Closing costs are considered expense of sale and this reduces the gain or increases a loss on the sale. TurboTax will ask you about the expense of sale. Examples are commissions, transfer tax, recording fees, etc.
If you don't see that question, you can add the expense of sale to your cost basis. This will create the same result for gain or loss.
Keep in mind that a loss is allowed only if you did not use the investment property for personal purposes (it's not clear if this is a home you live in).