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How to Install a Gas Tankless Water Heater Step-by-Step

A person carefully installing a gas tankless water heater and connecting the pipes.

Tackling a home improvement project yourself can be rewarding, but some jobs are best left to the experts. Installing a gas tankless water heater is one of them. This project sits at the intersection of three skilled trades: plumbing, gas fitting, and electrical work. A single mistake with any of these systems can lead to serious consequences, from water damage to dangerous gas leaks. Before you even consider a DIY approach, it’s crucial to have a clear picture of what the job entails. This article provides a detailed look at how to install a gas tankless water heater, covering the essential safety precautions, necessary upgrades, and step-by-step process to help you make an informed decision.

Key Takeaways

  • Leave Installation to a Licensed Pro: A gas tankless heater installation combines complex gas, electrical, and plumbing work. A single mistake can lead to dangerous gas leaks or water damage, making professional installation the only safe choice for your home and family.
  • Plan for Necessary System Upgrades: Switching to a tankless model isn’t a simple swap. You’ll likely need to upgrade your gas line to a larger size and install a new, dedicated venting system to meet the unit’s safety and performance requirements.
  • Perform Critical Safety Checks After Installation: Before using your new heater, you must confirm it’s safe. This means meticulously checking for gas leaks with soapy water, verifying the venting system is sealed and directs exhaust outside, and testing the water temperature and flow.

What to Consider Before You Install

Jumping into a tankless water heater installation without a plan is a recipe for headaches. Before you even think about tools, there are a few key decisions and assessments you need to make. Getting these right from the start will save you time, money, and ensure your new unit works perfectly for years to come. Think of this as your pre-installation checklist to make sure you’re setting yourself up for success.

Choose the Right Size Unit for Your Home

It’s easy to assume bigger is better, but that’s not the case with tankless water heaters. An oversized unit will be inefficient, while an undersized one will leave you with lukewarm showers. The right size depends on your household’s specific needs. A professional plumber can perform an assessment to figure out how much hot water you typically use and recommend the best size and type of heater for your home. This calculation considers how many bathrooms you have, your appliance use, and your family’s daily habits to find the perfect fit.

Find the Best Location

Where you put your new tankless water heater matters. Ideally, you’ll want to pick a spot that’s close to the fixtures that use the most hot water, like your kitchen sink or master shower. This reduces the time you have to wait for hot water to arrive. You also need to consider ventilation requirements, access to water and gas lines, and an electrical outlet. Tankless units are compact, but they still need adequate clearance for safety and future maintenance, so don’t try to squeeze it into a tiny, unventilated closet.

Check Your Existing Gas and Water Lines

This is a big one. Gas tankless water heaters require a lot more fuel on demand than traditional tank models. Because of this, you will very likely need to upgrade your gas line. Most tankless units need a 3/4-inch gas line or larger to get enough fuel to work correctly. If your current line is smaller, it will need to be replaced. A professional can assess your current setup and handle any necessary pipe upgrades to ensure your system is safe and effective.

Understand Local Permits and Codes

Plumbing and gas line modifications aren’t something you can just wing. You must follow your local electrical and plumbing codes, which can vary across Metro Detroit. You’ll also likely need to get a permit from your city or township before starting the installation. A licensed and insured plumber will be up-to-date on all local regulations, ensuring your installation is done safely, correctly, and completely by the book. This protects your home and gives you peace of mind.

DIY or Hire a Pro?

While tackling a home improvement project yourself can be incredibly rewarding, installing a gas tankless water heater is one of those jobs where the risks far outweigh the benefits of going it alone. This isn’t like changing a showerhead or fixing a leaky faucet; it’s a complex installation that involves high-voltage electricity, natural gas lines, and your home’s plumbing system. A single mistake can have serious consequences for your home and your family’s safety.

Before you start watching tutorial videos and stocking up on supplies, it’s important to honestly assess the scope of the project. This installation requires a high level of skill in multiple trades. Making the right choice between DIY and hiring a professional ensures your new water heater works efficiently and safely for years to come.

When to Call a Professional

Let’s be direct: you should always call a qualified professional to install a gas tankless water heater. Even if you’re an experienced DIY enthusiast, this project involves a unique combination of plumbing, gas fitting, and electrical work that requires specialized training and tools. Unlike a traditional tank heater, a tankless unit has intricate venting requirements and specific gas line sizing needs that must be met perfectly to function correctly and safely.

Think of it this way: a small mistake during installation could lead to a major failure down the road, potentially causing a gas leak or water damage that requires emergency plumbing services. A licensed plumber has the experience to handle these complexities, ensuring every connection is secure and every setting is correct from the start.

The Dangers of a DIY Installation

Attempting to install a gas tankless water heater without professional training is incredibly risky. You’re working with three potentially hazardous systems at once: gas, water, and electricity. An improper installation can lead to catastrophic failures. For example, connecting the gas lines incorrectly can cause a dangerous leak, creating a risk of fire or explosion. Similarly, poor venting can lead to a buildup of deadly carbon monoxide inside your home.

Beyond the gas-related dangers, faulty water line connections can result in slow leaks that cause mold and structural damage over time, or a sudden burst that floods your home. The electrical components also pose a significant fire hazard if not wired correctly. It’s simply not worth risking your safety to save a few dollars on installation.

The Advantages of Hiring a Licensed Plumber

Hiring a licensed plumber from a trusted company like Mr. Pipey gives you peace of mind that the job is done right. Professionals are experts on local building codes and permit requirements here in Metro Detroit, ensuring your installation is fully compliant and safe. They have the right tools and training to manage the complexities of gas lines and electrical connections, protecting your home and family.

A professional installation also protects your investment. Many manufacturer warranties are voided if the unit isn’t installed by a licensed technician. A pro will ensure your water heater operates at peak efficiency, saving you money on energy bills. When you’re ready to upgrade, the best first step is to contact a professional to get an expert opinion and a safe, reliable installation.

Your Installation Toolkit: Tools and Materials

Getting ready to install a gas tankless water heater is a lot like prepping for a big recipe—you need all your ingredients and tools laid out before you start. A mid-project run to the hardware store is frustrating and can throw off your entire timeline. Taking the time to gather everything you need ensures the process goes as smoothly as possible. This preparation step is just as important as the installation itself, setting the stage for a successful and safe setup. Let’s walk through exactly what you’ll need to have on hand.

The Tool Checklist

Having the right tools is the first step. You’ll likely have some of these in your garage, but others might be more specialized. Before you begin, make sure your toolkit is stocked with the essentials to handle the plumbing, mounting, and electrical components of the job.

Here’s a solid checklist to get you started:

  • Adjustable wrench and a pipe wrench
  • Pipe cutter for clean cuts on copper pipes
  • Electric drill and a set of screwdrivers
  • Teflon tape and pipe dope for sealing threads
  • Shut-off valves

Gathering these items ahead of time will save you from any last-minute scrambles and help you stay focused on the task at hand.

Essential Materials and Parts

Beyond your tools, you’ll need the specific materials and parts to connect your new unit. This includes the right size of copper pipes, compression fittings to create secure connections, and any necessary electrical wiring or conduit. It’s also a good idea to have your new shut-off valves ready to go. Before you even think about installing the new heater, you need a plan for the old one. Make sure you’ve completely removed your old water heater and figured out how you’re going to dispose of it properly. Clearing the space and having all your parts ready makes the actual installation much more straightforward.

Gas Line and Venting Supplies

This is where the project gets serious. Your home’s existing gas line might not be sufficient for a tankless unit, which often requires a larger, ¾-inch line instead of the standard ½-inch pipe. You’ll also need specific venting materials that run directly outside—not through an old chimney. It’s critical to seal all venting gaps with caulk to prevent exhaust from entering your home. Because of the risks involved, handling gas lines is a job best left to a licensed professional. An incorrect connection can lead to dangerous leaks, which is why our team at Mr. Pipey offers a range of expert plumbing solutions to ensure it’s done right.

Upgrading Your Gas Lines and Venting System

Switching to a tankless water heater isn’t just a simple swap. These high-efficiency units have specific needs that often require updating your home’s existing infrastructure. Before you can enjoy endless hot water, you’ll likely need to address your gas lines, venting system, and electrical setup. These upgrades are crucial for the heater to function safely and effectively, ensuring it gets the fuel and airflow it needs to perform at its best. Handling these modifications correctly is a non-negotiable part of the installation. At Mr. Pipey, we handle these kinds of comprehensive plumbing solutions every day to make sure your new system is set up for long-term success.

Get the Right Gas Line Size

Your old tank-style water heater probably used a 1/2-inch gas line. However, a gas tankless heater needs more fuel, and it needs it fast. To meet this demand, most models require a larger, 3/4-inch gas line. Without an adequate gas supply, your new heater will struggle to perform, leading to lukewarm water and frustrating temperature fluctuations. Upgrading a gas line involves careful calculations and precise work to ensure there are no leaks. This is a critical safety step, and it’s a job best left to a licensed plumber who can ensure everything is up to code and perfectly sealed.

Modify Your Venting System

Tankless water heaters also have unique venting requirements. Instead of using your home’s existing vertical chimney, most tankless units vent horizontally through an exterior wall. This new system requires two pipes: one to expel exhaust and another to bring in fresh air for combustion. The placement is critical—the vent must be installed at a safe distance from any doors, windows, or other air intakes to prevent dangerous exhaust fumes from re-entering your home. Properly configuring this specialized venting is essential for both the efficiency of your heater and the safety of your family.

Plan for Electrical Upgrades

Even though you’re installing a gas tankless water heater, it still needs electricity for its digital controls, electronic ignition, and temperature display. While it doesn’t draw as much power as an electric model, it does require a stable electrical source. Many manufacturers recommend connecting the unit to a dedicated circuit to prevent power fluctuations or tripped breakers from interfering with its operation. Before installation, check your electrical panel to confirm you have a suitable spot. If you’re unsure, a professional can assess your system and let you know if any electrical work is needed.

Staying Safe During Installation

When you’re working with natural gas, safety is the most important part of the job. A mistake here can have serious consequences for your home and family. Before you pick up a single tool, you need a clear understanding of the risks involved and how to manage them. This isn’t the time to cut corners or make assumptions. From preventing dangerous gas leaks to ensuring your new unit has the right ventilation, every step is critical. We’ll walk through the essential safety measures you need to take to protect yourself and your property during the installation process.

How to Prevent Gas Leaks

Let’s be direct: a gas leak is a serious emergency. Using the wrong type of gas lines or failing to secure connections properly can lead to gas leaks, which create a risk of fire or explosion. Even a small, undetected leak can fill your home with dangerous fumes. It’s crucial to use the correct pipes and fittings rated for gas and to ensure every connection is sealed tightly with the appropriate sealant. After connecting the gas line, you must check for leaks using a soapy water solution. If you see bubbles forming, you have a leak that needs to be fixed immediately. If you ever smell gas, leave your home right away and call for professional help.

Ensure Proper Ventilation

Proper ventilation is non-negotiable for a gas tankless water heater. Unlike many traditional tank heaters that use an existing chimney, a tankless unit requires a dedicated, sealed venting system. This usually means installing a new vent that runs horizontally through an exterior wall. This special vent does two things: it safely expels exhaust fumes outside and draws in fresh air for combustion. Without this system, your heater can release carbon monoxide—a colorless, odorless, and deadly gas—into your home. Never try to connect a tankless heater to an old chimney or an existing furnace vent; it’s not safe and won’t meet local building codes.

Use Protective Gear and Shut Off Utilities

Before you begin any work, your first step is to prepare the area and shut off all relevant utilities. Start by turning off the main water supply to your house. Next, shut off the gas valve leading to your old water heater. Finally, go to your electrical panel and turn off the circuit breaker that powers the unit. This eliminates the risk of water damage, gas leaks, or electric shock while you work. It’s also smart to wear protective gear, like safety glasses and gloves, to protect yourself from debris or sharp edges. If you’re unsure about any of these steps, it’s always best to contact a professional for help.

How to Install Your Gas Tankless Water Heater: A Step-by-Step Guide

Installing a gas tankless water heater is a detailed process that requires precision, especially when you’re working with gas and water lines. This guide breaks down the installation into four key stages. While it’s helpful to understand the steps, remember that safety is paramount. A professional installation guarantees that everything is handled correctly and meets local codes. Here’s a look at what the process involves.

Step 1: Prepare the Area and Shut Off Utilities

First things first, you need to prepare your workspace. This starts with removing the old water heater and figuring out how to dispose of it properly. Before you touch any connections, shut off the main water supply to your home. The most critical safety step is to turn off the gas line leading to the old unit and ensure it’s completely disconnected. This isn’t just a suggestion—it’s essential for preventing a dangerous gas leak. You’ll also want to check with your local municipality for any required permits before you begin. Getting this prep work right sets you up for a much smoother and safer installation process from the start.

Step 2: Securely Mount the Unit

With the area clear and safe, it’s time to mount your new tankless unit. A tankless water heater needs a solid, secure anchor, so don’t just attach it directly to drywall. A common and effective method is to build a sturdy wooden mounting box that positions the unit about four inches from the wall. Use the correct anchors to ensure it can handle the weight without any movement or vibration. Your best resource here is the manufacturer’s installation manual. Following their specific directions is crucial for a safe setup and for keeping your warranty valid. Take your time to get the unit perfectly level and secure before moving on to the connections.

Step 3: Connect Water and Gas Lines

Connecting the water and gas lines is a critical phase where precision is key. You’ll attach the hot and cold water lines as shown in the unit’s diagram. The gas line, however, often requires an upgrade. Most tankless heaters need a larger gas line—typically ¾-inch—than older tank models to function correctly. This is not a simple swap and often requires a licensed plumber. You must also install a shutoff valve and a sediment trap on the gas line for safety and maintenance. Given the risks involved with gas, if you have any doubts, it’s always best to call for professional plumbing services.

Step 4: Install the Venting System

The final construction step is installing the venting system. Gas appliances produce carbon monoxide, so proper venting is a life-or-death matter. The vent must run directly to the outdoors through an exterior wall—never into an existing chimney, which isn’t designed for it. Use the type of vent pipe specified by the manufacturer, which is typically stainless steel. After drilling the hole for the vent, seal all gaps on the exterior with a high-temperature silicone caulk to prevent exhaust from seeping back inside. This also keeps weather and pests out. If you’re not 100% confident in your venting work, please contact us for an inspection.

Final Checks: What to Do After Installation

Your new tankless water heater is mounted and connected, but the job isn’t quite finished. Before you call it a day, running through a few final checks is essential to ensure everything is safe, efficient, and working correctly. This final walkthrough protects your home and family and confirms that your new unit will perform as expected. Think of it as the last, most important step in the installation process. Skipping these checks can lead to serious safety hazards or performance issues down the road. Taking a few extra minutes now will give you peace of mind and a reliable supply of hot water for years to come. From leak detection to system tests, each step plays a vital role in finalizing your installation properly.

Check for Gas Leaks

This is the most critical safety check you will perform. A gas leak is a serious hazard, and you must confirm all your connections are secure. The safest way to do this is with a simple solution of soap and water. Apply the soapy mixture to the gas line fittings and connections with a small brush or spray bottle. If you see bubbles forming, you have a leak. Never use an open flame to check for leaks. If you detect a leak, immediately turn off the gas supply, open windows to ventilate the area, and call a professional for emergency plumbing services.

Test Water Temperature and Flow

Now it’s time to see your new water heater in action. Turn on a hot water faucet in your home and let it run for a few minutes. Check if the water heats up quickly and maintains a consistent temperature. Does the temperature match the setting on your unit? You should also check the flow rate at different faucets to make sure it’s adequate for your needs. A professional plumber will always test the heater to confirm it’s operating correctly and safely. If the temperature fluctuates or the pressure seems low, consult your user manual or call for professional assistance.

Verify Proper Venting

Proper venting is crucial for gas-powered appliances, as it safely directs combustion gases like carbon monoxide out of your home. Double-check that your vent pipe runs directly to the outside and is not routed through a chimney or into an attic space. Inspect all the vent connections to ensure they are tight and securely sealed. Where the vent exits your home, make sure any gaps are sealed with weatherproof caulk. This prevents drafts, moisture, and pests from getting in. If you have any doubts about your venting system, it’s best to have a professional inspect it.

Perform a Final System and Compliance Check

The final step is to ensure your installation complies with all local regulations. All plumbing and electrical work must adhere to your area’s specific building codes to ensure safety and functionality. You should also confirm that you have obtained any necessary permits for the installation. These rules are in place for your protection. A licensed plumber will be familiar with these requirements and ensure everything is up to code. For total peace of mind, you can have a trusted professional from a company like Mr. Pipey review your work to guarantee it’s safe, compliant, and done right.

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Frequently Asked Questions

Why can’t I just use my old water heater’s chimney for the new vent? It’s a great question, but the answer is a hard no. Tankless water heaters require a special, sealed venting system that pulls in fresh air from outside and pushes exhaust out. Your old chimney isn’t designed for this two-way system. The exhaust from a tankless unit is also different in temperature and moisture content, which can damage the chimney lining and, more importantly, create a serious risk of carbon monoxide leaking back into your home.

My current gas line works fine. Do I really need to upgrade it? Yes, this is one of the most important upgrades. Think of it like this: your old tank heater sipped gas slowly to keep a large tank warm. A tankless heater, on the other hand, needs a huge burst of fuel the instant you turn on the hot water. A standard 1/2-inch gas line simply can’t deliver that much fuel that quickly, which will cause your new heater to underperform and struggle to give you consistently hot water.

What’s the most common (and dangerous) mistake you see with DIY installations? The most dangerous mistakes almost always involve the gas line and the venting. An improperly connected gas line can cause a slow, undetectable leak that poses a fire or explosion risk. Incorrect venting is just as serious, as it can allow deadly, odorless carbon monoxide to build up inside your home. These two areas are precisely why this job is best left to a licensed professional.

How long does a professional installation typically take? For a straightforward installation where the gas and water lines are easily accessible, a professional can often complete the job in about four to eight hours. However, the timeline can extend if significant upgrades are needed, such as running a new, larger gas line across your basement or creating a new vent path through a difficult exterior wall.

Besides the unit itself, what are the main costs I should expect? When budgeting for your new heater, you should also plan for the cost of labor, materials for any necessary upgrades, and local permit fees. The biggest variables are the materials for the new gas line and the specialized venting system. A professional plumber can give you a clear estimate that includes all these components so there are no surprises.

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