Answer Questions

You have to put your self in the shoes of a business that is in business to turn a profit of some sort. All businesses have different overhead which in turn decides what their bottom line would be on their services. I personally would not go with an unlicensed professional for this type of install. You are messing with gas, venting issues, electrical wiring{electric water heater} and updated code issues such as a drain pan and tempature and relief drain lines for heaters that currently do not have them. I do agree that there are some companies that are way out of line for their installs but most of these companies are the really big companies that have very high overheads I would assume. Tank type water heaters have changed over the last several years and with these safety changes come bigger prices. The price of steel thanks to China is skyrocketing and tank type water heaters are made of steel. Most wholesale plumbing supply companies cannot match what the big box stores are selling at retail to consumers. I happen to think from research that heaters such as Rheem, Bradford White and AOSmith who have been in business forever make a better product than what you can buy in the big box outlets. You also have to take in consideration the location of the water heater that is being replaced. Is it in the house, basement, garage or attic. Most 40 and 50 gallon water heaters that are purchased in a plumbing wholesale store in Texas cost between 300-340 for a 6 year warranty heater with 6 year on parts and tank. Speaking of warranty. Most big box companies will take a least 24 hours to a week to get your warranty problem taken care of. Most reputable plumbing companies will give same day service if they installed the heater.

So lets break down a typical install at cost to a licensed plumber in Texas

Heater: $315, water shut off $6.50, water flex lines or unions to code $20, gas flex line and cut off to code $12, misc fittings $15, Total $368.50 Lets add a 35% profit which is some what low for a business $129, Total 497.50

This doesnt include permits, pan and drain or any venting issues. The vent must go from the heater to the outside of roof using double wall vent.

Cost of permit on average $60

Most plumbing companies allow for 3 hours of time for a water heater. This includes picking the new one up. Delivering out to house. Draining and removing old water heater. Hauling off old heater. Installing new heater up to code. Going down to city and pulling permit.

Average Labor charges for heater installs $400

That would make this install run without extras on any code issues $957.50

I just had a 50 gallon gas water heater installed in my house for $1200 but I needed a pan installed. I used a licensed plumber.

imo, I would want a licensed/insured professional to install a GAS water heater in my home, working with gas is dangerous even for professionals. So when comparing prices, keep in mind who is licensed/insured , and who is not a professional. Usually the lower prices "too good to be true", are not licensed/insured, and these are the people you cannot compare with the licensed/insured professional.

As for Handymen companies, if they are not licensed to perform plumbing/gas work, they should not be in your home giving you an estimate.

As for Plumbers using products you cannot find, well that's usually something that can be explained easily. Why should a Plumber warranty a product that was made inferior by a "home store" or DIY store? Thats why plumbers use products from supply houses, they are better quality, and the contractor will warranty his own equipment. Try buying a water heater, and having it installed by a licensed pro. They will not warranty the heater, and if something goes wrong with it, you will be charged to fix/replace it even under a year.

AS for a price Gas water heater have now gone up, figure a 50 gallon i've heard installed in Ny for $980.00-$1180, but this only if for a true professional installation.

Typical cost here in the Philly area for a 40 gallon gas water heater installation is between $600-800. Don't forget that they also take away the old one in many cases and that can also be a hassle (and possibly an additional expense) if you had to handle it yourself.

I just had a new 40 gallon gas water heater intsalled yesterday at my home in Kansas City. The plumber gave me an option of having him get the water heater at a price of $350 or said I could get one myself at Home Depot and he would pick it up and install it for me. I chose to purchase one from him, because he told me that his was a higher quality and would last longer (I think the brand he installed was "State"). Besides, when I looked the water heaters up at Home Depot they were not that much cheaper anyway and the plumber told me that there was even some sort of pending lawsuit against GE water heaters and I didn't want to get into that....

It took the plumber 2.5 hours to install it at a cost of $65 per hour--so my total cost for the heater and labor with tax was about $550.00. He also hauled away the old heater.

I know that things like this are usually much cheaper here in the midwest than in other places, but that may give someone an idea!

Hope that helps!

Sophie, what you paid sound very reasonable. You have the price of the heater, labor, replacement of some plumbing at the heater since it may be corroded and re-plumbing to fit the layout of the new heater's pipes, but the basic hook up is there to start with. Your plumber is not reinventing the wheel and barring the unforseen, max of 3 hours labor. Unhook old heater, remove from premises, new heater in, it's hookup, dispose of old heater - - not necessarily in that order.I would do it myself because it is not brain surgery but the HARD part is getting rid of the old one, which by the time it croaks weighs about eight times what it did new [massive lime buildup inside over the years]. Some of the above posters are really paying a lot unless there is something I can't see, like they live on the 10th floor with no freight elevator or bought a very expensive, large heater.

[quote user="Sherlock Homes"]Typical cost here in the Philly area for a 40 gallon gas water heater installation is between $600-800. Don't forget that they also take away the old one in many cases and that can also be a hassle (and possibly an additional expense) if you had to handle it yourself.[/quote]

I live in Arizona and the overall cost is less but there is a lot more to than just the installation. You might be able to do it yourself but what will you do with the old one?

Your 16-17 year old water heater is well beyond the typical life span here in the Philly area. Gas water heaters here typically last about 12 years (plus or minus 2). I have seen very very few 15+ year old water heaters still in operation, but not many.

I think what has been established on this thread is that the cost of replacement depends on your area of the country. The original poster was getting quotes in excess of $1000, while here around Philly $600-800 is the norm (I have had dozens of clients need this and seen several quotes in this range to verify it), while others in the midwest and elsewhere come in lower than that.

It is a very common task, and I would receommend you call a few plumbers for a ballpark estimate over the phone (many won't do this, but some will).

It usually just depends on the time. As in how long it takes.

-----------------------------

Source: 

Our water is so hard around here that even if we use a softener, water heater tanks fail in 10 years or so. Unfortunately I need to replace mine, but have to choose between hot water or paying for my insurance since losing my job last summer. Not a fun choice.

Pat J

Source: 

I just had 3 replaced in a rental property at the same time. Each unit cost $208 from Home Depot. I had a handyman do the installation/removal for all three for $350 in labor. Grand total of $974. Hope that helps!

Source: 

Geez...I think we got taken. My husband purchased a water heater from Home Depot. He thought he and a friend could install it, but the job ended up being more involved. We had some people come install it. 2 hours later...we are almost $800 dollars poorer.

I just had Home Depot put in a gas hot water heater. The cost of the water heater plus tax came to $580 (9 year GE) but the installer charged an additional $1000, yes, $1000 for installation. My house was built in 2003 and the Home Depot repairman said that I needed to be code compliant as well as add several carbon monoxide alarms. I don't understand how so many codes could have changed but he claimed changes almost occur weekly. All told, an additional $1000!!! Don't know if I really needed everything he said was required but did not feel I had much a choice.

YOU ARE CRAZY. we don't tell doctors how much they should charge for the 30 wait time in the office and the 10 minutes we get to see the for a shot or a wellness visit! Have you costed that ???? Normal mark up is about 30% on product. The going rate for a licensed plumber is 125 an hour. Have you tried to lift a water heater by yourself???? It is a 2 person job so that would be where the 750 for installation comes from.

SO, here is the reality check...
water heater is about 300-450 + 750 for a 2 person install=$1100.00 at least for a new water heater. That's not including if you have gas.


I don't understand why people watch HGTV which is misleading and think they know or assume what something should cost. I think plumbers know how much it cost to install a water heater.
My advice is call 3 and get estimates. Compare each and chose which one is best for you. OF course if you want to be cheap, you get what you pay for.

Well you are dealing with flat rate pricing the 50 gas cost around $500.00 and the hidden labor charge built in is about $450.00 per hour they usually give the tech 2hrs to install and they make $55.00 per plus the trip charge they get an half hour .,they tack on at the $39.00 trip rate and if they say they wave it, BS! its still built into the price and they will charge you for extras new shut off valve expansion tank permit and believe me get a permit if they wont get you one throw them out! so now you can compare but get a permit! Oh and some charge you to haul it away and for stairs etc! Have a nice day.

We just had one installed outside of Chicago...Paying for a good 50 gallon tank (w/a good warranty) w/installation & permits, costs just under $1100. I called 8 companies and the variance was under $50 among them all...I ended up having Home Depot install it...If you buy the one that lasts the longest from them, they'll warranty it to you for as long as you own your home...

I live n the Philly area I brought my tank n supplies had a licensed plumber come take out the old 1 put n the new 1 n 2hrs for $250.00... He took the old 1 with him when he left and all I had was alil clean up!! I feel like u all got robbed! Shop around!! Family owned businesses usually do gr8 work for much cheaper then commercial

I just had a 40 gallon tank replaced in the Chicago area. Set me back $1445. Friends who had similar repairs done later told me I should have paid around $600. I found the exact model they installed online for $445. The repair took less than 1 hour without any complications. $1000 for labor + reasonable markup? Seems pretty excessive to me.

Source: https://www.plumbersstock.c..
.