Abstract: Water is one of the most important factor in the development of a nation and until recently, this essential element of urban liveability-domestic water supply have not received the much needed attention it deserved in promoting good urban living. This paper therefore, examines water supply situation in Owo, Ondo State, Nigeria. Data were obtained from both primary and secondary sources through physical survey, observation, interview and questionnaires administered to targeted residents of the different quarters of the ancient town. The study reveals among others shortage of portable water as well as lack of attention to maintenance and sustainability. Moreover, majority of the respondents get their water supplies from unprotected source thereby making them vulnerable to water borne diseases. The study therefore recommends among others the conduct of awareness campaign to sensitize the local people, provision of good and safe drinking water as well as the repair/maintenance of the existing water facilities in order to achieve the target of the MDG.