Gothic fiction, sometimes referred to as Gothic horror, is a genre or mode of literature that combines elements of both horror and romance. Gothicism's origin is attributed to English author Horace Walpole, with his 1764 novel The Castle of Otranto, subtitled "A Gothic Story". The effect of Gothic fiction feeds on a pleasing sort of terror, an extension of Romantic literary pleasures that were relatively new at the time of Walpole's novel. Melodrama and parody (including self-parody) were other long-standing features of the Gothic initiated by Walpole.

Horace Walpole's The Castle of Otranto (1764) is often regarded as the first true Gothic romance. Walpole was obsessed with medieval Gothic architecture, and built his own house, Strawberry Hill, in that form, sparking a fashion for Gothic revival.

His declared aim was to combine elements of the medieval romance, which he deemed too fanciful, and the modern novel, which he considered to be too confined to strict realism. The basic plot created many other Gothic staples, including a threatening mystery and an ancestral curse, as well as countless trappings such as hidden passages and oft-fainting heroines. The first edition was published disguised as an actual medieval romance from Italy discovered and republished by a fictitious translator. When Walpole admitted to his authorship in the second edition, its originally favourable reception by literary reviewers changed into rejection. The romance, usually held in contempt by the educated as a tawdry and debased kind of writing, had only recently been made respectable by the works of Richardson and Fielding. A romance with superstitious elements, and moreover void of didactical intention, was considered a setback and not acceptable as a modern production. Walpole's forgery, together with the blend of history and fiction that was contravening the principles of the Enlightenment, brought about the Gothic novel's association with fake documentation.