Our propane AO Smith water heater was new in 1995 and I replaced it in 2008 or 2009. Not only was it getting old, but I wanted to replace it with a new Geospring hybrid. Not only were they on sale, but there was an added 10% discount where I purchased it which brought the initial price down to $1,100. The energy tax credit knocked another $300 off and our electric provider had a $150 rebate, so our initial cost worked out to about $650.
We've seen significant savings in our propane bill once we made the swap to an electric hybrid, but didn't see a noticeable increase in our electric bill. When we originally ran the estimated numbers it was approximately 3 years for it to save the $650 cost, and we are well past that so we're seeing significant savings over the old water heater.
Keep that in mind when you make your switch-not only can you prevent possible issues, but there are ways to save a fair amount of money over a standard gas water heater.
And don't forget-if your water system is closed then you should consider an expansion tank. An expansion tank can also lengthen the life of your water heater.
Originally Posted By: Vikas
I have yet to see gas fired hot water heater with more than 10 years warranty.
Then you haven't looked much. Most now have either a 6 or 12 year warranty. A company called Fast Water Heaters on the west coast has a model with a 15 year warranty.