Jacob Pro General Contracting

Cost guide

How Much Does Water Heater Replacement Cost?

Replacing a water heater usually costs $1,000 to $3,500 installed. Tankless units and venting changes cost more.

JP
Jacob Pro Field Team

Updated Oct 22, 2026

Water Heater Replacement · National

$1,000 – $3,500

Typical range for most projects

Get an estimate
Small jobs from
$600
Average
$1,900
Large jobs up to
$6,000
How these ranges are built

What to know first

  • 01Tank heaters are the lowest-cost option.
  • 02Switching from tank to tankless often needs gas line and venting work.
  • 03Code updates such as expansion tanks add small costs.
  • 04Haul-away of the old unit is usually included.

Cost by type (installed)

TypeTypical range
Gas tank, 40–50 gal$1,200 – $2,800
Electric tank, 40–50 gal$1,000 – $2,500
Tankless gas$2,500 – $5,500
Heat pump$2,500 – $5,000

What moves the price

01

Venting and gas supply

Tankless and high-efficiency units may need new venting and a larger gas line.

02

Permits and inspections

Most cities require a permit when work touches structure, plumbing, electrical, gas, or the roof deck. Permit fees are usually a small share of the budget, but inspection dates set the pace of the job, so book them into the schedule from day one.

How the ranges are built

These are planning ranges from the Jacob Pro project desk, based on the scopes we price most often. Use them to budget before a site visit. The written estimate a crew lead gives you after seeing the job is the number to plan around.

Questions homeowners ask

How long do water heaters last?

Tank units last about 8 to 12 years; tankless units often last longer with descaling.

Ready for a real number?

A crew lead walks the job and gives you a written estimate. No cost, no obligation.

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JP

About the author

Jacob Pro Field Team

Crew leads and superintendents

Crew leads from the concrete, framing, MEP, finish, and envelope crews write the hands-on advice in this library: what to check before work starts, what slows a job down, and what a finished job should look like.