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Updated about 6 years ago, 10/16/2018
Replacing a Hot Water Heater...
In a rental property, if you need to replace the water heater, which is better: gas operated vs. electricity operated? Why?
The quickest and easiest is to replace with what is previously there. I have started changing to electric here. The renters really don't want to pay two deposits for utilities. I have owned and replaced both. Around here the gas are more expensive. and the gas company here seems to try everything they can to get you to replace almost every time they come and want you to upgrade to the latest codes. I have called there bluff. listened to them, asked them about grandfather clause about code when house was built. They backed down.
I installed a new hvac unit in my personal house, blew in 12 inches of insulation, added soffit vents 8 more of them, a ridge vent , and added storm windows at the recommendation of my hvac contractor. The gas company came changed my gas valve because my bill cut in half. then they tried to make me update to newest code for my hot water heater. I told them I would change to electric. he said you don't want to do that. My next statement was watch me! when that hvac unit goes out that house will be all electric. The gas company employees are killing there business here.
One thing you need to consider is if the house has enough power service to feed an electric hot water heater, you may have to upgrade that.