Closing costs by state
Closing costs in Louisiana
Closing costs in Louisiana run about 2% to 5% of the price for a buyer, made of lender fees, title and settlement, recording, prepaid interest and escrow reserves; on a $400,000 home the worked example below comes to $11,555. Louisiana has no state-level real estate transfer tax. The Louisiana Constitution (Art. VII § 2.3) bars any new tax on the sale of immovable property after November 30, 2011. New Orleans keeps a grandfathered documentary transaction tax of a flat $325 per recorded document, paid by the seller.
Last verified ·Sources:codes.findlaw.com·orleanscivilclerk.com
The rules
What Louisiana does differently
- State transfer tax
- None at the state level.
- Who pays it
- Not applicable.
- County and city add-ons
- The Louisiana Constitution (Art. VII § 2.3) bars any new tax on the sale of immovable property after November 30, 2011. New Orleans keeps a grandfathered documentary transaction tax of a flat $325 per recorded document, paid by the seller.
- Attorney at closing
- Louisiana requires an attorney to conduct or supervise the closing, so an attorney fee is a normal line on both sides.
- Owner’s title policy
- The buyer customarily pays for the owner’s title insurance policy in Louisiana, along with the lender’s policy.
- Notes
- A licensed Louisiana attorney must examine title for title insurance (La. R.S. 22:512), and the sale closes by an act of sale before a notary or attorney. The buyer customarily pays both title policies.
- codes.findlaw.com — “No new tax or fee upon the sale or transfer of immovable property...shall be levied...after November 30, 2011.”
- orleanscivilclerk.com — “All of the above documents are assessed a flat tax of $325.00 except mortgages whose loan amount is under $9,000.00.”
Worked example
A $400,000 home in Louisiana, 20% down
Loan of $320,000 at 6.5%, closing on the 15th. Lender, title and recording figures are typical line items used for illustration, the same on every state page; the transfer tax and the owner’s policy side follow Louisiana’s rules above. Not a quote: the calculator takes your own figures.
Buyer pays
| Loan origination, 1% of the loan | $3,200 |
| Appraisal | $550 |
| Title and settlement services | $1,800 |
| Lender’s title policy | $900 |
| Recording | $150 |
| Prepaid interest, 15 days at 6.5% | $855 |
| Escrow reserve, 3 months of tax at 1.1% | $1,100 |
| First year of homeowners insurance | $1,500 |
| Owner’s title policy (estimate) | $1,500 |
| Total (2.889% of price) | $11,555 |
Seller pays
| Commission, 5% | $20,000 |
| Title and escrow fees | $2,000 |
| Prorated property tax | $1,500 |
| Total | $23,500 |
Questions
What people ask about Louisiana
- Who pays the transfer tax in Louisiana?
- Louisiana has no state-level real estate transfer tax. The Louisiana Constitution (Art. VII § 2.3) bars any new tax on the sale of immovable property after November 30, 2011. New Orleans keeps a grandfathered documentary transaction tax of a flat $325 per recorded document, paid by the seller.
- Do you need an attorney to close on a house in Louisiana?
- Louisiana requires an attorney to conduct or supervise the closing, so an attorney fee is a normal line on both sides.
- Who pays for the owner’s title policy in Louisiana?
- The buyer customarily pays for the owner’s title insurance policy in Louisiana, along with the lender’s policy.
- How much are seller closing costs in Louisiana?
- On a $400,000 sale with a 5% commission, the worked example on this page comes to $23,500 for the seller, before the mortgage payoff and any concessions or repairs. The seller net sheet calculator shows the walk-away figure.
Last reviewed September 8, 2026 by the EstatePass editorial team. Formulas and program limits are checked against the published rules; figures on this page are arithmetic, not market statistics.
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