VA Closing Costs in Arkansas (2025): Complete Guide for Veterans & Military Buyers
This Arkansas-focused VA closing costs guide explains exactly how much you’ll pay with a VA loan, who covers which fees, what sellers can legally pay, how the VA Funding Fee works, and how to reduce or eliminate out-of-pocket expenses. Includes lender fee breakdowns, seller concession rules, and expert insight from Realtor® Ashley Watters, MRP®.
The Truth About VA Closing Costs in Arkansas
Many veterans think VA loans are “no closing cost” loans.
Others think they’re more expensive than conventional.
Neither is fully correct.
The truth:
👉 VA loans allow $0 down, but closing costs still exist.
👉 VA loans often have LOWER total closing costs than conventional.
👉 Arkansas sellers can legally pay MORE of your costs than most loan types.
👉 Disabled veterans may pay $0 in VA Funding Fee.
This guide breaks down everything with Arkansas-specific numbers, real-world examples, and insights fromVA-expert Realtor® Ashley Watters, MRP® — one of the #1 VA buyer specialist in Central Arkansas.
What Are Closing Costs on a VA Loan?
Closing costs are the fees required to close the transaction.
In Arkansas, they average:
⭐ 2%–4% of the purchase price
(depending on lender, taxes, insurance, and rate)
For a $250,000 home, that’s roughly:
👉 $5,000–$10,000
(before seller concessions or credits)
VA Closing Costs Breakdown (Arkansas Numbers)
Below is the most accurate, locally tuned breakdown anywhere online for Veteran & Military homebuyers services in Central Arkansas Additional inforamtion can be found in the VA Homebuyer Guide
1. VA Funding Fee
This is the VA’s fee for guaranteeing the loan.
2025 Funding Fee Rates:
First-time VA use: 2.15%
Subsequent use: 3.3%
Disabled veterans (10%+): $0
Surviving spouses: $0
Can this be financed?
👉YES. Almost every buyer rolls it into the loan.
2. Lender Origination Fees
In Arkansas, these average:
👉 $995–$1,995
Some lenders charge a flat fee.
Some charge a percentage (capped at 1%).
Ashley works with VA lenders who offer:
Competitive origination
Low junk fees
Fast turn times
3. Appraisal Fee
VA appraisal cost in Arkansas:
👉 $600–$800
Paid upfront with a credit/debit card.
4. Title Company Fees
Typical Arkansas VA ranges:
Title search: $150–$300
Title insurance: $800–$1,400
Closing/escrow fee: $300–$650
Title fees vary slightly by county:
Pulaski County
Faulkner County
Van Buren County
Cleburne County
5. Prepaid Taxes &
Insurance
These depend on:
Time of year
Local tax millage
Insurance carrier
Typical Arkansas VA prepaids:
👉 $1,500–$3,500
6. Recording Fees
Usually very low in Arkansas:
👉 $60–$125
7. Optional Fees
These may be added depending on the home:
Termite inspection: $75–$150
Survey (if requested): $400–$600
Well/septic inspection (rural): $300–$600
Important:
👉 VA rules changed — buyers can now pay for termite inspections in
Arkansas if required by local market practice.
Who Pays Closing Costs on a VA Loan in Arkansas?
Here’s the breakdown:
Costs the Buyer Can Pay
VA buyers MAY pay:
Origination fee
Title work
Insurance
Taxes
Prepaid escrow
Recording fees
Lender fees
Costs the Buyer CANNOT Pay
These fees are not allowed to be charged to the VA buyer:
❌ Attorney fees (outside normal closing)
❌ Brokerage commissions
❌ Seller’s agent fees
❌ Certain lender “junk fees”
Ashley screens lender quotes to ensure they’re VA-compliant.
Costs the Seller CAN Pay (Huge VA Advantage)
VA allows more seller concessions than almost any loan type when buying a home with the VA loan
Arkansas sellers may legally pay:
ALL closing costs
VA Funding Fee
Prepaids & escrows
Discount points
Repairs
Temporary rate buydowns
Total allowed concessions:
👉 Up to 4% of the purchase price
PLUS
👉 All normal seller-paid costs
This is HUGE leverage for veterans
— especially in markets like:
Conway
Greenbrier
Jacksonville (LRAFB corridor)
Ashley structures offers that maximize concessions without triggering seller hesitation.
How to Reduce or Eliminate Closing Costs
⭐ 1. Seller Concessions
The most common strategy.
⭐ 2. Lender Credits
Give up some rate → get money toward closing.
⭐ 3. Ashley’s VA Offer Strategy
She combines:
VA-friendly lender
Strong approval
Correct contract wording
Proper concession requests
Repair language
Appraisal strategy
This wins concessions while
keeping offers competitive.
⭐ 4. Funding Fee Exemption
Disabled veterans save thousands automatically.
Real Examples (Arkansas)
⭐ Example 1 — Conway home
$285,000
Buyer negotiated $7,000 seller concessions
Out-of-pocket: $0 (except appraisal)
⭐ Example 2 — Greenbrier home
$315,000
Disabled veteran
Funding fee: $0
Seller paid $5,500
Out-of-pocket: ~$850
⭐ Example 3 —Clinton (rural acreage)
$249,000 home
Seller paid $6,000 toward buyer costs
Buyer covered well/septic testing
Total: $1,200–$1,500 out of pocket
VA-Friendly Homes
⭐ FAQ — VA Closing Costs (Arkansas Edition)
Are VA loans zero closing cost?
No. VA loans allow $0 down, but closing costs still exist.
How much are VA closing costs in Arkansas?
Typically 2–4% of the purchase price.
Can sellers pay closing costs in Arkansas?
Yes — up to 4% concessions plus all normal seller-paid costs.
Do disabled veterans pay the VA Funding Fee?
No — veterans with 10%+ disability are exempt.
Can VA buyers roll closing costs into the loan?
Only the Funding Fee may be financed. Other closing costs require concessions or credits.