Are you wondering how much cash you will need to close on a VA loan in San Antonio? You are not alone. Closing costs can feel confusing, especially when you hear different answers from friends or online calculators. In this guide, you will learn what fees show up on a VA purchase, who usually pays what in Bexar County, typical local ranges, and smart ways to lower your out-of-pocket. Let’s dive in.
VA basics that impact costs
VA funding fee and exemptions
The VA funding fee is a one-time charge most VA buyers pay. The amount depends on your service category, first or subsequent use, and your down payment. You can usually roll this fee into your loan or pay it at closing. Review current rules and percentages on the VA’s official guidance for funding fees and closing costs on VA.gov.
Some veterans and surviving spouses may be exempt based on disability status. Confirm your status with your VA Certificate of Eligibility and your lender.
No PMI cost
VA loans do not require private mortgage insurance. The funding fee is separate from lender fees and can be financed. Skipping PMI helps improve monthly affordability compared with many low-down-payment options.
Seller concessions overview
You can ask the seller to pay some or all of your closing costs. VA allows many seller-paid items, but there are rules on which costs count as concessions and how much is allowed. Work closely with your lender and your agent to structure an offer that fits VA guidelines and local market conditions.
VA appraisal and inspections
A VA appraisal is required to confirm value and check minimum property requirements. A home inspection is optional, but it is strongly recommended. If the appraisal flags repairs, you will need a plan to address them before closing, either with seller repairs or negotiated credits.
Typical VA closing costs in San Antonio
Below are common closing cost items you will see on a VA purchase in Bexar County. Actual fees vary by lender, title company, property type, and contract terms. Always compare Loan Estimates.
Loan origination and lender fees
- What it is: Lender processing and underwriting fees, and any origination points.
- Who pays: Buyer by default. Negotiable with seller concessions.
- Local tip: Ask for an itemized list and compare several VA-approved lenders.
VA funding fee
- What it is: One-time VA fee unless exempt. Often rolled into the loan.
- Who pays: Buyer by default. Can be financed or covered by seller if negotiated.
- Local tip: Confirm your exact percentage on VA.gov guidance for funding fees.
Discount points to lower rate
- What it is: Optional prepaid interest to buy down your rate.
- Who pays: Buyer, though seller credits can cover points if negotiated.
- Local tip: In competitive offers, some San Antonio sellers will accept a closing cost credit that you can apply to points.
VA appraisal fee
- What it is: Required appraisal to support value and condition.
- Who pays: Typically buyer. Sometimes covered by seller credits.
- Typical timing: Often paid before closing, depending on lender process.
Credit report fee
- What it is: Cost to pull your credit.
- Who pays: Buyer. Usually a small fee on your Loan Estimate.
Title exam and title insurance
- What it is: Title search plus owner’s and lender’s title insurance.
- Who pays: Negotiable. In many Texas transactions the seller pays the owner’s policy and the buyer pays the lender’s policy. Local practices vary.
- Local tip: Title insurance premium rates are regulated statewide by the Texas Department of Insurance.
Recording fees and transfer costs
- What it is: County fees to record the deed and mortgage.
- Who pays: Buyer often pays the mortgage recording fee. Seller often pays the deed recording. Check the contract and title company guidance.
- Local fact: Texas has no state transfer tax and Bexar County has no county transfer tax. See the Bexar County Clerk for recording information.
Prepaid items and escrow setup
- What it is: Prepaid homeowner’s insurance, initial escrow reserves, and prorated property taxes and HOA dues.
- Who pays: Buyer typically funds initial escrow. Taxes and HOA dues are prorated between buyer and seller.
- Local tip: Bexar County property tax timing affects the cash you need to set up escrow. Visit the Bexar County Tax Assessor-Collector for property tax timing and contact info.
HOA transfer or estoppel fees
- What it is: HOA paperwork to transfer ownership and confirm dues.
- Who pays: Negotiable. Often seller, sometimes buyer. Check the contract.
- Local tip: Many San Antonio neighborhoods have HOAs, which can affect timelines and fees.
Inspections and termite report
- What it is: General home inspection, plus pest or termite inspection if requested or required by the underwriter.
- Who pays: Usually buyer. Repairs are negotiable.
Escrow or closing agent fees
- What it is: Title or closing company charges to handle the settlement.
- Who pays: Negotiable. Splits vary by company and contract.
Utilities and prorations
- What it is: Final utility prorations and prepaid HOA dues, if any.
- Who pays: Allocated by date of closing. Title handles prorations.
Real estate commission
- What it is: Compensation for brokerage services.
- Who pays: Typically paid by the seller from sale proceeds.
Other small lender or title charges
- What it is: Flood certification, tax service, courier or wire fees.
- Who pays: Often buyer. Some can be covered by a seller credit or lender credit.
How much cash you may need
Your cash to close depends on three big levers. First is whether you roll the funding fee into the loan or pay it up front. Second is how much you negotiate in seller credits. Third is how much you need for prepaids and initial escrow.
Here is an illustrative example for a $300,000 VA purchase in San Antonio. Your numbers will differ and must come from your Loan Estimate and the title company.
- Appraisal: 500 to 700 dollars
- Title and closing fees: 1,200 to 2,000 dollars
- Prepaids and escrows for taxes and insurance: 1,000 to 3,000 dollars
- Miscellaneous items like credit pull, flood cert, recording, and wires: 200 to 800 dollars
- Total rough out-of-pocket before seller concessions: about 2,000 to 6,000 dollars, not counting the funding fee if you roll it into the loan
If you secure seller concessions that cover the appraisal, most title and closing fees, and part of your prepaids, your cash to close could drop significantly. Exact totals depend on your contract terms and the month you close.
Who pays what in Bexar County
Local customs matter. In many San Antonio transactions, sellers often contribute to buyer closing costs, especially when market conditions favor buyers. In competitive neighborhoods, credits vary by price point and days on market. For broader local trends, talk to your agent and review current market context from the San Antonio Board of REALTORS.
- Title insurance: Texas uses regulated title insurance rates. The party paying the owner’s policy is negotiable and often the seller. The buyer commonly pays the lender’s policy.
- Recording fees: Texas and Bexar County do not charge a transfer tax. You will see standard recording fees that are small relative to the purchase price.
- Property taxes: Taxes are set locally and prorated at closing. The timing of your closing within the tax cycle affects how much you owe into escrow.
- HOA items: If the property is in an HOA, expect a resale certificate or estoppel letter and a possible transfer fee. Who pays is a negotiable term in the contract.
Strategies to lower your cash to close
You can take several steps to reduce what you bring to the table. Pick the mix that fits your budget and timeline.
- Get at least two to three Loan Estimates from VA-approved lenders. Compare the interest rate, total closing costs, and cash to close. Ask about fee waivers.
- Consider rolling the funding fee into your loan if you prefer to keep more cash on hand.
- Negotiate seller concessions. Be specific in your offer, such as stating an exact dollar amount toward closing costs and prepaids.
- Use lender credits. You may trade a slightly higher rate for a credit that offsets closing costs. Compare the break-even over time.
- Shop title companies and ask your agent for sample settlement statements for similar Bexar County transactions.
- If the VA appraisal or your inspection finds issues, request seller-paid repairs or targeted credits rather than a price reduction.
- Be mindful of timing. Closing earlier or later in the year can change your tax proration and escrow setup.
- Explore veteran assistance programs. The Texas Veterans Commission and state housing agencies sometimes offer assistance programs that can help with closing costs if you qualify.
Step-by-step game plan
Follow this simple plan to keep your closing costs predictable and on track.
- Secure your Certificate of Eligibility and get fully preapproved with a VA-approved lender.
- Request Loan Estimates from at least two lenders on the same day for apples-to-apples comparisons.
- Align your budget with a target cash-to-close number and decide whether to finance the funding fee.
- Write offers that include precise seller credit language, not just a percentage.
- Order inspections early and review the VA appraisal as soon as it posts. Plan for any repair requests.
- Ask your title company for a preliminary fee breakdown and the title commitment.
- If the home is in an HOA, obtain the resale certificate or estoppel letter quickly to avoid delays.
- Review your Closing Disclosure at least three days before closing and confirm the final cash to close.
Documents to track before closing
Here is a simple checklist to keep your file clean and your timeline smooth.
- Certificate of Eligibility
- Lender preapproval letter
- Loan Estimates from multiple lenders
- Itemized seller concession terms in your contract
- VA appraisal report and any repair addenda
- Title commitment and detailed settlement estimate
- HOA resale certificate or estoppel letter if applicable
- Final Closing Disclosure
San Antonio timing and logistics
VA appraisals are ordered through the VA process. Appraiser availability can affect timing during busy months. Your agent can support the appraiser with recent comparable sales and neighborhood details to help with scheduling and context.
Title insurance premiums and many recording-related fees are governed by Texas rules. You can verify title premium structures with the Texas Department of Insurance and recording information with the Bexar County Clerk. Your title company will provide exact numbers for your file.
Final thoughts
You have earned this benefit, and with the right plan you can keep your closing costs clear and manageable. The most important steps are to compare lenders, structure targeted seller credits, and review your title and escrow numbers early. A local, VA-savvy agent will help you negotiate the right terms and avoid surprises at the table.
If you want a tailored plan for your budget and timeline, connect with Meghan Pelley for local lender introductions, contract strategies, and a step-by-step path to a smooth VA closing in Bexar County.
FAQs
What closing costs do VA buyers pay in San Antonio?
- VA buyers typically pay lender fees, appraisal, credit report, lender’s title policy, recording fees for the mortgage, and prepaids for taxes and insurance. Many items can be covered by seller credits if negotiated.
Can a seller pay my VA funding fee in Bexar County?
- Yes, sellers can often pay the funding fee and other buyer closing costs if agreed in the contract and allowed by VA and lender rules. Confirm structure with your lender before you write the offer.
How much cash do I need at closing with a VA loan?
- Your cash depends on whether you finance the funding fee, how much the seller contributes, and your escrow setup. A common illustrative range for fees excluding the financed funding fee is about 2,000 to 6,000 dollars on a mid-price purchase, but your Loan Estimate controls.
Are there fees the VA will not let me pay?
- VA has rules on allowable fees and charges to the veteran buyer. Ask your VA-approved lender to identify any prohibited or limited fees and to reflect them correctly on your Loan Estimate and Closing Disclosure.
Does Texas charge a transfer tax on home sales?
- No. Texas has no state real estate transfer tax and Bexar County has no county transfer tax. You will still see standard recording fees on your closing statement.
Do I need a home inspection for a VA loan?
- A home inspection is not required by VA, but it is strongly recommended to uncover issues that the VA appraisal may not address. Inspection results also help you negotiate repairs or credits.
