I’ve seen a lot of comments and conversations lately that repeat some common misconceptions about Charlottesville’s new zoning laws, and I think it’s worth clearing a few things up for the sake of an honest and informed discussion.
1. “Nobody is buying land because the zoning regulations are being sued."
Yes, the zoning overhaul is being challenged in court but that’s not stopping investment. Legal challenges are common with big policy changes, and they don’t freeze the market. Developers and homeowners still move forward, often factoring in possible outcomes. If people aren’t buying, it’s more due to interest rates, construction costs, or market uncertainty, not just the lawsuit. I have personal experience with this as I've sold or tried to sell land in Cville, which I'll talk about a little bit later.
2. “The new zoning laws are what’s causing prices to go up.”
This one keeps coming up, but it oversimplifies what’s happening. Home prices in Charlottesville, like many places, have been climbing due to long-term demand, limited supply, and macroeconomic trends. The new zoning laws haven’t suddenly inflated prices. In fact, they aim to increase housing supply over time, which should help with affordability in the long run.
3. “Homes are selling for top dollar because of the new zoning.”
Homes are selling for what the market will bear, based on location, condition, and demand, not zoning alone. If anything, upzoning can open opportunities for more diverse housing types, which could lower the per-unit price over time. The high sales prices are a reflection of a hot market, not a direct result of zoning changes.
Top Examples
1316 Chesapeake St - Listed for $500,000 in Jan 2024
This home is a prime example of how many thought the landscape of Cville would be changed forever. A small home on Chesapeake St was listed for half a million dollars January of 2024, one month before the zoning laws kicked in officially, and people were upset. They thought that this would happen to every single home on the market. Well, I'm here to tell you that it didn't change the market. It's still for sale, it's been 512 days and it's now listed at $350k. The news outlet did a piece on this home. Here is the link. Many thought the city would crumble. It didn't.
1418 Hampton St - Land For Sale
This lot was listed for $500,000 in 2024. I know because I was the listing agent. We had several price adjustments till we hit the going rate for land in Cville and sold for $300,800. Why did we start at $500k if we knew it was valued below $300k? Because the seller wanted to, wanted to try and "see what happens". Is that the best course of action? Absolutely not, you want a pricing strategy when listing and just having a price to "see what happens" ends up making the seller lose out on money in the long run.
1644 Meridian St - Single Family Home
This home had the perfect lot for multiple units. I even did a video talking about it. The lot was prime for building out the basement and making a two bedroom apartment. Adding a garage in the back with another 2 Apartments. And guess what, it sold to a single family first time home buyer. Not a developer or an investment firm.
Conclusion
The zoning reform is a long-term tool meant to address housing needs and equity, not a magic switch that instantly transforms the market or ruins neighborhoods. Can it ruin a neighborhood? I would be happy to hear thoughts or counterpoints.
