In the long-term operation of nuclear power plants, the aging of systems, structures, and components can lead to maintenance issues that must be dealt with to maintain cost-effective plant operations. One common issue affecting the currently operated boiling water reactors is the onset of unexpected level oscillations in feedwater heaters. This phenomenon can cause excessive cycling of drain valves and lead to premature failures. In this work, we develop a dynamic model of a set of feedwater heaters to determine the root cause of oscillations observed in an operating plant. Simulation results of various transient scenarios were used to investigate the effects of the controller parameters, boundary conditions, and possible valve and instrument issues. The analysis led to the conclusion that the most likely causes of the observed self-sustained oscillations in the system are the nonlinear behaviors of the drain valve and the level transmitter induced by degraded equipment condition. A partial plug of the pressure line used for level sensing in the system can account for a significant deadtime in the level transmitter, a nonlinear effect shown to induce self-sustained oscillatory behaviors.