This study investigated the drinking water quality of house water tanks that harvested roof runoff in a rural area surrounding a large copper and gold mine in Central Western New South Wales (NSW). Water was sampled from (1) the tops of water tanks, (2) the bottoms of water tanks, and (3) kitchen taps. Water samples collected from the bottoms of tanks were turbid with suspended sediment. Concentrations of metals (lead, nickel, arsenic and manganese) from bottom-of-tank water samples often exceeded Australian drinking water guidelines. Overall, 37.2% of samples from bottoms of tanks exceeded arsenic guidelines (<10 µg L−1). The mean concentration of lead in water from bottoms of tanks was 695 µg L−1, with 18.6% of these samples exceeding lead guidelines (<10 µg L−1) by >100 times. Our results highlight the risk of contaminated water and sediment at the bottoms of tanks. Further investigation of private household drinking water tanks is recommended for properties in other rural areas, including areas with and without nearby mining activity. We describe a layer of contaminated water and sediment at the bottoms of water tanks, near the water outlet, which is a potential contamination pathway and substantial health risk for house water supplies.