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What are the Closing Costs in Virginia?

Virginia closing costs

Closing costs in Virginia typically range between $3000 and $5000, or 2% to 5% of the loan amount, depending on the size of the loan. Closing costs are the additional fees associated with purchasing a home. Third parties must be reimbursed for their involvement in the transaction, hence the majority of closing fees are charged by them. We’ll break down the expenses that make up the total to reveal how much closing costs in Virginia are.

The following are the closing costs for buying a house in Virginia:

  • The typical closing cost for a no-cash-out refinance in Virginia is around $3500.
  • The average closing cost for a house purchase in Virginia is around $3500.
  • In Virginia, a cash-out refinance normally costs around $4000 to close.
  • Closing costs in Virginia typically range from 2% to 5% of the loan amount, depending on the kind of loan.

The Mortgage Rates Today team can help buyers in Virginia Beach, Chesapeake, Arlington, Norfolk, Richmond and Alexandria, find out more about closing fees.

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Types of Closing Costs in Virginia

Here are the types of Closing Costs in Virginia:

  • Property Title Search
  • Title Insurance
  • Inspection Fee
  • Appraisal Fee
  • Escrow Fee
  • Survey Fee
  • Credit Report Fee
  • Early Payoff Fee
  • Attorney Fee
  • Lender Fee
  • Transfer Tax
  • Recording Fee
  • Prepayment Penalty
  • Outstanding Balance
Info on Virginia

Virginia, formally the Commonwealth of Virginia, is a state in the United States located between the Atlantic Coast and the Appalachian Mountains in the Mid-Atlantic and Southeastern areas. The Blue Ridge Mountains and the Chesapeake Bay, which offer habitat for most of the Commonwealth’s flora and animals, influence the Commonwealth’s terrain and climate. Richmond is the state capital; Virginia Beach is the largest city, and Fairfax County is the most populous governmental unit. In 2020, the Commonwealth’s population was estimated to be over 8.65 million, with the Baltimore–Washington metropolitan area accounting for 36% of the total.

The history of the area can be traced back to various indigenous groups, notably the Powhatan. The Settlement of Virginia was established in 1607 by the London Company as the first permanent English colony in the New World. The Old Dominion, Virginia’s state nickname, refers to this status. Slave labour and land taken from displaced native tribes powered the colony’s booming plantation economy, but they also fostered internal and external tensions. It became a part of the United States in 1776 as one of the original Thirteen Colonies during the American Revolution. Virginia was split during the American Civil War when the state government in Richmond supported the Confederacy, but many of the state’s northern counties wanted to stay with the Union, resulting in the formation of West Virginia in 1863. Despite the fact that the Commonwealth was ruled by a single political party for nearly a century following Reconstruction, both major political parties now compete in modern Virginia.

Estimating Virginia Closing Costs

To estimate the closing costs in Virginia you have to account for dozens of dynamics fees. These dynamic fees should be sorted out with a local Loan Officer. To get a proper estimate on these closing cost fees, you must first understand what fees are involved, who pays which closing costs, and how prices can vary depending on the loan amount. When negotiating the Contract, it’s important to keep in mind that the Buyer may request that the Seller pay some or all of the closing costs. You must first understand the various closing costs in Virginia to determine if this is the best option for you.

Here’s a short rundown of the most common Virginia closing costs:

Title Search Fee

The title search allows the current owner to sell their home while also guaranteeing that the property is legally theirs and free of liens or judgments this is shown in the Abstract of Title search . The price fluctuates between $300 and $600, according to

Title Insurance

Title insurance protects lenders and buyers from any difficulties uncovered after the closing with the prior owner’s title. Title insurance costs $2.75 per $1000 up to $100,000 and $1.75 per $100 up to $1,000 in most circumstances.

Home Inspection

Home inspections are important since they discover any issues with the property and should not be neglected. The house could have significant structural, plumbing, electrical, or roofing issues that need to be addressed and could cost tens of thousands of dollars to fix. It’s a great way to evaluate the home’s condition before closing. In Virginia, a home inspection usually costs between $250 and $350.

Appraiser Fee

The Appraiser is responsible for determining a fair and accurate house price as well as the property’s condition, on behalf of the Mortgage Lender. The Appraiser determines value using a variety of factors, the most important of which is how much other comparable houses in the area have sold for in the last six months. An appraisal in Virginia normally costs between $300 and $500.

Escrow Accounts

The Lender establishes an escrow account to pay your taxes and insurance. This cost is influenced by the time of year you buy, as well as the amount of annual property tax and hazard insurance. The money you’ll need for your escrow account might be anywhere between $1500 and $3000. The more costly a home is, the more expensive it is to form an escrow account.

Survey Fee

A survey is used to assess a home’s legal constraints. The cost is estimated to be between $350-$650 by Home Advisor experts. In essence, these surveys give you a legal description of where your property borders begin and end. A survey is not always required, and the date of the previous survey determines whether or not one is required.

Credit Report Fee

When applying for a mortgage, Buyers are subjected to credit checks to ensure that they are creditworthy. The cost of a credit report can range from $20 to $50.

Fee for Early Payoff

These expenses usually include prepaid interest and other Lender fees. When the mortgage is paid off, the seller, on the other side, pays this fee.  This is not a fee the buyer needs to be concerned with.

Legal Fees – Attorney Fees

The Attorney’s job is to make sure the Seller has the financial means to sell the house, that the Buyer is buying a house free of judgments or liens, and that the Buyer is buying the right property, including the land. The Attorney is responsible for the Title Search, Closing, Wiring of Funds, and other costs associated with the Closing. The cost of an Attorney varies based on whether the transaction is a purchase or a refinance, as well as the purchase price and loan amount. The total fees charged by the attorney are usually between $1000 and $2000.

Lender Fees

Lenders frequently levy a single large fee, known as a Lender Fee, Underwriting Fee, or Application Fee, that ranges from $950 to $1250. Other small fees, such as credit reports, tax service fees, and flood certification fees, usually totals between $100 and $200, are levied. The Lender may charge an Origination Fee, which is an additional fee charged to the Buyer for utilizing this Lender. There are a few Lenders who do not charge Origination Fees, and we recommend that you look for one. A discount fee is a fee charged to reduce the interest rate on a loan. It is an optional fee that lowers the rate for the customer.

Taxes on Transfers

House sellers in Virginia should expect to pay $1.85 per $500 of home value in sales taxes, however rates vary by county. This expense is normally paid by the seller.

Fee for Recording

The recording price includes the cost of recording a Deed at a local courthouse. In Virginia, these costs will vary from county to county.

Penalty for early payment

Some states charge prepayment penalties if you obtain a mortgage and pay it off before the term finishes. In Virginia, there are no penalties for paying off a mortgage early. However, if you pay off your mortgage within the first six months of receiving it, you may face penalties.

Exceptional Amount

Any outstanding HOA or homeowner’s insurance premiums will be prorated to the closing date. As a result, you must pay any outstanding liabilities before the property may be transferred to the Buyer.

Closing Costs for Sellers in Virginia

Closing costs are different for both the Seller and the Buyer. Closing fees for house sellers in Virginia cover the costs of transferring homeownership, clearing any outstanding amounts, and confirming the title.

Who Pays the Closing Costs in Virginia?

Closing costs can be split among the three parties engaged in the transaction: the Buyer, Seller, and Lender. It is crucial to obtain an estimate of all closing costs before making an offer on a home, so that it can be decided who pays the closing fees. When considering how to structure your offer, always obtain assistance from a local Loan Officer.

See Closing costs in other states:


North Carolina



Conclusion of closing costs in Virginia

Whether you’re selling or purchasing a house, closing costs are unavoidable. The exact amount will depend on the home’s price and the kind of sale. By exploring for ways to decrease closing expenses, your family can save a lot of money. Please contact the Mortgage Rates Today team for more information on Virginia closing costs and to obtain the lowest rates.