Yes, the price includes the hot water heater. I did not think that the hybrid was too much and I am liking the energy savings. I have a shed that is attached to my house that I insulated to put the hot water heater in and it has worked out great. It can of course be placed in a closet in the house but one thing I will note is tat it is noisier than a regular water heater. I hear it when I am out working near the shed. It blows out cool air when working and that helps tremendously in keeping the mold out of my shed. I had been worried about that but is is no longer an issue. I share your feelings about heat pumps. I would never use that for heating my house but it works great as a water heater. I had never heard of this type of unit but am happy that I found it.
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