If you’re in the market for an electric water heater, you’ve probably noticed that there are two main types to choose from: tankless and storage. Both have their pros and cons, but which one is right for you?

To help you decide, we’ve put together this head-to-head review of the two best electric water heaters on the market. We’ll cover everything you need to know about each type, including their key features, average prices, and how they work.

By the end, you should have a good idea of which water heater is right for your home.

Storage Water Heaters

Storage water heaters, also known as tank water heaters, are the most common type of water heater in the US. They’re also the cheaper option, with prices starting at around $400.

How they work: Storage water heaters have a tank that holds a certain amount of water. The water is heated to the temperature you set on the thermostat and then stored in the tank until you need it.

When you turn on the hot water tap, the water is drawn from the tank and sent to your faucet or shower.

Key features:

Affordable – Storage water heaters are the cheaper option, with prices starting at around $400.

– Storage water heaters are the cheaper option, with prices starting at around $400. Easy to install – Storage water heaters are usually quite easy to install, even for DIYers.

– Storage water heaters are usually quite easy to install, even for DIYers. Low maintenance – Storage water heaters don’t require much maintenance, just the occasional flushing to remove sediment build-up.

Tankless Water Heaters

Tankless water heaters, also known as demand-type or instantaneous water heaters, are the newer type of water heater on the market. They’re more expensive than storage water heaters, with prices starting at around $600.

How they work: Tankless water heaters heat water on demand, which means they only heat water when you need it.

When you turn on the hot water tap, the water is drawn from the cold water supply and sent through a heating element. The water is then sent to your faucet or shower.

Key features:

More expensive – Tankless water heaters are more expensive than storage water heaters, with prices starting at around $600.

– Tankless water heaters are more expensive than storage water heaters, with prices starting at around $600. More efficient – Tankless water heaters are more efficient than storage water heaters because they only heat water when you need it.

– Tankless water heaters are more efficient than storage water heaters because they only heat water when you need it. Smaller and more compact – Tankless water heaters are small and compact, which makes them ideal for small homes or apartments.

Conclusion

So, which is the best type of water heater for your home?

If you’re on a budget, then a storage water heater is the way to go. They’re cheaper to buy and install, and they don’t require much maintenance.

If you’re looking for a more efficient water heater, then a tankless water heater is the way to go. They’re more expensive to buy and install, but they’re more efficient because they only heat water when you need it.

Whichever type you choose, make sure you buy a quality water heater from a reputable brand. We recommend the Rheem Performance Plus 50 Gallon Electric Water Heater for storage water heaters and the Rheem Performance Plus 9.5 GPM Electric Tankless Water Heater for tankless water heaters.