Whenever you turn on the tap and set it to red, two things happen. First, your hot water tank springs into action. It either warms up the needed water, or delivers pre-heated water from a holding tank. Next, the water travels through the home’s plumbing and into the open tap.
As you can imagine, the farther away the hot water source is, the longer it takes for the water to turn hot at the end destination.
A point-of-use water heater seeks to shorten the waiting time.