Virginia Beach

VAVirginia Beach-Norfolk-Newport News

Real Estate Market Analysis

Q3 2025 Report
$395,000 (June 2025)
Median Home Price
457,658
Population
$81,810 (2023 estimate)
Median Income
Virginia Beach City Public Schools rated above average (GreatSchools: 7/10)
School District Rating

Market Overview

Property Values

$395,000 (June 2025)
Median Home Price
$235 (+0.9% YoY)
Price per Sq Ft
-3.7% (June 2025)
YoY Change

Market Performance

Days on Market24 days (June 2025)
Market TypeCompetitive, with rising inventory and strong demand
Months of SupplyData not specified, but inventory up 23% YoY as of Jan 2025

Sales Activity

Sales Volume624 homes sold (June 2025), up from 534 last year
Metro AreaVirginia Beach-Norfolk-Newport News
Population457,658

Economic Indicators

Employment & Growth

Unemployment RateData not specified for 2025; historically around 3.5%-4%
Job Growth RateData not specified for 2025; regionally steady due to military, tourism, and healthcare
Median Household Income$81,810 (2023 estimate)

Major Employers

  • Naval Air Station Oceana
  • Sentara Healthcare
  • Virginia Beach City Public Schools
  • City of Virginia Beach
  • Stihl Inc.

Demographics

457,658
Population
36.2 years
Median Age
Stable to modest growth; migration patterns support demand
Population Growth
35% bachelor's degree or higher
Education Level

Family Composition

Mix of families, singles, and retirees; strong military presence

Key Industries

Military/DefenseTourism/HospitalityHealthcareEducationManufacturing

Education

School District

Virginia Beach City Public Schools rated above average (GreatSchools: 7/10)
District Rating

Top Schools

  • Princess Anne High School
  • Ocean Lakes High School
  • Kempsville High School

Higher Education

  • Regent University
  • Virginia Wesleyan University
  • Tidewater Community College

Infrastructure & Development

Major Projects

  • Light rail extension studies
  • Virginia Beach Town Center expansion
  • Flood resilience and stormwater upgrades

Transportation

  • Road widening projects
  • Public transit enhancements

Planned Developments

  • Mixed-use developments near Town Center and Oceanfront

Lifestyle & Amenities

Recreation

  • Beaches
  • State parks
  • Golf courses

Dining & Entertainment

  • Oceanfront restaurants
  • Town Center nightlife
  • Local breweries

Cultural Attractions

  • Virginia Aquarium
  • Military Aviation Museum
  • Sandler Center for the Performing Arts

Investment Analysis

Investment Opportunities

  • Rising rental demand from military and tourism
  • Value-add opportunities in older neighborhoods
  • Short-term rental potential near the beach

Growth Outlook

Moderate; long-term demand supported by military, tourism, and migration

Market Risks

  • Recent price softening (-3.7% YoY)
  • Rising inventory may pressure prices
  • Insurance and flood risk in coastal zones

Rental Market

Strong, with steady demand and above-average yields

Marketing Intelligence

Target Demographics

  • Military families
  • Young professionals
  • Retirees
  • Investors (short-term and long-term)

Marketing Channels

  • Zillow/Realtor.com
  • Facebook/Instagram
  • Military relocation networks

Pricing Strategies

Price slightly below recent comps to drive multiple offers in competitive segments

Common Objections & Response Strategies

Objection: Home prices seem high given recent declines.

Response Strategy:

Emphasize long-term appreciation, strong rental demand, and local economic stability.

Objection: Flood risk and insurance costs are a concern.

Response Strategy:

Highlight properties with flood mitigation, recent upgrades, and provide insurance quotes upfront.

Objection: Rising inventory means more competition for sellers.

Response Strategy:

Stress the importance of strategic pricing, staging, and aggressive marketing to stand out.

Professional Recommendations

1

Advise sellers to price competitively and invest in staging for maximum impact.

2

Educate buyers on flood risk and insurance options early in the process.

3

Leverage digital marketing and virtual tours to reach out-of-town buyers.

4

Monitor inventory trends and adjust pricing strategies as needed.

5

Highlight rental potential and long-term appreciation for investors.

Competitive Analysis

Comparable Markets

  • Norfolk, VA
  • Chesapeake, VA
  • Wilmington, NC

Market Positioning

Virginia Beach is a lifestyle-driven, resilient coastal market with strong rental fundamentals.

Competitive Advantages

  • Beachfront lifestyle
  • Strong military/tourism economy
  • Above-average schools

Price Comparison

Median home price is higher than Norfolk but lower than many Northeast coastal cities.

Investment Metrics

5-6% for long-term rentals near bases
Cap Rates
6-7% gross yields typical for well-located properties
Rental Yields
17-19 (favorable for investors)
Price-to-Rent
Positive cash flow achievable with 20% down in most submarkets
Cash Flow
Modest 1-3% annual appreciation expected over next 2-3 years
Appreciation

Buyer Journey Insights

First-Time Buyers

Benefit from VA and FHA loan programs; focus on affordability and proximity to amenities.

Move-Up Buyers

Leverage equity gains; seek larger homes or better locations.

Downsizers

Look for low-maintenance condos/townhomes near the beach or Town Center.

Investors

Target properties near bases or beach for strong rental demand; consider short-term rental regulations.

Relocators

Military and remote workers prioritize commute, schools, and lifestyle amenities.

This city analysis was generated using comprehensive market data and AI intelligence.

Market conditions change rapidly - consult with local real estate professionals for the most current information.

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