E
ffective July 1, 2025, Virginia introduces significant changes affecting real estate transactions, land use approvals, local governance, and secured lending. Key updates include:

    Courts and Dispute Resolution

     * General District Court jurisdiction increases to $50,000, allowing for faster resolution of mid-size property disputes.

     * First court date can now be set up to 90 days from service, offering more flexibility in scheduling.

    Environmental and Infrastructure

     * Localities operating storm sewer systems gain broader rights to enter private property for inspections and enforcement.

     * C-PACE financing eligibility expands to multifamily buildings with five or more units and commercial condos.

    Homeowners’ Associations and Condominiums

     * HOAs and condominium associations can terminate management contracts without cause after 60 days' written notice.

     * Resale certificates no longer require disclosure of the buyer's name, streamlining closings and protecting buyer privacy.

    Landlord-Tenant

     * Landlords must disclose all additional fees on the first page of any lease or renewal agreement.

     * Processing fees for payment are banned unless a fee-free alternative is offered to tenants.

     * A permanent eviction diversion program provides mediation opportunities and payment plan options to help tenants avoid eviction.

    Planning, Zoning, and Land Use

     * Subdivision and site plan approvals are streamlined in most localities, cutting red tape and speeding up development processes.

     * Public hearing notice periods for planning and zoning matters are reduced from seven to five days.

    Property Disclosures and Consumer Protections

     * Real estate transactions involving septic systems must meet new minimum inspection standards performed by qualified inspectors.

     * Mold removal in dwellings must be performed by nationally certified professionals following industry standards.

    Real Estate Brokerage and Licensing

     * Agents representing buyers or tenants must have a signed brokerage agreement before showing any property.

     * Unlicensed employees working under a licensed broker may now sign certain residential lease agreements and collect security deposits.

    Secured Transactions and Commercial Code

     * Priority of security interests in fixtures is clarified, providing more certainty for lenders.

     * Written lease modifications can be enforceable without new consideration if documented in writing.

    Tax and Valuation

     * Affordable housing real estate tax assessment reform requires localities to value affordable rental housing using the income approach starting January 1, 2026.

    Other notable changes include expanded civil liability for employers and a ban on non-competes for overtime-eligible employees.