The listing information said brand new water heater, and the serial number confirmed that. The water heater had 
something much, much more to say however.
So, what about this scorch?
This is the lower panel of two on a 50 gallon electric water heater.
Electric water heaters have typically have two access panels.
Behind each is a thermostat and one of the two heating elements.
The elements protrude into the water 10" or 12" and the two work in tandem to heat the water.
Usually I don't go inside things, or take them apart, during a home inspection.
I made an exception in this case however.
Taking this suspect cover off and looking inside you can see how much heat has been happening!
Wet is also visible as dripping trails.
The insulation there is wet.
The drip pan underneath is wet.
This unit, recently installed, has a problem!
It was broken during shipment, delivery or installation such that it leaks.
Or a component inside leaks.
This is a fire hazard waiting to happen!
I'M GLAD WE FOUND IT AND COULD ALERT THE SELLER!
This unit probably needs replacement, and in my opinion right away!
Sometimes a home inspection finds issues that a seller should know about right away. It is Best Practice for a home inspector to alert a seller about potential danger and dangerous problems.
SAFETY IS EVERYTHING!
My recommendation: in my opinion a home inspection benefits all parties involved. It protects everyone. Things can be found, like this issue, that were previously UNKNOWN to everyone that are crucially important for everyone to understand. Like this dangerous water heater. I'm sure it's still under warranty so it's replacement only scrapes the skin off the manufacturer's nose.
Jay Markanich Real Estate Inspections, LLC 
Based in Bristow, serving all of Northern Virginia.
Office (703) 330-6388 Cell (703) 585-7560
It's good that you caught that and important for both parties to know. Safety is super important.
Thank goodness you found the issue before it really became an issue. :)
Surely Debbie. Not hard to see, but only if you are looking. Sellers normally don't see stuff like this inside their closets.
This was just Friday, James. I hope that heater has already been replaced!
Good job Detective Jay.
Thanks Ken. One must look.
Super Jay to the rescue. Good catch, and the buyer AND seller have to be relieved for sure. I had a furnace condemned by the tech recently after my inspection. Thankfully the home was vacant. And it was summer.
Your eagle eye spots another hazard and potentially severe consequence !
Scott - so often people don't know and when we tell them they are surprised. Nobody likes the idea of putting in a new furnace, but what's the alternative?
S&D - when you look at things, you look at things!
Jay, this looks like something you don't want to mess around with! Letting the homeowner know about this immediately was the way to go.
Good morning Jay,
Another item to add to the check list!
Make yourself a great day.
They were called before we left the house Tom!
Thanks Raymond. It's more than important to have a home inspection - I think it's essential.
That element surely was burnt out, you would think the seller would have noticed less than the hottest water or it didn't last long. El scorcho!
Feeling the service pipe Fred, it wasn't very warm. I guess they didn't notice.
Jay, That just goes to show you that you have to look at everything new or old. It was nice that it gave you such a good scorch signal.
It did Don. And when I took the cover off the smell was atrocious!
Wow, Surprising that people don't notice this stuff on their day to day activities through the house. Good thing you did though!
Marc - it was in the same closet as the furnace filter that never gets changed...
Jay -- it is always interesting to see what you find on some of these inspections. I am guessing they liked their showers tepid and not "boil a lobster" hot!
A few times a year I will find something that is a danger and needs immediate attention. Homeowners, as I'm sure these folks were, are very appreciative.
It's summer Steven, so the hot shower isn't as appreciated!
Jim - I think they were. The seller is a high school football coach and not home much in the past few weeks!
Hi Jay,
I totally agree. Safety is everything when inspecting. Telling the sellers agent or the seller if there. Is the best course of action.
Have a good day in Bristow.
Best, Clint McKie
The other agent was called while we were there Clint. Coulda and shoulda! Dida!
Wayne - I usually don't take things apart. That is pretty much the inspector SOP in all the associations. But when I saw this I thought it prudent.