A tankless water heater costs $2,641 on average installed in 2026, with most homeowners paying $1,406 to $3,902 (Angi).1 Fixr averages $2,811 and HomeGuide puts the full range at $1,400 to $5,600 depending on fuel.2,3 Prices below are national averages* for 2026.
*National averages, not local quotes. Your price depends on fuel type, unit size, and whether gas lines, vents, or the electrical panel need upgrades.
$2,641
average, Angi
$2,811
average, Fixr
$1,400 – $5,600
full range, HomeGuide
15 – 20 yrs
lifespan, HomeGuide
Cost by fuel type
| Fuel | Unit only (HomeGuide) | Installed (HomeGuide) | Installed (Angi) |
|---|---|---|---|
| Electric | $600 – $1,000 | $1,400 – $3,000 | $800 – $1,500 |
| Natural gas | $1,500 – $2,600 | $2,100 – $5,600 | $1,000 – $1,500 |
| Propane | $1,000 – $2,000 | $1,600 – $4,500 | $1,000 – $1,500 |
| Solar | n/a | n/a | $1,800 – $6,000 |
Angi and HomeGuide differ a lot on gas: Angi shows $1,000 to $1,500 installed, while HomeGuide shows $2,100 to $5,600.1,2 Angi’s figure looks like the install labor and parts without the unit, our reading, since its unit prices run $450 to $4,000 on top.1 Compare quotes that include the unit.
Whole-house vs single-point
| Type | Unit cost | Source |
|---|---|---|
| Single-point (one faucet) | $100 – $300 (Angi); $150 – $250 (HomeGuide) | Angi, HomeGuide |
| Whole-house | $450 – $1,500 (Angi, Fixr); $600 – $2,600 (HomeGuide) | Angi, Fixr, HomeGuide |
Installed cost breakdown (HomeGuide)
| Item | Cost |
|---|---|
| Unit | $600 – $2,600 |
| Installation labor | $600 – $2,500 |
| Supplies (pipes, connectors, valves) | $150 – $300 |
| Permits | $50 – $200 |
| Total installed | $1,400 – $5,600 |
Upgrades that raise the bill
| Upgrade | Cost | Source |
|---|---|---|
| Dedicated electrical circuit | $250 – $900 | HomeGuide |
| Electrical panel replacement | $850 – $1,700 | HomeGuide |
| Gas line upgrade or new line | $350 – $2,000 | HomeGuide |
| New gas exhaust vent | $100 – $600 | HomeGuide |
| Pressure regulator | $250 – $350 | Angi |
| Old tank removal | $75 – $500 | HomeGuide |
Tankless vs tank (HomeGuide)
| Factor | Tankless | Tank |
|---|---|---|
| Installed cost | $1,400 – $5,600 | $600 – $3,100 |
| Annual energy, gas | $220 – $480 | $250 – $420 |
| Annual energy, electric | $340 – $540 | $530 – $600 |
| Lifespan | 15 – 20 years | 8 – 12 years |
The Department of Energy figure Angi cites is about $100 per year in savings for gas units and $50 for electric, so payback on the higher price is slow.1 Angi and HomeGuide also mention a 30% federal tax credit, up to $600; we have not verified that it still applies for 2026, so check the IRS before counting on it.1,2
Hiring
Plumbers charge $45 to $200 per hour (Angi) and typically $75 to $150 (HomeGuide), and the job takes about 3 to 10 hours.1,2 Gas and electrical work needs licensed trades and usually a permit, so this is not a DIY project.
Related guides
Solar Water Heater Installation Cost
Water Heater Repair Cost
Water Heater Installation Cost
Water Heater Replacement Cost
Plumber Cost
Gas Line Installation Cost
All cost guides
Sources
1. Angi — How Much Does a Tankless Water Heater Cost?
2. HomeGuide — Tankless Water Heater Cost
3. Fixr — Tankless Water Heater Installation Cost