Top Product Ratings:  Washing Machines  |  Vacuum Cleaners  |  Refrigerators  |  Dishwashers  |  Clothes Dryers  |  Ranges  |  Microwave Ovens
| More
Cash for Appliances Buyer's Guide: Water heaters
March 19, 2010 5:00 PM

If you need a new water heater and are planning to take advantage of the $300 million State Energy Efficient Appliance Rebate Program, also called cash for clunkers for appliances or cash for appliances, use the advice below:

States offering rebates for water heaters: Rebates for water heaters are available in 32 of 56 U.S. states and territories. Find out whether water heaters eligible for a rebate where you live and use our interactive map to link to the appliance clunkers Web site in your state.

Rebate amounts: As with every appliance that's part of the cash for appliances program, rebates vary by state. In Arizona, for example, residents will get $200 for a gas-powered storage- tank water heater, $300 for a gas-powered tankless water heater, and $435 for an electric heat-pump water heater such as the new GE GeoSpring electric heat-pump water heater we recently reviewed. Wyoming isn't offering rebates for gas-fired storage-tank water heaters but is giving rebates of $150 on gas-powered tankless, electric heat-pump, and solar water heaters. New Hampshire is offering $100 on a gas-fired storage-tank water heaters, $300 on gas-fired tankless water heaters, and $750 on solar water heaters.

Repair-or-replace advice: Our free buyer's guide to water heaters details what components are worth fixing in a storage-tank water heater—a storage-tank heater with a leaky tank usually isn't worth repairing.

Buying advice: Check out our free buyer's guide to water heaters and use our water-heating-sizing calculator so you don't buy more capacity than you need. For storage-tank water heaters, in our tests models with a 10- or 12-year warranty—featured larger heating elements, thicker insulation, and thicker or longer corrosion-fighting metal rods, called anodes.

Also in our tests, tankless water heaters were 22 percent more energy efficient on average than the gas-fired storage-tank models. (See this diagram of how tankless models work.) That translates into a savings of around $70 to $80 per year, based on 2008 national average energy costs. But because tankless models cost much more up front than storage-tank water heaters, it can take up to two decades or more to break even—you might even end replacing it before it can pay for itself.
 
Models to consider: We've tested gas-fired tankless and condensing gas-fired storage-tank water heaters that should be eligible for a rebate in your state. Test results (available to subscribers) cover the Noritz N-0751M ($1,150) and Takagi T-K3 ($800) gas-fired tankless water heaters and the A.O. Smith Vertex GPHE-50 ($1,400) gas-fired condensing storage-tank water heater.

We've also reported on solar water heaters, including the Fafco Hot2O Solar Water Heating System ($2,200); Heliodyne 50180 ($6,000 to $7,500); Rheem RS47-21BP ($5,000 to $6,200); and SunMaxx 3570 ($5,500 to $7,000).

Discuss on ConsumerReports.org: You'll find discussions on particular types and models of water heaters on our water-heaters forum.

Gian Trotta

Essential information: Stay on top of the news on our cash for clunkers for appliances hub and find the best places to buy appliances.
Post a Comment
Comments:
6

Why did Consumer reports show a Rinnai in their video, but not include it in their test results? Thats like showing a highlight of the Lakers, but saying how bad NBA basketball is by comparing the Nets and Knicks.
I have a Rinnai and it will pay for itself in 2 years. I have a water softener and have the ability to flush it as needed. I had a expierenced plumber install it. Thats the biggest mistake people make.

What is the comparison data between the following two water heaters?

1. RHEEM EcoSense

2. GE HeatPump EnergyStar

In the "Inside Story" CS says "Sawing open 18 gas and electric storage-tank models in our lab confirmed that paying a little more buys a better water heater". What, exactly, were those models and what were the findings. Seems like a lot of effort to saw these open, take a peek and not document the findings of that effort. What gives?

I like your blog..I will visit again very soon :)

Due to the recent passage of the economic stimulus package in February, homeowners who install a geothermal system can receive a 30% tax credit for qualified installs with no maximum cap!

A taxpayer may claim a credit of 30% of qualified expenditures for a system that serves a dwelling unit located in the U.S. used as a residence by the taxpayer. Expenditures with respect to the equipment are treated as made when the installation is completed. If the installation is on a new home, the "placed in service" date is the date of occupancy by the homeowner.

Expenditures include labor costs for onsite preparation, assembly, or original system installation and for piping or wiring to interconnect a system to the home. If the federal tax credit exceeds tax liability, the excess amount may be carried forward to the succeeding taxable year.

Hey,

First of all thanks, I found the information very helpful.I am a plumber and trying to
learn as much as possible about the water heater.You article shedded a lot of light on the water heater issue.
So, Keep posting....