How Does A Tankless Water Heater Work?

A water heater works differently due to its different magnifications. A tankless and tank water heater works according to their capacity. When you make decisions about a tankless water heater, First, you have a question about how it works and whether it is a switch or not?

Before buying a tankless water heater for your home, you must understand how it works? And what did you do before installation? Here are some important points we discussed how a tankless water heater works?

So, after knowing it’s working, you get incredible benefits that we will also discuss in our article. To begin, let’s discuss the tankless water heater process. So, scroll down and see the steps one by one.

How Does It Work?

Here are five steps of a tankless water heater working.

First – Turn on the Tap of warm water Hot water.

Obviously, when you need hot water, firstly you will turn on the hot water tap. If you have a single or double knob, be sure you turn on the hot water tap. It’s simply the hot water flowing through the tap instantly when you turn it on.

Second – Cold Water Move To The Heater

Here, after turning on the tap, you expect hot water to flow through at desired Temperature. When turning on the tap, the heating sensor indicates the heater converts cold water to hot. Normally cold water flows in the pipes, and the heating process starts, and the sensor indicates Temperature and heating element begins the heating process.

Third – Sensors Detects Flow Rates

The internal heating process and sensors calculate how much water should be burned. If you set a specific temperature, it will calculate the initial Temperature ( ground temperature) and then convert it to the desired Temperature that you want to flow on a specific fixture. However, in the order, heat the water to a desirable temperature. 

This process is the same for both gas(propane) or electric water heaters. You will get endless hot water with tankless heaters, and without tanks, you will wait for it to fill warm water storage.

Forth – Heated Water Move To The Desire Point

So, in this process, when water reaches the desirable Temperature now, it circulates the heat exchanger and then flows to the locations where you are needed. In short, it begins to flow around all the pipelines and deduct the final designation.

Fifth – Endless Warm Water Continuously

If you are using a tankless water heater, enjoy endless hot water. But unfortunately, a tanked water heater does not offer continuous hot water. It is limited, and after finishing, you will wait for further hot water. In contrast, the tankless water heater works on-demand continuously. And also shuts down the heating process when turning off the tap. It is also an energy-saving and money-saving option that delivers hot water on demand. Otherwise, it stops the heating process and saves energy.

Point-of-use Vs. Whole House Tankless Water Heaters

Here we want to show some differences between the point of use and the whole house tankless water heater. Which one is best for your home? And how it works. Many people do not know about the Point-of-Use water heater, and they are confused between them.

What are the Point-of-Use Tankless Water Heaters?

A Point-of-use tankless water heater is easy to install and comes with compact size. You can install it near the tap and shower, even easily installed under the sink.

However, it can only provide hot water to 2-3 points like one shower, sink, or other taps. Due to their compact size, they don’t look bad, and their size does not demand extra space for installation. These are beneficial because they offer warm water on demand instantly.

While the Whole-house tankless water heater has the capability to provide hot water to your whole house, it can be installed outdoors or indoors, but its big size and sturdy structure are highly durable. On the other hand, it isn’t easy to install. If you turn on the tap, you will Wait few minutes because it was not installed near the faucet.

Tankless Water Heater Advantages & Disadvantages

Due to its low price, excellent performance, and energy-saving benefits. That’s why we enlisted some more benefits of a tankless water heater.

  • Simple money and energy-saving processing
  • Installed in limited space
  • Budget-friendly
  • Instant hot water supplies
  • Temperature control technology
  • A simple hot water supplies processing for both gas or electric components.
  • A standard home size uses 86 gallons per day, so with a tankless water heater, you can save energy because it is 8%–14% more energy efficient.
  • Long lifespan
  • The new tankless water heater comes with wifi capability. You can handle temperature and water flow through your smartphone with wifi connectivity.
  • Great heat exchanger and exhaust heat before it goes out the vent.
  • Automatic shut-off features when reached to the desired temperature.


  • Difficult Installation Process
  • New technology-based water heater little bit pricey

Related topic:

How long does a tankless water heater last?

How To Install A Tankless Water Heater?

What Size Tankless Water Heater Do I Need?