We have well water, today we lost all the pressure and we got no water. We would just turn the handle on in the kitchen or bathroom and nothing would happen. Well he wife had her dad come over to fix it, I don't know what he did but after he left we had water. Now, later on in the night I get ready to take a shower and I notice that I hear something running, like water. Its coming from the insided of my hotwater heater. It sounds just like water running. Next I go to turn on the shower and we have water but no hot water. So basically What is the running water sound in the heater and 2 why are we not getting hot water.

I turned off the breaker for the well and the heater trying each one thinking maybe it will reset it but no luck.

It is possible that your father in law inadvertently left the water to the hot water tank shut off when he was working. It may have almost emptied when the water was off. Now what little water is left in it, may be boiling. I would shut the breaker off for it until it has a chance to cool off. While waiting, follow the pipes that run to it looking for shut off valves. There is a valve near the bottom of the tank. Try cracking it open. Water should come out if it is getting to the tank. If not, you could get steam and scalding hot water, be careful. Once it is cooled off, try each valve, making sure they are all open. You then should get cold water out of all the hot water faucets. If you don't, go back and recheck the lines. You must have water flowing to and from the tank with no noise when the water isn't running. Once you do, then turn on the breaker for the hot water. It should then quietly start to heat. If you hear what might be water boiling, shut it off. Having the heat on without water in the tank, it could be damaged or even explode.

It is also possible the loss of water pressure and start up again knocked some crud loose and blocked the flow to the heater. This will mean opening things up and removing it. With the water shut off, start with the valves or any filter working from the pressure tank toward the heater. Water should flow at each place you open if you crack open the main valve.

This is s tough one. You hear water running in the water heater itself... is there a water leak somewhere in a hot water line?? Better call a plumber.