If you are still getting your household hot water from a forty, sixty or eighty gallon water tank, then you are probably burning money. It is time to think about a tankless waterheater.
The advantages can be easily summed up - lowering costs and saving space. First up, space - the equipment for on demand water heaters usually hangs on the wall (no floor space taken up!) and is many times smaller than a tank.
Next thing to consider is the dollar advantage - on demand hot water heaters, like the name says, only heat the water when you ask for it. As much as you want when you want it. No water kept ready-heated just in case you want to use it like in the tank system. Think of all that wasted energy. Apart from being bad for your billfold, it is bad for the environment. One of the great things about going green is when it saves you money too!
So what do you need to worry about? First you need to decide what energy source to use - there are liquid propane, oil, electricity and natural gas tankless water heaters.
Each of these comes in various models designed to meet your particular household needs. If you use a lot of water then there are big tankless waterheaters on the market. At the other extreme there are well-priced small units that can act as boosters in the laundry room. Something for everyone.