I live in NJ also. I have to ask one question the energy audit program who sponsors it and whats the adress. You shouldnt have to make a choice by monday. Are they pushing you. What kind of NJ grant do they have? Now for your answers; 1. 21 seer is way to high NJ, that is what I personally feel, if you lived somewhere in texas, florida , or arizona it would be worth it. Stick with 13 and 14 seer. 2. any insulation would help and that is the correct way to go, as well as adding new windows. I am not a insulation guy so I don't know much about it. 3. Navian is my secound choice of tankless, right next to takagi. If your using a 40 gallon water heater and never run out of hot water becuase (1) you don't take long showers (2) you don't have 3 kids in the house constantly using water. Sometimes there not worth it depending on hardness of water venting issus in the house itself and they have to be masintain either on a 6 month program or a 1 year program. George

A.O. Smith Recalls Gas Water Heaters Due to Fire and Carbon Monoxide Hazards NEWS from CPSC U.S. Consumer Product Safety Commission Office of Information and Public Affairs Washington, DC 20207 FOR IMMEDIATE RELEASE April 3, 2008 Release #08-241 Firm's Recall Hotline: (866) 880-4661 CPSC Recall Hotline: (800) 638-2772 CPSC Media Contact: (301) 504-7908 A.O. Smith Recalls Gas Water Heaters Due to Fire and Carbon Monoxide Hazards WASHINGTON, D.C. - The U.S. Consumer Product Safety Commission, in cooperation with the firm named below, today announced a voluntary recall of the following consumer product. Consumers should stop using recalled products immediately unless otherwise instructed. Name of Product: Natural and Propane Gas Water Heaters Units: About 1,500 Manufacturer: A.O. Smith Water Products Co., of Ashland City, Tenn. Hazard: The water heater's flue gas temperatures can exceed safe limits and produce excessive temperatures in the venting unit, posing a fire hazard. Also, the water heater's exhaust can leak into the surrounding room, posing a carbon monoxide hazard. Incidents/Injuries: None reported. Description: This recall involves 75 gallon natural and propane gas water heaters. "A.O. Smith" or "State" is printed on the side of the unit. A.O. Smith and State model and serial numbers included in this recall are listed in the chart below. Model and serial numbers are printed on the water heater's rating plate. Brand Name - Model Number A.O. Smith - FCG-75 300 and FCG-75 301 State - GS6 75 XRR S and GS6 75 CRR S Serial Number Ranges L07A071460 through L07A144966 or M07A009387 through M07A072884 Sold by: Independent contractors and plumbers nationwide from November 2007 through January 2008 for between $1,000 and $2,500. Manufactured in: United States Remedy: Consumers should immediately stop using the recalled water heater and contact A.O. Smith to arrange for a free repair. Consumer Contact: For additional information, contact A.O. Smith toll-free at (866) 880-4661 between 7 a.m. and 7 p.m. CT, or visit the firm's Web site at www.hotwater.com To see this recall on CPSC's web site, including pictures of the recalled product, please go to: http://www.cpsc.gov/cpscpub/prerel/prhtml08/08241.html

The only thing that results in a higher electric bill is the recirculation. Any water returned to tank regardless of how it enters blends with the rest due to the moving water. The cooled return water lowers tank temp resulting in the elements coming on.

You haven't said whether the heaters are gas or electric - that matters for recovery time. BUT A standard 50 gallon tank is probably too small for 4 showers unless the showers are quick and you have very low flow shower heads. Although, this could work if you got one of the gas units that features a high recovery rate. Planning-wise, it might pay to get a larger or higher performance heater for the bathroom end of the house, and a smaller one to serve the kitchen and laundry A tankless unit would be a solution, if it would be compatible with the hard water you have. I'm just an "experienced" homeowner, not a builder or plumber, so consider the sources of the advice you get. Good luck.