Hot Water Heater- Replace or Repair?

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Hot Water Heater- Replace or Repair?

Eric Andrews
Alexandria, IN · Member since 2016 · 38 posts · 7 votes

I had an electrician address a problem with my hot water heater, he fixed the wiring, but referred me to a plumber to replace the heating element and thermostat. The plumber wants to replace the entire unit for $2,800 (no idea where he came up with that number) because "it's 10 years old and parts are going to continue to break."

To replace all of the parts except the storage tank would cost less than $200, and only $40 for what I need to replace now.

Am I missing something?

Thanks, - Eric

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Bill Turner
Investor · Tallahassee, FL · Member since 2013 · 77 posts · 24 votes
9y
You tube it and replace ur self. Or get a new plumber You should be able to replace a heating element your self. Just make sure you fill tank with water before turning electric back on or you will fry the new element. For that price I will fly out and show you how
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  • Ray S.
    Property Manager · houston, TX · Member since 2010 · 48 posts · 20 votes
    9y

    We pay 300 for wh and about 4 hours labor.  So anything over 500 is a good payday for the plumber.  Repair  parts are 50 to 75.  Most plumbers and electricians don't know how to troubleshoot.  If you know your stuff a couple hours plus time to get them.

    3Reply
  • Ralph R.
    Investor · Bethel, AK · Member since 2013 · 1k+ posts · 852 votes
    9y
    Eric Andrews The storage tank is the most important part. If it rusts or breaks and leaks now u have water damage to deal with. Remember when it leaks it continues to ask for water causing a flood around the water heater. I live in alaska I got an on demand hot water heater for my primary. It's good indefinitely. It was expensive it cost $2200 dollars. Installation free with purchase. It's good virtually forever. Weigh your costs and goals here. One heater should do 2 units. Once you turn the hot water on it just keeps going until you turn the HWater off. Your tank type heater keeps 30 or so gallons hot all the time. Your on demand heater keeps 5 gallons hot. Wich is cheaper? If I had to replace a hot water heater for the prices you quoted I would go with an on demand heater. RR
    3Reply
  • Bill Turner
    Investor · Tallahassee, FL · Member since 2013 · 77 posts · 24 votes
    9y
    You tube it and replace ur self. Or get a new plumber You should be able to replace a heating element your self. Just make sure you fill tank with water before turning electric back on or you will fry the new element. For that price I will fly out and show you how
    5Reply
  • Bob H.
    Rental Property Investor · Cedar Park, TX · Member since 2014 · 414 posts · 272 votes
    9y

    If the tank is not leaking, you can prolong its life by replacing the anode rod. You'll need a 1 1/16 socket and a long pipe with a breaker bar to loosen the old rod.

    1Reply
  • Chad Clanton
    Contractor · San Antonio, TX · Member since 2013 · 647 posts · 205 votes
    9y

    @Eric Andrews, $2800 huh? Will he be installing a new water heater with gold inlays and a built in internet server? I'm thinking $500ish all told, but that varies with the area and equipment.

    4Reply
  • Russell BrazilBusiness Member
    Moderator
    Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes
    9y

    I live in one of the most expensive parts of the country and it costs me about $800 to replace an electric water heater and $1,000 for a gas.

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    2Reply
  • Tariq B.
    Investor · Laurel, MD · Member since 2014 · 251 posts · 140 votes
    9y

    heck no that is way overpriced. I would just replace parts if it's in good shape rust wise. Make sure you clean it out when you fix the parts. I second that you will need a breaker bar. Thoes old elements are a tough one. 

    1Reply
  • Carlos Tavares
    Real Estate Professional · Pawtucket, RI · Member since 2016 · 133 posts · 79 votes
    9y

    Not sure it costs so much but I can buy a gas water heater for less then $500 and electric for less then $800 couple hours at most to replace.  I don't know anyone that would bother fixing a 10yo WH 

    1Reply
  • Ray S.
    Property Manager · houston, TX · Member since 2010 · 48 posts · 20 votes
    9y

    If you buy from a real plumbing supply house a lot less. I don't mean the big package houses.

    1Reply
  • Aaron Abraham
    Investor · Inver Grove Heights, MN · Member since 2016 · 29 posts · 20 votes
    9y

    @Eric Andrews, I've had a lot of plumbers try to scam me too.  On most water heaters I've had go bad, Joe Blow plumber looks at the unit from across the room and tells me 5 things wrong with it and then says he can't fix it, that water heater needs to be replaced.  I tell them thanks for looking at it, I'll shop around to other plumbers. Pay them there fee for coming out just to get them to leave peacefully.  Then I call their office tell them what happened and demand my money back. Most of the time they refund me my money.  Little trick.....if the water heater is a brand sears sells. call sears, they have a service plan you can buy for $150 bucks a year that covers all repairs and or replacement.  I learned this because a plumber told me his company doesn't work on sears brands. So I called sears to ask for a plumber reference and they offered me the "insurance", I paid the $150 and they sent out a plumber the next day.   Later I called the first plumbers office they told me that they service all brands and the plumber was misinformed and refunded my money.

    sorry this is so long but some plumbers are A$$ holes. I hope this helps,

    AA

    1Reply
  • JD MartinBusiness Member
    Moderator
    Rock Star Extraordinaire · Northeast, TN · Member since 2015 · 10k+ posts · 16k+ votes
    9y

    Story (I've told here before): About 15 years ago, I was working out of state when my wife called me to say there was no hot water. After walking her through a few troubleshooting steps, it wasn't simple so I told her OK to call the plumber. Plumber comes, looks, talks to her (and then me on the phone) and says the heater is shot, XYZ are no good, $1500 to put in a new heater - this is a good quality gas WH. I tell wife to go to daughter's house to take showers for the next 2 days and I will look it over when I get home on the weekend. Gas valve appeared to not be working, but just for giggles I ordered new everything - gas valve, thermostat, control board. Spent about $200 or so, including overnight shipping. Put everything in, fired right up, plenty of hot water.

    15 years later I am still using the same hot water heater, with the same parts. The heater is now 24 years old. Plenty of hot water. 

    Many technicians today are lazy and don't want to do any troubleshooting. I learned troubleshooting to the component level when I was in the Navy working on multi-million dollar radar & computer systems. We replaced 50 cent resistors on 50k circuit boards. If the tank isn't breached, replace the parts. 

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  • Gail K.
    Augusta, GA · Member since 2014 · 1k+ posts · 1k+ votes
    9y

    Holy smoke!   You can get a new 40 gallon electric hot water heater from Home Depot for under $400 in my neck of the woods.   You typically can buy a Rheem tune up kit with two heating elements and thermostats for under $40.

    The biggest pain is draining the old water heater and wrestling these things in and out of wherever it is stored.  If this old lady (I'm 65 years old) can do it, you can.

    Gail

    3Reply
  • Jim Y.
    Real Estate Investor · Tacoma, WA · Member since 2013 · 87 posts · 55 votes
    9y
    Eric Andrews The high cost could be justified, in certain instances. For example, if the water heater is in the back corner of a low crawl space or convoluted attic, it may require several people to physically drag out the old heater and then drag in the new. I had a project where the previous owner had fully framed and drywalled the water heater, then stacked ten years' worth of junk against the wall. Took most of the day just to get to it. Could also be "holiday rates"... meaning the plumber has made a good living all year and wants to take some time off... unless the price is much higher. Although a good company will simply tell you they are booked out past the holidays. So, you are stuck either waiting or paying a premium.
    1Reply
  • James Barnhart
    Rental Property Investor · Ocala, FL · Member since 2016 · 226 posts · 140 votes
    9y

    Definitely get another plumber. That sounds like you are being taken advantage of. And, if you are handy, you can you a replacement element and do it yourself. 

     I know a plumber that says," it's actually a cold water heater, because hot water doesn't need to be heated."

    0Reply
  • Darren Budahn
    Investor · Milwaukee, WI · Member since 2014 · 811 posts · 420 votes
    9y
    Find another plumber. I can get a new water heater plus installation for about $500-$550
    0Reply
  • Robert Rayford
    Investor · Las Vegas. Jacksonville, Bay Area Ca, Nv, Ca, Fl · Member since 2015 · 511 posts · 220 votes
    9y

    Being a Lic Plumber myself I would say that $2800 is to high. Not all plumbers are dishonest or a-holes! Although each installation can be different like accessibility issues, bad piping or valves, etc. New installation in California runs about $1250 for gas and about $100 less for electric. I myself would not work on a 10yr old unit. Most homeowners don't understand that a good plumber warrants his work and failure in a 10yr water heater is a sign that unit is reaching it's life limit. I know of instances that a plumber has worked on a old unit, then a month later the unit burst thus destroying flooring and such. Homeowner calls in a claim to the insurance company and the plumber ends up responsible for the damages. This why most plumbers wont work on old units. 

    3Reply
  • Christopher Phillips
    Real Estate Agent · Garden City, NY · Member since 2016 · 3k+ posts · 1k+ votes
    9y
    Eric Andrews I use to replace the heating elements and it only takes about 5 mins. But you have to judge if the tank is on the last leg or not.
    1Reply
  • Matthew Paul
    Severna Park, MD · Member since 2013 · 7k+ posts · 7k+ votes
    9y

    If this is a large company they have an incentive system . basically once the plumber hits a set number for the week around $ 5000 , then there is a 50/50 split between the company and the installer .  The company sets the minimum price , the installer tacks on what he wants to make .   A friend of mine works for an outfit like that , his pay is around $ 150,000 to $ 175,000 a year .   

    0Reply
  • Joseph Abbott
    Tulsa, OK · Member since 2016 · 119 posts · 23 votes
    9y

    Wow! You're not missing anything. Here in Detroit, Mi, you can get a hot water tank for $350. The install should cost no more than $200.

    0Reply
  • Michael Bertsch
    Bossier City, LA · Member since 2015 · 122 posts · 50 votes
    9y
    I would just repair it because it could last for another 10 years. Plus, you can fully deduct it as a repair. If you get a new one, you will have to depreciate it.
    1Reply
  • Paul Sandhu
    Investor · The worst town to live in, KS · Member since 2016 · 4k+ posts · 4k+ votes
    9y

    YouTube is your friend in this day and age.  You can learn to fix just about any household appliance.  The plumber must be sending his kids to college or the kids need some dental work. 

    $2800 seems kinda high, even if you eliminate the "2".  I've replaced gas and electric hot water tanks more times than I can count on one hand.

    0Reply
  • Bryan M Vides
    Norman, OK · Member since 2017 · 4 posts · 0 votes
    9y

    I think replacing your water heater would be a decent decision as it will build its life and is less costly. You can pick company providing water heater service to get the work done. The professionals make the water heater installation a truely convenient and easy task as they have applicable experience and expertise in this field. Always choose water heater service NJ who is authorized and insured.

    0Reply
  • Gail K.
    Augusta, GA · Member since 2014 · 1k+ posts · 1k+ votes
    9y

    Uh...why would someone in Indiana "choose" a plumber in New Jersey?  Your posting sounds like nothing more than an advertisement.

    0Reply
  • Craig Kantner
    Contractor · Zionsville, IN · Member since 2016 · 13 posts · 11 votes
    9y

    Never repair a 10 year old water heater.  It's just a metter of time before it fails  So why spend a nickle on a repair?   Replacing a unit is rediculously easy.   Sweat two joints and hook up the wiring, which cannot be done wrong.   If a person cant do this, and you live in a town with two plumbers, Alexandria, then you will pay two grand for a water heater.  

    0Reply
  • Jeff Keller
    Palo Alto, CA · Member since 2017 · 226 posts · 95 votes
    9y

    When you replace a water heater the drain pipe, the flue and the fresh air intake might have to be modified for the new tank. Two of those don't apply for an electric water heater. Any changes to the building code will have to be met (earthquake straps in California but probably not Indiana). Its possible that $2800 is reasonable but it sounds high even for Silicon Valley where everything is more expensive.

    0Reply
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