Many times gas-fired water heaters are returned when a leak is assumed, while the issue really is related to condensation. Condensation can most easily be defined as water reducing to a denser form (for example from liquid water to water vapor). A perfect example of condensation is a glass of ice water on a hot day. The difference it temperature causes condensation to form and water to drip from the glass to the surface that it is sitting on.
Whenever a water heater is filled with cold water, a certain amount of condensation will form while the burner is on. A water heater may appear to be leaking, and here’s how/when usually happens:
More to consider
Please make sure that before you pull that “leaking” heater out, check it one more time and make sure it’s not condensation that you’re experiencing.