10 Best Outdoor Propane Tankless Water Heater 2026 in the United States

The Rinnai RXP199iN is a propane or natural gas tankless water heater designed for both indoor and outdoor use. It boasts an impressive flow rate of up to 11.1 gallons per minute (GPM), which is excellent for households with multiple fixtures needing hot water simultaneously. With a BTU rating of 199,000, it effectively heats water quickly, ensuring you won’t run out during peak usage times.

A standout feature is its high energy efficiency, rated at a UEF of .98, which means it uses energy wisely, potentially lowering your utility bills. The Smart Circ Intelligent Recirculation technology is a convenient addition, as it learns your hot water usage patterns, helping to minimize waste and keep hot water readily available.

While its compact size—similar to that of a small suitcase—makes it easy to install in various locations, professional installation is strongly recommended, which may add to your overall costs. The Rinnai Central App provides helpful tools for setup and troubleshooting, although the WiFi module is sold separately, which could be a drawback for those looking for a completely integrated smart system.

The Rinnai RXP160iN is a versatile tankless water heater suitable for both indoor and outdoor use, powered by either propane or natural gas. It delivers a strong flow rate of up to 9 gallons per minute, enough to supply hot water to multiple fixtures simultaneously, which is great for medium to large households. With a high BTU rating of 160,000, it heats water quickly and efficiently, and its energy factor of 0.97 means it wastes very little energy compared to traditional heaters. You can adjust the temperature up to 140°F, offering flexibility for different needs.

This model stands out with its Smart Sense gas control and Smart-Circ recirculation pump that learns your water usage patterns to save energy and reduce wait times for hot water. It also features an easy-to-use interface and a Quick Flush option for easier maintenance. However, it weighs 57 pounds and is about the size of a small suitcase, so while it’s portable in that sense, it still requires a sturdy wall mount and professional installation, which might add to the initial costs.

Safety features are solid, but the product doesn’t come with built-in WiFi control—though you can add an optional Controlr module for remote operation. Considering the unit’s price and installation needs, its efficiency, smart technology, and ability to work both indoors and outdoors make it a smart choice for those wanting a reliable, energy-saving water heater that can handle busy households.

The Rheem RTG-95XLN-3 is a solid choice if you need a high-capacity outdoor propane tankless water heater that can supply enough hot water for your whole house, thanks to its 9.5 gallons per minute flow rate. It supports multiple simultaneous uses like showers and dishwashers without running out of hot water. One of its strengths is energy efficiency: it only runs when you need hot water, helping reduce energy bills, and the water-saving setting can save over 1,000 gallons of water annually. The hot-start programming feature keeps it ready to deliver hot water immediately, avoiding cold bursts that can be annoying in other models. It heats water up to 140 degrees Fahrenheit, which is typically sufficient for household needs.

The heater is designed for outdoor wall mounting and is smaller and lighter (about 39 pounds) compared to previous models, making installation easier and saving space. While it is efficient, it is non-condensing, which means it’s not the most efficient model available on the market. Safety features are standard but not extensively detailed, so users should ensure proper installation and ventilation. Also, it’s designed for natural gas but can be compatible with propane if set up correctly.

If you want a dependable, efficient outdoor water heater that delivers consistent hot water and saves energy and water, this model fits well. Keep in mind that it’s a high-demand appliance, so correct installation and maintenance are important for safe, long-lasting use.