You’ve landed the property, maybe a Colonial-style townhome near Midtown Row or a new build by New Town. The rental comp math looks solid. But between gross rent and net income sit the not-so-little line items that make or break cash flow.
For Williamsburg landlords, three buckets dominate: property taxes, insurance, and utilities. Here’s how they work locally.
Property Taxes: Your Largest Fixed Expense
What you’re taxed on: In Virginia, homes are taxed on what they’re worth today, what a buyer would likely pay (“fair market value”). The local assessor updates that value every year.
City of Williamsburg rate (FY2026): The City charges $0.62 for every $100 of your home’s assessed value.
- Quick math: Assessed value ÷ 100 × 0.62 = yearly tax.
- Example: A $400,000 home → 400,000 ÷ 100 = 4,000; 4,000 × $0.62 = $2,480 per year.
Check your “Williamsburg” address: Many properties with a “Williamsburg, VA” mailing address are not within City limits. They may be in James City County or York County, and those places use different rates.
- James City County: $0.83 per $100
Example: $400,000 → 400,000 ÷ 100 × 0.83 = $3,320/year - York County: $0.78 per $100
Example: $400,000 → 400,000 ÷ 100 × 0.78 = $3,120/year
To be sure which one you are: Look at your last tax bill, deed/closing papers, or your locality’s online property search (GIS). Once you know the right locality, use that rate for your budget.
Three-step checklist
- Find the assessed value of your property.
- Confirm your locality (City of Williamsburg, James City County, or York County).
- Do the quick calculation: Assessed value ÷ 100 × the locality’s rate.
Landlord Insurance: Your Financial Shield
Who needs it? If you rent out a place you don’t live in, you need a landlord (rental dwelling) policy. Insurers often call the broadest version a DP-3; that’s the form name.
What it usually covers:
- The building is designed to withstand fire, wind, and certain types of water damage.
- Liability if someone is hurt on the property and claims you were negligent.
It doesn’t cover tenants’ belongings. Your policy protects the building, not their stuff. Tenants need renters' insurance for that.
Can I require renters insurance in Virginia? Yes. You can make renters' insurance a lease requirement in Virginia. Clear the lease language and ask your attorney or agent to review it.
How much coverage do I need? Aim for the cost to rebuild, not just what you paid for the property. Set a deductible you can comfortably afford if you ever need to file a claim.
With your property manager, evaluate add-ons, loss of rental income, sewer/drain backup, ordinance or law (code upgrades), equipment breakdown, separate flood insurance, and wind/hail deductibles.
Share property details (age, size, roof/HVAC, upgrades), set lease requirements (renters insurance minimums/proof), and review annually to adjust coverage, deductibles, and endorsements as values and risks change.
Utilities in Williamsburg: Providers and Billing Basics
First, confirm your exact service address (City vs. nearby counties). Electricity is typically from Dominion Energy. Natural gas, where available, is from Virginia Natural Gas. Within City limits, Williamsburg Public Works handles water billing. Hampton Roads Sanitation District (HRSD) handles wastewater and began billing customers directly in August 2025.
Virginia Essentials: Heat, Hot Water & Utility Billing
Minimum services: Provide heat from October 15 to May 1 to keep rooms ≥68°F; ensure running water and consistent hot water supply year-round (no statewide set temperature).
Billing: Submetering/RUBS for energy, water, and sewer is allowed with clear lease disclosure. For market-rate units, utility responsibility is a contract term. Follow any program rules for subsidized housing.
FAQ
Can I charge tenants for water? Virginia allows water/sewer submetering or ratio billing if clearly disclosed in the lease and done per regulations.
What are the Virginia heat requirements? If you provide heat, supply it from October 15 to May 1 and keep habitable rooms at least 68°F. Also, running water and reasonably hot water should be maintained year-round.
Does rent stabilization affect utilities? No, Virginia has no rent control; utility responsibility is set by the lease (subject to essential-service rules and any program requirements).
The Margin That Determines Your Return
Profit lives in the margins: taxes, insurance, and utilities shift constantly. Confirm locality, set coverage smartly, define utilities in leases, and budget for rate changes, seasons, and maintenance surprises.
Overwhelmed by the numbers? Let One Door Realty turn Williamsburg’s operating costs into a clear, data-driven plan, modeled, monitored, and managed, so your rentals run predictably and profitably. Contact us today!
Additional Resources
Virginia Landlord Law: The 60-Day Non-Renewal Rule Explained
What Every Williamsburg Landlord Should Know About Digital Tenant Screening
