Since my gas hot water heater is 12 years old I have been looking around in advance of its demise.
AO SMITH makes two very efficient tanked water heaters. The Vertex series. One is 90% eff & one is 96% eff. The 96% heater costs an arm & a leg at MSRP $1999 USD. Which pretty much ruled it out for me. Not sure about the 90% price.
They run a coiled chimney up through the tank to extract more heat from the exhaust. The 96% has to be power vented. They have extra valves for thermosiphon or radiant hot water heat as well. At least one needs a drain for condensate. I assume they are heavily insulated, but more doesn't hurt.
Can an instant heater be used inline with a tank heater? Will the instant stop heating once the tanked hot water gets to there?
Don
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