There are many advantages to tankless water heaters. They are way more efficient, endless hot water, and they take up less space. They are more expensive than the basic tank heaters, but they pay for themselves in the long run. Tankless heaters only heat the water when you turn the hot side on at your faucet or shower. It doesn’t constantly heat up like a tank heater does. This makes it more efficient. They never run out of hot water because it’s based on a rate of flow. Tankless heaters are the way to go nowadays.