One of my friends paid about $1,500 to replace her water heater. That was last fall (2024). We live in the southeast region. But another friend of mine spent more than $2,200 on a new water heater in Utah. Why such a huge price disparity? I was curious, so I did some research.
Based on the installation of a standard tank water heater, the national average is $1,950. This includes the cost of the unit plus all installation materials, labor, permits, and removal of the old unit. So it appears that my local friend got away with a better deal.
Prices in the Beehive State are higher. The average price for the same tank water heater in Utah is about $2,200. Costs could run $2,900 or more if installation goes above and beyond the basics. So again, why the disparity?
Utah’s Water Is Hard
Hard water is hard on water heaters. Unfortunately, Utah’s water is extremely hard. Residents from Salt Lake City to Provo know this all too well. Hardness dictates that water heaters in Utah homes need to be more robust. They need to be built with corrosion resistant materials that can withstand daily punishment.
This all translates to a higher cost for the actual unit. Utah homeowners could choose a tankless model to get around the hardness issue, but tankless water heaters cost more still. There are separate reasons for that.
Utah’s Winters Are Cold
Another contributing factor is Utah’s climate. Needless to say, things get pretty cold during the winter. So Utah water heaters need to be able to handle exceptionally cold incoming water while still delivering dependable service. That translates into the need for higher recovery rates and more insulation. Both drive up the price.
It is ironic that water heaters work hardest during winter. In southeastern states, like Florida and Georgia, water heaters barely do any work. But in Utah, they work extra hard from late fall through early spring.
Labor and Permit Costs Are Higher
Labor and permit costs are part of the price equation everywhere. In Utah, both tend to be higher than the national average. Labor costs more because cities and towns along the Wasatch Front have enjoyed more than a decade of growth and development. As for permit costs, that is a local government issue.
Superior Water & Air says that Utah plumbing contractors do not tend to publish their pricing online. They can be highly competitive depending on market demand. So if you live in Utah and are in need of a new water heater, Superior recommends obtaining multiple quotes. Getting three or four quotes forces contractors to compete for your business. That should translate into better prices.
Routine Maintenance Can Help
Superior says that routine maintenance can also help by extending the life of your water heater. Descaling and anode rod replacement are just two examples of routine maintenance services that can add years to the life of a unit that is otherwise in good condition.
Stretching the life of your water heater means having to replace it less frequently. It makes sense to put a little bit of money into routine maintenance in order to save a lot on repairs and replacement.
One last thing to consider is permitting. Utah municipalities have strict plumbing codes pertaining to water heater installations. The need for compliance suggests that it is better to have a licensed plumber install a new heater rather than doing it yourself. A licensed plumber will do the job right and keep the local code enforcement officer happy.