We switched to tankless to solve a few problems.
Our 60’s era house had the tank water heater in the garage -then ran the non-insulated pipes through the concrete foundation, in a very convoluted way. Basically it ran across the house, then up to the 2nd floor, then back to the first floor and over to the kitchen sink. It took forever to get hot water at the kitchen sink. And almost as long to get it at an upstairs shower.
Hubby opened up walls and ceilings and did the runs from the new tankless location – right outside the kitchen window – and we literally have hot on demand now… almost instantly.
Tankless advantages: – no matter how many people take a shower or bath, how much laundry is run, etc – you won’t run out of hot water.
Tankless disadvantage – if you and/or your family take long showers… you’ll see an increase in your power bill… because you never run out of hot water.