Originally Posted by Flybob
You do not say what bypass valve configuration you have. The first photo the valve is in the bypass position, you would need to turn the handle toward the front of the photo. In the second photo all three valves are in the bypass position. You would need to turn all three 90 degrees.
Jhenretta, I suspect that you have the bypass system shown in Flybob's second photo. However, since you have at least warm water, that means that water is getting into the tank from the cold line, heating, and exiting via the hot line. I think you'll find that both of those lines are open, with the oval valve pointed parallel to the pipe, not closed as shown in the photo.
The problem is likely that the crossover, or bypass, line is also open as shown in the photo. That allows cold water to cross over into the hot line without ever being heated. Close that valve, so that the handle is perpendicular to the pipe, and you should have all the hot water you can use.
Make sure that you never start the water heater with the lines configured as in that second photo. No water is getting into the tank in that winterize configuration, and you'll burn up the heating element.