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The average cost range for purchasing and installing an ENERGY STAR® certified storage tank water heater with condensing technology is from $2,900 to $3,600. The cost can vary significantly based on the size of your home, amount of water use, and the efficiency of the unit. Be sure to get multiple quotes to compare costs, installation approach and warranties. It’s also a good idea to estimate its annual operating costs and compare with other water heating technologies.

Did you see a building science or energy efficiency term you did not understand? Check out our glossary.