VA · #12 by population

Buying a home in Virginia

Costs and rules that are specific to Virginia. Main city: Arlington.

In short

Virginia taxes property sales through its recordation tax and grantor tax, does not require an attorney at closing and requires a seller disclosure form. It forecloses mainly out of court (trustee sale) and is not a community property state.

Calculate for Virginia

If you buy

Virginia state transfer tax

Recordation tax (Va. Code 58.1-801) and grantor tax (58.1-802): State recordation tax $0.25 per $100 or fraction; grantor tax $0.50 per $500 or fraction.

Price$403,500
State transfer taxnot computed
Who paysSet by the purchase contract

Default price: the Virginia median value of owner-occupied homes, $403,500 (Census ACS 2024). Not computed: Recordation tax = $0.25 per $100 (or fraction) of the greater of price or the most recent property tax assessment. Grantor tax = $0.50 per $500 (or fraction) of the greater of price or value, excluding any lien that stays on the property; the state keeps half and the locality half. Total state-level cost on a sale = both added. Regional fees in Northern Virginia are extra. Who pays: The grantor tax and the two regional fees are the grantor's (seller's) by statute unless the parties agree otherwise. The sections read do not say who pays the state and county recordation tax; the contract and loan documents decide. Not included: county and city transfer taxes, the tax on the mortgage, recording fees, title insurance and lender charges. Virginia transfer tax guide · all 50 states.

If you sell

Capital gain and the federal tax on it

Same federal rule in every state: Section 121 of the Internal Revenue Code excludes up to $250,000 of gain on a main home ($500,000 for a married couple filing jointly).

Capital gain$350,000
Section 121 exclusion$250,000 (limit $250,000)
Taxable gain$100,000
Type of gainLong-term (owned over 1 year), 15% chosen
Federal tax on the gain$15,000

Section 121 excludes $250,000; the rest is taxable.

Gain = sale price minus your adjusted basis (purchase price, buying costs and improvements); selling expenses reduce it (IRS Publication 523). Long-term rates for sales in 2026, by taxable income including the gain (IRS Rev. Proc. 2025-32, section 4.03): 0% up to $49,450 single or $98,900 married filing jointly, 15% up to $545,500 single or $613,700 jointly, 20% above. Not included: Virginia state income tax on the gain (not computed), the net investment income tax, depreciation recapture on a rental or home office, and the reduced exclusion for an early sale. Agent commissions are negotiated and never set by law. Capital gains on a home sale.

Virginia in short

Is there a real estate transfer tax in Virginia?

Virginia has no tax called a transfer tax but taxes the recording of the deed: a state recordation tax of 25 cents per $100 and a grantor tax of 50 cents per $500 paid by the seller.

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What closing costs does Virginia law set?

Virginia has no official typical closing-cost total. It has no transfer tax but taxes the recording of the deed, and in Arlington the grantor tax and two regional fees total 0.3% of the price while the state recordation tax is 25 cents per $100 (Arlington adds one-third).

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How is property tax calculated in Virginia?

Virginia requires real estate to be assessed at 100% of fair market value, and each county and city sets its own rate. Arlington County's rate is $1.053 per $100 of assessed value, about $9,297 a year on the county's $882,900 average residential assessment.

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What is the deadline to appeal a property tax assessment in Virginia?

In Arlington, Virginia, file for a department review by March 1 (or the next business day) and for a Board of Equalization hearing by April 15, with the 2027 dates on your January notice.

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Do you need a real estate attorney to close in Virginia?

No Virginia statute read requires a buyer or seller to hire a lawyer. Code of Virginia 55.1-1003 limits who may run a closing to six kinds of settlement agent, one of which is a Virginia-licensed attorney, and only an attorney can give legal advice at the table.

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What must a home seller disclose in Virginia?

Under the Virginia Residential Property Disclosure Act, a seller of a home with one to four units must give the buyer the Real Estate Board's disclosure statement before the contract is ratified (Va. Code 55.1-703).

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How does foreclosure work in Virginia?

Virginia foreclosures are non-judicial: a trustee named in the deed of trust sells the home at auction without a lawsuit, after the owner of an owner-occupied home is mailed written notice at least 60 days before the sale.

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What first-time home buyer programs does Virginia offer?

In Virginia, Virginia Housing offers first-time buyers a Down Payment Assistance Grant of up to 2% to 2.5% of the price, never repaid.

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How much tax when you sell a home in Virginia?

The federal rule is the same in Virginia as in every state: if you owned and lived in the home as your main home for at least 2 of the last 5 years, the first $250,000 of gain is excluded, $500,000 for a married couple filing jointly (Section 121, IRS Publication 523). Bought $400,000, sold $750,000: a single owner has $100,000 of taxable gain, $15,000 of federal tax at the 15% long-term rate; a couple filing jointly owes nothing. Virginia income tax on the gain is not computed here.

Capital gains on a home sale

Virginia guides

Arlington

Buying a home in Arlington, Virginia

Professionals in Virginia

All states · Federal guides