How to Buy a Home in Virginia Beach or Norfolk: A Guide for Military, Veterans & Hampton Roads Buyers
Buying a home in Virginia Beach or Norfolk can make a great deal of sense—especially if you expect to remain in Hampton Roads for several years, want to build equity, or are considering keeping the property as a rental after your next move.
For active-duty military members and veterans, the VA home loan program can make homeownership particularly attractive. But deciding whether to buy, where to buy, how much to spend, and what happens if you receive PCS orders later are equally important parts of the decision.
At Coastal Group Inc. Realtors, we work with buyers, sellers, rental owners and military families throughout Virginia Beach, Norfolk and the greater Hampton Roads area. Because we also manage rental properties, we tend to look beyond simply getting to closing. We want buyers to consider what the property may look like several years from now as well.
Can I Buy a Home in Virginia Beach or Norfolk?
For most buyers, the process starts with two questions:
How much home can I comfortably afford?
and
Where do I want to live?
Before seriously looking at houses, we generally recommend talking with a mortgage lender and obtaining a preapproval. This gives you an approximate price range and helps determine which financing program is most appropriate.
For eligible military members and veterans, that may include a VA-guaranteed home loan. Other buyers may use conventional, FHA or other financing.
Once you know your approximate purchasing power, we can begin comparing available homes through the local MLS.
You can search current Hampton Roads MLS listings through Coastal Group.
Using a VA Loan to Buy a Home
VA loans remain one of the most valuable homeownership benefits available to qualifying veterans and active-duty servicemembers.
Depending upon the borrower's circumstances and VA eligibility, benefits may include financing without the traditional down payment required by many conventional loans and different mortgage-insurance requirements.
The National Association of REALTORS® has also published an excellent current resource, What Veterans Need to Know About Buying a Home, addressing several changes buyers should understand.
One important change involves buyer representation.
Buyers working with many real estate professionals are now asked to sign a written buyer agreement describing the services the agent will provide and how the agent may be compensated. According to NAR, these agreements are negotiable and buyers should understand and agree to the terms before signing. (National Association of REALTORS®)
For VA buyers, another important issue has been whether the veteran may pay a real estate professional directly. VA currently permits buyers using VA home loans to pay for professional real estate representation. (National Association of REALTORS®)
How that compensation is actually handled can vary. It may involve compensation offered by a seller or listing broker, a buyer requesting that the seller pay the buyer broker as part of an offer, or the buyer paying the agent directly. (National Association of REALTORS®)
The important point is that these issues should be discussed before you start writing offers, not discovered halfway through a transaction.
Virginia Beach or Norfolk: Which Should I Consider?
There isn't one right answer.
Virginia Beach and Norfolk contain many very different housing markets, neighborhoods and property types.
Buying in Virginia Beach
Virginia Beach offers everything from condominiums and townhouses to established suburban neighborhoods, newer communities, waterfront homes and larger single-family properties.
Areas such as Great Neck, Little Neck, Kempsville, Bayside, Thalia, Larkspur, Salem, Princess Anne and Red Mill can offer very different combinations of price, home style, commute and future rental potential.
Our Virginia Beach property guide provides more information about the different areas of Virginia Beach and some of the property characteristics we encounter there.
Buying in Norfolk
Norfolk has an equally varied housing stock.
You may find historic homes and condominiums around Ghent and West Ghent, established single-family neighborhoods such as Larchmont and Edgewater, waterfront and coastal properties around Ocean View and East Beach, and many communities with convenient access to Naval Station Norfolk and other Hampton Roads employment centers.
Our Norfolk property management and neighborhood guide describes many of the Norfolk neighborhoods we work in and some of the differences among their housing stock. (Coastal Group Inc)
Think About the Property, Not Just the City
When comparing homes, we suggest looking beyond the city name or ZIP code.
Consider:
your normal commute;
property taxes and insurance;
flood-zone considerations;
age of the house and major systems;
condominium or homeowners association fees;
expected maintenance;
resale potential; and
potential rental demand if your plans change.
That last question becomes especially important for military buyers.
What Happens If I Receive PCS Orders After I Buy?
This is one of the most important questions a military buyer in Hampton Roads can ask.
Buying a house does not necessarily mean you will have to sell it when you leave.
A home purchased as your residence today may eventually become a long-term rental property.
Because Coastal Group is both a real estate brokerage and a property management company, we routinely help owners look at the question from both directions:
Should I sell the property—or should I keep it and rent it?
There is no universal answer.
We look at the probable sale value, mortgage balance, expected rent, property condition, maintenance requirements and the owner's longer-term plans.
For someone expecting another PCS move, this is worth considering before purchasing the house.
A property that works well as a residence but would be very difficult or expensive to maintain from another state may not be the best choice for a military buyer.
On the other hand, a well-located home with sustainable ownership costs and strong long-term rental demand can sometimes become an important investment asset later.
We recently discussed this in more detail in our guide to evaluating a Hampton Roads property's potential as a rental. (Coastal Group Inc)
Should I Buy If I May PCS Again in Three Years?
Possibly—but run the numbers first.
Three years is a relatively short ownership period once you consider buying expenses, selling expenses, market fluctuations and maintenance.
Instead of assuming that appreciation will make the purchase worthwhile, consider several possible outcomes:
Scenario 1 — You stay longer than expected.The home remains your residence and you continue building equity.
Scenario 2 — You PCS and sell.Your result will depend upon the property's value at that time, your loan balance and the cost of selling.
Scenario 3 — You PCS and rent the property.The rent helps support the property while you retain ownership for a longer period.
That third possibility is particularly relevant in Hampton Roads because military relocation is such a regular part of the local housing market.
Coastal Group manages many homes for owners who no longer live in Virginia. Our property-management operation is specifically structured around owners who need inspections, maintenance coordination, leasing, rent collection and reporting handled while they are elsewhere. (Coastal Group Inc)
You can learn more about our Virginia Beach and Hampton Roads property management services.
Buying While You Are Still Stationed Somewhere Else
You don't necessarily have to arrive in Hampton Roads before beginning your home search.
Military relocation schedules often require families to make decisions quickly.
A typical remote purchasing process may include:
discussing neighborhoods and priorities before arrival;
reviewing MLS listings online;
video walkthroughs when appropriate;
electronic documents and signatures;
coordinating inspections locally;
working with the lender and settlement company remotely; and
scheduling closing around PCS and reporting dates.
The objective isn't simply to buy quickly. It is to gather enough information remotely to make a sound decision.
Our Military & PCS relocation information provides additional resources for military households relocating to and from Hampton Roads.
What Type of House Should I Buy?
For an owner-occupant, your family's needs naturally come first.
But if there is a reasonable possibility that the home could eventually become a rental, we also suggest considering characteristics that future renters commonly value.
Those may include practical floor plans, parking, reasonable commute access, manageable yards, sufficient bedrooms and bathrooms, and major systems that are in good condition.
We also pay close attention to maintenance.
An unusually complex house may be perfectly enjoyable when you live there and supervise it yourself. It may become considerably less attractive when you're stationed 1,500 miles away and paying someone else to maintain it.
That doesn't mean you should buy your residence solely as an investment property.
It simply means that future flexibility has value.
Don't Skip the Home Inspection
A home inspection is an important part of most purchases.
The inspection can help identify defects and maintenance issues involving components such as:
roofs;
HVAC systems;
plumbing;
electrical systems;
foundations and crawlspaces;
windows and exterior components;
moisture;
drainage; and
appliances and installed equipment.
Properties near the Chesapeake Bay or Atlantic coast can also have additional exposure to moisture, wind, flooding and salt-air deterioration.
An inspection isn't a guarantee that nothing will go wrong later. It is another piece of information you can use in deciding whether to proceed with the purchase.
What About Condominiums and Townhouses?
Condos and townhouses can be attractive options for military owners because exterior maintenance may be more limited.
However, association documents deserve careful attention.
Before purchasing, understand:
monthly or quarterly assessments;
what the association maintains;
insurance responsibilities;
reserves;
pending assessments;
rental restrictions; and
other restrictions that could affect future use of the property.
The rental restriction is especially important if you think you might eventually PCS and want to retain the property.
A condominium that significantly restricts rentals can eliminate that option.
How Do I Start Looking for a Home?
The process can be fairly straightforward.
First, talk with a lender and obtain a preapproval.
Second, talk with a real estate agent about your expected move, commute, budget and longer-term plans.
Third, begin reviewing homes through the MLS.
Fourth, when you identify properties you like, compare not only purchase price but taxes, insurance, association costs, condition and expected maintenance.
Then, once you find the right property, your agent can help you prepare an offer and work through inspections, appraisal, financing and closing.
You can start by searching homes for sale through Coastal Group MLS.
Frequently Asked Questions
Can I buy a home in Virginia Beach with a VA loan?
Yes. Eligible borrowers regularly use VA financing to purchase homes throughout Virginia Beach, Norfolk and Hampton Roads. Your lender should confirm your individual VA eligibility and financing limits.
Can I purchase a home with no down payment using my VA benefit?
Many eligible VA borrowers can purchase without a traditional down payment, although the exact financing depends upon the borrower, property, purchase price and lender requirements. Talk with a VA-experienced lender before determining your price range.
Do I have to pay my buyer's real estate agent?
Compensation should be addressed in your written buyer agreement. NAR notes that compensation may potentially be paid by the seller or listing broker, requested from the seller as part of an offer, or paid directly by the buyer. (National Association of REALTORS®)
Should I buy in Virginia Beach or Norfolk?
That depends upon your budget, commute, preferred property type, lifestyle and future plans. Both cities contain a wide variety of neighborhoods. A good search usually begins by comparing specific neighborhoods and properties rather than treating either city as one market.
Should I buy if I expect another PCS?
Maybe. Consider how long you expect to own the property and whether selling or converting it into a rental would be realistic if you leave sooner than expected.
Can I rent my house after I PCS?
Often, yes, subject to your mortgage requirements, association restrictions, insurance requirements and applicable laws. Coastal Group regularly manages Hampton Roads homes for military owners who have relocated elsewhere.
Our guide to PCS orders and Virginia rental leases also explains some of the military-related issues that become important once a property is being rented. (Coastal Group Inc)
Can Coastal Group help me decide whether to sell or rent when I leave?
Yes. Because Coastal Group provides both brokerage and property-management services, we can compare potential sale value with expected rental income and ownership costs.
Our owner information page includes a request for a property analysis if you are considering renting, selling or aren't yet sure which direction makes sense. (Coastal Group Inc)
Start With the Longer-Term Question
Buying a house is obviously about finding a place you want to live.
In Hampton Roads, however, we think there is another useful question:
What would I want to do with this property if my circumstances change?
For a military family, that could mean PCS orders. For a civilian buyer, it could mean a job transfer, growing family or investment opportunity.
Thinking about resale and rental potential before you buy can give you more choices later.
Coastal Group Inc. Realtors works with buyers, sellers and rental-property owners throughout Virginia Beach, Norfolk and Hampton Roads.
You can search current homes for sale, learn more about Coastal Group's real estate sales services, or review our Hampton Roads property management services.
Coastal Group Inc. Realtors Virginia Beach, Virginia757-233-9595
This article provides general real estate information and is not legal, tax or mortgage advice. Loan requirements, VA eligibility, association rules and individual circumstances vary. Buyers should consult the appropriate lender, attorney, tax professional or other adviser regarding their individual situation.
