Hampton Roads Real Estate Snapshot: Summer 2025 Edition
Welcome to the Summer 2025 edition of our Hampton Roads Real Estate Snapshot. This season’s update brings you insights on what’s happening across the residential real estate and short-term rental (STR) markets in our dynamic coastal region. Whether you’re an investor, homeowner, or real estate professional, our goal is to give you a meaningful picture of where things stand, and where they’re heading.
Housing inventory and pricing trends
Let’s start with what everyone’s asking: “What’s going on with prices and inventory?”
Well, the good news is that there’s finally some breathing room for buyers. Inventory has ticked up, but demand is still pretty strong. In other words, prices are still climbing, just at a more manageable pace.
In June 2025, the median home price in Hampton Roads hit $375,000—that’s a new record and up about 4.7% from last year.
We saw a big jump this spring, with over 5,200 homes on the market in May, the highest in nearly five years. June settled around 4,000 listings, which is still pretty solid.
On average, homes are going under contract in about 18 days—so they’re still moving pretty fast if priced right.
We're sitting between 1.7 and 2.6 months of supply. For context, 5–6 months is considered a “balanced” market. So we’re still tilted toward sellers, but buyers have more room to negotiate than they did in 2021–2022.
Bottom line: If you're selling, you’ve still got leverage, but don’t skip on pricing and presentation. If you’re buying, you're finally not in a bidding war every time, but you’ve got to act quickly on the good ones.
Who's Buying right now and why
Buyer demand hasn’t gone away, it’s just shifted a bit. Here’s what we’re seeing:
First-time buyers are stepping back in thanks to slightly better inventory and more lender flexibility.
Military families are relocating in and out (as usual), which keeps things active in Norfolk, Virginia Beach, and Portsmouth.
Investors, especially short-term rental buyers, are still poking around areas like the Oceanfront, Ghent, and downtown Hampton.
Pending sales were up 15% in June compared to last year, which tells us people are still motivated, and they’re moving when the right property pops up.
What short-term rental (STR) hosts need to know
We pulled the latest data from AirDNA, and here’s what the short-term rental market looks like this summer in Hampton, VA (one of the more active STR pockets in the area):
Active STRs: 673 listings
Occupancy Rate: 51%
Average Daily Rate (ADR): $223.50
RevPAR: $109.40
YoY Trends: Occupancy is up about 4%, ADR up 3%, and RevPAR up 6%
Those are pretty decent gains, and they reflect what we’re seeing across Hampton Roads: more tourism, more travel flexibility, and steady bookings through the summer.
Note: If you're comparing your property to AirDNA averages, there’s some nuance to consider Many hosts block off their calendars for personal use, so actual occupancy may be a bit lower than reported.
What to expect the rest of the summer (and beyond)
Summer Peak Is Here
Late July and early August are peak booking times thanks to beach trips, military moves, and events like FunkFest and the Norfolk Waterfront Jazz Festival.
STR demand remains strong around coastal and walkable areas (especially in Virginia Beach, Norfolk, and Williamsburg).
Looking Ahead to Fall
Once September hits, bookings usually dip a bit. That’s a great time to:
Adjust pricing to stay competitive.
Target niche guests like travel nurses or military families in transition.
Offer longer stays to fill gaps—those 30+ day bookings can really help smooth out revenue.
Tip: Properties near hospitals, military bases, and universities (like ODU or EVMS) tend to do better in the off-season..
Want to Chat About Your Property or Plans?
Whether you're thinking about buying, selling, or boosting your STR performance, we’re happy to sit down and talk strategy.