Replacing Water Heaters in Rentals: What Landlords Need to Know

For landlords, a functioning water heater isn’t just a convenience - it’s a legal requirement. When a water heater fails, you’re obligated to restore hot water quickly to stay in compliance with Texas property codes and lease obligations.

At 2912 Realty, we don’t typically recommend proactive water heater replacement. Instead, we monitor the unit’s age and condition, and act swiftly when failure occurs.

Here’s what you need to know.

When Do Water Heaters Usually Fail?

Water heaters have a limited lifespan, and failures often come with little warning—especially if the unit hasn't been flushed or maintained regularly.

• Gas and electric tank-style heaters typically last 8–12 years
• Tankless units can last 15–20 years, but may still fail earlier due to hard water or poor installation

Once a heater fails, our priority is to get it replaced as quickly as possible—often the same or next day—depending on parts and vendor availability.



Signs of a Failing Water Heater

While we wait for actual failure before replacing, it helps to watch for warning signs:

• No hot water
• Water leaking from the tank
• Rusty or discolored water
• Loud popping or rumbling noises
• Inconsistent water temperature
• Tenant complaints

If any of these are reported, we’ll assess the unit and coordinate with you on the best next step—often replacement.



Replacement Options: Gas vs. Electric vs. Tankless

When a replacement is needed, here’s how the main types compare:

🔥 Gas Water Heaters

Pros:

• Faster recovery (heats water quicker)
• Lower energy costs (when gas is available)

Cons:

• Needs venting and gas lines
• Slightly higher upfront cost

Common in: Single-family homes or large rental units with gas access.


⚡ Electric Water Heaters

Pros:

• Lower upfront cost
• Simple install (no gas or venting)

Cons:

• Slower to heat water
• Higher energy bills in all-electric homes

Common in: Condos, small units, or properties without gas.

💧 Tankless Water Heaters

Pros:

• Long lifespan
• Endless hot water
• More energy efficient

Cons:

• High installation cost
• May need upgraded electrical/gas systems

Common in: Higher-end properties or new construction.





Our Approach at 2912 Realty

We don’t typically replace water heaters proactively—but when one fails, we act fast.

Once failure is confirmed:

1. We schedule immediate replacement with a trusted plumber or vendor
2. We notify the owner of cost and timing
3. We communicate with the tenant to manage expectations
4. We document the work for your records

Our team handles the coordination and urgency so your tenant stays happy—and your legal obligations stay met.



Questions about your property’s water heater?
If you’re not sure how old it is or what type you have, we can help you check and plan ahead. Reach out to 2912 Realty anytime.