Residents’ perception of the economy of Hampton Roads has improved over the past year, but people are still greatly concerned about the cost of housing, according to a new report from Old Dominion University.

The findings were detailed in ODU’s 2025 Life in Hampton Roads survey, a poll of more than 700 residents taken in July and released this week.

Compared with 2024, a higher portion of those surveyed think the economy of Hampton Roads is good or fair — about 86% to 77%.

However, almost half of those surveyed said the neighborhood they live in is either “somewhat unaffordable” or “very unaffordable” for people with similar household incomes.

Participants were asked about multiple aspects of life in the region, including the economy, health and education. Overall, respondents graded the quality of life in the region better than last year, and the rating is on par with years before the pandemic.

“Notably, perceptions of quality of life in one’s own city and neighborhood were rated even more favorably, suggesting that residents perhaps identify more challenges at the regional versus local level,” said Tancy Vandecar-Burdin, director of ODU’s Social Science Research Center.

More than half said their household’s financial situation has remained the same or has gotten better since last year, but about a third said their personal finances have gotten worse. This differed from how respondents felt about the country’s economic outlook in the near future. Nearly half said business conditions across the United States within the next year will be “partly good and partly bad,” and just over half said the same about the U.S. economy over the next five years.

The majority of those surveyed also indicated that now is a bad time to make “major household purchases,” such as appliances or furniture.

“This reflects continued concerns about affordability, which would suggest targeted strategies are needed to ensure inclusive, sustainable economic growth,” Vandecar-Burdin said.

Housing remains “a major concern” among Hampton Roads residents. Researchers said renters — about 42% of people that took the survey — were more likely than homeowners to say their neighborhood was very or somewhat affordable. But 45% of renters and 50% of homeowners said housing was unaffordable. The majority also said housing costs were a moderate or major financial burden.

“Across Hampton Roads, 61-81% of all respondents reported moderate to major housing cost burden,” the report states.

On Nov. 21, Old Dominion University released the results of the 2025 Life in Hampton Roads survey. Across Hampton Roads, 61-81% of all respondents reported moderate to major housing cost burden. (Courtesy of Old Dominion University)

The city with the highest share of respondents reporting a moderate to major housing cost burden was Hampton at 81%. The lowest was Newport News at 61%.

An August report from the CoStar Group real estate information firm found the region’s rent prices are among the fastest growing in the nation during the past 12 months. It had the fourth-highest rent increase, at 2.7%. CoStar included South Hampton Roads, the Peninsula, the Historic Triangle and parts of coastal North Carolina in its analysis.

Last year, Norfolk published its strategic housing plan update, which found that stagnant growth, a higher concentration of poverty and lack of funding were the biggest barriers to addressing housing market and housing affordability. Roughly one in three Virginia Beach households are also housing cost burdened, according to a 2024 housing study.

In recent years, cities across the region have focused on strategies to reduce housing burdens. City leaders have said that mixed-use developments will have to be a main strategy toward creating more housing units. Several developments for additional housing already are planned in Portsmouth, including those converting commercial space into apartment units and retail.

Another project is Greenbrier Mall in Chesapeake. Norfolk and Hampton also have taken steps this year to loosen restrictions on accessory dwelling units in an effort to increase housing options.

Cities also are working to assist first-time homebuyers with expenses such as mortgage down payments. For example, Newport News Redevelopment and Housing Authority has offered up to $25,000 in federal funding for down payments and closing costs for first-time homebuyers who qualify.

Eliza Noe, eliza.noe@virginiamedia.com

https://www.pilotonline.com/2025/11/22/life-in-hampton-roads-survey/