In this paper, a comparison of the mechanical properties of high-strength low-alloy S460N steel welded joints is presented. The welded joints were made by the gas metal arc welding (GMAW) process in the air environment and water, by the local cavity welding method. Welded joints were tested following the EN ISO 15614-1:2017 standard. After welding, the non-destructive—visual, penetrant, radiographic, and ultrasonic (phased array) tests were performed. In the next step, the destructive tests, as static tensile-, bending-, impact- metallographic (macroscopic and microscopic) tests, and Vickers HV10 measurements were made. The influence of weld porosity on the mechanical properties of the tested joints was also assessed. The performed tests showed that the tensile strength of the joints manufactured in water (567 MPa) could be similar to the air welded joint (570 MPa). The standard deviations from the measurements were—47 MPa in water and 33 MPa in the air. However, it was also stated that in the case of a complex state of stress, for example, bending, torsional and tensile stresses, the welding imperfections (e.g., pores) significantly decrease the properties of the welded joint. In areas characterized by porosity the tensile strength decreased to 503 MPa. Significant differences were observed for bending tests. During the bending of the underwater welded joint, a smaller bending angle broke the specimen than was the case during the air welded joint bending. Also, the toughness and hardness of joints obtained in both environments were different. The minimum toughness for specimens welded in water was 49 J (in the area characterized by high porosity) and in the air it was 125 J (with a standard deviation of 23 J). The hardness in the heat-affected zone (HAZ) for the underwater joint in the non-tempered area was above 400 HV10 (with a standard deviation of 37 HV10) and for the air joint below 300 HV10 (with a standard deviation of 17 HV10). The performed investigations showed the behavior of S460N steel, which is characterized by a high value of carbon equivalent (CeIIW) 0.464%, during local cavity welding.