Tank vs Tankless Water Heaters: Which One Should You Choose
You’re elbow-deep in suds when the water turns icy. Or you’re the fifth person in line for the morning shower, praying for mercy. We’ve all been there – that moment when your water heater betrays you.
Choosing between a tank (the old-school cylinder) and tankless (the sleek wall-hung unit) isn’t about specs. It’s about your mornings, your utility bills, and whether you’ll need a second mortgage to keep the hot water flowing. Let’s cut through the sales jargon and talk straight.

How They Actually Work
The Tank: Your Reliable, Energy-Guzzling Workhorse
Picture a giant thermos strapped to your wall or tucked in the garage. It:
- Holds150–400 litres of water
- Heats it constantly(like keeping a kettle boiling 24/7)
- Sends hot water rushing to your tap the second you turn it on…
- …Until the tank empties. Then you’re queueing for lukewarm disappointment.
The reality: It’s simple, sturdy, and wastes energy heating water you’re not using. But when that tank’s full? Blissful, high-pressure showers for days.
The Tankless: The “Endless Hot Water” Miracle (With Fine Print)
This wall-mounted box heats water as it flows through:
- No storage tank– water gets superheated by gas flames or electric coils on demand
- Never “runs out”– in theory
- Sips energy– only fires up when you need hot water
The reality: It’s like replacing your thermos with a high-tech blowtorch. Powerful, efficient… but try running a shower while the dishwasher and washing machine are going? Prepare for a trickle or a cold surprise.
The Naked Truth: Where Each System Shines (and Stumbles)
| The Battlefield | Tank Heater | Tankless Unit |
| Hot Water Supply | ✅ Torrential flow – until the tank’s drained | ✅ Truly endless – but flow rate is capped (like drinking from a firehose vs. a garden hose) |
| Running Costs | ❌ Costlier – heats water 24/7 (even at 3 AM) | ✅ Cheaper – only burns energy when you call for hot water (up to 40% savings) |
| Upfront Price | ✅ Easier on the wallet – simpler tech, fewer install headaches | ❌ Spendier – needs specialised gear and expert setup |
| Space Hog Factor | ❌ Bulky footprint – needs serious floor/garage space | ✅ Space-saver – hangs discreetly on a wall (apartment-dweller’s dream) |
| Lifespan | ❌ 10–15 years – tanks corrode, elements burn out | ✅ 20+ years – fewer parts to fail, less corrosion risk |
| Hard Water Survival | ✅ Tough as nails – handles mineral-heavy water with basic maintenance | ❌ Scaled to death – mineral build-up chokes it without yearly descaling |
| Family Readiness | ✅ Chaos-proof – easily handles 3+ simultaneous showers | ❌ Demand-sensitive – undersized units buckle under peak load |
Real-World Test:
“My sister installed a cheap tankless unit in her coastal home. When her in-laws visited? Two showers running = water so cold her father-in-law stormed out and booked a hotel. Moral: Size it for YOUR chaos.”
Who’s Secretly Perfect for a Tank (Yes, Even in 2025)

Tanks aren’t dinosaurs – they’re battle-tested for real life:
- Big, busy households(4+ people with overlapping showers/laundry/dishwashing)
- Renovators on a budget– that $1,500 saved buys a lot of tiles
- Rural/rules-free zones– handles dodgy water pressure or frequent power dips
- “Fit and forget” owners– replace the anode rod every 5 years and it’ll outlive the family dog
Tank Triumph Moment:
*”Hosting Christmas lunch for 20? Your nephew’s 30-minute shower won’t faze a 315L gas tank. Try that with tankless and you’ll be serving cold resentment with the pudding.”*
Who’ll Love Tankless (and Who’ll Regret It by Winter)
Tankless sings for:
- Space-starved homes(apartments, tiny homes, cupboard-under-stairs installations)
- Eco-conscious savers– slashing energy bills by hundreds yearly
- Small households(1-2 people with modest hot water needs)
- Long-haul homeowners– willing to pay more upfront for 20+ years of service
Tankless Deal-Breakers:
- Hard water areas(looking at you, Adelaide & Perth): Without yearly descaling, efficiency plummets. “That ‘endless’ hot water? Gone in 18 months.”
- High-demand homes:Didn’t install a 32L/min monster or two units? Prepare for domestic mutiny.
Installation War Stories
The Tankless Disaster
- Mistake:Fitted a 24L/min unit to old gas lines.
- Result:Lukewarm disappointment whenever 2 taps ran.
- Pain:$3k to upgrade gas mains + new unit.
The Tank Tragedy
- Mistake:Put a 130L electric tank in a 5-person home.
- Result:6 AM shower queues ending in icy outrage.
- Pain:$1,800 to upgrade to a 315L gas beast.
The Lesson: Size Matters! A $300 professional demand assessment beats a $5k disaster.
5 Gut-Check Questions Before You Commit
- “What’s my PEAK hot water demand?”
(e.g., “Could the shower, dishwasher, and washing machine run at 7 AM?”) - “What’s my water’s personality?”
*(Hard water? Tankless needs yearly descaling – add $250/year.)* - “Where will this beast live?”
(Garage? Roof cavity? Or a shoebox laundry?) - “Gas or electric – and can my house handle it?”
*(Gas tankless needs serious gas flow. Electric needs robust wiring – sometimes 3-phase.)* - “What’s my REAL budget – now and in 10 years?”
(Tank: Lower upfront cost + higher bills. Tankless: Higher upfront + long-term savings.)
Plumber’s FAQs (The Truth They Don’t Put in Brochures)
Q: Do tankless units REALLY save money?
A: Yes – if your daily use is under 150L. Big families guzzling 300L+? The savings shrink faster than cheap jeans.*
Q: Can I DIY this swap to save cash?
A: Don’t. Just don’t. Gas work needs licenced pros. Get it wrong? You risk gas leaks, fried circuits, or flooding your ceiling. That “saving” could cost $10k fast.*
Q: Why do some plumbers trash-talk tankless?
A: They hate undersized online specials. Homeowners buy cheap units, skip maintenance, then blame the plumber when it fails.*
Q: Are tankless heaters noisy?
A: Gas models growl like a hungry lion. Electric ones purr like a kitten. Choose your soundtrack.
Q: Will it work in a blackout?
A: Electric? Dead. Gas? Only if it’s got battery ignition (most don’t). Stock up on wet wipes.
The Real Verdict: What Would a Battered Veteran Choose?
- TANK IF:Your house sounds like a zoo at 7 AM, you’ve got space to spare, and you value bombproof simplicity.
- TANKLESS IF:You’re space-poor, bill-conscious, live light, and commit to yearly descaling.
“Still sweating it? Give Princeplumbing pros a call today to assess YOUR home’s peak demand, water quality, and gas/power capacity.