The selection of a tankless water heater is a pivotal decision for energy efficiency, as influenced by factors such as climate and household hot water demand. Condensing vs non condensing tankless water heater models represent distinct technological approaches to achieving this efficiency, and their differences impact operational costs. Furthermore, the Energy Factor (EF) rating, a metric established by the Department of Energy, quantifies the energy efficiency of each type, directly influencing the decision-making process for consumers.

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Tankless Water Heaters: Condensing vs. Non-Condensing
Tankless water heaters, also known as on-demand water heaters, are rapidly gaining traction as a modern alternative to traditional tank-style systems. Unlike their storage-dependent counterparts, tankless heaters heat water directly without the need for a reservoir.
This fundamental difference offers several potential advantages, driving their increasing adoption in residential and commercial settings.
The Rise of Tankless Technology
The growing popularity of tankless systems can be attributed to several factors. Primarily, homeowners are drawn to the promise of energy savings. Tankless heaters eliminate the standby heat loss associated with traditional tanks.
Additionally, the potential for an unlimited hot water supply, space savings, and increased lifespan contribute to their appeal. As technology advances and prices become more competitive, tankless water heaters are becoming an increasingly attractive option.
Condensing vs. Non-Condensing: Understanding the Choice
This article delves into a crucial distinction within the tankless water heater market: the difference between condensing and non-condensing models. While both types offer the core benefits of tankless technology, their design, efficiency, and installation requirements vary significantly.
Our primary objective is to provide a comprehensive comparison of these two types of tankless systems.
This analysis will empower homeowners to make informed decisions based on their specific needs and circumstances.
The Importance of Selecting the Right Type
Choosing the right type of tankless water heater is paramount for optimal performance and long-term satisfaction. The selection significantly impacts energy consumption, installation costs, and the overall hot water supply experience.
A mismatch between the chosen system and household needs can result in disappointing energy savings, unexpected installation expenses, or inadequate hot water delivery. Therefore, carefully evaluating the pros and cons of condensing and non-condensing models is essential.
Consideration of your household’s hot water usage patterns, budget constraints, and existing infrastructure is key. With the right choice, homeowners can enjoy the full benefits of tankless technology. These benefits include energy efficiency and consistent hot water availability.
Condensing Tankless Water Heaters: Unlocking Superior Efficiency
Having established the importance of choosing the right tankless water heater, let’s delve into the specifics of condensing models and how their unique design achieves remarkable energy savings. Understanding their operating principles is key to appreciating their benefits and determining if they align with your needs.
Defining Condensing Technology
Condensing tankless water heaters represent the pinnacle of efficiency in on-demand water heating.
Unlike their non-condensing counterparts, these models are engineered to extract additional heat from the exhaust gases produced during combustion.
This seemingly simple difference leads to a significant improvement in overall energy performance.
Condensing technology captures what would otherwise be lost heat, preheating the incoming cold water and reducing the energy needed for the primary heating process.
The Combustion Process: A Closer Look
The combustion process in a condensing tankless water heater is similar to that of a non-condensing model, with one crucial distinction.
Both types burn fuel (natural gas or propane) to generate heat, which is then transferred to the water flowing through a heat exchanger.
However, in a condensing unit, the exhaust gases, which contain substantial heat, are directed through a secondary heat exchanger.
This secondary heat exchanger is designed to cool the exhaust gases to the point where water vapor within them condenses back into liquid form. This phase change releases latent heat, which is then captured and used to further preheat the incoming water.
This process not only increases efficiency but also reduces the temperature of the exhaust gases, allowing for the use of less expensive PVC venting in many installations.
The Role of the Heat Exchanger: Capturing Latent Heat
The heat exchanger is the heart of any tankless water heater, and in condensing models, its role is even more critical.
It’s engineered to maximize heat transfer from both the primary combustion process and the condensing of exhaust gases.
The design of the heat exchanger in a condensing unit is typically more complex than in a non-condensing unit, often featuring a larger surface area and specialized materials to facilitate efficient heat exchange and condensation.
This intricate design ensures that as much heat as possible is extracted from the exhaust stream, leading to higher energy efficiency and lower operating costs.
The Necessity of a Condensate Drain
A direct consequence of the condensation process is the production of acidic condensate.
This liquid must be safely drained away from the unit to prevent corrosion and damage to the system and surrounding structures.
Therefore, all condensing tankless water heaters require a condensate drain, typically connected to a nearby drain or a neutralization tank.
The installation of a condensate drain adds to the complexity and cost of installing a condensing unit. However, it is a necessary component for safe and efficient operation.
High Energy Efficiency: A Tangible Benefit
The most significant advantage of condensing tankless water heaters is their exceptional energy efficiency.
By capturing and reusing latent heat, these models can achieve significantly higher efficiency ratings compared to non-condensing models.
This translates directly into lower energy bills and reduced environmental impact.
Condensing units often boast an Annual Fuel Utilization Efficiency (AFUE) of 90% or higher, meaning that at least 90% of the fuel consumed is converted into usable heat.
Rebates and Incentives: Making the Investment Worthwhile
Recognizing the environmental and economic benefits of high-efficiency appliances, many government agencies and utility companies offer rebates and incentives for installing condensing tankless water heaters.
These financial incentives can significantly offset the higher upfront cost of a condensing unit, making it a more attractive investment for homeowners.
Be sure to research available rebates and incentives in your area before making a purchase.
Understanding Annual Fuel Utilization Efficiency (AFUE)
Annual Fuel Utilization Efficiency (AFUE) is a key metric for evaluating the energy efficiency of any water heater or furnace.
It represents the percentage of fuel consumed that is actually converted into usable heat over the course of a year.
For condensing tankless water heaters, an AFUE of 90% or higher indicates that the unit is highly efficient in extracting heat from the fuel it consumes.
A higher AFUE translates to lower energy bills and a smaller carbon footprint.
The condensing models, with their sophisticated heat recovery systems, undoubtedly represent a leap forward in tankless technology. But it’s equally important to understand the workings of their more traditional counterparts, the non-condensing tankless water heaters. These units, while not as efficient, still offer significant advantages over traditional tank-based systems and remain a popular choice for many homeowners.
Non-Condensing Tankless Water Heaters: The Basics
Non-condensing tankless water heaters represent the more established technology in the on-demand water heating market. They heat water directly without the use of a storage tank. When a hot water tap is turned on, cold water travels through a high-powered burner, heating the water to the desired temperature.
Operating Principles
The core principle behind a non-condensing tankless water heater is simple: heat water only when it’s needed. These units ignite a burner when water flow is detected. This rapidly heats the water as it passes through a heat exchanger. Once the tap is turned off, the burner shuts down, eliminating the standby heat loss associated with traditional tank heaters.
Unlike condensing models, non-condensing units do not have a secondary heat exchanger to capture latent heat from exhaust gases. The exhaust is vented directly outside. This design difference impacts overall efficiency, but also simplifies installation in some cases.
Venting Exhaust Gases
One of the key distinctions between condensing and non-condensing tankless water heaters lies in how they vent exhaust gases. Non-condensing models require traditional venting systems, typically made of metal (like stainless steel) to withstand the high temperatures of the exhaust.
These venting systems must be installed carefully to ensure proper and safe removal of combustion byproducts. Due to the higher exhaust temperatures, non-condensing units cannot utilize PVC piping for venting, which is a common option for condensing models.
The venting requirements can influence installation costs and location options within a home. Careful planning is essential to ensure compliance with local codes and optimal system performance.
Understanding BTU and GPM
Selecting the right size tankless water heater, whether condensing or non-condensing, hinges on understanding two key metrics: BTU (British Thermal Unit) and GPM (Gallons Per Minute). These values directly relate to the heater’s heating capacity and ability to meet a household’s hot water demands.
British Thermal Unit (BTU)
BTU measures the amount of heat required to raise the temperature of one pound of water by one degree Fahrenheit. In the context of tankless water heaters, BTU indicates the heating power of the unit.
A higher BTU rating signifies a greater capacity to heat water rapidly. The required BTU will be related to the ground water temperature of the location.
Gallons Per Minute (GPM)
GPM measures the flow rate of water that the tankless heater can heat to a usable temperature. This is often defined by a specific temperature rise. For example, the heater might be able to supply 4 GPM with a 70°F temperature rise.
The GPM rating determines whether the unit can simultaneously supply hot water to multiple fixtures (showers, faucets, etc.) without a drop in temperature.
Matching BTU and GPM to Your Needs
When selecting a non-condensing tankless water heater, it’s crucial to assess your household’s hot water usage patterns. Consider the number of occupants, the number of hot water fixtures, and how often they are used concurrently.
A higher GPM rating is necessary for larger households with greater hot water demands. Consult with a professional to accurately calculate your peak demand and choose a unit with the appropriate BTU and GPM ratings.
Failing to select the appropriate rating will lead to disappointment due to lower than expected hot water availablity.
Non-condensing tankless water heaters offer a reliable and time-tested approach to on-demand hot water. However, the differences between these systems and their condensing counterparts are significant. Understanding these distinctions is crucial for making an informed decision that aligns with your specific needs and circumstances.
Condensing vs. Non-Condensing: A Detailed Comparison
The choice between a condensing and non-condensing tankless water heater isn’t always straightforward. Several factors come into play, ranging from upfront costs to long-term energy savings. A detailed comparison across key areas helps illuminate the pros and cons of each system.
Energy Efficiency: Quantifying the Savings
Energy efficiency is arguably the most significant differentiating factor. Condensing models, with their ability to capture and reuse exhaust heat, boast significantly higher AFUE ratings – often exceeding 90%. This translates directly into lower energy bills over the lifespan of the unit.
Non-condensing models, while still more efficient than traditional tank heaters, typically have AFUE ratings in the 80% range. The difference, while seemingly small, can add up to considerable savings over time, especially with frequent hot water use.
Consider the long-term impact on your wallet and the environment when evaluating this factor.
Venting Requirements: A Matter of Complexity
Venting is another area where the two types diverge significantly. Condensing units, due to their lower exhaust temperatures, can utilize PVC piping for venting.
This is a cost-effective and relatively simple solution.
Non-condensing models, however, require more robust venting materials, such as stainless steel, to withstand the higher exhaust temperatures. This adds to the installation cost and can complicate the process, especially in older homes.
The type of existing venting infrastructure in your home can significantly impact the overall cost of installation.
Installation Costs: Weighing the Initial Investment
The initial installation cost is often a primary consideration for homeowners. Non-condensing models typically have a lower upfront cost due to simpler venting requirements and less complex internal components.
Condensing models, on the other hand, usually command a higher price tag due to the advanced technology and the need for a condensate drain.
However, it’s important to remember that the initial cost is only one piece of the puzzle. Long-term operational savings can often offset the higher upfront investment.
Operational Costs: The Long-Term Perspective
Operational costs are where condensing models truly shine. Their superior energy efficiency translates into lower monthly gas bills, leading to significant savings over the lifespan of the unit.
Non-condensing models, while less efficient, still offer substantial savings compared to traditional tank heaters.
However, the difference in energy consumption can be noticeable, especially in larger households with high hot water demand. Carefully analyze your hot water usage patterns to estimate potential long-term savings.
Lifespan: Durability and Longevity
Both condensing and non-condensing tankless water heaters are known for their longevity, often outlasting traditional tank heaters.
With proper maintenance, both types can provide reliable hot water for 20 years or more.
However, the more complex components in condensing models might potentially lead to more frequent repairs over time. Consider the potential maintenance costs when evaluating the long-term value of each system.
Gas Type (Natural Gas, Propane): Fuel Source Considerations
The type of gas used (natural gas or propane) generally doesn’t dictate whether you choose a condensing or non-condensing model, as both types are available for either fuel source.
However, it’s essential to select a unit specifically designed for your gas type.
Using the wrong type can lead to inefficient operation and potential safety hazards.
On-Demand Hot Water: Delivery Differences
The on-demand hot water delivery is comparable between the two types. Both condensing and non-condensing models provide a continuous supply of hot water as needed, eliminating the waiting time associated with traditional tank heaters.
However, some users report that condensing models may have a slightly faster response time due to their more efficient heating process. This difference is often subtle but can be noticeable in certain situations.
Non-condensing tankless water heaters offer a reliable and time-tested approach to on-demand hot water. However, the differences between these systems and their condensing counterparts are significant. Understanding these distinctions is crucial for making an informed decision that aligns with your specific needs and circumstances.
Choosing the Right Tankless Water Heater: Key Considerations
Selecting the ideal tankless water heater requires careful consideration of various intertwined factors. It’s not just about the initial price tag but a holistic evaluation encompassing energy consumption, installation complexities, spatial constraints, and environmental responsibility. By systematically assessing your specific needs against these criteria, you can confidently choose between condensing and non-condensing models.
Assessing Your Energy Efficiency Needs
Energy efficiency is paramount. Evaluate your household’s hot water consumption patterns.
Do you have a large family with frequent showers and laundry loads? A condensing model, with its superior AFUE rating, might be the wiser choice in the long run.
The higher upfront cost is often offset by substantial savings on your energy bills over the system’s lifespan.
Consider the long-term financial benefits, especially if you plan to stay in your home for an extended period.
Navigating Budgetary Constraints
Budgetary considerations play a vital role in your decision. A comprehensive cost analysis should include both installation costs and operational costs.
Non-condensing models generally have a lower purchase price and simpler installation requirements, making them attractive to budget-conscious homeowners.
However, remember to factor in the long-term energy savings associated with condensing models.
Calculate the payback period – the time it takes for the energy savings to offset the higher initial investment.
Also, investigate available rebates and incentives for high-efficiency appliances. These programs can significantly reduce the financial burden of choosing a condensing unit.
Addressing Space Limitations and Venting Requirements
Space constraints and venting requirements are often overlooked but can significantly impact your choice.
Condensing models offer greater flexibility in venting options. Their lower exhaust temperatures allow for the use of PVC piping, simplifying installation and reducing costs.
Non-condensing models, on the other hand, necessitate more robust, and often more expensive, stainless steel venting.
Evaluate your available space and existing venting infrastructure to determine which type is more practical for your home.
Consider the location of the water heater and the proximity to exterior walls or existing venting systems.
Embracing Environmental Responsibility
For environmentally conscious homeowners, the choice leans towards environmental impact concerns.
Condensing tankless water heaters, with their higher energy efficiency, contribute to a smaller carbon footprint.
By capturing and reusing exhaust heat, they reduce energy waste and minimize greenhouse gas emissions.
Choosing a condensing model is a tangible step toward a more sustainable lifestyle.
Consider the long-term environmental benefits and the satisfaction of reducing your impact on the planet.
Tankless Showdown: Condensing vs Non-Condensing – FAQs
Here are some frequently asked questions to help clarify the differences between condensing and non-condensing tankless water heaters.
What’s the main difference between a condensing and non-condensing tankless water heater?
The key difference lies in how they utilize exhaust gases. Condensing units extract additional heat from the exhaust, making them more energy-efficient. Non-condensing models simply vent the exhaust. This results in a higher efficiency rating for condensing tankless water heaters.
Are condensing tankless water heaters always better than non-condensing models?
Not necessarily. While condensing models are generally more efficient and may qualify for rebates, they also tend to be more expensive upfront. Consider your hot water needs and budget to decide if the long-term savings justify the initial investment.
How do I know if I need a condensing or non-condensing tankless water heater based on my home?
Several factors play a role. If you have a high demand for hot water and want to lower your energy bills over time, a condensing model might be a better fit. Your existing venting infrastructure could also influence the choice. Consult a qualified plumber to assess your specific requirements and whether your home is set up for a condensing vs non condensing tankless water heater.
What type of venting is required for each type of tankless heater?
Condensing units typically require PVC venting due to the lower exhaust temperatures, while non-condensing units often need metal venting, which is more expensive. This difference in venting impacts the overall installation cost, making understanding the venting requirements for a condensing vs non condensing tankless water heater an important factor.
So, there you have it! Hopefully, you now have a clearer understanding of the showdown between condensing vs non condensing tankless water heater options. Weigh your pros and cons and pick the one that best suits your needs. Happy showering!