Key Takeaways
- Birmingham homeowners typically pay between $1,100 and $2,000 for complete tankless water heater installation, with costs varying based on unit type, installation complexity, and necessary modifications.
- Tankless water heaters provide 24% to 34% better energy efficiency than traditional tank models for average households, delivering significant utility bill savings.
- These on-demand systems offer endless hot water supply, last 15 to 20 years compared to tank heaters, and save valuable space with compact wall-mounted designs.
- Professional installation ensures safety, maintains warranty coverage, and guarantees compliance with local Birmingham building codes.
- Engle Services Heating & Air, Electrical, and Plumbing provides expert tankless water heater installation throughout Birmingham with licensed technicians and transparent pricing.
Understanding Tankless Water Heater Installation Costs in Birmingham
When upgrading to a tankless water heater in Birmingham, understanding the investment helps you make confident decisions. Installation costs typically range between $1,100 and $2,00 for complete installation, including materials and labor. However, high-end gas models requiring complex venting or line upgrades can push the total investment higher.
Electric tankless water heaters generally cost less to install, ranging from $1,100 to $1,500. These units don't require venting, making installation simpler. However, you may need substantial electrical upgrades—such as a dedicated circuit or a panel upgrade—to handle the increased amperage demand. This is often the preferred choice for smaller homes or condos in the Vestavia Hills or Hoover areas, where space is at a premium and gas venting might be difficult or impossible.
Gas tankless water heaters typically cost between $1,600 and $2,000+, with installation costs varying based on venting requirements and gas line modifications. While the setup is more complex, gas units provide significantly higher flow rates, making them the superior choice for larger households in Mountain Brook or Inverness that need to run multiple showers or appliances simultaneously.
Several factors influence your final price beyond the unit itself:
What Affects Your Installation Cost
- The fuel type significantly impacts both equipment and installation expenses. Electric units require adequate electrical capacity and may need panel upgrades, while gas systems require proper venting and potentially upgraded gas lines.
- Your home's existing infrastructure determines modification requirements. Older homes may need electrical system upgrades to support electric tankless heaters or gas line improvements for gas models. Venting requirements for gas systems can add complexity and cost.
- Hot water demand: Unit capacity and flow rate selection depend on your household's hot water demands. Larger families or homes with multiple bathrooms need higher-capacity units that cost more but ensure adequate hot water for simultaneous use across multiple fixtures.
- Installation location affects labor requirements and costs. Easily accessible locations reduce installation time and complexity. Installing units in tight spaces or areas requiring significant plumbing modifications increases labor costs.
Why Choose Engle Services:
- ✅ NATE-Certified HVAC technicians
- ✅ 25 Years in Business
- ✅ Rheem Pro Partner and Carrier authorized dealer
- ✅ Licensed, insured, and BBB accredited A+
- ✅ Flexible financing options available
- ✅ Serving Birmingham metro and surrounding communities
Note: Price estimates reflect current market costs and may vary based on your specific situation. For a personalized quote tailored to your home's needs, contact Engle Services Heating & Air, Electrical, and Plumbing directly for a free consultation.
Why Choose a Tankless Water Heater
More Efficient and Longer-Lasting
Tankless water heaters can be 24–34% more energy efficient for average households and last up to 20 years with proper maintenance.Tankless water heaters, also called on-demand water heaters, heat water only when needed, eliminating the energy waste associated with traditional tank systems that continuously maintain water temperature.
For homes using 41 gallons or less of hot water daily, tankless systems can be 24% to 34% more energy efficient than conventional storage tank water heaters, according to the Department of Energy. Even households with higher hot water demands, around 86 gallons daily, still see efficiency improvements of 8% to 14%. This translates directly to lower monthly utility bills and reduced environmental impact.
The endless hot water supply represents a major lifestyle upgrade. Unlike tank heaters that can run out during peak usage, tankless systems provide continuous hot water for back-to-back showers, simultaneous appliance use, and high-demand situations.
Space savings offer practical benefits, especially in Birmingham homes where square footage matters. Traditional tank water heaters occupy significant floor space, while tankless units mount directly on the wall, measuring roughly 28 inches tall, 20 inches wide, and 10 inches deep, freeing up valuable storage space. Longevity provides long-term value. Tankless water heaters typically last 15 to 20 years with proper maintenance, nearly double the lifespan of traditional units.
Top Tankless Water Heater Installation Companies in Birmingham
Birmingham offers several experienced companies specializing in tankless water heater installation.
- Engle Services Heating & Air, Electrical, and Plumbing stands out with over 20 years of comprehensive home comfort experience. As a Rheem Pro Partner and Carrier authorized dealer, we bring manufacturer-backed expertise to every installation. Our licensed technicians provide free consultations, transparent pricing, and complete support from initial assessment through long-term maintenance. We serve Birmingham and surrounding communities, including Mountain Brook, Vestavia Hills, Hoover, Helena, Inverness, Talladega, and Oxford.
- Aqua Systems of Alabama has built a strong reputation for expertise in tankless water heater installations throughout Birmingham. They provide detailed consultations to help homeowners select the right model based on household size and hot water usage patterns.
- Guin Service brings over a decade of experience to Birmingham's heating and cooling industry. They offer free estimates and professional installations with ongoing maintenance support. Their technicians stay current on the latest tankless technology and installation best practices.
- Mr. Drippy Plumbing specializes in tankless water heater repair and installation, earning praise for prompt service and knowledgeable technicians. They maintain a wide selection of units and provide comprehensive guidance throughout the selection and installation process.
Benefits of Professional Installation
Benefits of a Professional Installation
Professional installation ensures safety and optimal performance for tankless water heaters that involve complex plumbing, electrical, and gas systems.Professional installation delivers advantages that protect your investment and ensure optimal performance. Safety stands as the primary concern. Tankless water heaters involve complex plumbing, electrical work, and, for gas units, combustion systems that can be dangerous without proper expertise.
Efficiency Optimization
Efficiency optimization ensures your system operates at peak performance from day one. Professional installers properly size the unit, configure settings, and calibrate components to maximize energy savings and hot water delivery.
Warranty Protection & Code Compliance
Warranty protection requires professional installation for most manufacturers. DIY installations typically void manufacturer warranties, leaving you financially responsible for repairs or replacements. Code compliance ensures your installation meets Birmingham's building codes and safety regulations. Professional installers stay current on local requirements, handle necessary permits, and pass inspections.Choosing the Right Tankless Water Heater for Your Home
Selecting the appropriate tankless water heater requires careful consideration of your household's specific needs. Start by determining your hot water needs based on the number of bathrooms, occupants, and simultaneous usage patterns. Large families or homes with multiple bathrooms need higher-capacity units with greater flow rates measured in gallons per minute.
Fuel type selection depends on your home's existing utilities. Electric units offer simpler installation and work well for smaller households with moderate hot water demands. Gas units provide higher output and better serve larger households with significant hot water requirements.
Energy efficiency ratings help you maximize long-term savings. Look for ENERGY STAR certified models that meet strict efficiency standards. Higher efficiency ratings mean lower operating costs and reduced environmental impact.
Brand reputation and warranty coverage protect your investment. Premium brands like Rinnai, Rheem, and Carrier offer reliable performance backed by comprehensive warranties. Engle Services Heating & Air, Electrical, and Plumbing works with these trusted manufacturers, providing expert guidance to help you select the best unit for your specific needs and budget.
Why Engle Services Stands Out for Tankless Water Heater Installation
25 Years of Experience
Engle Services Heating & Air, Electrical, and Plumbing has served Birmingham for over 20 years as a Rheem Pro Partner and Carrier authorized dealer with 24-hour emergency service.With over 20 years of experience serving Birmingham and surrounding communities, Engle Services Heating & Air, Electrical, and Plumbing brings comprehensive expertise to every tankless water heater installation. Our family-owned and operated business has built its reputation on quality workmanship, honest service, and genuine care for customer satisfaction.
Our licensed technicians bring extensive training and hands-on experience with both Rheem and Carrier tankless systems. As a Rheem Pro Partner and Carrier authorized dealer, we maintain direct relationships with leading manufacturers, ensuring access to the latest technology, genuine replacement parts, and comprehensive technical support.
We provide 24-hour emergency service, ensuring round-the-clock availability. Our well-stocked service vehicles carry common components, allowing us to complete many installations in a single visit without delays. We also provide detailed estimates before starting any work, with clear explanations of what you need, why it matters, and exactly what it costs. No hidden fees, no surprise charges, just honest communication that respects your budget.
Whether you need a new Rheem tankless water heater installation, a Carrier system upgrade, or expert advice on the best solution for your home, we deliver comprehensive solutions backed by our commitment to your complete satisfaction. From initial consultation through years of reliable service, Engle Services Heating & Air, Electrical, and Plumbing stands beside you as your trusted home comfort partner.
Frequently Asked Questions (FAQs)
How long does tankless water heater installation take?
Installation typically requires 3 to 10 hours for new installations or 2 to 4 hours when replacing an existing tankless unit. The timeline depends on your home's existing infrastructure, whether modifications are needed to plumbing or electrical systems, and the complexity of the installation location.
Will a tankless water heater work during power outages?
No, tankless water heaters require electricity to operate, even if they're gas-fired. Gas tankless models use electronic ignition systems, internal control boards, and thermostats that all need electricity. During power outages, your tankless water heater won't function. If power reliability concerns you, consider discussing backup power options with us during your consultation.
How much money can I save with a tankless water heater?
Energy savings depend on your household's hot water usage patterns. Homes using 41 gallons or less daily typically see 24% to 34% energy efficiency improvements, potentially saving over $100 annually on utility bills. Even high-usage households around 86 gallons daily achieve 8% to 14% efficiency gains. While the initial investment is higher, the combination of energy savings and extended lifespan provides excellent long-term value.
Do I need to upgrade my home's electrical or gas systems?
Many Birmingham homes require some infrastructure upgrades for tankless water heater installation. Electric tankless heaters draw significant power and often need dedicated circuits or electrical panel upgrades. Gas tankless units may require larger diameter gas lines to supply adequate fuel. During your free consultation, we assess your home's existing systems and clearly explain any necessary upgrades and associated costs.
Why should I choose Engle Services for my tankless water heater installation?
Engle Services Heating & Air, Electrical, and Plumbing brings over 20 years of trusted experience to every installation. As a Rheem Pro Partner and Carrier authorized dealer, we offer manufacturer-backed expertise with access to premium products and comprehensive support. Our NATE-certified technicians provide transparent pricing, 24-hour emergency service, and flexible financing options.
Engle Services offers tankless water heater installation and repairs in Birmingham, Shelby County (Hoover, Chelsea), Sylacauga, Talladega, Alabaster, Pell City, Dadeville, Wetumpka, Montgomery
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Schedule an appointment online or give us a call at (855) GET-ENGLE