Tank vs. Tankless Water Heater: Which One is the Best?

Tank vs. Tankless Water Heater

Over the past decade, there has been a considerable increase in the use of tankless hot water heaters in the Conejo Valley. But why?

Tank and tankless water heaters can both be reliable options for your home. However, it is crucial to figure out which would suit you and your requirements best. In this comparison of tank vs. tankless water heaters, the experts at Conejo Valley Home Services Plumbing & Rooter discuss the basics of each water heater, so you have a better understanding of the differences between each.

If you are considering switching to tankless water heaters, but haven’t quite decided, here’s a quick guide to help you.

Tank vs. Tankless Water Heater: Which One is the Best?

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Table of Contents

What Is A Tank Water Heater?
- » How Do Tank Water Heaters Work?
- » Pros And Cons Of Tank Water Heater
What Is A Tankless Water Heater?
- » How Do Tankless Water Heaters Work?
- » Pros And Cons Of Tankless Water Heater
What Are The Differences Between A Tank Water Heater Vs. Tankless Water Heater?
Choosing The Right Water Heater For Your Home
- » Parting Thoughts - Tankless Water Heater Vs. Tank Water Heater. Which Should I Choose?
When You Need A New Water Heater, You Can Rely On Conejo Valley Home Services Plumbing & Rooter

What is a Tank Water Heater?

Storage tank water heaters generally have a capacity of 30 to 60 gallons. The capacity you want depends on your household size and how much hot water you require. Storage tank water heaters use natural gas, electricity, fuel oil, or propane to continuously heat water and keep a full tank ready at all times.

» How do Tank Water Heaters Work?

Traditional tank water heaters have been around since the early 20th century. The concept is simple: A reserve tank fills up with water and heats it. The heated water is distributed to your faucets until it’s empty. Once empty, the tank has to fill up with water and heat it again.

» Pros and Cons of Tank Water Heater

Since there are no perfect products, here are the good points and downsides to tank water heaters.

Pros:

Lower upfront cost - A traditional tank-style water heater installed will usually cost less with tankless water heaters costing much more.
Simpler maintenance – While both types of water heaters require maintenance, a tank system usually costs less and is much simpler.

Cons:

Runs out of hot water - Traditional water heaters are limited by their tank’s capacity and can run out of hot water.
Less energy efficient - Because tank water heaters are always on to keep the water in the tank warm, they use more power than tankless water heaters.
Large - Tank water heaters require a lot of space and won’t fit in tight spaces.
Don’t last as long - Traditional water heaters only last 10-15 years, whereas tankless versions can last up to 25 years.

What is a Tankless Water Heater?

As their name implies, tankless, instantaneous, or on-demand water heaters don’t have a tank for storing water.

A tankless hot water system heats water only when you need it. So if you’re the only one taking a shower, you don’t need to heat water for five. The same applies to washing dishes, clothes, and whatever else you need hot water for. You might need a gallon, 30, or maybe 100; there is no limit to how much hot water a tankless system can produce. Sounds great, right? But there are also some drawbacks.

» How do Tankless Water Heaters Work?

Tankless water heaters don’t have a storage tank for hot water. Instead, they only heat water when you need it. This is how tankless water heaters produce hot water instantly:

When you open a hot water faucet in your home, cold water travels into the heater and runs through a burner or heat exchanger, where heating occurs. Once hot, it directly flows to the tap or shower you turned on. These heaters can heat up to five gallons of water in a minute.

» Pros and Cons of Tankless Water Heater

Here are the various benefits to tankless water heaters, as well as their downsides:

Pros:

Never runs out of hot water - Since tankless water heaters heat water on demand, you’ll never run out.
More energy efficient – Since tankless water heaters have no tanks, they don’t waste energy keeping the tank warm all day.
Takes up less space - You can fit tankless water heaters in tighter spaces since they have no storage tank.
Lasts longer - Tankless water heaters can last up to 25 years if well maintained.

Cons:

High upfront cost – The biggest downside of tankless water heaters is the unit’s high upfront cost and installation.
Limited flow rate - A tankless water heater may be more efficient, but its output is also more limited to its flow rate.

What are the Differences Between a Tank Water Heater vs. Tankless Water Heater?

There are several ways in which these heaters differ that we can look into below, based on which you can then make a choice.

» Costs

Tank water heaters are generally more affordable than tankless water heaters in terms of purchase and installation costs.

Beyond the initial purchase and installation costs, tankless water heaters tend to be more cost-effective long term because they use less power than tank heaters to heat water.

» Energy Efficiency

Tankless water heaters are more energy-efficient in comparison to tank water heaters. They achieve this efficiency because they only heat water on demand instead of maintaining a constant supply and storage of hot water.

» Installation

When it comes to installation costs, installing a point-of-use tankless water heater will cost the least, followed by storage tank water heaters, then whole-house tankless heaters.

Some homeowners can DIY install traditional tank water heaters to save on water heater installation costs. However, it’s best to leave tankless water heater installation to a professional, as they are more complex.

» Size

Since traditional water heaters come with a storage tank, you need to account for that when setting aside some space for installation. On the other hand, tankless water heaters don’t have a tank, which is perfect if you don’t have plenty of room in your house.

» Performance

Tank water heaters hold a certain amount of hot water in their tank. If you choose the right size for your storage tank water heater, your home should not run out of hot water. On the other hand, since tankless water heaters heat water instantly, they might struggle to keep up with demand if two or more taps require hot water simultaneously. Thus, if your household demands a greater demand for hot water, you might need to install more than one tankless heater or install point-of-use models.

» Maintenance and Durability

Traditional tank water heaters have a lifespan of approximately 10-15 years, whereas tankless systems can last for over 25 years. Also, tanked water heaters require frequent maintenance to prevent rusting and other tank failures that cause leakages and damage your house.

Choosing the Right Water Heater for Your Home

» Parting Thoughts - Tankless Water Heater Vs. Tank Water Heater. Which Should I Choose?

We have now seen several ways in which tank and tankless water heaters are different from each other. So, which should you choose? Ultimately, it depends on your requirements.

Overall, it might be better to opt for a tankless water heater since it has the potential to save you a lot of energy and money in the long run. However, you might need to install several of these heaters if you have a higher demand for water at home.

When You Need A New Water Heater, You Can Rely on Conejo Valley Home Services Plumbing & Rooter

Still not sure which water heater is right for you? We can help! Contact Conejo Valley Home Services Plumbing & Rooter today, and we’ll talk through your needs and requirements so you can make the best decision for your homestead.

To learn more about our water heater services, Call (805) 499-0448 or contact us online today!

Conejo Valley Home Services Plumbing & Rooter

4.9

Based on 205 reviews

Michael Broder

20:20 29 Jan 26

Kevin was really great! He tried to fix my existing garbage disposal, but unfortunately it was too far gone. The prices that were quoted were more than I cared to spend. However, he was very understanding, professional, and courteous. Had the prices been reasonably close I wouldn’t have hesitated to have him do the work. He well represented your company.

Ryan Russell

18:59 19 Jan 26

We had a great experience. The team was friendly and wonderful to work with. They were able to get the job done quickly and without issue.

I would recommend them to anyone in their service area.

Max Helix

02:35 13 Jan 26

After recent rains, the lighting in our back yard stopped working. The GFCI would not reset. Omar did a great job. He gathered all the information he could and discussed the procedure he would use to trouble shoot and fix the issue and we discussed options and recommendations. He then followed the plan we agreed upon. He also recommended a whole house surge suppressor to bring the main panel up to current code. He did not use a high pressure sell on the suppressor and was fine with not installing one. We did decide to go ahead and get one installed. He was knowledgeable and friendly and was willing to discuss and explain what ever we asked about.

Brad Bode

18:44 08 Jan 26

I have had both HVAC and Electricians to our home to give estimates. All were professional with great communication skills and knowledge.

Dan came to fix our heating filament and install an iWave. Like everyone I have interacted with he was informative and easy to work with.
I am Very satisfied with the responsiveness and prefissionalism.

Lisa L

09:01 27 Dec 25

I can't say enough good things about Conejo Services. We called them to get a second opinion on a major plumbing issue. Jimmy came out and put a camera though the various lines involved and gave us his opinion, taking the time to explain the issues and the pros and cons of the options we had. He was professional, courteous, and a straight shooter. It's so hard to know what questions to ask when you are trying to care for your home, and Jimmy really made me feel like he wanted to help us make the best choice. While the repair was not cheap, I feel that it was fairly priced. At the end of the day, I am certain he saved us money and a great deal of stress: he put my mind at ease. And when you are trying to make the best decision about your biggest asset, that is truly priceless. After we came up with a game plan, he gave us a detailed quote that clearly stated the scope of work and didn't blink at guaranteeing it for 25 YEARS. Christa at the office called and scheduled our work and was super friendly. The crew was beyond courteous and conscientious and worked their butts off. The actual plumbing work was top notch. In addition, they had to dig up a portion of the yard where there were plants, and they did a very careful job of making sure the plants weren't harmed and put them back perfectly. We are so happy with the whole experience and highly recommend them. Will use them again in a heartbeat!

J Mc

17:51 24 Dec 25

Great technicians! Though IMO overpriced. I joined the Platinum Level Preferred Maintenance Club, to save on dispatching on routine items and get great deals on maintenance routines on HVAC, tankless water heater, water and plumbing. Needed a 30 year old wall shower faucet replaced when I signed up, the job was well done, but the cost was exoberant, imo, and I did not recieve a discount on the repair as I missed the fine print and was not told that when I signed, I needed to be a club member for a consectutive 5 months to obtain those repair discounts. I did ask at least twice to get a call to manager, was told the message was forwarded to the office, no response. Now 5 months later had a Heater Maintenance and Dryer Vent cleaning, Eric was the specialist. Excellent service by Eric. However, I received an invoice that day for $200 for the vent cleaning even though that service is listed as part of the PMC at Platinum level. I called CSHPE customer service and was told they would handle it and to ignore the invoice. Three days later, I got the same invoice, again I called, same advice. Got another invoice yesterday. I have not received one today, but it is still early AM. 🤨 Bottom line, good technical work but undermined by pricing perception, membership benefit confusion/misapplication, and unresolved billing/communication problems.

Jessica Jimenez

01:29 18 Dec 25

George was awesome! He called and let us know he could come sooner but, made sure that was okay with our schedule. He went above and beyond explaining the issue and made sure all was okay to make sure that issue did occur again. He asked if we were okay with the explanation and if we had any other questions or issues to reach out. Excellent service!

Michelle Perez

18:37 12 Dec 25

I have used Conejo Seviced a couple of times now, and they have done a fantastic job both times. They were prompt, professional, easy to talk to, honest, and did the job in the specified time frame. I will happy to continue using them.

Lana Light

02:38 12 Dec 25

Owen was my electric tech,
and from the conversation over a couple of electrical issues here, I understood quickly that Owen knows the line of work very well: educated, smart, polite, with down the the earth professional demineur... He checked the wiring, and explained the possibilities why my appliance keeps tripping the breaker..
Thank you Owen.
The company has a right set up. They would also remind you about the appointment, and would convinietly call you a few minutes ahead.

They have the right codes... they won't walk in their shoes on your floors either...
I strongly recommend the Conejo company for your electrical issues...

Robert Lewis

22:40 11 Dec 25

Juan did an outstanding job. He is very professional and personable. He kept us informed on what he was doing. It was a pleasure working with him and Conejo Services. We have used you before and we have always had prompt and professional service. Thank you so very much.

Leslie Hackney

18:30 08 Dec 25

When our 31 year-old furnace suddenly stopped working, they were out within 24 hours of my call. It was a quick and easy replacement part, but something we wouldn’t dare do ourselves. It’s good to know we’ve found a reliable repair service!

Alejandra Aldana

01:20 05 Dec 25

It was excellent service from the initial request to schedule an appt for electrical repairs and the installation updates as to the time and date of service technician arrival at work site. The service person was timely in his arrival time, considerate , respectful and courteous.

Major Tom

13:06 03 Dec 25

David G. was patient, personable and explained things. He was thorough and cleaned up after himself. He is an asset to the company and exemplifies the level of professionalism and quality that I have come to expect from Conejo Services.

Linda Munday

04:49 03 Dec 25

The entire staff were wonderful. The crew that came out to do the installation were so nice and respectful. I would recommend them to anyone.

Carol Riccobono

23:09 01 Dec 25

Juan did an excellent job checking out our furnace and dryer vent. He was very informative and thorough. And he did not try to upsell us on other services.

Ted Haber

03:36 29 Nov 25

Omar was our electrician. He was very professional and easy to work with. He gets my vote.

Matt Bovard

22:26 26 Nov 25

I like supporting local Ventura county companies and then when they do such a great job it’s double gratification…

Joe F.

00:18 26 Nov 25

Heesse was on time, performed a HVAC tune up, and solved the problem of the thermostat not working. I know who I will contact for future hone repair needs.

Steve Kurasch

21:18 25 Nov 25

Jesse was here right on time to do testing and inspection of our furnaces. He was very thorough, professional and knowledgable and corrected several problems that other companies missed. He also gave us some options to look at in the future. We signed up for their maintenance plan and feel very confident that Conejo Services will meet our needs now and in the future. Thank you for giving us peace of mind!

Mary O'Sullivan

00:55 14 Aug 25

This company really stands behind its work. I have the platinum maintenance for my both HVAC and plumbing, both installed by them and it really pays off. The plumbing area, especially, led by Andrew Dilger and team are honest, thorough, skilled and offer options from minimal to full overhaul with pro’s and cons and short vs. long-term financial differentials of each approach. I have an older home with pipes at end of their 60 year shelf-life and it’s a new area for me. It’s really great to be able to trust a company when the product isn’t visible, but buried in the ground. I liked Derek who identified a potential issue during normal maintenance and the oversight of Andrew confirming it and best approach. I think it’s the honest approach set by senior management, including Andrew, Ralph and others. And highly professional! Kudos!