You earned a powerful home benefit, and it can open real doors in Contra Costa County. Still, Bay Area competition, appraisals, and condo rules can make VA purchases feel complicated. In this guide, you’ll learn how the VA loan works here, where it fits best by price point, what to expect from appraisals and closing costs, and how a veteran‑focused agent can help you win with confidence. Let’s dive in.
Why a VA loan works in the East Bay
VA financing helps you compete without a down payment and keeps more cash in your pocket for move‑in and reserves. A few VA features shape your experience more than others.
Funding fee and exemptions
- Most VA buyers pay a one‑time funding fee, which you can finance into the loan or pay in cash. Some veterans are exempt, including those receiving VA compensation for a service‑connected disability and certain surviving spouses. See details on the VA’s page about the VA funding fee and allowable closing costs.
- Funding fee examples for purchase loans: first‑time users with less than 5% down typically pay 2.15% of the loan amount. After first use with less than 5% down is 3.3%. Larger down payments reduce the percentage.
Seller credits and what the 4% rule means
- VA allows sellers to credit many of your costs at closing. Certain seller concessions are capped at 4% of the home’s reasonable value as set on the VA Notice of Value. Items like the funding fee and payoff of some judgments can fall under this cap. Discount points are treated differently and are not subject to the 4% concession limit. See the policy overview on the VA funding fee and closing costs page.
How much you can borrow with VA
The VA no longer sets a hard cap on your loan size if you have full entitlement. That means if you have never used your VA home loan benefit, or you used it in the past but sold the home and restored your entitlement, there is no VA county loan limit for you. Lenders still qualify you based on income, credit, and residual income.
If you have a VA loan outstanding or only partial entitlement, county loan limits still matter for calculating how much you can borrow with no down payment. Learn how entitlement works on the VA’s Loan Limits and Entitlement page.
Where VA fits best in Contra Costa County
Prices vary a lot by city and property type, and that affects how your VA offer stacks up.
- Concord: Median sale price is roughly in the high $600,000s as of January 2026. You will find more starter single‑family homes and townhomes that line up well with zero‑down VA budgets.
- Walnut Creek: Median sale price trends around the upper $700,000s as of January 2026, with competitive single‑family segments and a busy condo market. VA buyers often target VA‑approved condos and townhomes or bring extra cash to compete for certain single‑family homes.
- Richmond: Typical values run in the low $600,000s range, with more variety across neighborhoods. You will see single‑family options as well as multi‑unit buildings where you can live in one unit.
Always check current numbers with your lender and agent. Price seasonality and inventory shifts can change your strategy in a given month.
Property types to target with VA
- Single‑family homes are the simplest path. Owner‑occupied 2 to 4 unit properties can also work when you live in one unit. For a practical overview, see this guide to VA‑eligible property types.
- Condos are eligible only if the project is VA accepted. Verify early using a VA‑approved condo lookup tool that links to the VA Condo Report. If the community is not approved, the HOA must pursue project approval, which can add weeks.
- Manufactured homes can qualify if they are permanently affixed and treated as real property, but lender policies vary. If you are interested, line up a lender that actively funds manufactured homes.
Appraisals, MPRs, and winning in a hot market
A VA appraisal produces a Notice of Value and checks Minimum Property Requirements, which focus on safety, sanitation, and structural soundness. Common items include working heat, safe electrical, sound roof, and no active water intrusion or major pest damage. VA appraisers can require repairs be completed before closing.
- Appraisal timing: In the Bay Area, plan for about 7 to 21 business days from order to Notice of Value, depending on demand and property type. See a practical timing overview here: VA appraisal timelines and what to expect.
- If value comes in low: In competitive markets, appraisals sometimes land below contract price. You can renegotiate, bring in cash to bridge the gap, or cancel under the VA Escape Clause if it was included before the Notice of Value. Review the VA’s Escape Clause guidance.
- Process tip: Your agent should give the appraiser useful comparables and a list of permitted upgrades to support value, then pursue a reconsideration of value when warranted.
Common local repair triggers to watch
- Active roof leaks or a roof near end of life.
- Unsafe electrical such as exposed wiring or outdated knob‑and‑tube in service areas.
- Inoperable heating systems.
- Active pest or wood‑destroying insect damage.
- Safety issues like missing handrails or insecure steps.
- Access issues on private roads or easements.
Pre‑screen older homes for these items before you pay for the appraisal. When problems are minor, sellers often fix them quickly. When issues are major, be ready to adjust your strategy.
Closing costs, taxes, and what you still pay
Your lender sets your rate and many fees, not the VA. On a purchase in California, buyers often budget around 2 to 5 percent of the purchase price for closing costs and prepaids. With VA, you can ask the seller to cover many of your expenses, subject to the 4 percent concession cap on certain items and other VA rules. Review the VA’s guidance on allowable closing costs and seller concessions.
County and city transfer taxes
- County documentary transfer tax: Contra Costa County collects about 1.10 dollars per 1,000 dollars of price, in addition to any city transfer tax. See the county and city tax overview on Deeds.com’s Contra Costa Recorder page.
- City of Richmond transfer tax: Richmond uses a graduated city tax. As a general illustration, a 1,500,000 dollar sale would include county tax of about 1,650 dollars, plus a city tax that starts around 7.00 dollars per 1,000 dollars on the first 1,000,000 dollars and rises in higher brackets for the amount above 1,000,000 dollars. The exact tiered calculation can be significant, so confirm the final figure with escrow.
- Other fees: Recording fees and state surcharges appear on your settlement statement and vary by document. Escrow or title will itemize these for you.
Your step‑by‑step game plan
Follow these steps to shop efficiently, protect your deposit, and keep your timeline on track.
Before you shop
- Get your Certificate of Eligibility and a full lender preapproval, not just prequal. A strong VA lender who knows Contra Costa helps you navigate entitlement, residual income, and any lender overlays. Learn more about entitlement and limits on the VA’s Loan Limits and Entitlement page.
- If you are considering condos, verify VA project approval up front using a VA‑connected condo lookup tool. If the project is not approved, build time into your plan.
- Price your target cities with your lender. Align your search with neighborhoods and property types that fit your approval and comfort level.
When you write an offer
- Include the VA Escape Clause if the Notice of Value is not yet issued. Review the VA’s Escape Clause guidance.
- Ask for smart seller credits. Where permitted, request a credit toward your VA funding fee and customary buyer costs. Keep the 4 percent concession cap for certain items in mind.
- Set honest appraisal expectations. If you want to compete aggressively, budget for a possible appraisal gap so you can choose whether to bridge a shortfall.
After acceptance
- Prepare for appraisal. Your agent should deliver recent comparables, a list of upgrades with permits, and any helpful data points to the appraiser.
- Pre‑inspect for MPR items. Small fixes like handrails or minor leaks are often worth addressing early to avoid delays.
- Watch the timeline. VA appraisals often take 1 to 3 weeks. Condo reviews and HOA document collection may add time. Plan for a 30 to 45 day total escrow in normal conditions.
How I advocate for veterans
You deserve an advocate who treats your mission like their own. My background in public service taught me to lead with integrity, preparation, and clear communication. As your agent, I will help you map your VA benefit to real homes that fit your goals, lead proactive appraisal and condo checks, negotiate veteran‑friendly credits, and keep you protected from contract to keys. When you are ready, let’s talk through your plan and next steps.
Ready to put a proven VA process to work in Contra Costa County? Reach out to Cj Salazar Real Estate to schedule a free consultation.
FAQs
What is the VA funding fee and who is exempt?
- The funding fee is a one‑time VA charge that most buyers pay, and you can finance it. Veterans receiving VA compensation for a service‑connected disability and certain surviving spouses are exempt.
Does VA have a maximum loan amount in Contra Costa County?
- If you have full VA entitlement, the VA does not impose county loan limits on your borrowing power. With partial entitlement, county limits affect your zero‑down amount and you may need a down payment.
Can I buy a condo in Walnut Creek with a VA loan?
- Yes if the condo project is VA accepted. Always confirm VA project approval early or be prepared for the HOA to complete a project review, which can add weeks.
How long does a VA appraisal take in the Bay Area?
- Plan for roughly 7 to 21 business days from order to Notice of Value, depending on demand and property type. Build extra time for repairs or condo reviews.
What if the VA appraisal comes in below my offer price?
- You can try to renegotiate, pay the difference in cash, or use the VA Escape Clause to cancel without forfeiting your earnest money if it was in place before the Notice of Value.
Can the seller pay my closing costs and VA funding fee?
- The seller can credit many buyer costs, and your funding fee can often be covered within VA rules. Certain concessions are capped at 4 percent of the home’s value, so structure credits carefully with your agent and lender.
