The intersection between sound and music computing and Virtual Reality (VR) has grown significantly over the past decades, amounting to an established area of research today. However, still scarce research has been conducted on the development of specific tools for sound design and composition. In this paper, we investigate a new way of exploring online sound repositories to retrieve sounds to be used in soundscape composition, which leverages the VR medium. Specifically, we created a VR system that allows users to search, download, and explore Freesound content in an immersive manner, as well as to use it for soundscape composition practices via a virtual digital audio workstation (DAW). The tags associated to a sound in the repository were converted into virtual objects and environments, which the user could navigate while listening to the sound. We conducted a user study with 16 composers where the developed system was compared against a conventional counterpart comprising the Freesound web version and the Audacity DAW. Overall, quantitative and qualitative results did not indicate a clear and generalized preference for a system over the other. The usability of the two systems along with their offered creativity support, cognitive workload and emotional impact were deemed to be at a comparable level. Nevertheless, the full potential of VR in creating novel compositional experiences also clearly emerged. Our study shows that VR is an effective medium to support users’ creativity during the process of exploring and selecting sounds from an online repository as well as for composing a soundscape.