The answer to 'average cost of water heater installation' is that the typical range can vary widely, but generally falls between $800 to $1,500 for a standard tank-style water heater. The exact cost will depend on several factors, including the type of water heater (electric, gas, or tankless), the size and capacity needed for your home, the complexity of the installation, and your location.
Additional costs may include permits, disposal of the old unit, and any necessary plumbing or electrical work. It's important to get quotes from multiple local plumbers to compare prices and find the best value for your needs.