Buying a home with a private well or septic system

Why do wells and septic systems matter in New Hampshire?

According to NHDES, nearly half of New Hampshire residents get their water at home from a private well. A septic system treats wastewater on the property instead of sending it to a town sewer. Neither is a problem in itself, but both are the owner's to maintain, so it pays to know their condition before you buy.

How should I test the well water?

NHDES points home buyers to its NH Well Water Test for Home Buyers. The sample can be taken by you, your real estate agent, your home inspector or a laboratory, and NHDES advises using an accredited laboratory that supplies the bottles and instructions.

Some common contaminants have no taste, odor or color, so testing is the only way to know what's in the water. After you move in, NHDES recommends testing a private well every three to five years.

For an FHA loan, the well water sample must be collected and tested by a disinterested third party, not the buyer, seller or anyone else with an interest in the sale. FHA also won't insure a home whose water comes from a spring, lake, river, sand-point well or artesian well, or uses a mechanical chlorinator (HUD Handbook 4000.1). Many people in New England call any drilled well an "artesian well," so if the listing says artesian, ask Tom how the well will be treated before you count on an FHA loan. See which loans require a well water test.

How is the septic system checked?

NHDES's fact sheet for buyers suggests asking:

• Does the system have state approvals for construction and operation? Ask the owner for the approved plan or approval numbers.
• Does the number of bedrooms on the approval match the number of bedrooms in the house?
• Is there a maintenance record, including when the tank was last pumped and any past failures?
• For lots with steep slopes or ledge, NHDES strongly advises a site assessment by a permitted septic system designer.

Your home inspector can tell you what a septic inspection would cover and who can do it during your inspection period. Service Connect lists local home pros, including inspectors, as they join.

Is a septic evaluation required on waterfront homes?

New Hampshire law adds a step for developed waterfront property. When any part of the septic system is within 250 feet of the shoreline reference line, the buyer must hire a New Hampshire licensed septic system evaluator, at the buyer's expense, before the property is transferred. The buyer may accept an evaluation done for the seller if it was completed within 180 days of the transfer.

If the system has no NHDES approval, or its approval is from before September 1, 1989, the buyer must also hire a New Hampshire permitted septic designer before the transfer to find out whether it's failing. The findings don't stop the sale, but a failing system must be replaced within 180 days of the transfer (RSA 485-A:39).

Buying on a lake, pond or river? Plan the evaluation into your contract dates.

How do well and septic checks fit the loan?

The appraisal notes the home's water supply and wastewater system. Depending on the loan program, the property and what the appraiser finds, a lender may ask for a water test, a septic inspection or repairs before closing.

For FHA loans on existing homes, a July 2026 FHA waiver lets a private well meet the town's or state's distance rules instead of FHA's own, as long as the water tests are acceptable. See FHA loans and wells.

Lab results and inspections take time, so build them into your inspection and financing dates. Tell Tom early that the home has a well or septic system and he can tell you what your loan will need. The closing costs guide covers the other costs to plan for.