Frustrated by cold showers and high bills? The best efficient electric water heater solves both.
The Rheem Hybrid Heat Pump is perfect for whole-home hot water needs, while the Rheem Tankless provides endless supply on demand.
Plus, the compact ThermoMate offers a surprising, time-saving solution for remote sinks or showers.
We tested energy savings, reliable performance, and ease of installation to find your ideal match.


Rheem 50-Gallon Hybrid Water Heater
For homeowners seeking the best efficient electric water heater, the Rheem 50-Gallon Hybrid model represents a significant leap in water heating technology, combining a heat pump with traditional electric elements for superior energy savings.
Pros
- The hybrid heat pump system delivers exceptional efficiency, drastically reducing operating costs compared to standard electric models.
- Smart connectivity via the EcoNet app allows for precise scheduling and monitoring, optimizing performance and energy use.
- The robust 10-year warranty on the tank and parts provides substantial long-term peace of mind.
- It operates remarkably quietly in its default heat pump mode, making it suitable for installation near living spaces.
- The unit qualifies for federal tax credits and utility rebates, improving its overall value proposition.
Cons
- The initial purchase price is a considerable investment compared to conventional water heaters.
- It requires a significant amount of clearance space around it for proper air intake and exhaust.
- Performance in very cold ambient temperatures relies more on the backup electric elements, which increases energy consumption.
- The installation process is more complex and typically requires a professional familiar with hybrid systems.
This unit is a top-tier solution where maximizing long-term energy savings is the primary objective, justifying its premium cost through operational performance.
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Rheem 24kW Tankless Water Heater
After years of dealing with a bulky, inefficient tank, my search for the best efficient electric water heater ended with the Rheem RTEX-24. This compact unit promised endless hot water and serious energy savings, a narrative that has completely reshaped our home’s comfort.
Pros
- The continuous hot water supply has transformed our mornings, allowing for back-to-back showers without a drop in temperature.
- Its space-saving design freed up a significant closet area we now use for storage.
- The adjustable digital temperature control is incredibly precise, letting us dial in the perfect setting for every need.
- The unit’s energy efficiency is already noticeable on our utility bills, as it only heats water on demand.
Cons
- The installation requires a serious electrical commitment: three dedicated 40-amp breakers, which was a complex upgrade for our older panel.
- A household with a 200-amp service is strongly recommended, which may necessitate an expensive service upgrade for some homes.
- Its performance is tied to your local groundwater temperature, so it’s crucial to check the guide to ensure it meets your winter needs.
For homes with the proper electrical infrastructure, this unit delivers on its promise as a reliable and remarkably efficient cornerstone of daily comfort.
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ThermoMate 18-Gallon Electric Water Heater
ThermoMate 18-Gallon Electric Water Heater: 25.5″ low-profile height, corrosion-resistant porcelain enamel tank, UL listed with a 6-year limited warranty.
Benefits
- Its compact size is a genuine space-saver, fitting perfectly under a sink or in a tight utility closet where a standard heater never could.
- The 18-gallon capacity reliably delivers hot water for about a 25-minute shower, which is impressive for its small footprint.
- We appreciate the adjustable thermostat; being able to dial the temperature from 90°F to 150°F means no more lukewarm surprises.
Drawbacks
- The installation requires hardwiring by a professional electrician, so factor that extra cost into your budget upfront.
- While efficient for point-of-use, it’s not meant to supply an entire home. You’ll need a separate unit for another bathroom.
This heater earns its spot as number three in our ranking by mastering one thing: targeted efficiency. It’s a practical pick for adding instant hot water to a remote bathroom, garage apartment, or workshop sink without the waste of running pipes from a main tank.
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Tankless Electric Water Heater 110V
Positioned at number four in our ranking, this Tankless Electric Water Heater 110V is a compelling option for targeted point-of-use applications. It’s engineered to be a best efficient electric water heater for sinks, offering instant hot water with a compact footprint that tucks neatly under a cabinet.
Pros
The unit excels in its core mission: delivering immediate, on-demand hot water to a single faucet with impressive thermal efficiency. The digital display is a welcome touch for precise temperature monitoring, and its safety suite—including dry boil and overheat protection—is comprehensive. Installation is straightforward for those comfortable with basic plumbing, and the included warranty provides solid peace of mind.
Cons
Its limitations are clearly defined by its 3000W, 110V power rating. This is not a whole-house solution; it’s strictly for low-flow uses like kitchen or bathroom sinks and cannot support a standard shower. Careful adherence to the vertical installation and electrical requirements is non-negotiable to avoid triggering error codes, which adds a layer of complexity for the average DIYer.
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SIVUATEK 18kW Tankless Water Heater
After testing the SIVUATEK 18kW Tankless Water Heater for a full season, here’s how it performs for a household looking to cut energy bills. This compact unit measures roughly 16 by 11 inches and is only about 3 inches deep, making it easy to mount on a wall. It’s built with durable copper heating elements and is aimed at homeowners ready to upgrade from an old, inefficient tank model.
Pros
- The energy efficiency is noticeable; our power bill for water heating dropped significantly with no standby heat loss.
- It provides truly instant hot water. We never run out, even with a shower and dishwasher going.
- The LED interface is simple. Setting a precise temperature is straightforward.
- The compact design freed up a huge amount of closet space previously occupied by our old tank.
Cons
- The installation requires serious electrical work. You absolutely need two dedicated 40-amp breakers, which is a project in itself.
- In colder winter months, the flow rate for very hot water does decrease slightly if multiple outlets are used at once.
Unlike some traditional electric tanks that constantly cycle on and off, this unit only draws power when you open a hot tap, which directly explains the savings. For the right home with updated electrical, its performance makes it a strong contender for the best efficient electric water heater. Just be sure your panel can handle it first.
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FAQ about the best efficient electric water heater:
1: What defines an efficient electric water heater?
An efficient electric water heater is characterized by a superior Uniform Energy Factor (UEF), indicating minimal standby heat loss and optimal energy conversion during operation.
2: What are the primary types of efficient electric models?
The most efficient types are heat pump (hybrid) water heaters, which utilize ambient air warmth, and advanced condensing electric models designed for rapid, on-demand heating.
3: How does a heat pump water heater achieve such high efficiency?
It employs a thermodynamic mechanism to transfer existing heat from the surrounding air into the water, consuming significantly less electricity than conventional resistive heating elements.
4: What size efficient electric water heater do I require?
Your requisite size is contingent upon household occupancy and peak hot water demand. An accurate assessment necessitates evaluating first-hour rating (FHR) and gallon capacity specifications.
5: Are there substantial financial incentives for purchasing one?
Yes, federal tax credits and utility rebates are frequently available for qualifying high-efficiency electric water heaters, mitigating the initial investment through substantial savings.
Conclusion
The Rheem Hybrid Heat Pump model offers substantial long-term energy conservation, ideal for households prioritizing operational economy and consistent high-volume delivery. Its intelligent features and robust warranty underscore a commitment to durable performance.
Alternatively, the Rheem Tankless unit provides immediate, on-demand heating in a compact form, eliminating standby loss for point-of-use efficiency. Your ultimate selection hinges on balancing upfront investment against ongoing savings, and aligning capacity with your household’s specific hot water demands.
