Not sure but it is possible that the tankless unit doesn't have bypass valves (I know Ed updated the manual for the tankless heater, perhaps it is in there).
Typically the valves are on the inside of the heater (e.g. look around the outside of the camper to find the heater vent and then go to that place on the inside of the camper--there should be a removable panel there or some other way to get access).
From what I've read here it sounds like the tankless heater also needs a minimum water flow before it turns on. If you're just cracking a faucet to see if the water is hot it may be likely that the heater isn't firing up for that.
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