It’s hard to think about the financial benefits of upgrading one of your major appliances when it’s a significant investment. However, your old water heater may be costing you more by keeping it limping along, let alone not serving your Montgomery, AL home properly. Here are four financial benefits you may benefit from by upgrading your water heater now.
Lower Utility Costs
As your unit ages, it naturally loses some of its efficiency. In part, this is caused by various minerals and contaminants that buildup in your unit over time.
In addition, older units had a lower efficiency rating when they were brand new compared to current models. Efficiency is rated by energy factor, or EF, which measures the amount of hot water produced for each unit of fuel expended over an average day.
Standard tank heaters might get an EF of up to about 0.70, whereas tankless heaters may get as high as 0.96. The higher that number, the more efficiently your unit produces hot water.
In addition to lower utility costs, your unit will require fewer repairs. Like any other mechanical system, your water heater will wear out over time, and require repairs. The burner also gets dirty from carbon deposits from the burning fuel, which degrades efficiency.
When you upgrade your unit, all the components are new, and will take time before needing repairs. The money that you would otherwise put into repairs can be allocated toward the new unit, reducing your overall maintenance costs.
Product & Tax Credits
In some cases, you may have credits available for upgrading your water heater to a more efficient unit. For instance, Alabama offers a credit for converting from a gas water heater to an electric unit. You could qualify for up to a $650 credit from Alabama Power when you opt for a hybrid water heater.
The federal government also frequently offers tax credits for some upgrades. Check with your tax professional for any current state or federal credits available to will help reduce the financial impact of your upgrade.
Upgrading your water heater is more than replacing what you have, but improving it. That may mean moving from a tank water heater to a tankless unit. This will extend your expected service life from 10 to 12 years all the way up to about 20 years.
Additionally, if you didn’t install your current unit, you may not have an idea how much life you have left. Further, it may not reach its maximum potential life if it wasn’t properly maintained. Upgrading your unit allows you to start fresh, and provide the care your unit needs to reach its maximum potential.
Don’t wait for a catastrophic water heater failure before you decide to upgrade your unit. Call to schedule your water heater installation consultation with one of the expert installers at Alabama Home Pros today.