Let's face it, nobody wants to replace a major appliance in their home. The installation itself tends to be expensive, not to mention the inconvenience that comes with a loss of service. Knowing your total cost for a water heater replacement in advance will inevitably save time and take the guesswork out of deciding if a price is fair.
There are several factors to consider when it comes to water heater replacement cost. The water heater itself, depending on the type chosen, can range from $300 to $3,000.
Before determining how much your water heater replacement will be, you have to figure out what kind of equipment you're going to purchase. There are gas or electric options; each of which can either be a standard "tank" or the increasingly common "tankless" type.
In most areas, a tank water heater is cheaper and the more common preference made by homeowners due to familiarity and simpler installation requirements. The cost of the parts and equipment you need, along with installation from a qualified plumber generally ranges from $750 to $2000, although the most common unit types cost around. $1300. Tankless water heaters are a bit more costly and typically range between $2,000 to $5,000 due to gas pipe resizing and increased material costs.
Tank water heater replacement cost is usually lower because it's a simpler install and has less of a material cost. Tankless water heaters, on the other hand, are more of an investment. You will pay more upfront, but they are more energy-efficient, which saves money over time.
It's important to note that in NJ, electric water heater now requires an electrical permit which is oftentimes a hidden installation cost outside of your plumber's control. Speak to your plumber about what these costs may be (they vary per township) and if they have anyone they recommend to oversee the required electrical hookup.
The size of your unit is another important factor that determines your water heater replacement cost. Larger water heaters (75 gallons) cost more than smaller ones. For any household with more than two people, you need at least a 40-gallon tank, although 50 gallon units only cost about $50 more and are typically worth the extra money.
Before purchasing a new water heater, talk with a reputable plumber. If your unit is less than 10 years old, a simple repair may be the most cost-effective option and can almost always be completed same-day.
*It's important to note that in NJ, electric water heaters now require an electrical permit. This tends to be a hidden installation cost that's outside of your plumber's control. Speak to your plumber about what these costs may be (they vary per township) and if they have anyone they recommend to oversee the required electrical hookup.