Closing Costs in Louisiana
The average closing cost in Louisiana is $14,218, which is 6.66% of the home price. Louisiana has no transfer tax, which saves buyers money.
Avg Closing Costs
$14,218
As % of Price
6.66%
Transfer Tax
None
Attorney Required
No
Closing Cost Breakdown for a $213,371 Home
| Item | Estimated Cost |
|---|---|
| Loan Origination Fee (1%) | $1,707 |
| Appraisal Fee | $500 |
| Credit Report | $50 |
| Title Search & Insurance | $1,067 |
| Transfer Tax | N/A |
| Recording Fees | $150 |
| Home Inspection | $400 |
| Survey | $350 |
| Attorney Fee (optional) | N/A |
| Prepaid Property Tax (2 months) | $196 |
| Prepaid Homeowners Insurance (1 year) | $640 |
| Prepaid Interest (15 days) | $456 |
| Estimated Total | $5,516 |
* Estimates based on average Louisiana home price of $213,371 with 20% down payment. Actual costs may vary. Transfer tax, attorney fees, and prepaid items are state-specific.
How to Reduce Closing Costs in Louisiana
Negotiate Seller Concessions
Ask the seller to cover part of your closing costs. In Louisiana, sellers can typically contribute up to 3-6% of the sale price toward buyer closing costs.
Shop Multiple Lenders
Origination fees and lender charges vary significantly. Get Loan Estimates from at least 3 lenders and compare the “Loan Costs” section.
Use First-Time Buyer Programs
Louisiana offers programs like LHC Mortgage Revenue Bond Program that can help with closing costs.
Close at End of Month
Closing near the end of the month reduces the prepaid interest charges, which can save you hundreds of dollars.
Legal Context for Louisiana Closings
Conveyance Document
Warranty deed or act of sale
Security Instrument
Act of mortgage
Foreclosure Process
Judicial
Attorney Required
No
Louisiana uses warranty deed or act of sale for property transfers and act of mortgage as the security instrument. While an attorney is not required, you may still choose to hire one.
