Compression faucets date back to the first demand for indoor plumbing. You will typically notice this type of faucet in older homes. Compression faucets have separate hot and cold water handles. This type of faucet operates with the help of a compression stem, a large diameter screw, with a washer at the end of it pressing against a valve seat. When the compression is tightened, a rubber seal presses against a valve seat to restrict water flow. In other words, you must completely tighten the handle of a compression faucet to turn off the water flow.