Closing costs on can vary just like they do on conventional loans. The closing costs will be dependent on the lender’s fees, title or closing agent’s fees, and any state or regulatory fees. Also, like many mortgages, Veteran loans set up an escrow account for the borrower/home owner’s property taxes and insurance. Escrow accounts require a portion of the insurance and taxes to be “pre-paid”. These pre-paid items are closing costs, but it is important to note that they are dependent on the insurance rates and property taxes for the area where the house is being purchased, and are not related to lender or title company fees.