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Yes, you can replace a current tank water heater with a tankless model or vice versa. If you’re maintaining the same fuel source—gas or electricity—the switchover should be smooth. A conventional tank requires open floor space, while a tankless model can be wall-mounted. If you’re switching to a tank water heater, you might need to clear space for it. Gas-powered tankless water heaters need a large volume of gas when they start running to heat the water instantly. You might need to increase the size of the gas line when going from a tank to a tankless model.

A larger heater requires a larger breaker—unless there’s one already installed. The longer answer to this question is more nuanced. Do you place demands on the heater at the same time as running other heavy-duty appliances like ovens and washing machines? Do you live in an older home that may not have considered the higher electrical demands we have now? Breakers need to be sized at 125% of the load. To find that load, you should call a local electrical pro.

Water heater installation code requirements are in place to keep your family and home safe. Water heaters that are installed wrong can simply not work. However, that's an, if you're lucky, type of situation. More commonly, incorrectly installed water heaters pose a real threat from carbon monoxide poisoning, gas leaks, water leaks, and even explosions. 

A thermocouple is a pretty simple device. It simply tells the control valve if heat is present. Most water heaters can use a universal thermocouple, provided it's the correct length. Getting one that's long enough for your appliance is crucial for success. However, some water heater models require model-specific thermocouples, which is why it's essential to take your existing one to the store to find the right match.