Check the temperature. If tank is too cool, some bacteria can thrive in there, causing stink and other problems. Had that happen on my dirt house with new water heater. Noticed hot water was not that hot, and after a few months I detected stink in the shower. Turned thermostats up and problem went away.
Edit: Do you drink your hot water? If you are drinking cold water and it smells/tastes funny, that is not your water heater. You probably have skunk in your fresh water tank.
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