yes. Most water heaters are designed to be placed in outdoor conditions.
It also can be installed in the basements or other enclosed area of your home. However, there are certain instances where you can install water heaters without shelter in your garage or backyard.
Installation Tips for both indoor and outdoor
For example, you should know if you’re installing an outdoor unit or if indoor placement is an option for your household. The majority of tankless water heaters are built for indoor use, but some units come with an exterior venting kit for installation on an outside wall. If you are installing a water heater outside, check with your local building department to make sure you meet the electrical and safety codes in your area.

If you want to install your water heater outside, make sure it is properly protected from the elements. A common mistake with outdoor water heaters is that they are not protected from the elements correctly.
You will need to make sure that your outdoor water heater is completely surrounded by a cover. This will help protect it against rain and snow, which could otherwise cause the water heater to rust and corrode prematurely. The cover should extend a few inches above the top of the unit to ensure that no rain can fall directly on top of it.
Outdoor water heaters are more likely to require maintenance and repair than indoor models because they endure much harsher conditions on a regular basis.
Be sure that you have adequate insurance coverage on your outdoor unit in case it needs repairs or replacement as a result of a natural disaster like wind or lightning.
An outdoor gas water heater requires regular maintenance and inspection
This will ensure that your heater will continue to perform well and that potentially dangerous leaks won’t occur. If you have an outdoor gas water heater, you should schedule a yearly check up with a professional technician who can test the heating element and pressure relief valve (if it’s electric, you can test these items yourself).
You should also replace any parts that are malfunctioning or show signs of damage or wear.
Make sure your gas water heater is venting properly by checking that the exhaust pipes aren’t blocked by tree limbs or overgrown weeds. Make sure the exhaust pipe extends at least three feet away from the structure.
If you smell gas around your gas water heater, turn off the gas supply immediately and call a professional to inspect your system before using it again. To avoid an explosive situation, never turn on a gas water heater if there are signs of leakage such as wetness on the tank or floor near it.
Water heaters are important to any household
Some people find tank water heaters too big and bulky for inside their house. Homeowners should consider things like rental restrictions or limited space when deciding where to install their own tank water heater. Instead of installing an on-demand water heater inside, they can purchase an outdoor model instead.
Not only will it be out of the way, but it can provide them with hot water in an emergency. See below for more tips on how to hide your water heater from view.
There are few things that are more frustrating than waiting for hot water to arrive at your faucet. Instead of waiting, you can go with the flow and get a tankless gas water heater instead. These heaters provide endless hot water without being limited by the size of a storage tank.
Summary
Therefore, Water heaters can last many years and still work as they should with proper maintenance and annual inspections and tests. Keep in mind, gas water heaters are never safe to be near a pool, spa or other hot tub (even if it’s not being used). That’s because these water sources serve as a heat source to the water heater. If something should go wrong, there could be a fire or an explosion.