The takagi gas fired tankless water heater manual specifies a pressure relief valve on the hot water outlet.
Tankless water heater t and p valve.
I m betting the pressure is a little high and the act of water hammer is pushing the valve open a little.
So consult the manufacturer s installation manual.
I d check the pressure on the house before you go to the extent of changing the t p valve.
My personal opinion of tankless heaters is that they are way too expensive to install and maintain never mind that few plumbers know how to service them.
This valve may sit quietly unnoticed on your water heater but it has a very important purpose.
To keep your heater from exploding.
Tankless heaters are required to have a pressure relief valve.
The valve is called a t p valve or tpr valve for temperature and pressure relief.
The t p relief valve short for temperature pressure relief valve is a critical safety device on your water heater.
This is one of those things that should never be needed unless something goes very very wrong with the tankless water heater.
They are prone to failure particularly if there is any water condition hard water etc at all.
If all goes well a tpr valve never gets used except during testing.
In my application code requires a pressure relief but not a temperature relief t p.
On the side or top of your water heater tank is a valve connected to a metal or plastic discharge tube pointing downward.
This is just a pressure relief valve i used with a tankless water heater.