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One of the primary benefits of a heat pump water heater is how cost-effective it is. How much you save will depend on your water usage and electricity costs. That being said, we can ballpark savings for the average home of between $100 and $500 per year. You can increase that savings rate by researching and applying available energy incentives available in your area. If you really want to focus on cost, consider a tankless water heater.

If you're replacing a broken water heater, now is a great time to make sure you're selecting a unit that has the right capacity for your household. According to the U.S. Department of Energy, a small 50-gallon to 60-gallon tank is sufficient for households with one to three people. A medium-sized 80-gallon tank is considered ideal for three to four people. A larger tank may be needed if your household has four to six people.

Any item that can hold on to moisture and encourage mold growth should be discarded and replaced following water damage. Upholstered items, such as armchairs and couches, and soft items, such as mattresses, usually must be thrown away once they've taken on a lot of water. Soft furniture is difficult to dry out, creating an inviting environment for mold.

You may also need to replace hardwood furniture following water damage if you're unable to fully dry it out. If you have appliances and electronics that have been fully submerged in water, particularly sewage, you'll need to replace those, too.

A water heater is one of the heaviest hitters in your home, and it needs as much power as possible to help it run efficiently and effectively.

Your water heater should be on its own dedicated circuit breaker, with no other power sources running to it. This is required to meet the National Electric Code–and to ensure it runs as efficiently as possible.