Heating water can account for up to 20 percent of your average home energy bill. With new green initiatives for energy efficiency, most people are replacing their old water heaters with new, more energy-efficient models. These new water heaters may be more expensive up front but will save you money in the long run.

There are four different types of water heaters:
  • Storage-tank heaters
  • Tankless heaters
  • Hybrid electric heaters
  • Solar water heaters