The water diversion assembly of the present invention herein diverts and preserves the water supply when water supply is currently below the threshold temperature. The present invention relates to a water diversion assembly having a hot water inlet connected to a hot water supply and a cold water inlet connected to a cold water supply. An appliance outlet, for use by the user of an appliance, is configured to connect and deliver a water mix at an outlet temperature. The appliance outlet is in fluid communication with the hot water inlet, the cold water inlet, and a water collection outlet. Within the water diversion assembly, a thermostatic diversion valve having a hot water threshold temperature setting and arranged such that water from the hot water supply via the hot water inlet is delivered to the water collection outlet until the hot water threshold temperature is reached and then thermostatically diverted to a thermostatic mixing valve.