Tankless water heaters do not conserve water. They conserve energy only, by using less natural gas to heat water.
The best way to conserve water with a regular tank water heater is to install a hot water pump attached to the hot water supply of the water heater along with a special valve installed under the kitchen sink and the bathroom sink.
We have this device on our water heater and, before it was installed, it took 5 gallons of water to run before it got hot at the spigot in the kitchen.
With the pump installed, it is almost instantly hot, therefore saving a lot of water.
Sign Up and Save
Get six months of free digital access to The Fresno Bee
It also helps with the washing machine and dishwasher, as well as in the showers. A tankless water heater does not get hot water to a spigot any faster. It only saves on energy use, which is a good thing if there is no drought situation.
The only major drawback to installing the pump is that it requires a 12-volt power supply to operate the pump.