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Jim,
Do you have a burnham/beckett setup? If so, I have the same setup as ours was intstalled when the house was built in 1990.
Mine seems to be on its last legs and we're planning to replace it with something similar, but it will have a new 15 gal hot water storage tank. So yes, get the tank as it extends the hot water supply. With just my wife and I its no big deal, but once the kids drive the hot water demand up I don't want to be the last one in the shower staring down at my cold water induced....well, you get the idea.
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