It’s not that expensive but it’s also not inexpensive but I highly recommend that if you have to replace your hot water heater that you get a hybrid hot water heater, more so if you live in a warmer climate.
It is a win-win.
One, it is more efficient at warming your water, saving you money and ultimately paying for itself over time.
Two, it takes the coldness out of your water and blows it into the air of your home, saving you money on cooling your home.
Three, it will dehumidify your air, making the sweltering summer months all the more pleasant.
It will cost you approximately $1,000 more than a standard electric water heater of the same size, but if you live anywhere south of the midpoint of Colorado, it will pay for itself in energy savings in less than half of its lifetime and the savings after that point will pay for its replacement when its time is up.
Oh that is true but most of them have systems where you can attach tubes to the inputs and outputs and with enough redneck engineering (which is my upcoming plan once I finish a few other jobs) you can rig up a system to optionally either vent the cooled air outside or with a damper switch have it blow into the air intake of my AC system.
This is easier for me since my water heater is right next to the air intake for my HVAC system.
But, alternatively during the winter you have the option of switching over to traditional electric and even though that will negate the energy savings from the hybrid system it will prevent energy waste from cooling the air that you paid to heat.