State guide

Buying or Selling a Home in Louisiana: What You Need to Know

Louisiana is the only U.S.

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TL;DR

Louisiana is the only U.S. state that runs on a civil law system, so home sales work a little differently than the rest of the country — you sign an Act of Sale in front of a notary, not just a deed. Sellers have to fill out a Property Condition Disclosure Document before any written offer, and flood, termite, and coastal-zone issues show up far more often here than in most states. Buyers now have to sign a written representation agreement before an agent can show them a home, a change driven by the national NAR settlement that took effect August 17, 2024.

10 things every Louisiana buyer or seller should know

  • Louisiana is the only U.S. state with a civil law legal system, so home ownership transfers through an "Act of Sale" rather than the deed used in the other 49 states.

  • Every Louisiana home sale must be signed in front of a licensed notary public, and most closings are run by a closing attorney who also holds a notarial commission so they can draft and witness the documents.

  • Louisiana is a community property state, so a home bought during marriage with shared funds is generally owned by both spouses equally — and both spouses must sign to sell or mortgage it, even if only one name is on the deed.

  • Sellers of Louisiana homes with one to four dwelling units must give buyers a written Property Condition Disclosure Document before the buyer makes a written offer, covering structure, mechanical systems, water intrusion, flood history, and known environmental hazards.

  • If a Louisiana home sits in a FEMA Special Flood Hazard Area, a buyer's mortgage lender will require flood insurance under the National Flood Insurance Program, which can add hundreds of dollars per month to the cost of owning the home.

  • Louisiana real estate agents must give you a Louisiana Real Estate Commission agency disclosure form at your first scheduled meeting, explaining whether they represent the seller, the buyer, both parties, or a specific designated client inside the brokerage.

  • Louisiana does not charge a statewide real estate transfer tax, but Orleans Parish (New Orleans) imposes its own local documentary transaction tax based on the sale price, so closings inside New Orleans cost more than elsewhere in the state.

  • After the NAR settlement took effect August 17, 2024, Louisiana buyer's agent compensation can no longer be advertised in the MLS, and buyers must sign a written Exclusive Buyer Representation Agreement (EBRA) spelling out the agent's fee before being shown any property.

  • Because of Louisiana's humid climate and persistent termite pressure, a wood-destroying insect inspection report (WDIIR) from a licensed pest control operator is a near-universal part of residential sales and is usually required by the buyer's mortgage lender.

  • Homes in Louisiana's coastal zone — much of the state's southern parishes — fall under the Louisiana Coastal Zone Management program, and unpermitted coastal work like dredging, filling, or building can create title and use problems that affect a future owner.

The guides

Common questions

Do I have to sign anything before a Louisiana agent takes me to see a home?
Yes. Since the NAR settlement took effect August 17, 2024, Louisiana buyers must sign an Exclusive Buyer Representation Agreement (EBRA) before an agent tours any property with them. The agreement has to spell out how the agent will be paid as a specific dollar amount or a clear formula (like a percentage of the sale price), not as a vague range.
Why does my Louisiana closing have to happen in front of a notary?
Louisiana is the only state that uses a civil law legal system, and its Civil Code requires that the transfer of real estate be signed as an "Act of Sale" before a notary public. In practice the closing is almost always run by a closing attorney who also holds a notary commission, so they can prepare the documents, witness the signing, and record everything in the parish records.
What do I have to disclose when selling my Louisiana home?
Louisiana's Residential Property Disclosure Act requires sellers of homes with one to four units to fill out a written Property Condition Disclosure Document and give it to the buyer before the buyer makes a written offer. It covers structural problems, mechanical systems, water intrusion, flood history, and any environmental hazards you actually know about. If you hand it over after the offer is already on the table, the buyer has three days to back out.
Is there a state transfer tax when I buy or sell a home in Louisiana?
Louisiana does not charge a statewide real estate transfer tax, which is unusual compared to many other states. Orleans Parish (New Orleans) is the big exception — it charges its own local documentary transaction tax based on the sale price, so closing costs there run higher than in the rest of Louisiana.
Why is flood insurance such a big issue when buying a home in Louisiana?
Louisiana's geography, hurricane history, and large coastal zone mean a lot of homes sit in FEMA-designated Special Flood Hazard Areas. If the home is in one of those zones and you're taking out a mortgage, your lender will require flood insurance through the National Flood Insurance Program or a private flood policy. Premiums can add a meaningful amount to your monthly housing cost, so it's worth pricing before you make an offer.
My spouse isn't on the loan, but we bought our Louisiana home while married — do they have to sign the sale?
Most likely, yes. Louisiana is a community property state, so a home bought during marriage with shared funds is presumed to belong equally to both spouses regardless of whose name is on the deed. Both spouses generally have to sign to sell or mortgage that home, and a closing can fall apart if the other spouse's authorization is missing.
What is an "Act of Sale" in Louisiana?
An Act of Sale is Louisiana's version of a deed — the written instrument that transfers a home from the seller to the buyer. Because Louisiana's civil law system traces back to the Napoleonic Code, the Act of Sale must be signed in front of a notary public and is then recorded in the parish conveyance records to put the rest of the world on notice of the new ownership.
Should I expect a termite inspection on a Louisiana home?
In most cases, yes. Louisiana's humid climate and ongoing termite pressure mean a wood-destroying insect inspection report (WDIIR) by a licensed pest control operator is standard, and lenders almost always require a current report as a condition of the loan. The standard Louisiana Residential Agreement to Buy or Sell also treats termite inspection as a typical contingency that buyers and sellers negotiate up front.

Glossary

2 terms
NAR — National Association of Realtors
The national trade group for real-estate agents. The 2024 NAR settlement is the legal deal that changed how buyer's agents get paid.
MLS — Multiple Listing Service
The shared database agents use to list and find homes for sale. Most homes you'll see online started here.