To answer your question, yes you need a permit. however, ive replaced 3 in my home parents home and sisters home, and never gotten a permit. if you have decent knowledge of Plumbing and don't have any problem causing neighbors i wouldn't get a permit. i believe the permit cost is 100 bucks plus if you let an inspector in your house he may see other things wrong, leading to more permits and more money. the worst that can happen if you don't get a permit is a 50 dollar fine, and im pretty sure you can avoid that by playing dumb. id say over half of the water heaters bought are installed without permits mostly cause ppl don't know they need one. some lowes/Home Depot liek stores ask for your name and address and where its being installed, you can give them your name and address; but give a fictitious address to as where it is being installed. the only way you can get caught this way is if your neighbor reports you and they catch you installing it.
and if they did ask what happened to it, you sold it on Craigslist.
i live about 30 miles away form you, installed 3 and was fine.
its your call though
Todd
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