A VA loan is one of the best mortgage benefits a Florida veteran can use — no down payment, no monthly mortgage insurance, and competitive terms. But closing costs still exist, and the VA has specific rules about which ones a veteran is allowed to pay. I’m Joe Pistone & Team at CrossCountry Mortgage (NMLS# 2087918), and I help Florida veterans understand every line of their closing statement before they sign. Here is exactly who pays what on a VA loan in 2026.
What are VA loan closing costs?
Closing costs are the fees required to finalize your mortgage and transfer the property. On a Florida VA loan, they typically total about 2 to 5 percent of the loan amount and include the appraisal, title work, recording fees, prepaid taxes and insurance, and the VA funding fee when it applies. The VA’s own overview of the program is on the VA home loans page.
Costs the veteran is allowed to pay
The VA permits veterans to pay a defined set of reasonable and customary charges:
- The VA appraisal fee
- Credit report fee
- Title insurance and title search
- Recording fees and government charges
- The VA funding fee (unless exempt)
- Prepaid items such as property taxes and homeowners insurance
- A flat 1 percent lender charge in place of itemized origination fees
The non-allowable fees list
This is where the VA loan is unusual. Certain fees cannot be charged to the veteran — they must be paid by the seller, lender, or real-estate agent. Non-allowable fees commonly include lender attorney fees, brokerage or buyer-broker fees, prepayment penalties, and some processing or underwriting charges. Because of this list, veterans often pay less out of pocket than other buyers.
Who pays each cost
| Cost | Usually paid by |
|---|---|
| VA appraisal | Buyer (veteran) |
| Title & recording | Negotiated (often seller in FL) |
| VA funding fee | Buyer, unless exempt |
| Lender attorney / broker fees | Seller or lender (non-allowable) |
| Prepaids (taxes, insurance) | Buyer |
Seller concessions and lender credits
Florida sellers can contribute concessions up to 4 percent of the home value toward a veteran’s funding fee, prepaids, or even debt payoff — on top of paying non-allowable fees. Lenders can also offer credits. Between the funding fee and these costs, it helps to know whether you qualify for a VA funding fee exemption and how the funding fee works in Florida. Reviewing your VA loan eligibility early keeps the negotiation smooth.
Frequently asked questions
Who pays closing costs on a VA loan in Florida?
They can be split among buyer, seller, and lender. Buyers pay allowable costs, sellers can add concessions, and the VA bars veterans from paying certain fees entirely.
What closing costs can a veteran not pay?
The VA non-allowable list includes lender attorney fees, brokerage fees, and some processing charges — the seller, lender, or agent must cover them.
How much are VA closing costs in Florida?
Typically about 2 to 5 percent of the loan amount, depending on the property, title costs, and whether the funding fee applies.
Can the seller pay all my VA closing costs?
Yes. A seller can pay all allowable costs and add concessions up to 4 percent of home value toward the funding fee, prepaids, and more.