Which of the following is typically a custom in determining who pays closing costs?

Determining who pays closing costs in a real estate transaction is often established by an agreement between the parties involved. This agreement can be influenced by negotiations during the contract process, preferences of the buyer and seller, and their respective agents' professional recommendations. Real estate transactions can be quite unique, and agreements can vary significantly based on the circumstances of each deal.

While state regulations, local customs, and legal requirements may set certain standards or guidelines, it is the specific agreement between the buyer and seller that ultimately dictates who is responsible for closing costs in any given transaction. This flexibility allows parties to tailor their agreements to their financial situations and can result in the buyer taking on more costs in some cases, or the seller absorbing more in others. Therefore, the agreement between the parties stands as the most significant factor in determining responsibility for closing costs.