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Most homeowners typically spend between $1,600 and $3,900 for water heater installation. The total cost is primarily driven by the type of water heater system chosen and the complexity of its installation.
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Basic tank-style water heater replacement with standard labor.
Standard tank installation or entry-level tankless systems, with moderate labor and unit costs.
High-end tankless or solar water heaters with more complex installation requirements and higher unit costs.
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$2,063.68
Total Estimate Amount
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This is a Preliminary Estimate
This estimator provides a starting point based on typical jobs. Actual costs may vary based on site conditions, material availability, permit requirements, and other factors discovered during work. We recommend a site visit before providing final pricing to customers.
This estimate is based on typical job parameters. Review and adjust for your specific situation. Standard market rates for your region, mid-grade materials unless specified, standard business hours labor rates, typical job complexity without major complications, basic cleanup included in labor time.
Job complexity
Simple repairs cost less than full installations or replacements. Multi-step jobs requiring permits or inspections add to the total.
Material quality
Budget, mid-grade, and premium materials can swing the price significantly. Discuss options with your contractor to find the right balance.
Local labor rates
Labor costs vary by region, season, and demand. Urban areas and peak seasons typically have higher rates than rural or off-peak times.
Site conditions
Difficult access, older structures, code upgrades, or unexpected issues discovered during work can increase the final cost.
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Common questions about costs and estimates for this service.
The average labor cost for replacing a tank-style water heater typically ranges from $150 to $450. For tankless water heater installation, labor costs are higher, usually between $600 and $1,900. If you are switching from a tank-style to a tankless system, labor can cost between $150 and $2,500 due to increased complexity.
In Georgia, most homeowners can expect to pay anywhere from $2,500 to $7,500 for a new water heater installation. For traditional tank systems, costs usually fall between $2,500 and $5,400. Upgrading to a tankless system typically starts around $5,000 and can go higher depending on the specific model and installation requirements.
The unit cost for a 40-gallon tank water heater from Lowe's can range from $419 to $889, depending on if it's an electric or gas model. The basic installation fee at Lowe's is approximately $320, not including the heater unit itself.
The primary factors influencing the price include the type of water heater (tank vs. tankless, standard vs. high-efficiency), the unit's cost itself, the complexity of the installation labor (e.g., converting fuel types, relocating the unit), the need for permits and inspections, and any additional materials or upgrades required for the specific job.
Switching to a tankless water heater often involves higher upfront costs, with systems running $1,400 to $3,900 and installation costs potentially reaching $2,500. However, tankless units offer energy efficiency and endless hot water, which can lead to long-term savings on utility bills. The decision often depends on the homeowner's budget and their long-term energy efficiency goals.