How Much Does it Cost to Replace a Water Heater in Denver? [2025]

March 10, 2025 | FloWorks Plumbing

Hot water heater installed in a Colorado home.

If you’re a homeowner in Denver or the surrounding areas, you may be wondering, “How much does it cost to replace a water heater?” Whether your unit is failing, outdated, or inefficient, understanding the costs involved can help you plan and budget effectively.

At FloWorks Plumbing, we specialize in water heater replacement and installation for homeowners in Morrison, Lakewood, Littleton, Golden, Boulder, Centennial, Highlands Ranch, Aurora, Westminster, Thornton, and the greater Denver metro area. In this guide, we’ll break down the average cost of water heater replacement, the factors that influence pricing, and how to choose the best water heater for your home.



Average Cost of Water Heater Replacement in Denver and surrounding areas

The cost to replace a water heater in Denver typically ranges from $1,800 to $7,500+, depending on the type of unitinstallation complexity, and any necessary plumbing upgrades. Here’s a breakdown of the estimated price ranges:

  • Standard Tank Water Heater: ~$800 – $6,000+

  • Tankless Water Heater: ~$2,500 – $7,000+

  • Hybrid Water Heater: ~$2,500 – $7,500+

These prices include labor and materials, but additional costs may apply depending on your home’s existing plumbing system and local permit requirements.


Water Heater Replacement Costs by Size

The size of your water heater plays a key role in pricing. Larger households or homes with high water usage require bigger tanks, increasing the cost:

  • 40-gallon water heater: ~$800 – $2,300

  • 50-gallon water heater: ~$1,000 – $6,500

  • 75-gallon water heater: ~$1,500 – $7,000

  • 100-gallon water heater: ~$1,800 – $7,500+

Tip: Choosing the right size helps prevent overpaying for unnecessary capacity while ensuring you have enough hot water.


Additional Costs to Consider

In addition to the water heater itself, several factors can impact the final price:

  • Permit Fees: Required in many areas, costing $50 – $500.

  • Old Unit Disposal: Hauling away your old water heater may add $100 – $300+.

  • Plumbing or Gas Line Upgrades: If modifications are needed, expect $500 – $1,500 in additional costs.

  • Expansion Tank Installation: Required in some areas to regulate water pressure, costing $200 – $400.

  • Electrical Upgrades: If switching from gas to electric or vice versa, electrical modifications may be required, adding $500 – $2,000.

  • High-Efficiency Model Upgrade: Opting for an Energy Star-certified water heater can cost more initially but saves money over time.


ROI of a Water Heater Replacement In Denver

Replacing your water heater isn’t just an expense—it’s an investment. A new, energy-efficient water heater can:

  • Reduce utility bills by up to 30% with high-efficiency models.

  • Increase home value, making your property more attractive to buyers.

  • Enhance convenience with faster heating times and improved water flow.

  • Qualify for rebates from local utility companies, potentially saving you hundreds of dollars.


Water Heater Replacement Costs by Location in the Denver Metro Area

While most Colorado homeowners can expect similar pricing, costs may vary by location:

  • Lakewood Water Heater Replacement Cost: $1,200 – $6,500

  • Morrison Water Heater Replacement Cost: $1,200 – $6,000

  • Littleton Water Heater Replacement Cost: $1,300 – $6,800

  • Aurora Water Heater Replacement Cost: $1,200 – $6,500

  • Boulder Water Heater Replacement Cost: $1,500 – $7,000

  • Centennial Water Heater Replacement Cost: $1,300 – $6,700

  • Arvada Water Heater Replacement Cost: $1,200 – $6,500

  • Westminster Water Heater Replacement Cost: $1,250 – $6,500

  • Thornton Water Heater Replacement Cost: $1,200 – $6,400

  • Golden Water Heater Replacement Cost: $1,500 – $7,000+

  • Highlands Ranch Water Heater Replacement Cost: $1,300 – $6,800

  • Parker Water Heater Replacement Cost: $1,300 – $6,900

  • Castle Rock Water Heater Replacement Cost: $1,500 – $7,200

  • Broomfield Water Heater Replacement Cost: $1,300 – $6,700

Pricing varies based on permit fees, labor rates, and home accessibility. Contact us today for a free quote!


Signs You May Need to Replace Your Water Heater

Recognizing the warning signs of a failing water heater can help prevent sudden breakdowns and costly emergency replacements. Here are some key indicators that it may be time for a new water heater:

  • Inconsistent or Insufficient Hot Water: If your showers suddenly turn cold or your water isn’t as hot as it used to be, your heater may be losing efficiency.

  • Rusty or Discolored Water: Rusty or brownish water coming from your taps can indicate corrosion inside the tank, which could lead to leaks.

  • Strange Noises: Loud rumbling, popping, or banging noises suggest sediment buildup inside the tank, reducing efficiency and potentially causing damage.

  • Leaks Around the Water Heater: Puddles or moisture near the base of your unit can be a sign of cracks or failing seals, requiring immediate attention.

  • Frequent Repairs: If you’re calling a plumber for repairs more often, it may be more cost-effective to replace the unit rather than continue fixing an aging system.

  • High Energy Bills: A sudden spike in energy bills can mean your water heater is working harder than necessary due to inefficiency.

  • Water Takes Longer to Heat: If your water heater takes much longer than usual to heat up, it may be nearing the end of its lifespan.

  • Unit is Over 10-15 Years Old: Most traditional tank water heaters last about 10-15 years, while tankless models can last up to 20 years. If your unit is aging, it’s wise to start planning for a replacement before it fails completely.

If you notice any of these signs, it’s best to have your water heater inspected by a professional. A timely replacement can help you avoid emergency breakdowns and costly water damage.


Denver Water heater replacement FAQ

  • The cost typically ranges from ~$800 to $7,500+, depending on the type of water heater, installation complexity, and necessary plumbing upgrades.

  • Traditional tank water heaters last around 10-15 years, while tankless water heaters can last 20 years or more with proper maintenance.

  • Gas water heaters have higher upfront costs but lower operating expenses. Electric water heaters are cheaper to install but can lead to higher energy bills.

  • Yes, tankless water heaters provide endless hot water, greater energy efficiency, and lower long-term costs, but they come with a higher initial price.

  • Signs include inconsistent water temperature, rust-colored water, leaks, unusual noises, high energy bills, or a unit older than 10-15 years.

  • A 40-50 gallon tank is usually sufficient for 2-3 people, while 75+ gallon tanks are recommended for larger households. Tankless models vary based on flow rate needs.

  • Potentially. Many areas require a permit for water heater installations. A licensed plumber will ensure compliance with local building codes.

  • A standard installation takes 2-4 hours, while upgrading to a tankless model or changing fuel types may take 6-10 hours.

  • Yes, many utility companies and government programs offer rebates for Energy Star-certified and high-efficiency models, potentially saving homeowners hundreds of dollars.

  • Flushing the tank annually, checking the anode rod every 3-5 years, inspecting for leaks, and keeping the area around the heater clear can help extend its lifespan and maintain efficiency.


Why Choose FloWorks Plumbing?

FloWorks Plumbing is Denver’s trusted water heater replacement expert, serving homeowners in Morrison, Lakewood, Littleton, Boulder, Highlands Ranch, and beyond. Here’s why customers choose us:

✅ Licensed & Insured: Certified professionals ensure safe, code-compliant installations.
✅ Upfront Pricing: No hidden fees or surprise costs.
✅ Fast & Reliable Service: Same-day and next-day appointments available.
✅ Expert Recommendations: We help you select the best water heater for your needs.
✅ Customer Satisfaction Guarantee: We stand behind our work with warranties on parts and labor.
✅ Local Knowledge: We understand the Denver metro area’s unique water quality and plumbing codes, ensuring a hassle-free installation.


Get a Free Estimate on Water Heater Replacement in Denver, Lakewood, Morrison, etc.

If your water heater is leaking, making strange noises, or failing to provide hot water, it may be time for a replacement.

Contact FloWorks Plumbing today for a free quote! Our experienced team is ready to help you find the perfect water heater for your home and budget.


Final Thoughts

The cost of replacing a water heater in Denver, Morrison, and surrounding areas ranges from $800 to $7,500+, depending on the unit type and installation requirements. Investing in a high-efficiency water heater can save you money on utility bills and improve your home’s resale value.

For expert installation, honest pricing, and reliable service, contact FloWorks Plumbing today!