On-demand heating
Hot water when you need it, without standby tank losses.
Tankless Water Heaters
Tankless water heaters heat water on demand rather than keeping a tank hot around the clock.
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Request a Free EstimateHow tankless water heating works
A tankless water heater heats water only as it flows, instead of keeping a storage tank hot around the clock. That means a continuous supply of hot water and a compact wall-mounted unit — but it also means sizing, gas or electrical capacity and venting need careful planning.
Tankless units are often installed during a bathroom remodel or kitchen remodel, when plumbing is accessible. In a whole-home remodel, the water heater location can be rethought to shorten pipe runs to the busiest fixtures.
Why homeowners consider going tankless
Space saving
Compact wall-mounted units free up garage or closet space.
Gas or electric
Options depend on your home's existing utilities and capacity.
Gas vs. electric tankless systems
Both types heat water as it flows, but their installation needs are very different.
- Gas tankless
- High heating output suits whole-home use. Usually requires a larger gas line and dedicated venting through a wall or roof.
- Electric tankless
- No venting, compact and quiet, but whole-home models draw a lot of power and may need a panel or service upgrade.
- Point-of-use units
- Small electric units placed near a single sink or bathroom can supplement a main water heater.
- Condensing gas models
- Recover additional heat from exhaust gases and typically vent with plastic pipe; they produce condensate that must be drained.
Sizing for your household's demand
Tankless units are sized by flow rate (gallons per minute) and how much the water must be heated, not by tank capacity.
- Simultaneous use
- List what might run at once — for example two showers and a dishwasher — and add their flow rates.
- Temperature rise
- The difference between incoming water temperature and the set temperature. Colder incoming water means less flow at a given output.
- Undersizing
- A unit that's too small delivers lukewarm water when several fixtures run together.
- Large homes
- Some homes use two units together or a unit sized for peak demand.
On-demand — but not instant
A tankless heater makes hot water whenever you need it, without running out. It does not make hot water appear instantly at every faucet.
- Pipe travel time
- Water already sitting in the pipes still has to flow out before heated water arrives — the same as with a tank.
- Recirculation options
- A recirculation pump or on-demand loop can shorten the wait at distant fixtures; some units include this feature.
- Minimum flow
- Very low flows may not activate the burner or element, which is worth knowing for some fixtures.
Installation, venting and maintenance
Most of the planning for a tankless upgrade involves the utilities and venting around the unit.
- Gas line or electrical capacity
- Existing gas lines are often too small for a gas tankless unit, and electric models may need new circuits or panel work.
- Venting and clearances
- Gas units must be vented per manufacturer and code requirements, with clearances from windows, doors and property lines.
- Water quality
- Hard water, common in parts of Southern California, can build scale inside the heat exchanger. Some homes add treatment or a scale filter.
- Regular flushing
- Manufacturers typically recommend periodic descaling. Isolation valves make this easier.
How the project typically unfolds
AAA All America Affordable Construction and Remodeling Inc. manages the agreed construction process, including applicable permit coordination, inspections, project management, subcontractor coordination, quality oversight, warranties and project completion. BH Signature personally reviews homeowner inquiries and introduces relevant project details to the identified licensed contracting partner, which handles construction planning and delivery.
- Step 1
Demand and site review
Assess household hot-water use, existing gas line or electrical service, and possible mounting and venting locations.
- Step 2
Unit selection and sizing
Choose gas or electric, size by flow rate and temperature rise, and plan any recirculation.
- Step 3
Permits
Pull the required plumbing, gas or electrical permits for your city.
- Step 4
Installation and inspection
Remove the old heater, install the unit with valves and venting, test operation and complete inspection.
Responsibilities depend on the agreed project scope and contract. Permit approval rests with the relevant authorities; warranty coverage and terms are confirmed for your project. Completion timing depends on the work, site conditions and required approvals, not a promised date.
About savings: Energy savings depend on the specific products selected and your property's conditions, and are not guaranteed. Rebate or utility programs change often — verify current eligibility directly with the program.
Tank vs. tankless at a glance
| Storage tank heater | Tankless heater | |
|---|---|---|
| Hot water supply | Limited by tank size | Continuous, limited by flow rate |
| Standby heat loss | Keeps a tank hot around the clock | Heats only when water flows |
| Space | Large floor footprint | Compact, wall-mounted |
| Installation complexity | Usually simpler replacement | Often needs gas, electrical or vent changes |
| Maintenance | Occasional tank flushing | Periodic descaling recommended |
Frequently asked questions
Will I get hot water instantly with a tankless heater?
No. The water still travels through pipes, so wait time is similar to a tank unless a recirculation option is added.
Can I replace my tank heater with a tankless one in the same spot?
Sometimes, but gas line size, venting routes and electrical capacity often change the ideal location. The site review confirms this.
Is gas or electric better?
It depends on your home's existing utilities, hot-water demand and preferences. Gas units deliver higher flow; electric units avoid venting but may need electrical upgrades.
When is the best time to switch?
Many homeowners switch during a bathroom remodel or kitchen remodel, when plumbing is already accessible.
Start Your Project With a Personal Connection.
Considering this home improvement? Tell BH Signature what you have in mind. The licensed contractor can then discuss your property, project scope, consultation, and estimate directly with you.
Request Your Free EstimateFree estimates are provided by the licensed contractor, AAA All America Affordable Construction and Remodeling Inc..