Is Pungo a Good Place to Buy Land or a Farm Home?

By Barry Jenkins (Legacy Home Team @ LPT Realty) · Last updated October 2026 · Neighborhood Home Buyer

Pungo is a great fit if you want land, privacy and a rural lifestyle while staying in Virginia Beach. Most of the area is zoned agricultural, sits outside city water and sewer, and is protected by the city's Green Line and Blue Line growth limits. Plan for wells, septic, flood zones and longer drives before you buy.

Key facts

The Green Line, adopted in 1979 and running mainly along Princess Anne Road, limits suburban growth to the north.
The Blue Line, mainly along Indian River Road, is the outer limit for city water and sewer service. South of it is the Rural Area.
The Agricultural Reserve Program, started May 9, 1995, has secured 992 development rights across 11,358 acres, according to the city.
The Land Use Assessment Program taxes qualifying land on use value. It requires at least five cultivated acres or 20 forested acres.
Private wells and septic systems are permitted through the Virginia Department of Health.

Where is Pungo?

Pungo is the rural heart of southern Virginia Beach. It runs roughly from Indian River Road south toward Back Bay, Blackwater and the North Carolina line, with Princess Anne Road as its main road. The small Pungo crossroads village has local shops and restaurants, and the surrounding area is mostly farms, woods and marsh.

On my site, the Pungo neighborhood guide covers the area. Nearby, the Princess Anne Courthouse area is the transition between suburban and rural Virginia Beach.

What kinds of properties can I buy in Pungo?

Farm homes on several acres or more.
Homes on one-acre-plus lots along rural roads.
Raw land and farmland, some enrolled in preservation programs.
Horse properties with barns and pastures.
Waterfront land near Back Bay and its creeks.

Prices vary widely by acreage, home condition and water access. Rather than quote figures that go stale, check current homes and land for sale near Pungo.

How do zoning and growth limits work?

Virginia Beach manages growth with two lines:

Area	Where	What it means
North of the Green Line	Mostly north of Princess Anne Road	Suburban and urban development
Transition Area	Between the Green and Blue Lines	Lower density, open space
Rural Area	South of the Blue Line (Indian River Road)	Farming, conservation, rural homes; no city water and sewer

Most of Pungo is zoned AG-1 or AG-2. Agricultural zoning requires large lots for houses (at least one acre with 150 feet of lot width for a dwelling) and limits how land can be subdivided. Before you buy land you plan to build on or divide, confirm:

The zoning district and its lot rules.
Whether the land is in the Agricultural Reserve Program or has another conservation easement.
Whether a building permit is possible on that parcel.
Floodplain status, which affects where and how you can build.
Whether the parcel is in an AICUZ noise zone. Parts of southern Virginia Beach are affected by Navy flight operations.

What should I know about wells and septic?

Most Pungo homes rely on private wells and septic systems. The Virginia Department of Health regulates both through the local health department.

For an existing home:

Get a septic inspection by a qualified onsite sewage professional, including the tank and drainfield.
Get a water test for bacteria and other concerns, and have the well checked.
Ask the seller for permits, pump-out records and repair history.

For land you plan to build on:

A home site needs a soil evaluation and a health department permit for the septic system, and a permit for the well.
Wet soils and high water tables are common in low areas, which can limit system options and add cost.
Make your offer contingent on approvals so you're not stuck with land you can't build on.

How does the Agricultural Reserve Program affect buyers?

The ARP pays rural landowners to sell their development rights to the city through a permanent easement. The city pays through 25-year installments. The land stays private and can be sold, farmed and lived on as the easement allows, but it can't be developed into a subdivision.

If you're buying ARP land:

Read the easement to see what's allowed, including homes, outbuildings and uses.
Expect permanence. The development rights are gone for good.
Know the upside. Neighboring ARP land is likely to stay open, protecting your views.

Can I get land use taxation on farmland?

Virginia Beach's Land Use Assessment Program assesses qualifying agricultural, horticultural and forest land on its use value instead of market value. The city requires at least five cultivated acres or 20 forested acres, plus other conditions.

If land in the program changes to a non-qualifying use or is rezoned to a more intensive use, rollback taxes generally apply for the five most recent complete tax years plus interest, under Virginia law. Starting January 1, 2027, the state's residential disclosure statement adds an item on use-value assessment. Ask the seller whether the property is enrolled before you buy. For tax basics, see Virginia Beach property taxes.

What is daily life like in Pungo?

Farm stands and markets with local produce in season.
Back Bay National Wildlife Refuge and False Cape State Park to the east, reached by foot, bike or boat beyond the refuge.
Sandbridge beach a short drive away. See is Sandbridge a good place to buy a home?
Country roads popular with cyclists.
Dark skies, quiet nights and space for gardens, animals and shops.

What are the downsides?

Longer drives to Norfolk, Town Center and big-box shopping.
Fewer services, such as no city sewer and limited high-speed internet in some spots. Check providers for each address.
Flood risk in low-lying areas near Back Bay and creeks. See my flood insurance guide.
Farm activity, including equipment on roads and agricultural odors.
Maintenance of wells, septic, long driveways and outbuildings.

How should I make an offer on rural property?

Get a survey to confirm boundaries, acreage and easements.
Check zoning and easements with the city before your due diligence deadline.
Inspect the septic and well and test the water.
Look up flood and AICUZ zones.
Confirm internet and utilities.
Ask about land use enrollment and possible rollback taxes.
Talk with your lender early. Some loans have limits on acreage or outbuildings.

Ready to look at land and farm homes in Pungo?

Browse homes and land for sale near Pungo and contact me or call or text (757) 919-8874. I'll help you check zoning, easements, wells, septic and flood zones before you commit.

Barry Jenkins, Legacy Home Team at LPT Realty

Sources

Frequently asked questions

Where is Pungo in Virginia Beach?

Pungo is in the rural southern part of Virginia Beach, generally south of Indian River Road and the city's Blue Line, stretching toward Back Bay and the North Carolina line. It's known for farms, open fields and country roads.

Do Pungo homes have city water and sewer?

Generally not. The Blue Line along Indian River Road is the outer limit for city water and sewer service, so most homes south of it use private wells and septic systems. Confirm utilities for every property.

Can I subdivide land in Pungo?

It's limited. Most of Pungo is zoned agricultural, which requires large lots for homes, and land in the Agricultural Reserve Program has its development rights permanently sold to the city. Check zoning and any easements with the Planning Department before you buy.

What is the Agricultural Reserve Program?

Started in 1995, it's a city program that buys development rights from rural landowners to preserve farmland. According to the city, it has secured 992 development rights across 11,358 enrolled acres. Land in the program can't be developed beyond what the easement allows.

Can I get lower property taxes on farmland?

Possibly. Virginia Beach's Land Use Assessment Program taxes qualifying land on its use value instead of market value. It requires at least five cultivated acres or 20 forested acres, plus other conditions. If the land later changes use, rollback taxes can apply.

Is Pungo far from everything?

It's rural, so expect longer drives to big-box shopping, hospitals and Norfolk. Many buyers think the quiet and space are worth it. Drive your daily routes at rush hour before you decide.