Published by The Morton Group with AtCoastal Realty | Todd Morton, REALTOR and Owner | November 4, 2026
The direct answer: Virginia Beach workforce housing is a voluntary development program, not a price cap on every home or apartment. Participating developers may receive added density in exchange for creating designated units with income, pricing and compliance requirements. Buyers and renters must still qualify for a specific program unit.
What changed in Virginia Beach in 2026?
On August 18, 2026, Virginia Beach adopted Ordinances 3870 and 3871, amending the City's workforce-housing provisions in Chapter 16 and the zoning ordinance. The changes updated how participating projects are governed, including rental-program compliance.
The important consumer takeaway is narrower than the headline may sound: the ordinances update a developer program. They do not automatically convert existing homes into workforce housing, guarantee that a unit is available, or make every new development subject to workforce-housing prices.
How does the program create housing?
According to the City's Workforce Housing Program guidance, participation is voluntary. A developer that agrees to produce qualifying units may seek a density increase of up to 30% beyond what would otherwise be allowed or approved.
The designated units must be integrated into the participating development and follow program rules. The City's zoning ordinance says the program is intended for places where additional residential density is consistent with the Comprehensive Plan, including Strategic Growth Areas. It is not available in Accident Potential Zones, higher aircraft-noise zones identified by the City, or R-10 through R-40 residential districts.
Who may qualify for a workforce-housing unit?
| Program side | Current income framework | What to verify |
|---|---|---|
| For-sale units | Generally 80% to 120% of area median income | Household-size limit, assets, approved price and buyer eligibility |
| Rental units | Generally 40% to 90% of area median income, or up to 100% in a building with an elevator | Current rent limit, utility allowance, household income and unit availability |
Area median income is based on the Virginia Beach-Norfolk-Newport News metropolitan area and adjusted for household size. The Housing Advisory Board approves income, rent and sales-price limits at least annually, so a past dollar figure should not be treated as current eligibility.
What should a prospective buyer ask?
- Is this specific property a City-designated workforce-housing unit?
- What current income, asset and household-size standards apply?
- Does the City require an application or approval before contract ratification?
- Are there resale-price, owner-occupancy or other recorded restrictions?
- How do mortgage approval, taxes, insurance and mandatory HOA or condominium dues affect the total housing cost?
The City's code describes affordability using direct housing costs, including principal, interest, taxes, insurance and mandatory association dues. A lower sales price does not replace a full monthly-payment review.
What should a renter ask?
Confirm that the advertised apartment is actually one of the designated units, which income tier applies, what utilities are included, and whether the quoted rent reflects the current City-approved schedule. A participating development can contain both market-rate and restricted units, so the building address alone does not establish eligibility.
The local real estate takeaway
Virginia Beach's updated rules may make it easier for qualifying projects to use the program, but new housing still depends on developer participation, City approvals, financing and construction. For buyers and renters, the practical move is to verify the exact unit and current program standards instead of relying on the label "workforce housing."
For broader pricing and supply context, see the Hampton Roads real estate market report. If you are comparing a workforce unit with a market-rate home, contact The Morton Group for a property-specific conversation.
Sources
- City of Virginia Beach, Codes and Ordinances: Ordinances 3870 and 3871, adopted August 18, 2026; accessed November 4, 2026.
- Virginia Beach Housing and Neighborhood Preservation, Develop Workforce Housing, accessed November 4, 2026.
- Virginia Beach Zoning Ordinance, Article 21: Workforce Housing, accessed November 4, 2026.
- City of Virginia Beach, Housing Advisory Board, accessed November 4, 2026.