2025 San Antonio Water Restrictions Affecting Real Estate

San Antonio is now under Stage 4 water restrictions, and that’s a big deal — not just for homeowners, but for anyone with a stake in real estate. With the Edwards Aquifer reaching critical lows, the Edwards Aquifer Authority has banned all outdoor watering, including irrigation systems, fountains, and even filling pools for commercial property. This comes after years of persistent drought and signals growing pressure on the city's infrastructure.

With the continued drought happening in our region, the Edwards Aquifer Authority moved to Stage 5 water restrictions which is truly unprecedented. This type of water restriction is limited to commercial facilities, but still stresses the need to conserve water as much as possible. We were lucky to have had some rain recently, but to get out of Stage 4, we will need at least a month of the torrential downpours we’ve recently seen.

San Antonio water restrictions never emerging from Stage 2 and concerns about water availability, water rates increased in 2024 while usageis highly discouraged and regulated. San Antonio sits atop the Edwards Aquifer. The Edwards Aquifer is a vital resource for central and south-central Texas, providing water for various uses while supporting unique ecosystems. Effective management and conservation are essential to ensure its sustainability for future generations.

But water limits aren't the only concern. The real danger? What this drought is doing to your foundation.

Current San Antonio Water Restrictions

San Antonio Water restrictions are determined by the water level in the Edwards Aquifer.

Current Water Restrictions: Stage 4

The San Antonio Water System (SAWS) forecasts that we could reach stage 4 water restrictions by the end of the summer. This potential shift demands attention, particularly from those involved in the local real estate market.

Stage 2 Water Restrictions

• Watering Days: Restricted to once a week between 7-11 AM and 7-11 PM.

• Irrigation Systems: Use of irrigation systems limited to designated days.

• Fountains and Pools: Use of fountains and filling of pools is restricted.

Stage 3 Water Restrictions

• Watering Days: Reduced further, possibly to once every two weeks.

• Irrigation Systems: Potential complete ban on the use of irrigation systems.

• Fountains and Pools: Stricter limitations on the use of fountains and pools.

Stage 4 Water Restrictions

• Watering Days: Complete ban on outdoor watering.

• Irrigation Systems: Absolute prohibition on the use of irrigation systems.

• Fountains and Pools: Fountains must remain dry, and filling of pools is prohibited.

New San Antonio Water Restrictions

In 2024, IN a significant move, the SAWS board of trustees has unanimously approved new drought rules. These rules aim to replace city-issued citations with a $137 fee that requires residents and businesses to go to municipal court. The implications of these changes could be far-reaching for property owners. San Antonio Water Systems approach to water conservation is to target the highest water users. According to the EPA, nearly 9 billion gallons a day are used for landscape irrigation and is estimated to account for nearly 30% of all residential water use.

San Antonio Landscape Increases Usage Fees

Due to the elevations of San Antonio, water runs from the northwest side down to southeast side. This creates a greater energy demand to get water back to the northwest side of San Antonio and causes impact fees that are considered when adjusting rates by the San Antonio Water Systems.

Impact on San Antonio Area Real Estate

Tenant and Owner Considerations

Tenants are also impacted by San Antonio water restrictions, as they may need to adapt their usage and expectations. Property managers must communicate these restrictions clearly to avoid misunderstandings and ensure compliance.

Efficient Irrigation Practices:

• Deep and Infrequent Watering: Instead of shallow, frequent watering, deep and infrequent watering encourages deeper root growth, making the lawn more drought-resistant.

• Time of Day: Water early in the morning when temperatures are cooler to minimize evaporation losses.

• Irrigation Systems: Utilize efficient irrigation systems such as drip irrigation or soaker hoses to reduce water waste.

Water Conservation Techniques:

• Mulching: Apply mulch around plants to retain moisture and reduce evaporation.

• Rain Barrels: Collect and use rainwater for irrigation to supplement your water supply.

Soil Amendments:

• Organic Matter: Incorporate organic matter such as compost to improve soil structure, enhance water retention, and support beneficial microorganisms.

• Soil Aeration: Aerate the soil to improve water infiltration and reduce soil compaction.

Mowing:

• Height: Raise the mowing height to at least 3 inches. Taller grass shades the soil, reducing water loss and promoting deeper root systems.

• Clippings: Leave grass clippings on the lawn to decompose and return moisture and nutrients to the soil.

Fertilization:

• Timing and Type: Use slow-release fertilizers and apply them sparingly. Over-fertilizing can increase water demand and stress the lawn during drought conditions.

Alternative Landscaping:

• Grass Varieties: Consider planting drought-resistant grass species such as Bermuda grass, Zoysia grass, or Buffalo grass. These varieties are more adapted to withstand dry conditions.

• Drought-Resistant Plants: Incorporate drought-tolerant plants and ground covers that require less water. Xeriscaping reduces water usage and maintenance needs.

• Reduced Turf Areas: Minimize the amount of traditional turf grass and replace it with native plants, decorative gravel, or other hardscaping elements.

Regular Inspection:

• Stress Signs: Regularly inspect the lawn for signs of drought stress such as wilting, discoloration, and reduced growth.

• Pest Management: Monitor for pests and diseases, which can become more prevalent in weakened, drought-stressed lawns.

Adaptive Strategies:

• Flexible Practices: Be prepared to adjust lawn care practices based on weather conditions and water availability. Implementing temporary measures such as prioritizing water for essential areas can be beneficial.

Residential Rebate Programs

SAWS has residential and commercial rebate programs that will help mitigate water usage. Learn more about their programs.

What problems are caused by drought to real estate?

Droughts can cause significant problems for real estate, primarily impacting property values and structural integrity. These issues stem from the physical effects of drought, such as soil shrinkage and increased fire risk, as well as from water scarcity and its consequences for residents. 

Here's a breakdown of the problems:

1. Foundation Damage:

• Soil Shrinkage:

  Dry soil, especially clay-rich soil common in some areas, shrinks during drought. This can create voids beneath foundations, leading to settling, cracking, and other structural issues. 

• Structural Damage:

  These foundation problems can manifest as uneven floors, doors and windows that don't align properly, and even cracked walls and driveways. 

2. Increased Fire Risk:

• Dry Vegetation:

  Lack of water dries out vegetation, turning it into fuel for wildfires. This increases the risk of wildfires, which can destroy homes and property.

• Reduced Property Value:

  Homes in areas with high wildfire risk may become less desirable and experience a decline in property value.

3. Water Supply Issues:

• Restricted Water Use:

  Droughts can lead to water restrictions, making it difficult to maintain landscaping and potentially impacting property values, says BHHS Colorado Properties. 

• Higher Utility Costs:

  Water restrictions can also lead to increased water costs, further impacting homeowners. 

• Water Scarcity:

  In severe cases, prolonged drought can lead to water shortages, making properties less appealing to buyers. 

• Infrastructure Costs:

  Developers may face higher infrastructure costs related to water-saving technologies or water infrastructure development. 

4. Legal Disputes:

• Water Rights: Water scarcity can lead to legal disputes over water rights, particularly between developers and municipalities. 

5. Impact on Property Values:

• Decreased Appeal:

  Properties in drought-stricken areas may lose their appeal to buyers due to the reasons mentioned above. 

• Reduced Demand:

  In severe cases, water shortages can lead to reduced demand for properties in the affected areas, further decreasing their value. 

• Insurance Costs:

  Properties in high-risk drought areas may face higher insurance costs due to increased risk of wildfires and other damages. 

6. Other Considerations:

• Delayed or Denied Permits:

  Local governments may delay or deny permits for new developments due to limited water supply. 

• Impact on Land Values:

  Drought can make it more difficult to use land for agriculture or other revenue-generating activities. 

In essence, droughts create a complex interplay of physical, economic, and legal challenges for real estate, impacting everything from foundation stability and fire risk to property values and water access. San Antonio’s move to Stage 4 restrictions is a wake-up call. The drought isn’t just drying out lawns — it’s shifting foundations, raising costs, and reshaping local real estate. If you see signs of foundation movement or need help adapting your property for ongoing water restrictions, take action now. These changes aren't going away anytime soon.

If you're concerned about how these water restrictions could impact your property or investment, our team at Hendricks Property Management is here to help. We provide expert advice and solutions to help you navigate these challenges. Contact us today to learn more about how we can assist you in managing your property effectively in light of these water restrictions.