0% intro APR for 15 months from account openi… Chase Freedom Unlimited® Credit Card Calculators How we make money
VOATLAS
How to Budget for a Tankless Water Heater

How to · Home

How to Budget for a Tankless Water Heater

Swap your old tank for an endless hot water system without overpaying for an emergency fix.

VoAtlas editorial Updated · 3 min read
Typical cost $2,600 before anything else
Across the 0% window $173.33/mo 15 months, no interest

How we got that: $2,600 spread evenly across the 15-month introductory window on the Discover it® Cash Back. Checked · at the bank Carry a balance past the window and the standard APR applies to what is left.

Switching to a tankless system means you stop paying to keep 50 gallons of water hot all day. You get hot water on demand and reclaim a few square feet in your utility closet. Most professional installs take about a single day once the plumber clears their schedule.

Aim to book this during the off-season, typically late winter or mid-summer, when contractors are less slammed with furnace or air conditioning repairs. Off-peak scheduling often helps you negotiate a better total price on labor.

Remember that the 0% intro APR is a deadline, not free money. If you have any balance left after the 15-month window expires, you will start paying interest on the remaining amount at the standard rate.

The steps

  1. 01

    Get three quotes

    Never go with the first price you hear. Call at least three local plumbing companies to compare the cost of the unit and the labor involved. Make sure they are specifically licensed for tankless gas installations.

  2. 02

    Check for local rebates

    Check your city's utility website or the manufacturer's site for energy efficiency rebates. Some local gas companies offer cash back for upgrading to tankless models. This can shave a few hundred dollars off that $2600 estimate.

  3. 03

    Use your card for the purchase

    When it is time to pay, use your Discover it® Cash Back card. You will get 0% intro APR for 15 months on purchases and balance transfers. This gives you a 15-month window to pay off the balance without paying any interest.

  4. 04

    Automate your payments

    Divide your total bill by 15. In this case, that comes to $173.33 per month. Set up an automatic payment for this amount so you stay on track to finish the balance before the intro period ends.

  5. 05

    Schedule the install

    Confirm your installation date well before your current tank shows signs of leaking. Waiting for a burst tank forces you to pay emergency premiums because you lose your leverage to shop around.

  6. 06

    Check the card terms before you commit

    Every figure we publish for the Discover it® Cash Back carries the date a person verified it against Discover and a link to where they checked. Intro windows and APRs change without notice, so confirm the current terms before applying.

    See Discover it® Cash Back terms →

Common questions

How long do tankless heaters actually last?

Most units are built to last 20 years or more, which is double the life of a standard tank. You do need to flush them with vinegar once a year to keep mineral buildup from killing the heat exchanger.

Will I need to upgrade my gas line?

Possibly. Tankless heaters require a higher flow of gas to heat water quickly, so a plumber might need to widen your existing gas pipe. Ask about this during your initial quote so there are no surprises.

Is a tankless heater really worth the cost?

It depends on your water usage and electricity or gas rates. You save money by not heating idle water, but the main perk is that you never run out of hot water during back-to-back showers.

What happens if I miss a payment?

Missing a payment can end your 0% intro APR early and trigger late fees. Always set up autopay for at least the minimum amount required to keep the account in good standing.