Along with increased efficiency could come increased product and installation costs for homeowners.
Chip Cochran of Mowery Heating & Cooling says if you live in a larger home with a water heater over 55 gallons, you will need to have a heat pump which will add to the size of your water heater. If your water heater is in a small utility closet or a crawl space you may need to make changes to be able to fit the new water heater in your home.
Have you updated your water heater recently, and if so, what changes did you have to make? Tell us about it in the comments below.