I researched them a few years back. What I understand is the electric tankless heaters take soo much current they might have to upgrade the power to my house especially if I want a unit big enough to handle more than one point of use at a time ability. Propane or NG would work fine but with the cost of propane today I doubt that's cheep. If you have municipal NG connections (which I don't) it might be a good buy as I think NG is still a fairly cheep energy source.
Also the tankless heaters cost more up front.
To the fellow who said putting in his gas tankless heater really cut his power bills, I'd only ask how much more he spends on gas now.
You might want to consider better insulation for the tank heater you have and perhaps a timer on that to turn it off during long periods of non-use. For instance I shower at night and use minimal hot water in the AM. I could switch my tank off after showering, dish washing, laundry in the evening. I would still have decently hot water for shaving in the AM. When I come home from work in the evening turn it on. I haven't as I have haven't taken the time yet to figure out if the reheating the tank in the evening takes less power than keeping it hot all day. Plus I want a decent payback period on the $50-$100 or so for the timer setup.
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