Are Tankless Water Heaters More Reliable?

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Are Tankless Water Heaters More Reliable?

(Making the Right Choice)

Is it time for you to consider installing a new hot water system?

Choosing the right hot water system for your home is a crucial decision that impacts both your comfort and your energy bills. For a long time, storage tank water heaters have been a fan favourite in Queensland homes, however, in recent years, the tankless system has started to gain traction. Each of these water heaters come with their own set of benefits and drawbacks, making it difficult to determine the best fit for your home. So, let's break it down.

Are Tankless Water Heaters More Reliable?

Tankless Water Heaters: The Pros and Cons

A tankless system, more commonly referred to as an on-demand or instantaneous water hot water system, heats water in real-time. Meaning, once the tap is turned on, the cold water is filtered through the unit and heated as required. This eliminates the need to store hot water at predetermined temperature. The tankless heater approach ensures you are only paying for the energy required to heat the water you actually use, without incurring the costs associated with keeping a reservoir of hot water. In saying that, these systems still come with their own list of downfalls.


  1. Energy Efficiency: Instant hot water systems are highly energy-efficient as they eliminate any standby heat loss, which is common in storage.
  2. Space-Saving: Tankless hot water systems are a compact unit that can be mounted on walls or installed in tight spaces. They free up valuable floor space, making them an ideal system for smaller homes or apartments.
  3. Continuous Hot Water: Tankless heaters can provide an endless supply of hot water due to their on-demand heating feature. As long as there is fuel or power, you won't run out of hot water during showers or other household activities.


  1. Upfront Cost: Possibly the most off putting drawback for these tankless systems is their initial upfront cost, especially when compared to their storage counterparts. The installation process for these water heaters can also be more complex, potentially requiring upgrades to gas lines or electrical systems.
  2. Limited Flow Rate: A single tankless unit may struggle to simultaneously provide adequate hot water to multiple fixtures. Homes with a high hot water demand may require more than one unit to keep up.
  3. Cold-Water Bursts: Some tankless systems also experience a burst of cold water before the hot water starts to flow. This is especially common when the unit is placed further away from the required fixtures.

Hot Water System

Storage Tank Water Heaters: The Pros and Cons

Despite being less energy efficient than their counterparts, storage hot water systems are still the most popular choice in Queensland homes.


  1. Lower Initial Cost: Traditional storage tank water heaters are typically more affordable to purchase and install, making them a budget-friendly option for many households.
  2. Simple Installation: The installation process for storage tank water heaters is relatively straightforward, and most homes are already equipped for them.
  3. Reliable Performance: Storage tank water heaters can effectively handle high demand, providing hot water to multiple fixtures simultaneously without compromising on water pressure.


  1. Standby Heat Loss: Storage hot water systems are constantly heating and reheating the water in the tank, resulting in standby heat loss when the water is not in use. This can increase energy bills over time.
  2. Limited Hot Water Supply: The tank has a set amount of hot water available at any given time. Once the hot water is depleted, you need to wait for the tank to reheat the water, which may not be ideal for larger households. However this comes down to choosing the right sized system for your home.
  3. Space Requirements: Storage tank water heaters are larger and require more space for installation. They may not be suitable for homes with limited space or those seeking a more compact design.

Which is Better?

The answer to whether a tankless water heater or a storage tank water heater is better depends on your specific circumstances. If you prioritise energy efficiency, space-saving, and endless hot water, a tankless water heater might be the better choice despite the higher initial cost. On the other hand, if you are on a budget and require a reliable, straightforward solution, a storage hot water system could be the more suitable option.

In any case it is important to consider factors such as your household size, hot water usage patterns, available space, budget, and long-term energy savings when making your final decision. Ultimately, the "better" choice will be one that aligns with your preferences, lifestyle, and overall household needs.

It's always a good idea to consult with a professional plumber to determine the best fit for your home. Our hot water specialists will be able to create a tailored solution for your household, ensuring you are getting the most out of your hot water system. So, if you're considering a new water heater, call us today on 1800 443 996.

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