When your water heater fails, you’ve got a big problem. You rely on your water heater for uninterrupted performance every day of the year. If you are suddenly confronted with no hot water, you may be tempted to run out and buy the first model you find. Considering the importance of the unit you choose, you may want to think about the best possible fit for your needs. Obviously, the unit should provide an ample supply of clean hot water. Since your water heating bill can add up to about thirty percent of your energy costs, you need an energy-efficient model. Fuel type is important. Price is a major factor. Most often, a cheaper unit is not your best investment. These systems offer inferior warranties, and will fail to live up to your expectations for quick and reliable hot water. Tankless varieties are gaining in popularity. Today’s water heating technology is far ahead of where it was just a few years ago. Tankless options provide modern conveniences and energy savings. You will never run out of hot water. They heat water on demand. As long as there is water available, a tankless model will provide hot water. These units do not have a storage tank, so very little space is required for installation. It can be mounted on a wall and is about the size of an average suitcase. While a traditional style water heater stays on 24 hours a day, a tankless model only turns on when water flows through it. It will then turn off when no more hot water is needed. There is also no pilot light.