Louisiana Mortgage Calculator
Calculate your Louisiana mortgage payment with PMI, property tax, and closing costs.
Useful for home buyers in New Orleans, Baton Rouge, Shreveport, Lafayette, Lake Charles, and all of Louisiana.
Useful for home buyers in New Orleans, Baton Rouge, Shreveport, Lafayette, Lake Charles, and all of Louisiana.
Why use a Louisiana Mortgage Calculator?
Louisiana has affordable housing and very low property taxes but unique legal considerations. This calculator estimates your payment, PMI, property tax, and closing costs.
Louisiana has affordable housing and very low property taxes but unique legal considerations. This calculator estimates your payment, PMI, property tax, and closing costs.
Result
Enter your details to see the estimated payment here.
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Louisiana Property Tax: The average effective property tax rate is about 0.55%, one of the lowest in the nation. Louisiana offers a generous homestead exemption that reduces taxes on primary residences. Closing costs in LA are typically 2-4% of the purchase price.
Average Home Prices in Major Louisiana Cities (2024)
| City | Detached | Semi-Detached | Townhouse | Condo |
|---|---|---|---|---|
| New Orleans | $330,000 | $285,000 | $260,000 | $230,000 |
| Baton Rouge | $260,000 | $225,000 | $200,000 | $180,000 |
| Shreveport | $195,000 | $175,000 | $160,000 | $145,000 |
| Lafayette | $235,000 | $210,000 | $190,000 | $170,000 |
| Lake Charles | $220,000 | $195,000 | $175,000 | $155,000 |
Note: Prices are approximate averages for 2024 and may vary by neighborhood and property features.
How Mortgage Rules Work in Louisiana
- Property Tax: Louisiana's average effective property tax rate is about 0.55%, one of the lowest in the nation. Property taxes are paid annually and may be included in your monthly payment.
- Homestead Exemption: Louisiana offers a generous homestead exemption that exempts the first $7,500 of a home's assessed value from property taxes. Since homes are assessed at 10% of their market value, this effectively exempts the first $75,000 of market value.
- Civil Law System: Louisiana has a unique legal system based on French and Spanish civil law rather than English common law. This affects some aspects of property ownership and transfer.
- PMI (Private Mortgage Insurance): If your down payment is less than 20%, you must pay PMI, which is added to your monthly payment until you reach 20% equity.
- Closing Costs: Louisiana's closing costs include title insurance, recording fees, and other expenses, typically ranging from 2-4% of the purchase price.
Example: On a $240,000 home with 20% down in Baton Rouge, you avoid PMI and benefit from Louisiana's low property tax rate and homestead exemption. Closing costs are typically 2-4% of the purchase price.
Frequently Asked Questions
Louisiana's homestead exemption exempts the first $7,500 of a home's assessed value from property taxes. Since homes in Louisiana are assessed at 10% of their market value, this effectively exempts the first $75,000 of market value from property taxes. For example, if you own a $240,000 home, it would be assessed at $24,000, and the first $7,500 of that assessment would be exempt from taxes. You would only pay taxes on $16,500 of assessed value.
Louisiana follows civil law rather than common law, which affects property transactions. For example, Louisiana uses "notarial acts" rather than deeds for property transfers, and the state has a unique community property system that affects how married couples own property. Louisiana also has different foreclosure procedures than most states, typically following a judicial foreclosure process.
Closing costs in Louisiana are typically 2-4% of the purchase price and include title insurance, recording fees, loan origination fees, appraisal fees, and other expenses. Louisiana has relatively low closing costs compared to many other states, which, combined with its low property taxes, makes it a relatively affordable state for homeowners.