Are you considering upgrading to a tankless water heater in your Albuquerque, Santa Fe, or Rio Rancho home? B. Carlson Heating, Air Conditioning & Plumbing is here to help you understand the costs and benefits of this energy-efficient option. As your best friend in home services since 1971, B. Carlson provides expert installation and maintenance for tankless water heaters throughout the greater Albuquerque area.
What is a Tankless Water Heater and How Much Does It Cost?
Tankless water heaters, also known as on-demand water heaters, heat water instantly as it flows through the unit. This makes them more energy-efficient than traditional tank water heaters, which continuously heat and store water. In 2024, the average cost to install a tankless water heater in Albuquerque ranges from moderate to higher, depending on factors such as the type, size, and features of the unit. The tankless water heater itself typically falls within a moderate price range, with installation labor adding an additional cost to the total project.
Factors That Impact Tankless Water Heater Installation Costs in Albuquerque
Type of Tankless Water Heater
Gas tankless water heaters have a higher upfront cost for the unit alone, while electric tankless heaters are generally more affordable. Whole-house tankless systems, which serve your entire Corrales or Los Lunas home, are pricier than point-of-use or single-point units that only serve one appliance or fixture. Condensing tankless units with a secondary heat exchanger are more efficient but cost more to install than non-condensing models.
Size and Flow Rate
Tankless water heaters are sized based on the maximum temperature rise possible at a given flow rate in gallons per minute (GPM). Larger households in Bernalillo or Placitas with higher hot water demands will need a higher capacity, more expensive unit. Electric tankless heaters generally have lower flow rates, while gas-powered tankless units can reach higher flow rates for whole-house models.
Fuel Type
Natural gas tankless heaters have higher upfront costs but lower annual operating costs compared to electric models. Propane is a cheaper fuel source than electricity in most areas but requires a storage tank. Switching from an electric tank to a gas tankless system, or vice versa, will increase installation difficulty and costs. Solar-powered electric tankless heaters qualify for federal tax credits and local utility rebates in New Mexico.
Tankless Water Heater Installation Cost Breakdown
The cost of a tankless water heater unit varies based on factors such as size, fuel type, and efficiency. Whole-house electric tankless heaters and gas tankless heaters fall within a moderate to higher price range, while single-point or point-of-use electric tankless units are more affordable. Solar-powered electric tankless heaters have the highest upfront costs but may qualify for tax credits and rebates.
Labor costs for installing a tankless water heater in Albuquerque range from moderate to high, depending on the complexity of the job. Plumbers or HVAC technicians charge an hourly rate, with typical installations taking several hours. Converting from a tank to a tankless system requires additional work and may take longer.
Tankless vs Tank Water Heater Costs
While traditional tank water heaters have a lower upfront cost, tankless models offer long-term energy savings. Gas and electric tankless water heaters have lower annual operating costs compared to their tank counterparts. Additionally, tankless water heaters last longer with proper maintenance, providing a better return on investment over time.
How to Save on Tankless Water Heater Installation
To save on your tankless water heater installation in Albuquerque, consider getting multiple quotes from licensed plumbers like B. Carlson. Look for manufacturers offering rebates, discounts, or package deals on the unit and installation. Choose an Energy Star certified model to qualify for federal tax credits, and check with your New Mexico utility company for additional rebates or incentives.
Is a Tankless Water Heater Worth It in Albuquerque?
Tankless water heaters offer significant energy savings, endless hot water supply, and longer lifespans compared to tank models. Homes in Bosque Farms, Sandia Park, and throughout the Albuquerque area with high hot water usage will see the biggest return on investment. Properly sized gas or solar-powered tankless units make the most financial sense in most cases.
For expert tankless water heater installation and maintenance in Albuquerque, trust the team at B. Carlson. Our skilled technicians provide competitive pricing and quality service for all your plumbing needs. As a Preferred Service Agreement member, you’ll enjoy priority scheduling, discounts on repairs, and peace of mind knowing your tankless water heater is in good hands. Contact B. Carlson today at 505-349-4409 or customerservice@bcarlson.com to schedule your tankless water heater installation or to learn more about our services in Albuquerque, Santa Fe, and beyond.
