We recently moved to a new place in Brampton NW and assumed the water heater rental from DE. It is $24/month + HST for the 2007 model. I don't see much point in renting and was thinking of buying.

1. Buy out from DE is 984 + HST
2. Quote from a contractor is 1700 installed with all parts, labor and the unit
3. Or buy a GE water heater from HD for 500-700 + installation
==> Installation is quoted at $450 + parts by the contractor
==> Also, I saw lot of negative reviews on the GE water heaters in the net
4. Buy and DIY?
==> Current one is from Rheem and from the net, it looks like GE and Rheem are one and the same?
==> I am thinking I can do it myself if I don't need to reroute the piping etc. I am not an expert, but has hooked up my dishwasher, BBQ etc. myself without any issues.

Any recommendations/advice?

1. Your existing water heater is 4 years old and the 984.00 price is not worth it as you may not get the tank warranty as that is the only warranty on the heater at this point. From the price you quoted I am guessing it is a poer vented unit.
2. 1700.00 installed. Find out what is the warranty and the tank warranty. That varies on different models and can go from 6 years to 12 years.
3. Most water heaters on the market have the same parts with the exceptionof the inner tank which is guaranteed by the manufacturer. That being said most residential tanks would give you the same performance and service. Water heaters are relatively simple units.
4. Be careful of the do it yourself option. Remember you have to disconnect and reconnect the gas supply and that technically requires a licenced gas fitter. Moreso for you safety.
Hope this helps to make your decision.

All new water heaters are equipped with FVIR ( Flammable vapour sensor ) . The sensor is very sensitive to fumes originating from Nail polish , Paint , bleach , shoe polish , dust e.t.c . Mostly when the sensor sets off due to any of these agents present in vicinity it also kills the whole gas valve making it a very costly proposition for repairs .
Keeping above in mind , I would recommend you to rent WH than buy . All you need to do is find less evil co. who rent them .

If you are still interested to buy and get WH installed , I can help you in saving 300-400 $ .

P.S: As terken pointed out any gas connections and venting has to be carried by licensed technician .

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Growing Old Is Mandatory ..Growing UP is Optional

Thanks guys.

As for renting, in my previous house, over 4 yrs, I paid more than the buy out price of the WH to DE. That was a 11 yr old water heater when I bought and DE was not interested in replacing it with a new one. It did not require any service over the 4 yrs. Even if I buy out the current WH, if it lasts 3.5 yrs, I am good $ wise. So buying is sounding like a good option to me. Only I need to raise the bucks to buy/install.

License wise, my understanding is that to do the fitting in my own home, license is not required. Anyways doing it myself is not my preference, but feels like getting robbed to pay more than the WH price to install it, especially when all the venting etc. are in place.

AshwaniG: I am in West Brampton. If you do work here, do message me the offer. I am only happy to accept any fair deal.