keeps doing cycles) would cost a ‘boatload’ (a technical term
. So here, a propane on-demand is a better solution. Also, as long as you have a way (like a UPS) to power the igniter and valve, would keep you in hot water during a power outage of long duration. AI: An average electric storage water heater on costs roughly $5.00 to $6.50 per day to operate, depending on your hot water usage and time-of-day rate period. Compare that to $1.00 to $1.63 per day for Cobb County Georgia.