Real Estate (State Laws)

What is the purpose of the Louisiana Real Estate Commission (LREC)?

To regulate the practice of real estate in Louisiana and protect the public interest.

What is required to obtain a real estate license in Louisiana?

Completion of required pre-licensing education and passing the state exam.

What is the mandatory continuing education requirement for Louisiana real estate agents?

Agents must complete 12 hours of continuing education every year.

What is the term used for the written agreement between a property owner and a real estate agent?

Listing agreement.

What must a real estate agent disclose when representing a seller in Louisiana?

Material defects in the property.

What is dual agency in Louisiana real estate?

When a real estate agent represents both the buyer and the seller in the same transaction.

What is the law regarding earnest money deposits in Louisiana?

Earnest money must be held in a trust account and is subject to the terms of the purchase agreement.

What is the statute of limitations for filing a lawsuit related to real estate in Louisiana?

Typically 10 years for property ownership disputes.

What constitutes a valid lease under Louisiana law?

A lease must have a definite term and consider; verbal agreements can be valid in certain conditions.

What is the purpose of the Louisiana Uniform Residential Landlord and Tenant Act?

To outline the rights and duties of landlords and tenants.

What are the disclosure requirements for sellers in Louisiana?

Sellers must disclose known defects via the Residential Real Estate Disclosure form.

What is the Louisiana Lease Purchase Agreement?

An agreement allowing a tenant to lease a property with an option to purchase it later.

What does 'title insurance' provide in Louisiana real estate transactions?

Protection against losses from defects in title to the property.

What are 'zoning laws' in Louisiana?

Regulations that govern how land can be used within certain areas.

What is a 'real estate closing'?

The final step in a real estate transaction where ownership is officially transferred.

In Louisiana, how is property typically transferred?

Through a written act of sale.

What does the term 'encumbrance' mean in Louisiana real estate?

A claim or liability against the property, such as a mortgage or lien.

What is a broker's responsibility in Louisiana?

To ensure compliance with laws and ethical standards in real estate transactions.

What is foreclosure in the Louisiana real estate context?

The legal process by which a lender takes possession of a property due to default on loan payments.

What is a 'short sale' in real estate?

When a property is sold for less than the amount owed on the mortgage, with lender approval.

What is meant by 'market value' in real estate?

The estimated price that a property would sell for on the open market.

What is the significance of a 'property survey'?

It outlines the boundaries and features of a property, crucial for transactions.

What is a 'home warranty'?

A service contract that covers repairs and replacements of major home systems.

What should be included in a real estate listing in Louisiana?

Property details, price, terms, and agency contact information.

What is the law regarding lead paint disclosure in Louisiana?

Sellers must disclose known lead paint hazards in homes built before 1978.

What is a 'real estate fiduciary duty'?

The obligation of an agent to act in the best interest of their client.

What is the effect of property liens in Louisiana?

Liens may affect property title and need to be settled before closing.

How long is a conventional mortgage typically in Louisiana?

15 to 30 years.

What is a 'quitclaim deed'?

A deed that transfers interest in a property without warranty of title.

What is required to legally evict a tenant in Louisiana?

A court order following a legal eviction process.

What is fair housing law in Louisiana?

Laws that prohibit discrimination in housing based on race, color, religion, sex, or national origin.

What is a 'lease option'?

An agreement that gives the tenant the option to purchase the property after a lease period.

What must a landlord provide to a tenant in Louisiana?

A habitable property and maintenance of common areas.

What is a closing statement?

A document that itemizes the final details of a real estate transaction.

What does the term 'appraisal' mean in real estate?

An evaluation of a property's market value by a licensed appraiser.

What are the zoning classifications in Louisiana?

Residential, commercial, industrial, and agricultural.

What is the purpose of title searches in Louisiana?

To verify ownership and identify any claims against the property.

What is 'homestead exemption' in Louisiana?

A legal provision that reduces property tax assessments for primary residences.

What is a real estate investor's primary objective?

To generate a profitable return on investment.

What is the role of a notary in Louisiana real estate transactions?

To authenticate documents and ensure legal compliance.

What is 'property management'?

The operation, control, and oversight of real estate.

What is an 'escrow account'?

A third-party account where funds are held during a real estate transaction.

What is the difference between 'inspections' and 'appraisals'?

Inspections assess property condition; appraisals determine market value.

What does 'due diligence' entail in a real estate transaction?

The process of investigating the property and its legal status before purchase.

What must a real estate advertisement comply with?

Truthfulness and compliance with fair housing laws.

What are the consequences of violating Louisiana real estate laws?

Possible fines, loss of license, or legal action.

What is a 'pre-approval' in mortgage lending?

An initial evaluation by a lender to determine how much you can borrow.

What is an 'adjustable-rate mortgage' (ARM)?

A mortgage with an interest rate that can change periodically.

What is 'property tax'?

A tax levied on real estate by the local government.