If you're considering a tankless water heater, you’ll likely come across two main types: condensing and non-condensing. While both provide endless hot water and better energy efficiency compared to traditional tank-style heaters, they operate differently and have unique advantages.
Key Differences: Condensing vs. Non-Condensing Tankless Water Heaters
| Feature | Condensing Tankless | Non-Condensing Tankless |
|---|---|---|
| Efficiency | 90%+ (Ultra-High Efficiency) | 80-85% (Standard Efficiency) |
| Heat Exchange Process | Uses two heat exchangers to capture more heat from exhaust gases | Uses a single heat exchanger, so some heat is lost through venting |
| Ventilation | Can use PVC venting (cheaper installation) | Requires stainless steel venting (more expensive) |
| Condensation Management | Produces condensate (acidic water) that needs proper drainage | Produces little to no condensation |
| Operating Cost | Lower energy costs due to better efficiency | Slightly higher energy costs over time |
| Upfront Cost | Higher due to dual heat exchangers | Lower, but may require pricier venting |
| Best For | Homeowners looking for maximum energy savings | Homeowners seeking a cost-effective upgrade from a traditional water heater |
How They Work
1. Condensing Tankless Water Heaters
- Uses two heat exchangers to extract more heat from exhaust gases.
- The extra heat capture makes them highly efficient (90%+ energy efficiency).
- Because exhaust gases are cooler, they can use PVC venting, which is cheaper than stainless steel.
- However, they produce condensation (acidic water) that must be drained properly.
✔ Best for: Homeowners wanting maximum efficiency and lower utility bills.
2. Non-Condensing Tankless Water Heaters
- Uses a single heat exchanger, so more heat escapes through the exhaust.
- Efficiency is still better than traditional water heaters (80-85%) but lower than condensing models.
- Because the exhaust is hotter, they require stainless steel venting, which increases installation costs.
- Little to no condensation is produced, so no need for a drain.
✔ Best for: Homeowners looking for a lower upfront cost and an upgrade from a tank-style water heater.
Which One Should You Choose?
💰 If you want the most savings in the long run:
➡ Go with a Condensing Tankless Water Heater (lower energy bills, cheaper venting).
🏠 If you prefer a lower upfront cost and simpler installation:
➡ Choose a Non-Condensing Tankless Water Heater (but expect slightly higher long-term energy costs).
Final Thoughts
Both types of tankless water heaters provide unlimited hot water, better efficiency, and space savings compared to traditional tank systems. If you're in Philadelphia, a condensing tankless heater is often the best choice for efficiency and cold-weather performance.
Need help picking the right system? McCorry Comfort can help with expert installation and recommendations for your home! 🚿🔥