The importance of a reliable hot water system cannot be overstated. You need a dependable system that will always supply enough hot water whenever you need it.

Not all systems are the same, and there are various factors that affect the cost of each hot water system. If you're looking to install a new hot water supply, here are important cost factors to keep in mind.

The type of water storage system

Hot water systems come in two main types; tank or tankless systems. Tank systems heat water and hold it in a reservoir until the water is used. Tank systems often cost less than tankless systems, sometimes being only half the cost of a tankless system. Tank systems are also easier to install.

Tankless systems use a series of coils to heat water when the hot water faucet is opened. Therefore, they produce hot water only on demand and instantaneously. Tankless systems also have their own benefits. They're more energy efficient over time, and they provide an endless supply of hot water. Tankless systems also last longer than tank systems, despite costing more upfront.

How the system is powered

Hot water systems are powered by gas, electric, solar, or heat pumps. Of these 4 methods, gas and electric are the most common options. Gas-powered hot water uses natural gas and thus costs less than electric systems. However, they're less energy efficient and may rack up your utility bill over time. Gas-powered systems work even during a power outage and may offer more flexibility in such conditions.

Electric-powered systems are more energy efficient solutions for hot water supply. They also heat water faster and often require less maintenance over the years. However, they cost the most among the 4 options available.

Delivery and installation

You should also budget for the delivery and installation of your hot water system. Delivery charges will depend on the size of the unit and how far you live from your supplier.

You will find that a hot water system with a large tank will cost more to deliver and install. Similarly, electric systems and tankless systems have a more lengthy installation process than tank and gas-powered systems.

You should also consider how much work would need to be done when connecting to your plumbing system. If you will need to upgrade your pipes (to meet your hot water needs) or repair your drainage, installation expenses will be higher.

For more information about hot water units, contact a local installation company.