VIRGINIA BEACH, Va. — Virginia Beach City Council unanimously approved the nearly $2.9 billion 2027 budget Tuesday night without lowering the real estate tax rate.
The approved budget officially takes effect July 1.
For many residents, the biggest concern was not the overall budget itself — it was what rising home assessments could mean for their wallets.
The city kept the real estate tax rate at 97 cents per $100 of assessed value. But home assessments across Virginia Beach increased by an average of around 6 percent, tied to rising home values across the region. As demand for housing stayed high and property values climbed, assessments followed.
That means even though the tax rate stayed the same, many homeowners will still pay more.
Here is how that breaks down: if a home was assessed at $400,000 and the assessment increases 6 percent, the home's assessed value jumps to $424,000. At Virginia Beach's current tax rate, that homeowner would pay about $232.80 more in real estate taxes.
Residents repeatedly urged city leaders to lower the tax burden before the final vote.
"When you raise our assessments and you don't lower the rate, you are actually increasing our taxes," a resident said.
"Your priority should be lowering taxes on Virginia Beach," another resident said.
The city says the budget does include some relief for residents, including up to $80 off personal property taxes per vehicle and a $77 real estate tax credit for homeowners. Combined, that totals about $157 in possible relief.
But some residents argued that amount barely offsets rising everyday costs.
"This credit on the personal property tax for the vehicles maxes out $80 and the tax credit for the real estate tax is $77," a resident said.
"$157. That's three bags of groceries now," another resident said.
City leaders say the approved budget funds schools, police and fire services, infrastructure, and flooding projects while maintaining city operations.
But critics say the biggest issue for many families right now is affordability. And while the vote may now be final, the debate over rising assessments and the cost of living in Virginia Beach clearly is not.
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