The answer to the cost of a water heater is that there is a wide range of prices depending on several factors. Typically, a new water heater can cost anywhere from $400 to $2,000 or more, installed. The main factors that affect the price include the type of water heater (tank vs. tankless), the fuel source (electric, gas, or solar), the size and capacity, the brand and efficiency rating, and the complexity of the installation.
For example, a basic 40-50 gallon electric tank water heater may cost $400-$800 installed, while a high-efficiency tankless gas water heater could be $1,000-$2,500 installed. The cost can also vary significantly based on your local market and the specific plumber or HVAC contractor you hire. Getting multiple quotes from licensed professionals in your area is essential to understanding the true cost for your home.