The 5 Best Tankless Water Heaters

I finally ditched my old 50-gallon tank water heater last year. It was taking up a huge chunk of my utility closet, and the idea of it springing a leak in the middle of the night always stressed me out. Switching to a tankless model was one of the best upgrades I’ve made to my house.

The biggest win? Endless hot water. We can run the dishwasher, a load of laundry, and someone can still take a hot shower without getting a blast of cold water. It’s fantastic, especially with teenagers in the house.

But picking the right one wasn’t simple. You’ve got gas versus electric, different flow rates, and a huge price range. After a ton of research and talking to my plumber, I’ve got a pretty good handle on what works. Here are some of the top tankless water heaters I’ve either used or seriously considered for my own home in 2026.

 

 

My Top Tankless Water Heater Picks

Rinnai RU180iN Tankless Water Heater

This Rinnai model is about $1,800, and it’s an absolute workhorse. It’s what I ended up installing in my own home. We’re a family of four with two bathrooms, and this thing keeps up without ever breaking a sweat. It can push out almost 10 gallons per minute, which is more than enough for us.

I really like the Wi-Fi feature, too. I can check its status from my phone, which is a neat little bonus. It’s a natural gas unit, so it’s super efficient and has definitely made a dent in our monthly utility bills. It’s compact and freed up a ton of space where our old tank used to be.

The Downside: The upfront cost is pretty steep. You’re paying for quality and performance, but it’s a big initial investment compared to a basic electric model or another tank heater.

 

 

Rheem RTEX-13 Electric Tankless Water Heater

At around $300, this little Rheem is a great deal for specific situations. I wouldn’t run a whole house on it, but it’s perfect for a point-of-use setup. Think a guest bathroom shower that doesn’t get used a ton, or a sink in the garage or workshop.

It’s electric, so it’s incredibly quiet and nearly 100% efficient. The digital controls are simple to use, and the whole unit is tiny, so you can tuck it away just about anywhere. For an apartment or a small cabin, this would be a fantastic, budget-friendly choice.

The Downside: The flow rate is limited. Don’t expect to run a shower and the kitchen sink at the same time. It’s really meant for one fixture at a time.

 

 

Stiebel Eltron Tempra 36 Plus Tankless Water Heater

This Stiebel Eltron costs about $900 and is a serious electric option for a whole house. These are really popular in warmer areas where the incoming groundwater isn’t super cold, letting the heater work more efficiently.

What sets this one apart is its flow control. It automatically adjusts to make sure the temperature stays rock-solid steady, even if someone flushes a toilet. No sudden bursts of cold or scalding water. It’s also completely silent, which is a nice perk.

The Downside: This thing is a power hog. You’ll likely need a major electrical upgrade to your panel, since it calls for three separate 50-amp breakers. That’s a job for a professional electrician and adds a lot to the total installation cost.

 

 

Rheem RTEX-36 Electric Tankless Water Heater

For about $800, this Rheem is a powerful electric unit that can handle a smaller home or an apartment with higher hot water demands. It offers a much better flow rate than its smaller sibling, getting close to what some gas models can do.

It has a self-modulating feature, which just means it only uses the exact amount of energy needed to heat the water you’re calling for. That’s great for keeping the electric bill in check. It’s a solid performer if you don’t have a gas line but still need to run a couple of things at once.

The Downside: Like the Stiebel Eltron, it has a high power draw. You absolutely need to make sure your home’s electrical system can handle the load and have dedicated circuits installed.

 

 

Rinnai RL75iN Tankless Natural Gas Water Heater

This Rinnai model runs around $1,050 and is another fantastic choice for homes with natural gas. It’s a bit less powerful than the first Rinnai on my list, but its 7.5 GPM flow is still plenty for most larger families with multiple bathrooms.

It’s built to last, and Rinnai backs it up with a 12-year warranty on the heat exchanger, which is the most important part. It also has Wi-Fi for remote monitoring, which is becoming a standard feature I really appreciate. It’s a reliable unit that just works.

The Downside: Installation can be complex. You need a natural gas line run to the unit’s location, and it has to be properly vented to the outside, which can add to the labor cost.

 

 

What to Look For Before You Buy

The first big decision is gas or electric. Gas units usually have higher flow rates and lower running costs, but the installation is more involved. Electric models are often cheaper to buy and easier to install, but you have to make sure your electrical panel is up to the task.

Next, look at the GPM, or gallons per minute. Add up the flow rates of the fixtures you might run at the same time. A standard shower is about 2.5 GPM and a kitchen faucet is about 1.5 GPM. That gives you a rough idea of what you’ll need so nobody gets left in the cold.

Don’t forget to factor in installation. This isn’t usually a DIY job. Getting a quote from a qualified plumber or electrician before you buy will save you from any nasty surprises. But once it’s in, you’ll love having hot water that never runs out.