Real Estate Articles

SYNOPSIS OF BILLS BEFORE THE LOUISIANA LEGISLATURE AFFECTING REAL ESTATE INVESTORS As of April 12, 2021 | By: David Birdsong

Upcoming Events with: David Birdsong:
The following bills have been filed to be heard before the Louisiana Legislature in the current session. Before any of these can become law they must be heard by a legislative committee. In committee the bill can be voted down, in which case it dies, it can be passed on as is or it can be passed on with amendments. If the bill is passed on, it is then voted on by the complete House and Senate, at which time the bill is also subject to amendment. If it is approved by the House and Senate, it is passed on to the Governor. The Governor can veto the bill or sign it into law. The full text of any of the bills are available on line at www.legis.la.gov. At that web site you can follow the progress of the bills, any changes that are made, and even watch while the bill is being considered by the committees or the House or Senate. You can contact your representative or senator from the site as well to support or object to any bill. The session started on April 12, 2021 and must end by June 10, 2021 at 6:00 P.M. The following bills affect real estate or are of general interest.

REDHIBITION
HB 81 Redhibition is a law particular to Louisiana that allows a buyer to sue a seller for defects
in a property that are material in nature and were not discernable by simple inspection prior to the
sale. Suit for rights under redhibition have to be brought within one year of the date of the sale of
the property.

This bill adds changes the time period when suit can be filed. For good faith sellers (people who
were not aware of that there was a defect), suit must be brought “two years from the delivery or
one year from discovery, whichever occurs first.”

In the case of bad faith sellers, people who knew or should have known there was a defect and
failed to disclose it, suit must be brought within one year of discovery of the defect but no later
than 10 years after the sale.

This bill has been assigned to the House Committee on Civil Law and Procedure.

TAX SALES
HB 225. Current law provides that a tax sale purchaser may, in certain circumstances, take
physical possession of a property and do repairs and improvement to the property during the
redemption period. This bill provides that if a property owner is residing on the property a tax
sale purchaser cannot evict the owner/occupant during the redemption period. It prohibits
constructions and improvements during the redemption period by the acquiring person to the tax
sale property

This bill has been assigned to the house Committee on Ways and Means.

PROPERTY TAXES
HB 143. This bill calls for a Constitutional Amendment to restrict increases in the assessment of
real estate to no more that 10% of the assessed value for the prior year. This would only affect
Orleans Parish. It would not apply to increases in value based upon a sale of the property or
improvements made to the property. Even though it would only apply to Orleans Parish, as it
requires a change to the State Constitution, it would have to pass a vote of the legislature and then
be voted on the entire state. The bill provides that if it passes it would be submitted to the voters
at the statewide election to be held Nov. 8, 2022 and if passed it would become effective on or
after Jan. 1, 2023.

This bill has been assigned to House Committee on Ways and Means.

New bills can still be filed until April 21, 2021. Next month I will let you know if any new bills
are filed that would affect real estate investors and I will have an update on the progress of these
bills. If you have an interest in them you can look at the State web site mentioned above or give
David Birdsong a call at Gulf South Title, 504-780-9202.


Contact Us

New Orleans Real Estate Investors Association
  • (504) 345-9102
  • PO Box 8064
  • Metairie, LA 70011

Proud Chapter of National REIA

Newsletter

Stay updated with New Orleans Real Estate Investors Association.


Privacy and Security Policies

Your email will never be shared or sold to other members, vendors or any other third party without your consent.
Privacy Policy   -   Security Policy

Disclaimer

www.NewOrleansREIA.com  (New Orleans Real Estate Investors Association) does not give legal, tax, economic, or investment advice. New Orleans REIA disclaims all liability for the action or inaction taken or not taken as a result of communications from or to its members, officers, directors, employees and contractors. Each person should consult their own counsel, accountant and other advisors as to legal, tax, economic, investment, and related matters concerning Real Estate and other investments.   

Copyright 2021 © New Orleans Real Estate Investors Association  All rights reserved.

This REIA Website is powered by: Real Estate Promo.