8 min read Sep 02, 2022

What Are the Seller Closing Costs in Virginia?

How Much are Typical Seller’s Closing Costs in Virginia?

According to Zillow site home values, the median home in VA sold for $291,002. Here’s how you can save approximately $8,730 in commissions on an average Virginia home by selling it For Sale By Owner on Houzeo.com

Congratulations! You’re now almost done selling a home in Virginia and getting the deal. But before celebrating, you have to be prepared first for the process of the legal documents and sign them all. Closing on a Virginia property can be a no-brainer if you know how the process works. Sure, it can be so exhausting, but also, it can also be one of the best rewarding experiences you’ll have. When you’re talking about seller closing costs, Virginia is also one of the most expensive states. Different regulations can make it a laborious state.


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As a Houzeo For Sale By Owner (FSBO) seller, we expect you to go to your closing prepared. Our comprehensive How to Sell a House by Owner in Virginia Guide will help you accomplish exactly that.

In this section, we’ll discuss the key documents and expenses you need to be aware of when closing on a home in Virginia.

What Are the Different Home Sellers Closing Costs in Virginia?

1. Mortgage Payoff:  Usually depends on the lender to lender. This is one of the biggest items on your list of closing fees. It’s the remaining balance or prepayment penalty on your property at closing. This may include the principal balance, recording fee, or any penalty that the lender might charge you.

2. Real Estate Broker Commissions: The average commission of real estate brokers in Virginia is estimated between 5 – 6% of the home’s final sales price. Normally, it is split to the listing agent and to the buyer’s agent. In a standard real estate transaction, the deal is mostly negotiable and varies with the kind of service you needed to be done. If you’re selling FSBO via Houzeo, Congratulations… You’ve likely saved thousands by paying $0 in listing agent commission! Go on. Pop a bottle of the finest Champagne or Scotch. You deserve it.

3. Congestion Fee. This additional tax was approved and went effective on July 1, 2013. An estimated fee of $1 for every $1000 sale price of the property.

4. Real Estate Attorney Fees: The real estate attorney is in charge to prepare the deed and deliver to the new homeowner, the fee may cost at $150 to $500 depending on the level of service or the attorney’s experience. And usually, it also varies entirely of the amount of work and what type of home is being sold. Your attorney’s responsibility is to legally assist you in any way possible, to ensure the success of your sale, and avoid any lawsuits.

5. Escrow Closing Fees. Most homeowners hire a third party or a mortgage lender for managing and paying real estate taxes, homeowners’ insurance, and even fire and flood insurance. The typical fee would be a one-year advance and two months’ worth of homeowner’s insurance.

6. Title Insurance. An indemnification to protect the buyer from possible title issues. The Title Insurance is usually paid by the seller, and the cost about 0.5% percent of the home’s sale price. That’s why any title issues—liens, defects, loans, etc.—should be immediately resolved prior to signing the sale.

7. Title Search. ($175) It’s an examination of the property title to avoid any issues or liens that should be settled prior to closing. 

8. Home Inspection: Some lenders want to perform a property inspection to ensure the house is in good condition. If you want to examine the HVAC system, interior plumbing, basement, and other structural components, you’ll likely need to pay a fee (average cost of $400-500 or more depending on the size).

9. HOA Dues, Document Fees, and Transfer Fees: ($150-$350) These include HOA dues, a document fee at the beginning of Escrow, and a transfer fee at the end of Escrow. To know more details about the HOA Laws and Regulations in Virginia, you can click and view this website.

10. Other fees could include Home Appraisal, Credit Report, Condominium Fees, Recording Fee ($281-$1405), Cleaning Service, Carpet Cleaning, and other Home Improvement Fees.



How Should I Prepare for My Virginia Home Closing?

Your agent will surely schedule a certain date for your closing. Take note to consult your agent or real estate attorney before the home closing. And also, it’s crucial to review and examine the legal paperwork thoroughly.

1. Review Your Closing Documents in Advance: As we’ve said before, it’s necessary to check your closing document prior to the said date. Read them with precaution with your attorney, and keep in mind the provisions and regulations stated in the deed, record, or contract. Here are some of the following crucial documents that you will likely to sign during home closing.

The HUD-1 or Closing Disclosure: This kind of form must be provided to the borrower for at least 3 days prior to the closing date.  For instances where homes are purchased with a mortgage, you’ll need to get a closing disclosure which contains all the costs in detail. But if your transaction is all in cash, you may need to get the HUD-1 (although its less common these days).

These are vital documents that detail the amounts you’re being charged for (all fees including taxes, insurance, escrows, credits, etc.) Remember, depending upon how much equity you have in the property, you might be asked to bring a check (or send a wire) on the closing date. Ensure there are no typos in your name, address, property address, bank info, and other details. Then review every amount and the totals to ensure there are no mathematical errors or inadvertent costs. You’ll be surprised how many times these documents have errors – this is one of the reasons our founder launched Houzeo.

Other Disclosure Requirements Forms that You May Need to Complete

The Deed: It’s an essential title document that enables the legal transfer of title from the seller to the new homeowner—or in this case, the buyer.

To avoid any errors in the paper, review the document thoroughly. Remember to read and confirm the details with your real estate attorney, including the legal description of the property, the deed book page, the deed book, and lastly, the Property Identification Number (PIN), if any.

We know of a case where a Seller sold a $94,000 property, but the deed also legally transferred over the Seller’s 5 other homes worth $680,000 over to the Buyer. There was a huge scramble post-closing to correct this mistake. It could have been a nightmare for the Seller if the Buyer didn’t honestly transfer the rest of the properties back to the Seller.

sellers closing costs in virginia

2. Ask Questions: It’s important to ask questions if you have any. Whether these are legal issues or about the property’s condition, you have to contact your real estate attorney or agent for professional advice or opinion. Make sure that before the scheduled closing appointment, you have prepared the documents and all the necessary things to bring in the closing process.

3. Bring TWO Forms of Official ID:  Since there will be a licensed notary present during the closing to verify you legally swear of your identification, bring a valid driver’s license or passport. Also, never forget to bring a secondary I.D. for emergency purposes—or in case something may come up.

Now you’re ready! You might’ve heard horror stories of people being blindsided by high closing costs in Virginia– but that’s often the result of not preparing and educating themselves ahead of time. If you are a Houzeo For Sale By Owner Seller in Virginia, we want you to be one of the most educated home sellers out there. Next step, log on to Houzeo.com and list your home for sale by owner. You’ll be in full control of your listing, and save thousands in the process!

Note: This is only a quick guide for all the sellers in Virginia. Despite most information readily available online, seeking expert advice helps progress the process of selling a home.



4 min video: Learn How to Submit & Review Offers on Houzeo

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Closing Flat Fee MLS For Sale By Owner Sellers Guide States Virginia

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