Gas tank water heater replacement cost in Memphis, TN
Installed, 50 gallon, standard vent
A typical gas water heater (50 gallon, standard vent) costs about $1,950 installed in the Memphis area, 3% below the national figure, because plumbers here earn a median $28 an hour against $31 nationally.
Prices by size in Memphis
| Size | Low | Typical | High | National typical |
|---|---|---|---|---|
| 40 gallon, standard vent | $1,650 | $1,850 | $2,300 | $1,900 |
| 50 gallon, standard vent | $1,700 | $1,950 | $2,450 | $2,000 |
| 75 gallon, standard vent | $2,450 | $2,750 | $3,200 | $2,800 |
| 40 gallon, power vent | $2,450 | $2,700 | $3,050 | $2,750 |
| 50 gallon, power vent | $2,600 | $2,800 | $3,300 | $2,850 |
Local labor: what plumbers earn here
| Hourly wage | Memphis metro | United States |
|---|---|---|
| 25th percentile | $23 | $24 |
| Median | $28 | $31 |
| 75th percentile | $36 | $41 |
The Memphis market
Building permits in Memphis and Shelby County are handled through the Division of Planning and Development's construction enforcement office (develop901.com), which publishes fees for building, electrical, mechanical and plumbing permits and runs a DIY corner for homeowners. Whether a like-for-like water heater, furnace, AC or heat pump replacement needs a permit, what it costs, and whether a homeowner can pull it could not be confirmed for this page, so check with that office first. Mississippi and Arkansas suburbs follow their own rules. Statewide, EIA's 2020 survey found Tennessee homes mostly electric: 60% heat with electricity, 35% with a central heat pump, 86% have central air and 74% heat water electrically. Memphis Light, Gas and Water is a TVA power distributor, and TVA's EnergyRight program offers equipment rebates.
Electric tanks are common in Memphis, but Memphis Light, Gas and Water supplies gas as well as power, so check which fuel your tank uses. Replace with the same fuel unless you have a reason to switch. TVA EnergyRight offers a heat pump water heater rebate through Quality Contractor Network members. A heat pump water heater needs open space and a condensate drain, so ask whether your utility room or garage fits one.
Permits in Memphis
We couldn't confirm all of Memphis's rules from official pages. Check with the building department before work starts.
| Permit for this job | Not stated on the city pages we checked (source) |
|---|---|
| Fee | Not stated on the city pages we checked |
| Who can pull it | Not stated on the city pages we checked |
| Inspection | Not stated on the city pages we checked |
Rebates in Tennessee
HEAR: announced, not open yet. HOMES: announced, not open yet. Source: TDEC Office of Energy Programs, checked October 13, 2026.
- TVA EnergyRight rebates: Heat pump $500-$800, central AC $200-$400, HPWH $900 via Quality Contractor Network
What these programs cover, and other states
Other systems in Memphis
- Gas tankless water heater
- Gas furnace
- Central air conditioner
- Heat pump (ducted, outdoor unit + air handler)
Gas tank water heater cost in other metros
Sources
- Memphis, TN permit source (water heater permit)
- Memphis, TN permit source (who can pull)
- Memphis, TN permit source: 2022 building fee schedule (fetch
- TVA EnergyRight: residential rebates
- EIA RECS 2020: Highlights for space heating fuel in U.S. homes by state
- EIA RECS 2020: Highlights for space heating in U.S. homes by state
- EIA RECS 2020: Highlights for air conditioning in U.S. homes by state
- EIA RECS 2020: Highlights for water heating in U.S. homes by state
- BLS OEWS May 2025, Memphis, TN-MS-AR (47-2152 plumbers)
- DOE Consumer Water Heaters Final Rule TSD (Apr 2024), Table 8.2.7 (2022$); labor share from App. 8D (3.75 h + trip, $420 of $791)