Looking to replace or upgrade your water heater? Use this water heater replacement cost guide to see what the work will cost and what factors affect your total.
Tankless Water Heater Cost in Raleigh [2025 Data]
Normal Range: $1,566 - $3,133
A tankless water heater in Raleigh, NC costs $2,332 on average. Depending on size, fuel type, quantity, and on-site issues, you could spend between $1,566 and $3,133.
How we get this data
Ian Tuttle / Angi
Ian Tuttle / Angi
Highlights
Raleigh homeowners should budget to hire a licensed local plumber to install a new tankless water heater.
Raleigh homeowners will need to pay a flat $75 permit fee for the installation of a new water heater.
The fuel type and capacity of a tankless water heater are the biggest cost factors.
Between Raleigh's lower cost of living and the cost savings that can come from installing a new tankless water heater, local homeowners can look forward to this project being a cost-effective choice. On average, tankless water heater cost in Raleigh is $2,332. However, a homeowner might pay anywhere from $1,566 to $3,133 for different options. Keep reading to get a clearer idea of what you can expect to pay for your home's new tankless water heater.
Angi Tip
We highly recommend inspecting your water heater annually for signs of degradation. If you spot any potential warning signs, consider contacting a local plumber.
Tankless Water Heater Cost Factors
The cost to install a tankless water heater in Raleigh, NC, will depend on your household's hot water needs. A local plumbing professional will consider the size of your household, your usage patterns, and your budget when making recommendations. Additionally, a knowledgeable local plumber will help you understand everything from tankless water heater pros and cons to how to flush a tankless water heater properly.
Single-Point Tankless Water Heater vs. Whole-House System
You can choose between single-point and whole-house tankless water heater systems. Some homeowners mix and match, installing a whole-house unit to handle the primary heating duties and placing a single-point system in an additional bathroom. This allows multiple people to shower at once.
| System Type | Capacity (gallons per minute) | Average Cost |
|---|---|---|
| Single-Point System | 1–2 GPM | $600–$1,700 |
| Whole-House System | 3–10 GPM | $1,800–$3,900 |
Fuel Type
Wondering how much you can save (or spend) on a tankless water heater? One of the best ways to calculate your expenses is by the type of hot water heater you choose. There are four types of tankless heaters to consider:
| Fuel Type | Average Cost | Pros | Cons |
|---|---|---|---|
| Natural gas | $1,500–$3,500 | Reliable output | More expensive installation |
| Electric | $600–$1,880 | Simpler installation | Not as consistent |
| Solar | $2,000–$3,900 | Energy efficiency, ideal for Raleigh’s climate | Complex installation |
Size
A primary cost factor is the size of the water heater. Larger heaters service a higher volume of water than smaller heaters, so count on increased costs. The amount of energy the heater can handle is one indicator of size. For tankless gas water heaters, the amount of energy they can handle is measured in the British thermal unit (BTU); electric water heaters use kilowatts (kW). When comparing gas, electric, and solar tankless water heater systems, another measure of size is capacity.
| Gallons per Minute (GPM) | Usage | Average Cost |
|---|---|---|
| 1–2 GPM | Point of use | $600–$1,700 |
| 2–4 GPM | Whole house (small) | $1,800–$2,200 |
| 5–7 | Whole house (medium) | $2,300–$3,500 |
| 8–10 | Whole house (large) | $3,500–$3,900 |
Gas Water Heaters: Smaller water heaters of 120–140 BTUs cost $500 to $1,200, which is enough for a one- or two-bedroom home. Larger water heaters of 180–200 BTUs or more cost $900 to $2,200, and these appliances handle enough volume to service a home of five or more people. Gas water heaters have an average flow rate of up to 5 gallons per minute (GPM).
Electric Water Heaters: Smaller water heaters of 5–8 kWs cost $100 to $250, though this is just enough for a one-bedroom apartment or small home. Keep in mind that electric water heaters only have a flow rate of up to 2 GPM. Mid-sized electric water heaters of 10–24 kWs cost $210 to $630 and can efficiently service a two-bedroom home. Large heaters of 27–36 kWs cost $420 to $800 and can handle enough volume for an expansive home.
Solar Water Heaters: If you're adding solar power to take advantage of Raleigh's sunny climate as a backup option for your electric unit, sizing for electric water heaters applies. In addition, solar water heaters are available in 80-gallon to 120-gallon capacities with average pricing ranging from $2,900 to $3,900 in Raleigh.
Tankless Water Heater Pro Costs
Water heater installation pros in Raleigh provide custom quotes for homeowners based their usage needs and personal preferences. To determine the most cost-effective and reliable option, a local pro will audit your water usage and recommend the brands with the best products and warranties.
Labor Costs
In Raleigh, handymen cannot provide plumbing installations. That means you'll need to hire a licensed and registered plumber for tankless water heater installation in Raleigh. On average, Raleigh plumbers charge between $65 and $90 per hour for this type of job.
Permits
While you do not need to submit plans to the city to install or replace a water heater in Raleigh, a permit is still needed. A flat fee of $75 will be added to the project cost for this permit.
Accessibility
If the desired location of the new tankless system is difficult to access or narrow and harder to work in, this can raise the labor costs to up to 10% to 15% of your project total. Prices will vary based on the home and setup.
Current Heating System Removal
Removing an existing hot water heating system can cost $500 or more, depending on the unit's size and accessibility, as well as the contractor's hourly rate. When looking for an installation quote, make sure the quote includes the removal and disposal of your current water heater.
Does Installing a Tankless Water Heater Increase Home Value?
Yes, it's estimated that a tankless water heater can increase a home's value by as much as 1.2%. Raleigh homeowners who upgrade to newer, more efficient tankless water heaters can also significantly reduce monthly energy bills. The greatest ROI comes from upgrading to an Energy Star tankless water heater that has the appropriate capacity for your household.
How Angi Gets Its Cost Data
Home is the most important place on earth, which is why Angi has helped more than 150 million homeowners transform their houses into homes they adore. To help homeowners with their next project, Angi provides readers with the most accurate cost data and upholds strict editorial standards. We’ve surveyed thousands of real Angi customers about their project costs to develop the pricing data you see, so you can make the best decisions for you and your home. We pair this data with research from reputable sources, including the U.S. Bureau of Labor Statistics, academic journals, market studies, and interviews with industry experts—all to ensure our prices reflect real-world projects.
Want to help us improve our cost data? Send us a recent project quote to [email protected]. Quotes and personal information will not be shared publicly.
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