Single engine pilot reported fuel contamination resulted in an engine failure. The pilot stated the incident occurred after rotation and was able to land straight ahead.

Narrative

On Day 0; around XA:40; I piloted Aircraft X; from ZZZ1 to ZZZ Airport. Upon arrival at ZZZ around XD:30; I awaited refueling. Initially; there was a delay as the fuel pump malfunctioned; requiring approximately 30 minutes of troubleshooting. Subsequently; refueling via a fuel truck was necessitated; resulting in an additional wait of about 20 minutes. Departure was finally initiated around XE:30 to return to ZZZ1.Upon initiating startup procedures and taxiing to Runway XX; abnormal operation of the left magneto was detected during the pre-takeoff checklist. After running the engine at higher RPM to burn off excess fuel for approximately 10 minutes; stability was achieved; and departure proceeded.Departure from Runway XX at ZZZ occurred at approximately XE:40. I took off at a speed between 55 and 60. Shortly after takeoff; an engine failure occurred. Fortunately; sufficient runway length remained for an immediate landing; executed safely at the end of Runway XX.Subsequent investigation revealed significant water contamination in the right fuel tank; leading to the engine failure. Water was also found when draining from the fuel truck. I also have relevant photos to include. Over 30 drainage attempts were made to remove the water. Assistance from FBO personnel facilitated the removal of water from the carburetor and other areas; a process taking approximately 2 hours to complete; concluding around XI:30.Further attempts to depart were impeded by a severe issue with the left magneto; which dropped to 500 RPM or below during pre-takeoff checks at approximately XJ:30; rendering flight unsafe. Consequently; the flight was postponed; and I spent the night.On Day 1; at XQ:00; maintenance personnel at ZZZ replaced four spark plugs on the bottom side of the engine free of charge. After thorough safety checks; departure was made at XT:00; I can successfully return to ZZZ1.