If your doing this because you want to hide or keep the heater out of the tank then it has true merit. But if you think having it in an enclosed tube with baffles to slow down water will help heat the water faster or make the heater more efficient, it cant happen.
Water conducts heat 25 times faster then air, so the less or slower the water exposure created by baffles in an enclosed system, the less effective or slower the heater will heat the tank. You may even cause a situation where the PVC not rated for heat could fail or change shape over time if you raise the thermostat in an attempt to compensate for the heaters apparent loss of effectiveness
I think your idea has merit but I would leave the baffles out or if your using them to hold the heater in place make sure they do not restrict flow at all and make sure they are made of ceramic not PVC to withstand contact heat which is high. I would also use heat rated PVC for that section of pipe and a heater that shuts itself off if run dry or overheats. This good insurance against Murphy's law which in this case things 3 things (water, electricity, and heat/fire) have been put in place which potentially can go wrong causing a meltdown shock or flood.
AgainI like your reason for hiding the heater and I think the added cost to make sure it causes no damage is well worth it.
*No baffle restrictions
*Heat rated PVC
*Run dry protection heater (hydor)
*Anchors (NOT baffles) made of ceramic