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Tankless water heaters are becoming increasingly popular in Atlanta homes thanks to their energy efficiency, endless hot water, and long-term savings. But one of the first questions homeowners ask is: “How much does it cost to install a tankless water heater in 2025?” The answer depends on several factors, from the type of unit you choose to the complexity of the installation. At Fix & Flow Plumbing Co., we help homeowners weigh the costs and benefits so they can make an informed decision that works for their budget.
Average Tankless Water Heater Installation Costs in 2025
On average, tankless water heater installation in Atlanta ranges from $2,500 to $6,000+. While this is more expensive upfront than a traditional water heater, the investment pays off over time in lower utility bills and fewer replacements.
The exact cost depends on the size of the unit, whether it’s gas or electric, and how much modification is required to your existing plumbing and electrical systems. For a more accurate quote, it’s always best to schedule a professional water heater consultation.
Factors That Influence Tankless Water Heater Costs
Several key factors impact installation costs:
- Type of Unit: Gas models tend to cost more than electric but may offer better efficiency for larger households.
- Capacity: Larger families may need a higher-capacity system, which increases the price.
- Plumbing or Gas Line Modifications: Many older homes need updates to handle tankless technology.
- Ventilation Requirements: Gas tankless units often require new venting, which adds to labor costs.
- Labor and Permit Costs: Professional installation, inspections, and required permits all factor in.
Tankless vs. Traditional Water Heater Costs
Traditional water heaters usually cost less upfront, averaging $1,200–$2,000 installed. However, they typically last 8–12 years, while tankless models can last 20 years or more. Over time, the energy savings and extended lifespan of a tankless water heater often make it the better investment. For a full comparison, see our guide on Tankless vs. Traditional Water Heaters.
Long-Term Savings and Benefits
Although the upfront price of tankless water heaters is higher, homeowners benefit from:
- Lower energy bills thanks to on-demand heating.
- More space since units are compact and wall-mounted.
- Endless hot water, perfect for large households.
- Longer lifespan, reducing the frequency of costly replacements.
According to the U.S. Department of Energy, tankless water heaters can be 24–34% more energy efficient for homes that use less than 41 gallons of hot water daily.
Permits and Professional Installation in Georgia
In Georgia, installing a tankless water heater requires a plumbing permit and professional installation to ensure safety and code compliance. Skipping this step can lead to costly fines or voided warranties. Learn more about tankless water heater permits in Georgia.
FAQs About Tankless Water Heater Costs
Is a tankless water heater worth the higher upfront cost?
Yes. While installation is more expensive, the long-term savings on energy and replacement costs often outweigh the initial investment.
How long does it take to install a tankless water heater?
Most installations take one day, but additional time may be required for plumbing or electrical upgrades.
Can I install a tankless water heater myself?
No. Because of the gas, electrical, and permit requirements, professional installation is strongly recommended.
Do tankless water heaters require maintenance?
Yes. Regular flushing and inspections help prevent scale buildup and extend the lifespan of the unit.
Get a Tankless Water Heater Estimate in Atlanta
Every home is different, which is why estimates vary. If you’re considering making the switch to a tankless water heater, call Fix & Flow Plumbing Co. at 404-800-3569. We’ll inspect your current system, provide transparent pricing, and help you decide if tankless is right for your home.
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