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What is the difference between conventional water heaters and tankless water heaters?

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What is the difference between conventional water heaters and tankless water heaters?

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Conventional water heaters are by far the most common type of water heater in the U.S. today. They range in size from 20 to 80 gallons (or larger), and they are fueled by electricity, natural gas, propane or oil. Often called storage units, these water heaters transfer heat from a burner or coil to water in an insulated tank. The downside of a conventional water heater is that energy is consumed even when no hot water is being used.

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