How old is too old for a water heater when listing to sell
Water heaters use gas, electricity, solar power, or heat pumps along with other fuel sources to heat the water that you use for your daily household needs. In general, with energy efficiency and energy rates in mind, newer is always better for water heaters, simply because a newer and more efficient heater will mean lower monthly utility bills.
Standing Loss
Essentially you have a choice between tanked or tankless systems. A tanked system will allow you keep the water in the tank at a set temperature. When you use water, the tank refills, and the heater has to heat it again. Standing loss, or loss of temperature that requires re-heating, is the most important consideration when gauging energy efficiency for water heaters. Insulation is the key to preventing such loss. Tankless systems are even more efficient, since you heat water as you need it, but you may have to wait for additional hot water when you need more in a hurry.
Newer models have better insulation, so the water stays heated for longer. According to the US Department of Energy, you can save up to 50% on energy costs if you replace an old water heater. Consider adding insulation if replacing your water heater is not an option at the moment.
Cost Versus Usage
The question of cost versus usage becomes trickier when you consider the cost of a replacement unit and the time you will need to achieve cost savings on your bills. Experts say that water heaters should be replaced between the 10 to 13 year mark, as this is the period of time in which the benefit of an aging water heater is outpaced by the cost of bills and maintenance.
If your water heater is older than 13 years, you should replace it before you sell, or expect to be paid less to compensate the buyer for the required expense. A simple property inspection is often the way to go to ensure that you have all of your internal maintenance needs checked off before you list your property.