Repair or Replace (and Recycle): Your Hot Water Heater

This is the fifth in a series of posts about determining if you should replace or repair a broken appliance.

Heating water is typically the third-largest energy expense in your home (behind your clothes dryer and refrigerator), according to the U.S. Department of Energy's Energy Efficiency and Renewable Energy's (EERE)Energy Saver tips, so it's worth it to do the math and figure out if a new one will save you energy and money over the long haul. If your water heater goes on the fritz, there are a few things to consider before reaching for the phone or heading out for a new one.

First off, if the old one is electric, replace it-easy as that. Switching to a high-efficiency gas model will net you 50 percent energy savings over the old electric model, from the minute you turn it on. If you already have a gas heater, it gets a little more complex.Gas water heaters can last for 25 years or more (all right!) but the caveat is that they can operate for years at greatly reduced efficiency (oh, dear), with the only tell-tale sign being slowly increasing gas consumption and rising energy bill. So, if you suspect your heater of efficiency loss, the question is, "Is that a result of something easily fixable, or more general wear and tear?" and only your friendly certified technician can tell you for sure. Generally, if it's more than about 10 years old, it's probably operating at 50 percent (or lower!) efficiency, and you'll likely be better off with a new model.

This is where things get really interesting. Recently, "on-demand" or "tankless" water heaters have become increasingly popular, and offer the ability to only heat water only when you need it, eliminating the big tank of hot water sitting in the basement or laundry room. The EERE's Consumer Guide estimates that these can save upwards of 30 percent on energy costs, compared with a more traditional, gas-heated tank system. Check out its tips for selecting a new one before taking the hot-water plunge. Of course, if you're ready to really take a dip in the green-heating pool, you can build your own solar water heater.

See also: ::Green Your Home for Winter: Insulate Your Water Heater and ::Take Cooler Water for Better Skin

Difficulty level: Easy to advanced (for the solar self-install)

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