[Villages Kahuna]

Sneese's observation i an important one. I've had four tankless water heaters in two houses. They are the greatest and I will probably replace the 40-gallon tank that came with our house. But when I choose a model, I will make certain that the company has a network of properly trained service people in our area. My research so far indicates that Noritz has such a network. They are also a popular and highly-rated line of heaters.

You really do need to do your research in order to choose the correct model. Noritz makes one that you could almost certainly have installed for less than $1200-1300. On that basis, for a household of two the "payback" would be far, far less than 22 years. But the real payback is the endless supply of hot water and the 25-year life expectancy for the units. I can tell you from personal experience that you will notice a difference in your gas bill.

By the way, I would not recommend an electric tankless heater. The response time is notably slower than gas in actually "making" hot water.