On February 25, the City Real Estate Assessor presented an overview of the projected FY 2026 assessments to the City Council. The report highlighted several key trends and details impacting property values and taxes in Virginia Beach. Here are seven important facts for residents to know:
Real Estate Assessments Are Up, but the Increase Is Slowing
Since 2022, property values in Virginia Beach have been rising. After sharp increases in FY 2023 and FY 2024 (9.2% and 9.7%, respectively), the growth slowed in FY 2025 (7.7%) and is projected to further decrease to 5.6% in FY 2026.
Median Residential Assessment Increased to $365,300
The median residential property value for FY 2026 rose by $17,600—its smallest increase since FY 2022. The total increase over eight years from FY 2018 to FY 2026 is $128,400, with the median assessment growing from $236,900 to $365,300.
Tax Rate Decrease Helps Homeowners
In 2024, City Council reduced the real estate tax rate from $0.99 to $0.97 per $100 of assessed value. Had the rate remained at $0.99, taxes for a median-priced home would’ve been about $73 higher. Virginia Beach’s rate is the lowest among the seven cities in the region.
New Housing Units Were Mostly Apartments
In 2024, 1,221 new housing units were built, a return to pre-COVID levels. Of these, 955 were apartments, 161 were single-family homes, and the rest were condominiums and duplexes.
New Home Assessments Reach Record Highs
The median assessment for newly built homes (single-family or duplex) in 2024 is $903,000, the highest reported in recent years. Homes valued over $1 million make up 25.9% of all new residential properties built.
Tax Relief Programs Available for Qualifying Residents
Tax relief programs are available for various groups, including disabled veterans, senior citizens, energy-efficient buildings, and historic properties. These programs are managed by the Commissioner of the Revenue and can provide financial relief for qualifying residents.
Appeal Your Property Assessment
Residents who have questions about their property assessments, which will be mailed by March 1, can appeal them through hearings held from March through April 30. Information about the appeals process and property details can be accessed via the City’s online property search tool.
Next Steps in the FY 2025-26 Budget Process
March: The VBCPS budget request is approved by the School Board, and the city manager presents the combined proposed operating budget on March 25.
April: City Council will hear from department heads and hold public hearings for resident input.
May: The budget will be finalized in a reconciliation workshop, with adoption scheduled for May 13, 2025.
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