Separate the buckets
VA describes a one time funding fee that may apply and says the amount depends on the loan and other factors. On a purchase loan, VA says only the funding fee may be financed into the loan amount. Other fees and charges are due at closing.
Closing costs vary with loan amount, property location, lender fees, funding fee status, and whether the buyer pays their real estate professional. Use a Loan Estimate and title or escrow estimate for your property.
- What is the down payment in this scenario?
- What is the funding fee treatment and who verifies it?
- What cash is due outside the loan amount?
- Which contract credits are proposed, and what remains uncertain?
Credits are negotiated, not assumed
VA says buyers and sellers can negotiate who pays listed closing costs. It also distinguishes closing cost credits from seller concessions and limits seller concessions to 4% of reasonable value. The lender and settlement professionals should apply the current rule to the transaction.
An agent can organize the offer and ask the questions. The lender provides lending figures. An attorney handles legal advice if you choose one.
Keep the program, property, and buyer decisions separate.
Use the responsible source for each question. Then connect the answers in the buyer plan.
- 01Confirm the sourceUse current VA material and written figures from the responsible lender or servicer.
- 02Test the propertyReview condition, inspection choices, appraisal scope, title, and insurance.
- 03Keep roles clearThe VA, lender, appraiser, inspector, and agent each answer different questions.
- 04Make the buyer decisionSet the offer and due diligence plan from the property and loan facts.
This article uses VA's current funding fee and closing cost guidance, reviewed August 4, 2026. It does not calculate fees, exemptions, payment, or cash requirements for an individual.