How Much Do Water Heaters Cost?
Water heaters are an essential component of homes, providing the comfort of hot water for various daily activities. Water heater replacement costs vary based on several factors, including what type...
Plumbing
Average Cost: $400 - $2,300
This is our complete review of Rheem water heaters, including tank, tankless, hybrid, gas, electric, and commercial-grade systems. We’ll cover product options, pricing, performance, and how Rheem compares with other top water heater brands.
Our Verdict: Rheem is a top choice for homeowners seeking variety, durability, and efficiency. While some models cost more than budget alternatives, Rheem’s broad lineup, strong warranties, and energy-saving technologies make it a smart investment for long-term comfort.
Before choosing the right water heater, it helps to understand Rheem’s history and reputation.
Founded in 1925, Rheem has become one of the most trusted names in water heating worldwide. The company manufactures a full range of water heaters, including standard tank models, tankless units, hybrid heat pump systems, and solar-ready options. With both residential and commercial solutions, Rheem products are widely available in big-box retailers, HVAC distributors, and through licensed installers across North America.
| Best For | Top Model | Cost Installed | Standout Features | Warranty |
|---|---|---|---|---|
| Wide product selection and reliability | ProTerra Hybrid Heat Pump | $500 to $6,000+ | Energy efficiency, leak protection, Wi-Fi | 6 to 12 years typical |
At Modernize, we love Rheem because it provides one of the broadest water heater portfolios in the industry. Whether you want an affordable tank unit, a space-saving tankless system, or a high-efficiency hybrid, Rheem has a solution.We also value Rheem’s emphasis on innovation. Features like EcoNet® smart technology, LeakGuard™ detection, and hybrid heat pumps show Rheem’s commitment to reducing utility costs and protecting homes. Combined with competitive warranties and widespread availability, Rheem delivers both convenience and long-term value.
It’s important to weigh the strengths and potential drawbacks before choosing Rheem.
Rheem has served both residential and commercial customers for over 100 years, evolving its product lineup to meet changing demands and technologies. Today, the brand delivers a wide range of innovative, energy-efficient solutions across water heating and HVAC, making it one of the most competitive manufacturers in the market.
Gas and electric water heaters are available, as well as tankless and traditional tank water heaters to choose from. Solar water heaters and hybrid electric systems are also available and stay true to the company’s commitment to give back to the environment. Point-of-use water heaters, those designed to be used with only a specific area, are a unique offering of this company.
Rheem’s HVAC lineup includes high-performance air conditioners, furnaces, and heat pumps. Packaged systems, advanced thermostats, and indoor air quality products like air purifiers round out its home climate solutions.
Rheem manufactures durable, energy-efficient systems for commercial use, including water heaters, air handlers, split systems, and heat pumps designed to meet the demands of businesses and large facilities.
Rheem offers standout models across tank, tankless, hybrid, electric, and commercial categories. Here are six of the most notable:
When it comes to water heaters, Rheem offers models that fit a wide range of budgets. Basic tank-style water heaters typically start around $400 to $600, depending on size and fuel type. More advanced or high-capacity units (such as hybrid electric or smart-enabled models) can range from $1,200 to over $2,300. Additional features like Wi-Fi connectivity, leak detection, or energy-efficient upgrades can increase the total cost, but even higher-end Rheem models remain competitively priced compared to other major brands.
| Water Heater Type | Avg Installed Cost |
|---|---|
| Electric Tank | $400 to $1,000 |
| Gas Tank | $600 to $1,500 |
| Tankless Gas/Electric (incl. RTEX-18) | $500 to $3,500 |
| Hybrid Heat Pump | $1,800 to $4,000+ |
| Marathon Electric | $1,000 to $2,200 |
| Maximus Heavy Duty Commercial | $3,000 to $6,000+ |
| Region | Low-End Installed | High-End Installed | Typical Range |
|---|---|---|---|
| Northeast | $700 | $3,500+ | $700 to $3,500+ |
| Midwest | $600 | $3,200 | $600 to $3,200 |
| South | $500 | $3,000 | $500 to $3,000 |
| West | $750 | $4,000+ | $750 to $4,000+ |
| Household Size | Recommended System | Typical Cost Installed |
|---|---|---|
| 1 to 2 People | 30 to 40 gal tank or RTEX-18 electric tankless | $500 to $1,500 |
| 3 to 4 People | 40 to 50 gal tank or standard tankless | $800 to $2,500 |
| 5+ People | 50+ gal tank, hybrid, or Maximus Heavy Duty | $1,500 to $6,000+ |
Rheem products are available through retailers and local contractors, many of which offer financing. Options include:
With so many brands on the market, choosing the right tankless water heater or best traditional tank water heater can be overwhelming. Rheem stands out for its wide range of residential options, smart technology, and commitment to energy efficiency — but how does it compare to other major players? Below, we break down how Rheem stacks up against leading competitors in terms of cost, availability, features, and long-term value to help you make the most informed choice for your home.
Explore Our AO Smith Review
We also offer an in-depth comparison of Rheem vs. AO Smith
Homeowners often ask similar questions before choosing a Rheem water heater. Below are the most common queries with clear, practical answers.
Standard tank models last 8 to 12 years. Hybrid and tankless units typically last 15 to 20 years, while premium Marathon tanks can last more than 20 years thanks to their non-metallic construction.
Installed costs start around $500 for small electric tanks and can reach $6,000 or more for commercial or hybrid systems. Most homeowners spend between $1,200 and $3,000 for mid-range models.
Yes. Rheem’s ProTerra hybrids, Prestige tankless systems, and many gas models are ENERGY STAR certified. Hybrid models can reduce energy bills by up to 70%.
Rheem is widely considered one of the most reliable water heater manufacturers. With strong warranties, accessible parts, and a wide installer network, it is trusted by homeowners and contractors alike.
Rheem offers tankless options like the Prestige and RTEX-18, but also provides tanks and hybrids. This makes Rheem more versatile, while Rinnai dominates in high-performance tankless-only technology.
For families of five or more, Rheem’s Maximus Heavy Duty commercial-grade tanks or ProTerra hybrid systems are best suited. Both provide the capacity and recovery rate to handle heavy demand.
Rheem is one of the most complete water heater brands available today. Its lineup covers every homeowner’s need — from affordable tanks to smart hybrids and heavy-duty commercial units. While premium models cost more, Rheem’s strong warranties, broad availability, and efficiency-focused innovations make it a smart choice for homeowners who want reliable hot water and long-term value.
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