As a Roblox developer, it is currently impossible to make smooth terrain water flat when it interacts with another form of terrain such as grass, rocks, sand etc.
One thing that I currently notice when working with smooth terrain is that the water, when connected to a piece of land, is almost never flat. It seems to have become apart of the grass and risen instead of staying flat, which to me feels a bit unrealistic.
What I mean
As you can tell there is a large portion of the water that seems to have become apart of the grass instead of remaining flat, which to me looks very unnatural as water does not function like that.
What I propose
In this image, which is just brick water, you can see the water is flat and has not risen or become apart of the grass terrain, which looks a lot more realistic.
There are ways to accomplish just that, using Quenty’s Part to Terrain Plugin, you can easily just convert that water brick to water, giving you a whole lot more control over (in your case) the water not overlapping.
Water plays such a key role in maps that I think the native smooth terrain tools absolutely need this feature. It is nearly impossible to easily create a stream, river, or a lake that is flat. It takes far too much time and effort using the current tools.
Terrain needs an overhaul in my opinion - I feel like it’s not very developer friendly, and can’t be used interactively or realistically. I think there should be terrain regions, much like parts, that hold local terrain cells and can be edited and changed individually for that terrain part only. Water should be a part material.