Closing costs are the fees paid to complete a real estate sale beyond the price itself, including title work, recording fees, transfer taxes, prorated property taxes, and any commission owed. Local custom and the contract decide who pays which fee, and it can be negotiated. A seller should ask for a closing statement showing every line before signing.
Why it matters
The number you actually net from a sale is the price minus every one of these line items.
General information, not legal or tax advice.