I am a current poli sci grad student at UVA, glad that new admits are on this board.
I pay $560 + fixed $100 for all utilities (inc. internet) at a place called Grad Court - walkability was important to me, and this place is 2 blocks from a lot of restaurants/bars on the "corner" and 10 minutes away from the PoliSci dept. I have my own lofted bedroom, main room, and bathroom, but I share a kitchen and living room with a history PhD and 2 other dudes.
I know people who pay more in the range of $300-400 off Brandon Ave and in JPA (2 or 3 bedroom places), which is actually closer to the PoliSci dept. (located at the southernmost part of main grounds), but if you go with a standalone house you might have to pay more for utilities. At the same time, most people I know with one bedrooms pay upwards of $600-800. My view is that as long as I have my own bathroom, there's no need to pay that much.
Look at the Woodard properties page, and maybe the Wade properties page. C-list is how I found my apt, though.
And the produce varies - there's a Farmer's market half the year that has excellent produce, and Harris Teeter usually is pretty good the rest of the year. They are also opening a new whole foods closer to grounds that should have decent fruit/veg.
edit: also, what the poster above me said is true, the undergrads can be a little annoying. however, living downtown is often more expensive (except some places in Belmont) and getting to the politics dept. is a much bigger hassle. Parking is rough, and taking the bus would be a little annoying, at least IMO. My apt.'s location within the complex is far enough away from 14th street that I never get bothered by noise, but I bet people who live right on the street have a different opinion.