This is usually a problem with all tankless water heaters.
the solution is to install a small buffer tank (5 or 10 gallon electric water heater) after the Rinnai. this will give the water something to mix in. it will solve your problem.
did you make sure to use a 3/4" gas line to the unit. not just 3/4" at the unit itself. sometimes when there is not enough gas, the unit will act funny and cycle from hot to warm or even cold. Make sure you check the gas line size, its very important.
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