Housing Matters: Laying the Foundation for Understanding Affordable Housing in Virginia Beach

Creating and maintaining affordable housing in Virginia Beach is among the City’s top priorities. When residents have the opportunity to live in safe, stable and quality housing they can afford, our entire community thrives. Affordable housing helps people have other funds to meet their basic needs and improve their quality of life, invest in their property and spend in our local economy.  

What is affordable housing? 

Affordable housing can be all types of housing, from multi-family apartments and single detached homes to townhomes and condominiums. In fact, it is not dependent on the quality, location, size or type of housing. So, what makes housing affordable? 

Generally, housing is considered affordable when a household — collectively all individuals living together in the same housing unit — does not spend more than 30% of its pre-tax income on total housing costs. This definition for affordable housing is widely used by the U.S. Department of Housing and Urban Development (HUD), the City’s Department of Housing & Neighborhood Preservation and across the housing industry. 

Mortgage payments, property taxes, insurance, utilities and homeowner/condominium association dues make up housing costs for homeowners. For renters, housing costs consist of rent and utilities. Home repairs and ongoing property maintenance are not included when calculating housing costs. 

Households that spend more than 30% of their income on total housing costs are considered housing cost-burdened, and those that spend 50% or more are considered severely housing cost-burdened. 

Who needs affordable housing? 

The most recent study of the city’s housing market found that one in three households in Virginia Beach is considered to be housing cost-burdened. At the time of the study, which looked at 2021 data, there were more than 177,000 total households. About 59,000 were spending 30% or more of their income on housing costs. In 2023, total households increased slightly to more than 179,000, and the number of housing cost-burdened households was 62,000 — about evenly split between renters and homeowners.  

While some households may be able to spend more of their income on housing costs, those that have fixed or low incomes, such as seniors, workers in certain positions, people with disabilities and single-headed households, have limited affordable housing options. They are also especially vulnerable to experiencing financial instability and may have to sacrifice basic needs to afford housing. 

What is the City’s role in expanding affordable housing? 

The City helps facilitate partnerships and creates programs and policies to promote affordable housing in Virginia Beach. Multiple tools at the federal, state and local levels are also used by the City and developers to create and preserve affordable housing opportunities. These range from subsidy programs, such as Housing Choice Vouchers and grants for down payment and closing cost assistance, to direct funding toward the development and rehabilitation of affordable housing units. 

Since 2000, the City has invested more than $15 million in federal and local funding to support developments that provide affordable housing for families and individuals in Virginia Beach. This funding has created 1,280 affordable rental housing units and rehabilitated 413. 

Every day, thousands of Virginia Beach households are able to obtain, maintain or sustain their housing through various federal and state housing assistance programs administered by Housing & Neighborhood Preservation. 

Stay informed and connect with resources  

Learn more about the basics of affordable housing and subscribe to the Housing Matters e-newsletter to receive news and updates on this important topic at VirginiaBeach.gov/HousingMatters. From there, you can also download the Affordable Housing Resource Guide to find information on housing counseling agencies, down payment/closing cost assistance, homebuyer education classes, affordable rental housing lists and other resources for renters, homebuyers and homeowners.  

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City Council approved the development of an education campaign on affordable housing, which was recommended in the 2024 Housing Study report. Housing Matters is the City’s educational and outreach initiative led by Virginia Beach Housing & Neighborhood Preservation that aims to increase residents’ understanding of affordable housing and the need in Virginia Beach.