Understand the failure
Establish why the existing heater is struggling
Tell us whether you have no hot water, a supply that cools too quickly, unusual sounds, discoloration or moisture around the unit. An error message or pilot/ignition issue is also useful to report. These are inspection prompts, not automatic reasons to replace the whole system.
A repair may still make sense for a specific fault. The broader condition and any history of recurring trouble matter as well. Ask the team to explain what has been found and why the proposed work fits that finding before deciding to move forward with replacement.
