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Water Heaters

Tank vs Tankless Water Heaters: Which is Right for Your Florida Home?

January 10, 2026 8 min read

When it's time to replace your water heater, you'll face an important decision: stick with a traditional tank unit or upgrade to tankless? Here's a comprehensive comparison to help Florida homeowners make the right choice.

Traditional Tank Water Heaters

Tank water heaters store and continuously heat a reservoir of water (typically 40-80 gallons). They've been the standard for decades and remain popular for good reasons.

Pros of Tank Water Heaters

Lower upfront cost ($800-$1,500 installed)
Simple, reliable technology
Easy to install and replace
Works with any fuel type
Lower installation costs

Cons of Tank Water Heaters

Higher energy bills (standby heat loss)
Limited hot water supply
Shorter lifespan (10-15 years)
Takes up more floor space
Risk of tank failure and flooding

Tankless Water Heaters

Tankless (or on-demand) water heaters heat water only when you need it, eliminating the energy waste of keeping a tank hot 24/7.

Pros of Tankless Water Heaters

Endless hot water supply
24-34% more energy efficient
Longer lifespan (20+ years)
Compact, wall-mounted design
Lower risk of water damage
Qualifies for energy rebates

Cons of Tankless Water Heaters

Higher upfront cost ($2,500-$4,500 installed)
May require electrical or gas upgrades
Limited flow rate for simultaneous use
Annual maintenance recommended
Brief delay before hot water arrives

Which is Best for Florida?

Florida's warm climate actually favors tankless water heaters. Since incoming water temperatures are higher (around 70°F vs 40°F up north), tankless units work more efficiently here and can handle higher flow rates.

Cost Comparison Over 15 Years

Cost FactorTank (50 gal)Tankless
Purchase & Install$1,200$3,500
Annual Energy Cost$450$300
15-Year Energy Cost$6,750$4,500
Replacement (Year 12)$1,200$0
15-Year Total$9,150$8,000

Our Recommendation

For most Florida households, we recommend tankless water heaters for their long-term savings and endless hot water. However, tank units remain a solid choice for budget-conscious homeowners or those with lower hot water needs.

Need Help Deciding?

Our water heater specialists can assess your home and recommend the best option for your family's needs and budget. We install both tank and tankless systems.

Call 850-202-2749