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10 Best Energy Efficient Electric Water Heater 2026 in the United States

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Our Top Picks

#1

Winner

Rheem RTEX-24 24kW 240V Electric Tankless Water Heater, Gray

Rating
10.0
Chosen by1,276
Energy Factor (EF)

Most important from
3928 reviews

Energy Factor (EF)
Switching to this unit resulted in noticeable electricity savings with a lower monthly bill.

The Rheem RTEX-24 24kW 240V Electric Tankless Water Heater is a robust choice for those seeking energy-efficient hot water solutions. One of its main strengths is its high efficiency, boasting a 99.8% energy efficiency rating, which means it conserves energy effectively. This model offers on-demand, consistent, and continuous hot water, with a maximum flow rate of up to 5.9 gallons per minute (GPM), making it suitable for households with moderate to high hot water needs.

The self-modulating power control is a notable feature, allowing the unit to adjust energy consumption based on the hot water demand, which further supports energy savings. The digital temperature display and ON/OFF dial control provide ease of use and precise temperature settings, enhancing user convenience.

Rating
10.0
Chosen by1,276
Energy Factor (EF)

Most important from
3928 reviews

Energy Factor (EF)
Switching to this unit resulted in noticeable electricity savings with a lower monthly bill.
#2

Stiebel Eltron Tankless Water Heater – Tempra 36 Plus – Electric, On Demand Hot Water, Eco, White

Rating
9.4
Energy Factor (EF)
Recovery Rate
First Hour Rating (FHR)

Most important from
2207 reviews

Energy Factor (EF)
Consumes no power when not in use, enabling instant hot water even after extended absences.
Recovery Rate
Effectively supports continuous hot water flow for small to moderate households with proper usage scheduling.
First Hour Rating (FHR)
Delivers unlimited hot water with precise temperature control, allowing multiple simultaneous showers with minimal limitations.

The Stiebel Eltron Tempra 36 Plus is a tankless electric water heater designed to deliver hot water on demand without storing it in a tank. This model uses advanced flow control and self-modulation technology, meaning it adjusts its energy use based on how much hot water you need, which helps save electricity. Its 36 kW power rating supports a maximum flow rate of about 1.5 gallons per minute, making it suitable for smaller homes or limited hot water needs rather than large households.

Since it’s tankless, it doesn’t have standby heat loss, improving energy efficiency. The digital LED display makes it easy to set and control the temperature up to 140°F, giving you precise control over your hot water. Because it heats water on demand, the amount of hot water available immediately is lower compared to tank water heaters, so it may not supply multiple taps simultaneously as effectively.

The compact, wall-mounted design saves space, and it comes with a solid warranty backing. This model is well-suited for those who want energy savings and continuous hot water for light to moderate use, but it might not be ideal if you have high hot water demands or larger households.

Rating
9.4
Energy Factor (EF)
Recovery Rate
First Hour Rating (FHR)

Most important from
2207 reviews

Energy Factor (EF)
Consumes no power when not in use, enabling instant hot water even after extended absences.
Recovery Rate
Effectively supports continuous hot water flow for small to moderate households with proper usage scheduling.
First Hour Rating (FHR)
Delivers unlimited hot water with precise temperature control, allowing multiple simultaneous showers with minimal limitations.
#3

Stiebel Eltron Tankless Water Heater – Tempra 15 Plus – Electric, On Demand Hot Water, Eco, White

Rating
9.4
Energy Factor (EF)
Tank Capacity
First Hour Rating (FHR)

Most important from
2207 reviews

Energy Factor (EF)
Consumes no power when not in use, delivering instant hot water even after extended periods away.
Tank Capacity
Continuous hot water flow supports multiple simultaneous uses with some scheduling, but very high simultaneous demand may require planning.
First Hour Rating (FHR)
Provides unlimited hot water on demand, allowing simultaneous showers without interruption.
Standby Heat Loss
Compact design enables installation close to points of use, drastically reducing wait time for hot water.
Warranty
The 7-year leakage and 3-year parts warranties reflect confidence in the product’s durability and reliability.

The Stiebel Eltron Tempra 15 Plus is a tankless electric water heater designed to deliver endless hot water on demand, making it a great choice for households looking to save space and energy. Unlike traditional tank heaters, it heats water only when needed, which helps reduce standby heat loss—a common energy waster in tank models. Its advanced Flow Control technology ensures a steady water temperature by adjusting flow if demand is too high, so you’re unlikely to experience sudden cold showers.

With a power rating of 14.4 kW and a maximum temperature of 140°F, it can serve most small to medium-sized homes, though very large households might find it less sufficient for multiple simultaneous demands. Since it’s a tankless unit, there is no tank capacity, but it provides a continuous flow, which is a key benefit if you need hot water without waiting for a tank to refill. It also comes with an easy-to-use LED display and preset memory buttons for simple temperature control.

Energy efficiency is a strong point here, thanks to auto-modulation that adjusts power use based on demand, potentially lowering your electric bills. On the downside, this model requires a 240V electric supply and at least 100 amps service, which might need electrical upgrades in older homes. It’s also more expensive upfront compared to conventional tank heaters. The 7-year leakage warranty and 3-year parts warranty offer solid protection, reflecting confidence in its durability. Homeowners seeking an energy-efficient, space-saving water heater that provides consistent hot water with modern controls will find this model suitable, but those with larger families or older electrical setups should check compatibility before buying.

Rating
9.4
Energy Factor (EF)
Tank Capacity
First Hour Rating (FHR)

Most important from
2207 reviews

Energy Factor (EF)
Consumes no power when not in use, delivering instant hot water even after extended periods away.
Tank Capacity
Continuous hot water flow supports multiple simultaneous uses with some scheduling, but very high simultaneous demand may require planning.
First Hour Rating (FHR)
Provides unlimited hot water on demand, allowing simultaneous showers without interruption.
Standby Heat Loss
Compact design enables installation close to points of use, drastically reducing wait time for hot water.
Warranty
The 7-year leakage and 3-year parts warranties reflect confidence in the product’s durability and reliability.

Buying Guide for the Best Energy Efficient Electric Water Heater

Choosing an energy-efficient electric water heater can significantly reduce your energy bills and environmental footprint. When selecting the right model, it's important to consider several key specifications that will determine the heater's efficiency, capacity, and suitability for your household needs. Understanding these specs will help you make an informed decision and ensure you get the best fit for your home.
Energy Factor (EF)The Energy Factor (EF) measures the water heater's overall energy efficiency. It considers the amount of hot water produced per unit of fuel consumed over a typical day. A higher EF indicates a more efficient water heater. EF values typically range from 0.5 to 2.0. For most households, an EF of 0.9 or higher is recommended for optimal energy savings. If you have a larger household or higher hot water demand, look for models with an EF closer to 2.0.
Tank CapacityTank capacity refers to the amount of water the heater can store and heat at one time. This is important because it determines how much hot water is available for use. Capacities range from 20 to 80 gallons. For a small household (1-2 people), a 20-40 gallon tank may suffice. For a medium household (3-4 people), a 40-60 gallon tank is usually adequate. Larger households (5+ people) should consider tanks with 60-80 gallons to ensure a steady supply of hot water.
Recovery RateThe recovery rate indicates how quickly the water heater can reheat water after the initial supply has been depleted. This is crucial for households with high hot water usage. Recovery rates are measured in gallons per hour (GPH). A higher recovery rate means the heater can provide more hot water in a shorter period. For moderate usage, a recovery rate of 20-30 GPH is typically sufficient. For heavy usage, look for models with a recovery rate of 40 GPH or higher.
First Hour Rating (FHR)The First Hour Rating (FHR) measures the amount of hot water the heater can supply in the first hour of use. This is important for understanding the heater's performance during peak usage times. FHR is measured in gallons. For small households, an FHR of 40-50 gallons is usually adequate. Medium households should look for an FHR of 50-70 gallons, while larger households may need an FHR of 70 gallons or more to meet their hot water demands.
Standby Heat LossStandby heat loss refers to the amount of heat lost from the water heater when the water is not being used. Lower standby heat loss means better insulation and higher energy efficiency. This is particularly important for tank water heaters. Look for models with high-quality insulation and low standby heat loss to maximize energy savings. Insulation values are often indicated by the R-value, with higher R-values representing better insulation.
WarrantyThe warranty period indicates the manufacturer's confidence in the product's durability and reliability. Longer warranties can provide peace of mind and protection against potential issues. Warranties for electric water heaters typically range from 6 to 12 years. Consider your long-term needs and choose a model with a warranty that offers adequate coverage for your usage and expectations.

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