


Hot water is something we often take for granted—until it runs out.
And when it does, you might want to call for professional hot water plumbing service.
Or else? You might start thinking about upgrading or installing a better hot water system.
But with so many hot water system options, it can get confusing. Should you pick gas or electric? Or maybe you want to buy a solar hot water system?
This guide will break down different types of hot water systems to help you figure out what’s right for your home.
Different Types of Hot Water Systems

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There are a few main types of hot water systems to choose from, and each has its own way of working. Let’s break them down:
1. Gas Hot Water Systems

Gas hot water systems heat up water fast and are great for bigger households. They work on either natural gas or LPG, so you can get hot water on demand.
This means you won’t have to worry about running out of hot water, even if multiple people are showering one after the other.
Gas systems are also pretty energy-efficient, which can save you money over time.
- Pros: Heats water fast, energy-efficient, good for saving money on bills.
- Cons: Can be expensive to install, needs a gas connection.
2. Electric Hot Water Systems

Electric systems are one of the common types of hot water systems. There are two types of electric hot water systems: storage and instantaneous.
Storage systems heat and store water in a big tank, so you have it ready to go. Instantaneous systems heat water only when you need it.
While it’s easy to install and available almost everywhere, electric systems can be pricey to run. This is especially true if electricity is expensive where you live.
- Pros: Simple to install, easy to find.
- Cons: Can cost a lot to run, especially if you’re on peak-time electricity rates.
3. Solar Hot Water Systems

Solar systems use energy from the sun to heat your water. They’re eco-friendly and, once set up, cheap to run.
The installation can be expensive, but with government rebates, you might get some of that cost covered.
The catch of this type of hot water system is that when the sun isn’t out, you’ll need a backup like electric or gas to keep the hot water flowing.
- Pros: Good for the environment, low running costs.
- Cons: High upfront cost, needs sun to work efficiently.
4. Heat Pump Hot Water Systems

Heat pumps are the type of hot water systems that pull heat from the air to warm up your water.
They use electricity but in a very efficient way, making them cheaper to run than traditional electric systems.
However, they need warm air to work well, so they’re better for places with mild climates.
- Pros: Energy-efficient, saves on electricity bills.
- Cons: Expensive to install, needs warm air to work well.
Also read: How Long Do Hot Water Systems Last?
Factors to Consider When Choosing a Hot Water System

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Picking the right types of hot water systems isn’t just about grabbing the first one you see. It depends on what works best for your home and your wallet.
Let’s break down the main factors you should keep in mind before making your choice.
1. Energy Source
The first thing to think about is how you’ll power the system.
Do you have access to natural gas? If so, a gas system could be a great option. If you don’t, electric systems are an easy go-to since electricity is available pretty much everywhere.
But if you’re trying to go green, a solar or heat pump system is more eco-friendly. Solar uses the sun, and heat pumps use air to heat the water, so both can help lower your carbon footprint.
2. Water Usage
How much hot water do you and your family use in a day?
If you’ve got a big household with lots of showers, dishwashing, and laundry, you’ll need something that can keep up, like a gas or large electric storage system.
Instant systems heat water as you use it, so if you don’t need a lot of hot water at once, those might work just fine.
But bigger households generally need something that can handle high demand.
3. Upfront vs. Running Costs
Think long-term. Some types of hot water systems are cheaper to buy and install, but they may cost a lot to run, especially if they use a lot of electricity.
Electric systems, for example, can be cheaper to set up but expensive to run over time.
Gas systems tend to have higher upfront costs but can save water costs in the long run because they’re more energy-efficient.
Solar and heat pump systems have the highest upfront costs but are cheap to operate once they’re installed, so they could be worth it if you’re staying in the same house for a long time.
Don’t also forget to also take into account the cost for maintenance and repair if you find the signs of when you need hot water system repairs.
If you’re already dealing with a system and need help, check out this guide on how to fix a leaking hot water system.
Conclusion
With so many different hot water systems available, it’s essential to consider your household’s needs, energy usage, and budget.
Whether you’re leaning towards a gas, electric, solar, or heat pump system, each has its own unique advantages.
If you’re ready to install a new system or need help with your current one, ask Neighbourhood Plumbing for expert advice and service.
Contact us whenever you need!
About the Author
From unclogging the toughest drains to repairing leaking toilets, Ricky is a seasoned plumber who has brought his craftmanship to homes across Melbourne. He is passionate about sharing plumbing tips just as much as he is about fixing your plumbing issues. So, when your taps or pipes begin leaking, you know who to call.