Tankless water heaters are quickly growing more popular with each passing year. Perhaps you have recently thought of purchasing one yourself but wanted to gain a bit more information. The purpose of this article is to help you determine if investing in an on demand water heater is the right move for you and your family.

Tankless heaters (which also are known as demand or instantaneous water heaters) provide water only when it is needed. Traditional heaters by contrast heat up water and then keep it heated at all times whether or not you need it. This results in unnecessary costs.

Not only does the traditional water heater waste energy but it takes a long time to heat up the water. Depending on the size of your family and specific routine each member may need to be on a schedule to accommodate the time it takes for the water to heat up in between showers and baths. Then add in the dishwasher and doing the laundry and it can be quite a chore to keep up with.

With modern on demand water heaters, the days of waiting for the shower are over, two people can shower in two separate bathrooms while the dishwasher and washing machines are running simultaneously.

These cutting-edge marvels heat water directly without using a storage tank. When someone turns on the hot water tap, cold water runs through a pipe into the heater. If the water heater is electric, an electric element heats the water, if it is gas, an gas burner heats the water. There is always a unlimited supply of hot water because it is only heated up when it is needed.

Since instantaneous heaters have no storage tanks, they are approximately five times small that the average size traditional water tank. You can mount it on the wall outside of your house or free up valuable space in your garage or basement.

Tankless water heaters will save you money. According to several consumer reports and other resources, a traditional water tank consumes up to 40% of a an average size home. On demand heaters can save you up to 50% of that cost. It is also worth it to check into local, state and government tax credits and rebate programs that often have energy saving programs.

Although tankless heaters make appear to be costly at first, the savings are so significant that investing in one can often be a very smart investment.