T
he City Real Estate Assessor presented the FY 2026 assessment projections to City Council on February 25. By law, the City must assess all properties annually by January 31. This is crucial as real estate taxes account for about 30% of Virginia Beach's annual General Fund revenue, which funds essential services like public education, fire and police protection, roads, and more.
At the current tax rate of $0.97 per $100 of assessed value, the projected $86.9 billion in total assessed real estate for FY 2026 will generate $842 million in tax revenue. Here are key facts residents should know:
* Real estate assessments have increased, but at a slower pace than recent years.
* Property values in Virginia Beach rose by 3-4% annually from 2020 to 2022, then jumped to 9.2% and 9.7% in FY 2023 and FY 2024, respectively. In FY 2025, the increase slowed to 7.7%, and it's expected to be 5.6% in FY 2026.
* The residential median assessment increased to $365,300, a rise of about $17,600 over the previous year – the smallest increase since FY 2022.
City Council reduced the real estate tax rate from $0.99 per $100 of assessed value to $0.97 in 2024. Had the rate remained at $0.99, taxes for a median-priced home would have been about $73 more. The rate in Virginia Beach is the lowest among the region's seven cities.
In 2024, most new housing units built were apartments, with 955 out of 1,221 new residential units constructed. The average assessment of a new home (single-family or duplex) is the highest it has been in recent years, at $903,000. Homes valued over $1 million represent the largest percentage of all new residential properties built.
Tax relief programs are available for qualifying residents, including disabled veterans, energy-efficient buildings, historic landmarks, and senior citizens. Details can be found on the Real Estate Assessor's website.
Assessments will be mailed to residents by March 1. If you have questions or concerns about your assessment, contact the Real Estate Assessor's Office. Hearings to review assessments are held from March through April 30.
To review information about your property, visit the City's property search tool and look up assessment details using your address. More information on how properties are assessed and the appeals process is available at Assessor.VirginiaBeach.gov.
The FY 2025-26 budget process will continue with the following steps:
* March: The VBCPS budget request is approved by the School Board, and the city manager presents the combined proposed operating budget to City Council on March 25.
* April: City Council hears from individual department heads on their departmental budgets, and two public hearings provide residents an opportunity to comment on the proposed budget.
* May: The reconciliation workshop is held a week before the state-mandated deadline of May 15 for the budget to be adopted. This year's budget adoption is scheduled for May 13, 2025.
Learn more about the City's budget process and how you can provide your input by visiting budget.virginiabeach.gov or subscribing to updates on the City's website.
