Heat Pump Water Heater vs Electric Water Heater
Do you have an old electric water heater? Now is the perfect time to upgrade. In this article, we'll look at the benefits and cost savings you can get when upgrading your old electric water heater to a next-generation heat pump water heater. When you combine the available rebates with the annual energy cost savings, you'll find that the upgrade actually pays for itself.
Standard electric water heaters introduce cold water through a dip tube and heat it using electric heating elements inside the tank. The hot water rises to the top of the tank and is then distributed throughout the home for use. Heat pump water heaters use electricity to transfer heat from one place to another, just like an air conditioner, but in turn, pull heat from the surrounding air into the storage tank.
Standard electric water heaters are wasteful and use a lot of energy to heat water. Heat pump water heaters use less energy to heat the same amount of water by transferring heat rather than generating it. You can reduce energy consumption by up to 60% compared to standard electric.
Save energy costs:
A family of two can save up to $174 per year with a heat pump water heater, while a family of five can save more than $435 per year in potential costs.
How much does a heat pump water heater cost?
Like most things that run more efficiently and save money, heat pump water heaters cost a lot more than traditional electric water heaters. Typically, a 50-gallon heat pump water heater costs about $1,100, while its older, traditional cousin, the electric water heater, sells for closer to $300.
It is recommended that you have your heat pump water heater installed by a professional to maximize its energy efficiency. The average installation cost of a water heater is about $700 to $900. When choosing a qualified professional to install your water heater, keep in mind:
1. Request an estimate in writing
2. Request reference materials
3. Make sure they check with your local Better Business Bureau
4. Make sure they have the necessary permits and understand local building codes
5. Finally, the upfront cost will offset the life of the water heater as you will save on your electricity bill
If you're in the market for a new electric water heater, consider paying extra cash for a heat pump water heater. The savings are considerable, especially for larger families. Heat pump water heaters have a longer lifespan (about 13 to 15 years) than traditional electric water heaters (about 8 to 12 years), making them a huge investment.