Which Water Heater Installation Actually Saves You More on Your Monthly Energy Bill?

DPA Admin • February 12, 2026

Have you noticed how Texas summers are pushing your AC to its limits, and your energy bills are climbing higher each year? But what about those icy mornings when you demand hot showers every day?


Find a way to cut monthly electric bills without sacrificing comfort. Since water heaters are likely the largest consumers of energy in your home, they increase monthly energy bills. The big question is which residential water heater installation   will save you money on your energy bill?


Install a tankless water heater to get hot water, whether you are washing dishes or doing laundry. All-Tex Plumbing compares the energy efficiency of water heater models to trim your monthly electricity bill before installation.


Types of Water Heaters You Can Install for Residential Purposes


1.     Traditional Tank Water Heater

Traditional weather heaters have a storage tank with heating elements. All-Tex Boiler and Plumbing Services offers installation and repair of storage tanks to ensure customers enjoy continuous access to hot water in Texas weather.


2.     Tankless Heater

The compact design of a tankless water heater saves valuable space. These are made from recyclable materials that support lower carbon emissions and sustainable living.


3.     Electric Water Heater

Electric water heaters are sensitive to power outages. These are more prone to disruption compared to other types, and it takes longer than usual to heat water after a power cut.


4.     Heat Pump Water Heater

A heat pump water heater is a green alternative that utilizes technology to extract energy from the home's ambient air. This water heater converts the ambient air into heating energy in the home and provides hot water.


Which Water Heater Installation Can Save on the Monthly Energy Bill?

Before switching to a water heater, determine which residential water heater installation   will really save you money on monthly energy bills.

 

●      Cost of Tankless Residential Water Heater Installation

Tankless water heaters have a higher installation cost, ranging from $1,000 for electric models to a maximum of $3,000 for gas-powered models, including installation charges. In contrast, traditional water heaters are budget-friendly to install and service.


At the same time, installing a heat pump water heater is also expensive.


●      Annual Savings on Bill after Tankless Water Heater Installation

Installing tankless heaters in your home offers significant energy savings compared to other residential water heaters. Electric models of tankless water heaters annually save $44, while gas models save up to $108 annually.


Heat pump water heaters consume less energy than traditional water heaters since they run on electricity.


●      Energy Efficiency of the Water Heater

The energy efficiency rating of tankless water heaters is 85 to 95%, outperforming traditional tank water heaters, which have an efficiency of 60 to 80%. Tankless water heaters for residential use reduce strain on the heating system and provide hot water on demand.


Similarly, heat pump water heaters are 300% more efficient compared to electric-run water heaters. It leads to huge cost savings on monthly bills. However, this model runs at low temperature, so installing this heater can cause problems if your home needs super-hot water.


However, a tankless water heater saves 50% in energy loss, resulting in yearly savings of $165 on electric bills. Even with proper maintenance, a tankless water heater installed for residential purposes can last over 20 years.



Benefits of Upgrading to Money-Saving and Energy-Efficient Residential Water Heaters


1.     Energy Saving

You will likely cut your energy consumption by up to 50%. It can lead to significant cost savings. Heat pump water heaters are particularly impressive, using up to 60% less energy than traditional models.


2.     Environmental Impact

By reducing energy consumption, you can also reduce greenhouse gas emissions, contributing to a more sustainable future.


3.     Durability and Performance

Energy-efficient residential water heater installation is not just an eco-friendly solution; it is also built to last. With advanced features that improve performance and durability, you will likely save money on repairs and replacements down the line.


4.     Boost Home Value

If you are thinking of selling your home, an energy-efficient heater can be a major selling point in Texas. It can increase your property value and make it more attractive to potential buyers.


This residential water heater installation offers peace of mind knowing your energy-efficient heater will keep working well for years to come.


Save Money on Residential Water Heater Installation

Upgrade your water heater! You can choose tankless water heaters to install and save money on bills. A tankless residential water heater installation  can boost your home's efficiency, support sustainable living, and not leave you shivering in the cold weather.


All-Tex Plumbing is your go-to expert for water heater installation. With over 25 years of experience, we are state-certified and rock-solid reliable. We offer fair pricing with no hidden costs or pushy sales tactics - we just get services done right.


Contact All-Tex Boiler and Plumbing Services at 281-469-3330 to book your water heater installation or repair in Houston, or visit our webpage to get free quotes.


Enjoy reliable energy-efficient residential water heater installation  in Houston today! 

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