Water Heater Rental or Buy: What to Weigh

The basics

A rental water heater is owned by a rental company. You pay a monthly fee, billed with your gas account or on its own statement, and the company handles repairs and replacement of its own equipment. Buying means you own the heater, pay once up front, and arrange your own service. Neither choice is wrong. The right one depends on how long you plan to stay, how you like to budget, and the terms in your existing contract.

• Renting suits owners who want predictable monthly costs and no surprise repair bills.
• Buying suits owners who plan to stay several years and prefer to pay less over the life of the heater.

Step by step

1. Find your contract. The rental firm's name appears on a decal on the tank and on your invoices. Ask for a copy of the agreement if you do not have one.
2. Read the buyout and removal terms. Some contracts set a buyout price that falls with age; others charge removal or return fees.
3. Check the tank's age. The rating plate shows the manufacture date; our age guide explains how to read it.
4. Add up the rental. Multiply the monthly fee by the years you expect to stay, and compare it with the installed price of an owned heater.
5. Consider the type. Switching is a natural moment to move to a tankless unit or a larger tank.

Time to bring in the shop

Call us if your rental is leaking and the rental company cannot come quickly, if you have decided to buy and want a quote, or if you are unsure whether the current heater is safe. We can install an owned heater once you have arranged the return or buyout. We can also look at the rented unit's condition and tell you plainly how much life it likely has left.

A quick comparison

Over a short stay, renting often costs about the same as buying. Over ten years or more, owning usually comes out ahead, especially with routine flushing.

Questions about this job? Call (365) 413-9125 and talk to a plumber.