Washington Gas

Since heating water for your home takes a lot of energy, finding an efficient appliance that fits into your budget is important. Your budget will get a boost from federal tax credits for installing energy-efficient water heaters, which have been extended through 2016.

But are energy efficiency and price the most important factors? Look out for warranty length, and, even more important, seek good warranty service. If you've got a nice long warranty, it doesn't do you much good if parts and technical support are always delayed or unavailable.

So what kinds of heaters are out there? Here's a run-down:

• Heaters with storage tanks, the least expensive and more popular heater type, store the hot water until it's used.

• Tankless water heaters warm up the water when it's needed, which offers unlimited hot water. Tankless heaters that run on gas have electrical power controls, however, so they won't heat when the power's out.

• Point-of-use water heaters, also known as instantaneous heaters, are designed to supply hot water to a particular sink or shower, and can reduce water use. These are usually tankless or semi-tankless.

• Solar water heaters are the greenest type and can bump up your home's resale valuable. These get you big tax credits.

• Heat pumps use the air's heat to warm up the water and are often used as add-ons to boost the efficiency of a tank-style heater. They can be installed as part of a whole-house heating system.

Regarding what type of fuel to choose, the best option can depend on where you live, but an extended power outage or a string of sunless days can suddenly cast a shadow over the virtues of electric and solar. Gas is reliable and tends to be an inexpensive option. Additionally, if the electric company in your area uses gas to generate electricity, you might as well not pay more for electricity when you can simply burn the gas yourself.

As far as what brand to look for, Consumer Search reports that Bradford White heaters have a good reputation for quality and fast service. Another recommended type is Rheem/Ruud, which manufactures heaters under the GE, Marathon, and Richmond brands.

Some good sites to check out to find more detailed water heater information are FineHomebuilding.com, California Energy Commission's Consumer Energy Center, Consumer Reports' hot tips for tank-style heaters, and the EnergyStar page of federal tax credits.