Furnace and water heater in the garage?

Question from Mel:

Our house (on a slab) has 1/2 bath, furnace and water heater in the middle of the first floor (dividing the dining area and family room). Is it possible to move it (at least the furnace and water heater) to the garage or build a closet outside of the kitchen. Also planning to upgrade to a waterless tank.

Jake's answer:

Mel,

Yes, you can move the furnace and water heater to the garage.  I’m not familiar with the climate where you live, however, if you experience freezing weather, be careful of the water heater in your garage. You might have to build a closet for it.  When putting gas fired appliances in enclosed areas, such as a closet, take into account the make up air required to maintain maximum efficiency.  A down side to relocating these two items at the end of the house is that you will loose some efficiency since they won’t be centrally located. The air will have to “pushed” a little further and the hot water will have a little longer course to run.