Are you wondering how much you’ll actually pay at the closing table in Fairfax? You’re not alone. Closing costs can feel confusing because they include fees, taxes, and prepaids that add to your down payment. In this guide, you’ll learn what buyer closing costs cover, typical ranges in Fairfax, who usually pays what in Virginia, and practical tips to estimate your total with confidence. Let’s dive in.
What buyer closing costs cover
Buyer closing costs are the fees, taxes, prepaids, and escrow deposits you pay at or before closing in addition to your down payment. They typically include lender charges, appraisal, title and settlement services, recording fees, homeowners insurance, property tax prorations, and association items when applicable.
Across Virginia, buyers commonly spend about 2% to 5% of the purchase price on closing costs, not including the down payment. Cash buyers or buyers with lender credits may see totals near the low end. Totals are higher when you add optional items like an owner’s title policy or when prepaids and escrow deposits are larger.
Under federal rules, your lender must send a Loan Estimate within three business days of your mortgage application and a Closing Disclosure at least three business days before you sign. These documents outline expected and final costs so you can review and ask questions.
Who pays what in Virginia
Local custom in Virginia is that sellers pay real estate commissions and transfer or grantor taxes. Buyers usually pay lender fees, the appraisal, title and settlement charges, recording fees for the mortgage, and prepaids and escrow deposits. While this is the norm, almost everything is negotiable in the contract.
In Fairfax, property taxes are prorated at closing. The seller pays for their days of ownership, and you pay for the remainder of the period. You may also fund an initial escrow deposit so your lender can pay future taxes and insurance when due. If the home is in an HOA or condo, expect transfer or resale packet fees that are often paid by the buyer unless negotiated otherwise.
Typical buyer line items and ranges
Below are common charges buyers see in Fairfax. Amounts vary by lender, title company, property type, association, and timing.
Loan-related fees
- Origination, underwriting, and processing cover the lender’s cost to approve and fund your loan. You might see 0.5% to 1.5% of the loan amount or a flat fee around $500 to $3,000.
- Application, processing, and credit report fees are usually smaller fixed amounts, often bundled into origination.
- Discount points are optional. One point equals 1% of the loan amount and lowers the interest rate. You choose whether to pay points.
Appraisal
- Most financed purchases require an appraisal. Typical ranges are $400 to $800 depending on size and complexity.
Title and settlement services
- Lender’s title insurance policy protects the lender and is usually required with a mortgage. The premium is based on your loan amount.
- Owner’s title insurance policy protects your ownership interest. It is optional for buyers but commonly purchased.
- Title search, settlement, and escrow fees cover research, document prep, and the closing itself. These often range from $300 to $1,200.
- Recording fees cover the county’s cost to record your deed and mortgage. These are commonly $50 to $500 depending on documents.
Government and transfer taxes
- Virginia levies transfer or grantor taxes and recordation taxes. By custom, sellers pay transfer or grantor taxes, and buyers pay recording fees and any mortgage recording charges. Exact amounts vary and can differ between the City of Fairfax and Fairfax County. Your title company will confirm the details for your address.
Prepaids and escrow deposits
- Homeowners insurance typically requires the first year’s premium at closing. Many buyers see $500 to $2,000 or more, depending on coverage.
- Property taxes are prorated so you pay for your portion from closing through the billing cycle. You may also deposit several months of taxes into escrow.
- Initial escrow deposits are commonly 2 to 4 months of tax and insurance payments to start the account.
- Prepaid mortgage interest covers the interest from your closing date until your first payment.
Inspections and surveys
- General home inspections often cost $300 to $600, with add-ons like radon, pest, or chimney inspections priced separately.
- Surveys or plats, if required, can range from $300 to $1,200.
HOA and condo costs
- Expect transfer fees, resale packets, and prorated dues where applicable. These often range from $100 to $500 or more depending on the association.
Other possible costs
- You may see line items like flood certification, attorney’s fees if you hire your own counsel, courier fees, and wire fees. Always verify wire instructions with your title company to prevent fraud.
Fairfax taxes and proration basics
Fairfax County property taxes are prorated at closing. The seller covers their portion through the closing date, and you pay the remainder. If your lender services an escrow account, you will fund an initial deposit for taxes and insurance based on the billing cycle and your closing date.
Recording, transfer, and deed taxes in Virginia are assessed through the recordation process. Because rates and local charges can vary, and may differ between the City of Fairfax and Fairfax County, ask your title company for a written estimate specific to the property’s location.
How much you might pay: three examples
These examples are for illustration to help you plan. They assume a financed purchase with typical buyer-paid items and no seller credits. Your loan type, escrow setup, and closing date will change the totals.
Example: $300,000 purchase
- Estimated buyer closing costs: about 2% to 5%, or $6,000 to $15,000
- Possible breakout:
- Lender fees and points: $1,500 to $4,500
- Appraisal and credit report: $450 to $900
- Title and recording: $1,000 to $2,500
- Prepaids and escrow deposits: $1,500 to $5,000
- Inspections, HOA, and miscellaneous: $500 to $1,500
Example: $500,000 purchase
- Estimated buyer closing costs: about $10,000 to $25,000
- Possible breakout:
- Lender fees and points: $2,500 to $7,500
- Appraisal: $450 to $800
- Title and recording: $1,500 to $3,500
- Prepaids and escrow deposits: $3,000 to $9,000
- Inspections: $500 to $1,500
Example: $800,000 purchase
- Estimated buyer closing costs: about $16,000 to $40,000
- Possible breakout:
- Lender fees and points: $4,000 to $12,000
- Appraisal: $500 to $1,000
- Title and recording: $2,500 to $6,000
- Prepaids and escrow deposits: $6,000 to $18,000
- Inspections and HOA: $500 to $2,000
Note that initial escrow deposits can make cash to close appear higher. Those funds are held to pay taxes and insurance on schedule and are not a recurring closing charge.
How to estimate early and avoid surprises
- Request a Loan Estimate early. Once you apply, your lender must deliver a Loan Estimate within three business days. This shows rate, payment, and a detailed breakdown of closing costs.
- Ask a Fairfax title company for a fee quote. They can estimate title premiums, settlement charges, and recording fees for the property’s city or county.
- Compare your Closing Disclosure to the Loan Estimate. Your lender must provide the Closing Disclosure at least three business days before closing and explain any material changes.
- Shop and compare lenders. Review Loan Estimates side by side. Look at rate, monthly payment, cash to close, and total costs.
- Negotiate in your offer. You can request seller credits toward closing costs and negotiate who pays specific fees like HOA transfer charges.
- Explore program options. State and local programs can help with closing costs or offer favorable terms. Check current options with Virginia Housing and Fairfax County housing resources.
- Trim optional costs. Shop title and insurance quotes. Decide whether to purchase the optional owner’s title policy based on your risk tolerance.
- Protect your funds. Confirm wire instructions directly with your title company to avoid fraud.
How a local agent helps
A knowledgeable Fairfax agent can simplify the process and keep your budget on track. Here is how:
- Request early fee estimates from trusted title and settlement companies.
- Coordinate inspections, appraisals, HOA resale documents, and timing to reduce avoidable rush fees.
- Negotiate seller credits and fee allocations to lower your out-of-pocket costs.
- Review your Closing Disclosure with you and explain taxes, prorations, and escrow deposits before you sign.
The bottom line for Fairfax buyers
Plan for buyer closing costs of about 2% to 5% of the purchase price in Fairfax, with the exact total driven by your loan terms, prepaids, and escrow needs. Most fees are predictable once you have a Loan Estimate and a title quote, and you can often reduce your cash to close through negotiation, lender credits, and eligible programs. If you want a clear, property-specific estimate before you write an offer, ask for help early so you can move with confidence.
Ready to plan your budget and next steps? Reach out for a custom estimate and local guidance from a trusted advisor. Connect with Unknown Company to get started.
FAQs
What are typical buyer closing costs in Fairfax, VA?
- Buyers often pay about 2% to 5% of the purchase price in closing costs, not including the down payment. Your total depends on loan type, timing, and escrow needs.
Who usually pays transfer taxes in Virginia real estate sales?
- By local custom, sellers typically pay transfer or grantor taxes, while buyers pay their lender fees, title and settlement charges, recording fees for the mortgage, and prepaids.
How are Fairfax property taxes handled at closing for buyers?
- Taxes are prorated. The seller pays for days they owned the home, and you pay for the remainder. You may also fund an escrow deposit for future tax payments.
Which closing costs can Fairfax buyers negotiate with sellers?
- You can request seller credits toward your closing costs and negotiate responsibility for items like HOA transfer fees. Final terms depend on the contract.
What is the difference between the Loan Estimate and Closing Disclosure?
- The Loan Estimate is an early estimate you receive within three business days of applying. The Closing Disclosure is the final breakdown, delivered at least three business days before closing.
Are owner’s title insurance policies required for Fairfax homebuyers?
- No. The owner’s policy is optional and protects your ownership interest. The lender’s title policy is typically required when you finance the purchase.
