Cost guides › Water heater replacement
United States
Water heater replacement cost
Replacing a 40-50 gallon gas tank water heater like-for-like typically costs $1,900, with most quotes between $1,450 and $2,450 before sales tax. A basic builder-grade tank is about $1,700; a model with a longer warranty and leak protection is closer to $2,300. Switching to tankless or a heat pump water heater, or changing fuel, costs considerably more.
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mid-range, typicalCost by region
| Location | Basic | Mid-range | Premium |
|---|---|---|---|
| District of Columbia | $2,200 | $2,450 | $2,900 |
| Illinois | $2,200 | $2,400 | $2,850 |
| Minnesota | $2,100 | $2,350 | $2,800 |
| Oregon | $2,150 | $2,350 | $2,800 |
| Alaska | $2,100 | $2,300 | $2,750 |
| Massachusetts | $2,100 | $2,300 | $2,750 |
| Washington | $1,950 | $2,150 | $2,550 |
| Wisconsin | $1,950 | $2,150 | $2,550 |
| Connecticut | $1,900 | $2,100 | $2,500 |
| Hawaii | $1,900 | $2,100 | $2,500 |
Show all regions
| Michigan | $1,900 | $2,100 | $2,550 |
| Montana | $1,900 | $2,100 | $2,550 |
| New Jersey | $1,900 | $2,100 | $2,500 |
| New York | $1,900 | $2,100 | $2,500 |
| Indiana | $1,850 | $2,050 | $2,500 |
| Rhode Island | $1,850 | $2,050 | $2,500 |
| California | $1,800 | $2,000 | $2,450 |
| Missouri | $1,750 | $1,950 | $2,350 |
| New Hampshire | $1,750 | $1,950 | $2,350 |
| Pennsylvania | $1,750 | $1,950 | $2,350 |
| Colorado | $1,700 | $1,900 | $2,300 |
| Delaware | $1,700 | $1,900 | $2,300 |
| Iowa | $1,700 | $1,900 | $2,300 |
| Kansas | $1,700 | $1,900 | $2,300 |
| Kentucky | $1,700 | $1,900 | $2,300 |
| Louisiana | $1,700 | $1,900 | $2,300 |
| Maine | $1,700 | $1,900 | $2,300 |
| Maryland | $1,700 | $1,900 | $2,300 |
| North Dakota | $1,700 | $1,900 | $2,300 |
| Ohio | $1,700 | $1,900 | $2,300 |
| Arizona | $1,650 | $1,850 | $2,250 |
| Nebraska | $1,650 | $1,850 | $2,250 |
| Nevada | $1,650 | $1,850 | $2,250 |
| New Mexico | $1,650 | $1,850 | $2,250 |
| Texas | $1,650 | $1,850 | $2,200 |
| Utah | $1,650 | $1,850 | $2,250 |
| Vermont | $1,650 | $1,850 | $2,250 |
| Virginia | $1,650 | $1,850 | $2,250 |
| Wyoming | $1,650 | $1,850 | $2,250 |
| Alabama | $1,600 | $1,800 | $2,200 |
| Georgia | $1,600 | $1,800 | $2,200 |
| North Carolina | $1,600 | $1,800 | $2,200 |
| Oklahoma | $1,600 | $1,800 | $2,200 |
| Tennessee | $1,600 | $1,800 | $2,200 |
| West Virginia | $1,600 | $1,800 | $2,150 |
| Florida | $1,550 | $1,750 | $2,100 |
| Mississippi | $1,550 | $1,750 | $2,150 |
| South Carolina | $1,550 | $1,750 | $2,100 |
| Idaho | $1,550 | $1,700 | $2,100 |
| South Dakota | $1,500 | $1,700 | $2,100 |
| Arkansas | $1,450 | $1,650 | $2,050 |
What's included
Mid-range
- Draining, disconnecting and hauling away the old water heater
- A 40-50 gallon gas tank water heater sized for a household of 4
- Gas connection, venting connection and new water supply connectors
- New temperature and pressure relief valve and discharge line
- Thermal expansion tank and drain pan where required by code
- Filling, lighting and checking the draft and for leaks
- Local plumbing permit
What affects the cost
Type of water heater
A gas or electric tank swapped for the same type is the cheapest job. Tankless gas units cost more to buy and usually need a larger gas line and new venting. Heat pump water heaters cost more up front but use far less electricity than a standard electric tank.
Fuel changes
Staying with the same fuel keeps the job simple. Going from electric to gas needs a gas line and venting; going from gas to a heat pump or electric tank usually needs a new 240-volt circuit.
Code upgrades
Many jurisdictions require an expansion tank, a drain pan, seismic straps or a new relief line when a water heater is replaced. These are small items but they add up and belong in every quote.
Tank size and household
A family of four usually needs a 40-50 gallon tank. Bigger tanks and high-recovery models cost more, and oversizing just keeps more water hot for nothing.
Location
A heater in a garage or basement is easy to reach. One in an attic, a tight closet or a crawlspace takes more labor, and heat pump units need enough surrounding air space to work well.
Venting
Standard gas tanks vent into a chimney or metal flue. If the old flue is damaged, shared with a furnace that is being upgraded, or the new unit is a power-vent or condensing model, venting work adds to the price.
How to save
- Replace the heater before it fails and floods; you can then compare quotes instead of paying emergency rates.
- Stick with the same fuel and location unless you have a clear reason to change, since conversions add the most cost.
- Ask your electric utility about heat pump water heater rebates; they can narrow the gap to a standard tank.
- Flush the tank yearly and check the anode rod to get the most life out of the new heater.
Grants, tax and rules
Permits and licensed plumbers
Water heater replacement usually needs a plumbing permit, and gas and electrical connections must meet local code. Our figures are before sales tax, which varies by state.
Rebates
The federal 25C credit does not apply to property placed in service after 31 December 2025. Utilities often offer rebates on heat pump water heaters, and some states run home energy rebate programs; the DSIRE database lists what is available where you live.
Frequently asked questions
How much does it cost to replace a water heater?
A 40-50 gallon gas tank replaced like-for-like costs around $1,900 before sales tax, with most quotes between $1,450 and $2,450. Electric tanks cost a little less; tankless and heat pump models cost considerably more.
Is a tankless water heater worth it?
It gives endless hot water and lasts longer than a tank, but the upfront cost is much higher once the gas line and venting are upgraded. It makes most sense for large households or when the old tank is in the way.
Are heat pump water heaters worth the extra cost?
They use far less electricity than a standard electric tank, so in homes without gas they usually pay back the difference over time. They need space around them and work best in a garage, basement or utility room.
How long does a water heater last?
Tank water heaters typically last 8 to 12 years, tankless units 15 to 20. Rust-colored water, rumbling noises or moisture around the base are signs to start planning a replacement.
How long does replacement take?
A like-for-like tank swap usually takes two to four hours. Tankless installs and fuel changes can take a full day.
How this estimate is calculated
Work hours: 9.7 · Labour: $924 · Materials: $963
Sources: BLS Occupational Employment and Wage Statistics; Regione Toscana, Prezzario dei Lavori 2026 (CC BY 4.0); ECB exchange rates; market check: Mid = 40-50 gal gas tank like-for-like with expansion tank/permit. Fixr 50-gallon (2026-01-26): avg 1,800 (900-2,500); HomeGuide water heater (2026-01-02): tank 600-3,100, tankless 1,400-5,600, hybrid heat pump 2,000-4,600. Before sales tax..
Last reviewed September 26, 2026 · How we calculate costs · Editorial policy