Can a Seller Pay Closing Costs on a VA Loan When There Are Multiple Offers?

Can a Seller Pay Closing Costs on a VA Loan When There Are Multiple Offers? Here Is How It Went for Two Veterans in De Soto, Kansas

Yes. A seller can pay a VA buyer’s closing costs even when the listing has competing offers, but the offer has to be built so the seller is not worse off for saying yes. In 2026 Morgan and Luis, two veterans, bought an updated walkout home in the DeMeadows Estates neighborhood of De Soto, Kansas with a VA loan. Morgan was buying a home for the first time. They were on a tight budget and needed the seller to cover most of their closing costs, and the home had been on the market two days with other buyers interested. Josh Seitz of Nelson Home Group at Keller Williams KC North represented them. They offered over asking so the price could carry the closing costs instead of their savings, the VA appraisal came in at the contract price, and they closed on July 7, 2026.

A tight budget, a brand-new listing, competing buyers and a VA appraisal that had to agree with the number. That was the setup.

Here is how it actually went, start to finish.

The Full Story

Morgan and Luis are both veterans, and Morgan was buying a home for the first time. They had two goals that pulled against each other. They needed to live somewhere between Topeka and Overland Park, Kansas, because their two sets of grandparents live about an hour apart and they wanted to be close to both. And they were on a tight budget, which meant they needed the seller to pay most of their closing costs.

They toured quite a few homes with Josh Seitz of Nelson Home Group at Keller Williams KC North. Only one made them fall in love: an updated front-and-back split with a walkout lower level in De Soto, Kansas, almost exactly halfway between the two cities along K-10. It had just hit the market in late May 2026, and they were not the only buyers interested.

The Strategy

Josh and the buyers first offered at list price with a request for the sellers to cover closing costs. Because the home was brand new to the market and drawing competing interest, that offer was not going to hold up on its own. There were two options. Drop the closing-cost request, which their budget could not absorb. Or raise the offer so the higher price covered most of those costs instead of the buyers’ savings. Josh recommended raising the offer.

Before making that call, Josh ran a comparative market analysis of recent sales in the neighborhood to confirm the home’s value could support the higher price. That step mattered because a VA loan requires a VA appraisal, and a price the appraisal does not support can force a buyer to renegotiate or bring cash they do not have. The sales said the number would hold, so the offer went in over asking with the seller paying most of the closing costs.

One more item came up in the paperwork: the home sits in a designated flood plain, so the lender required flood insurance. The premium turned out to be a small annual cost and was not a factor in their budget.

Morgan and Luis financed the purchase with a VA loan through our mortgage team at LeaderOne Financial (company NMLS #12007), with Joe Nelson (NMLS #2547018) as their loan originator. That meant the agent writing the offer and the lender pricing the closing costs were working from the same numbers, which is what made it possible to size the request to the sellers before the offer went in.

The Success

The VA appraisal came in right at the contract price. Morgan and Luis won the home over the competing interest, the sellers paid most of their closing costs, and the buyers actually received a little money back at the closing table. They went under contract two days after the home was listed and closed on July 7, 2026, about five and a half weeks later.

As Josh tells it, they were thrilled. Out of every house they toured, this was the one they loved, and the part that surprised them was that there was enough value in the home to offer more and still have the seller cover most of the closing costs.

What a buyer can take from this: on a VA loan with a tight budget, asking the seller to pay closing costs does not automatically take you out of a competitive situation. The key is knowing what the home is worth before raising an offer, because the appraisal has to support the price. Every home, market and appraisal is different, so this approach will not fit every deal.

About This Property

The home is a front-and-back split built in 2002 in the DeMeadows Estates neighborhood of De Soto, Kansas 66018, in Johnson County. It has three bedrooms and two full baths, about 1,241 square feet above grade and about 520 more finished in a walkout lower level, roughly 1,761 finished square feet in all, plus unfinished storage. The sellers had remodeled the kitchen with quartz counters and stainless appliances, and it walks out to the deck and overlooks the vaulted living room with its fireplace. All the flooring was new, with carpet only on the stairs. The primary suite has a tray ceiling, a walk-in closet and a double vanity, and the lower-level family room has built-ins and walks out to the back patio, with a laundry area and a rough-in for a third bath. It sits on a corner lot of about a quarter acre that adjoins greenspace, partially fenced, with a fire pit, a raised garden bed, a two-car garage and no HOA, and walking trail access is just across the street. The sellers included a home warranty. The home is in the De Soto school district (Starside Elementary, Lexington Trails Middle, De Soto High).

The listing was held by another brokerage; Nelson Home Group represented the buyers.

Buying Between Topeka and Overland Park

De Soto sits in western Johnson County, Kansas along K-10, close to halfway between Topeka and Overland Park, with Lawrence and Eudora a few exits west. It has stayed small-town in feel while the Panasonic battery plant and the K-10 corridor have brought new attention to the west side of the county, and it has its own school district. For a family that needs to be near people in both directions, it is one of the few places where the drive is about the same either way. Our Living In: Johnson County, KS page covers the rest of the county.

Frequently Asked Questions

Can the seller pay my closing costs on a VA loan?

Yes. VA loans allow a seller to pay a buyer’s closing costs, and there are separate limits on certain other seller concessions. Your lender confirms what applies to your loan. Morgan and Luis, VA buyers in De Soto, Kansas, had most of their closing costs paid by the seller on a loan through our mortgage team at LeaderOne Financial (company NMLS #12007). Our page on VA loan costs and the funding fee breaks down what a veteran actually pays and what a seller can cover.

Can I still ask for closing costs if there are multiple offers?

Yes, but the request has to be structured so the seller is not worse off than with a competing offer. One common approach is raising the offer so the higher price funds the closing costs. Nelson Home Group used that approach to help VA buyers win a two-day-old listing in De Soto, Kansas. On a listing that has been sitting, the seller-paid play is easier; our guide to VA loan closing costs in Kansas City explains how we read the listing before we write the offer.

Is it smart to offer more than list price to get closing costs covered?

It can be, when recent nearby sales support the higher price. If they do not, the appraisal may come in low and the plan can fall apart. Josh Seitz ran a neighborhood comparative market analysis before recommending it on this De Soto purchase, and the VA appraisal came in right at the contract price.

What happens if my VA appraisal comes in lower than my offer?

Typically the buyer and seller renegotiate the price, the buyer covers the difference in cash, or the buyer may be able to cancel under the VA’s amendatory clause. Which option makes sense depends on your contract and your finances, so talk it through with your agent and your lender before you decide. The best protection is checking the comparable sales before you raise an offer, which is what we did here.

Where can I buy a home halfway between Topeka and Overland Park?

De Soto, Kansas, in western Johnson County, sits close to halfway between the two cities along K-10. Lawrence and Eudora are also along the corridor. Nelson Home Group helped a family with grandparents in both cities buy in De Soto for exactly that reason.

Should I avoid a house that requires flood insurance?

Not automatically. If a home is in a designated flood zone, your lender will require flood insurance, and the cost varies widely by property. Get a quote before you commit. On this De Soto purchase, the premium was small and was not a factor in the buyers’ budget.

Can a first-time buyer use a VA loan?

Yes. VA eligibility is based on military service, not on whether you have owned a home before. Morgan was a first-time buyer when she and Luis bought their home in De Soto, Kansas with a VA loan. Our first-time buyer guide and our VA home buying guide cover both sides of that.

A tight budget, a listing that had been up for two days, other buyers and an appraisal that had to agree: any one of those can sink a VA offer. Getting all four to line up is a numbers problem, and our team has solved it before.

More stories from our team: a veteran family who got seller-paid closing costs on a 100-year-old house in Liberty · a VA offer on a cash or conventional listing in Cameron · a first-time buyer who closed with less than a thousand dollars at the table · two veterans who bought from a relocation company in Olathe.

Nelson Home Group is a veteran-owned team that helps veterans and first-time buyers across the Kansas City metro, on both sides of the state line. Start with our veterans page, then call or text 816-680-6624 or reach the team here.

Joe Nelson · Nelson Home Group · 1508 NW Vivion Rd #205, Kansas City, MO 64118 · 816-680-6624
Brokerage: Keller Williams KC North · 816-452-4200