Rental property LLCs in Louisiana

Local rental licensing comes first

New Orleans (Orleans Parish). It is unlawful to let anyone occupy a rental housing unit in Orleans Parish without a valid certificate of compliance (New Orleans Code § 26-660). Under the Healthy Homes program, that covers single-family homes, duplexes, apartments, townhomes and condos rented to someone other than the owner, including short-term rentals (nola.gov Healthy Homes FAQ).

• One certificate per rental unit; it's valid two years and must be renewed (§ 26-661(a)–(b)).
• The application lists the lessor's physical address (no P.O. box) and, for an LLC, its registered agent or authorized representative, plus a sworn statement that the unit was recently inspected and meets minimum standards (§ 26-661(c)).
• You can't get a certificate with delinquent property taxes, outstanding fines, open permits that make the unit unfit, or open electrical/mechanical or no-permit violations (§ 26-661(d)).
• Timely registration is free; late registration draws fees. A new owner has 90 days from the date of sale to apply, and certificates don't transfer (nola.gov Healthy Homes). Because certificates don't transfer, ask the Healthy Homes Administration ((504) 658-7133, healthyhomesregistration@nola.gov) how to re-register a unit once your LLC holds title.
• Apply through the OneStopApp ("Apply" → "Healthy Homes"), or in person at 1340 Poydras St, Suite 800 (nola.gov).
• Short-term rentals have their own city permit system; the city publishes its STR registry and license maps (nola.gov STR Administration).

Elsewhere in Louisiana. Rental rules are local. Ask your parish's permit office before the first lease.

What the LLC protects, and what it doesn't

No member, manager, employee or agent is liable in that capacity for the LLC's debts, but the law doesn't shield you from your own fraud, negligence or wrongful acts (La. R.S. 12:1320(B), (D)). A personal guarantee to a lender still binds you; your own acts are yours; and the LLC is not insurance.

One LLC, or one per property?

One LLC holding three houses puts all three in reach of one judgment; separate LLCs keep them apart at the cost of more filings, accounts and $35 annual reports each. Louisiana's LLC law (La. R.S. 12:1301 et seq.) has no series-LLC provision; a 2019 Senate resolution (SR 37) only asked for a study of authorizing them. So separate properties means separate LLCs. The full tradeoff, with a worked example: Should you have a separate LLC for each rental property?. Other states: Mississippi · Alabama · Arkansas · Indiana · Tennessee.

Form it where the property is, or register there

The simplest setup is a Louisiana LLC for Louisiana property. If you already have an LLC from another state, it can't transact business in Louisiana until it gets a certificate of authority from the Secretary of State (La. R.S. 12:1342). The application needs a Louisiana registered agent and a certificate of existence/good standing from your home state dated within 90 days (R.S. 12:1345). The fee is $185 from Oct 1, 2026 (SOS fee schedule).

Is renting out property "transacting business"? R.S. 12:1343 lists what isn't — e.g. holding bank accounts, creating mortgages, an isolated transaction finished within 30 days, and "acquiring or disposing of property … not as a part of any regular business activity." Ongoing leasing isn't on that list, so assume you must register and confirm with a Louisiana attorney. That's two filings, two registered agents and two annual reports, which is why a Louisiana LLC is often simpler.

What it costs the state

Effective October 1, 2026, under Act 921 of the 2026 Regular Session (SOS fee schedule):

• Articles of Organization (Louisiana LLC): $125
• Annual report: $35
• Foreign LLC application: $185
• Name reservation: $25; registered office/agent change: $30; supplemental initial report: $30
• Paying by card: "Credit card payments are subject to an additional statutory convenience fee. $5" — so $130 to file online by card and $40 per annual report (SOS fee schedule)
• EIN: free from the IRS.

Some guides still quote $100 to file, which was the price before October 2026. Add a registered agent, insurance changes, and the parish's recording fee for each act. See what Corpus charges in our honest comparison of LLC services.

Forming the LLC, in order

1. Pick a name with an LLC designator.
2. Name a registered agent with a Louisiana physical address.
3. File Articles of Organization with the Secretary of State ($125).
4. Write an operating agreement (not filed with the state).
5. Get an EIN; open the LLC's bank account.
6. Register the rental with the city (above).

Forming the LLC doesn't move your deed

In Louisiana, title moves by an act — a transfer of immovable property must be made by authentic act or act under private signature (La. Civ. Code art. 1839). It binds third persons only once filed for registry in the parish where the property sits (art. 1839; art. 3338). Have a Louisiana notary or attorney prepare the act and tell you which form fits putting property into your own LLC and what recording costs apply. Then update leases, rent payment instructions, deposits, insurance — and the Healthy Homes certificate.

Check the mortgage before you transfer

Federal law lets a lender enforce a due-on-sale clause; the exceptions for 1–4 unit homes don't include a transfer to an LLC (12 U.S.C. § 1701j-3(d)). Fannie Mae allows a transfer to an LLC the borrower controls for loans it acquired on or after June 1, 2016 (Fannie Mae Servicing Guide D1-4.1-02). Ask your servicer in writing before you sign.

Insurance and taxes

Tell your insurer before title moves. A single-member LLC is disregarded for federal income tax unless it elects corporate treatment; rent and expenses go on your return (IRS). For state income and franchise tax, Louisiana treats an LLC the same way it's treated federally (La. R.S. 12:1368). The LLC by itself doesn't cut your income tax.

Keeping each LLC in good standing

File the $35 annual report on or before each LLC's anniversary of organization (La. R.S. 12:1308.1). The Secretary of State revokes the articles after three consecutive years without a report, after 30 days' written notice (La. R.S. 12:1308.2). Renew the Healthy Homes certificate every two years.

Before you file or transfer a property

• Attorney/notary: the act of transfer, which properties in which LLC
• Servicer: is the transfer allowed?
• Insurance agent: named insured, coverage
• CPA: state and federal reporting
• City: Healthy Homes (and STR permit) in the LLC's name
• Calendar: annual reports, two-year certificate renewals

Form it with Corpus

Corpus prepares and files your Articles of Organization and includes the first year of registered-agent service. The Louisiana page shows the current price. Corpus isn't a law firm: the act of transfer, the loan and the city registration are separate steps.

Sources

• Louisiana SOS fee schedule eff. 10/1/26: https://static.sos.la.gov/shared/fee_changes_2026.pdf
• La. R.S. 12:1342 (Corpus official text): https://corpuslaw.us/code/936e7df1-89cc-4930-9059-5a16e15437c5 ; legis.la.gov: https://legis.la.gov/Legis/Law.aspx?d=76297
• La. R.S. 12:1343 (Corpus official text): https://corpuslaw.us/code/5f46fe7b-0d78-4d09-9938-813650ba8a4b ; legis.la.gov: https://legis.la.gov/Legis/Law.aspx?d=76298
• La. R.S. 12:1345 (Corpus official text): https://corpuslaw.us/code/5e486cad-e90b-4f80-8a90-9d478e7a503b ; legis.la.gov: https://legis.la.gov/Legis/Law.aspx?d=76300
• La. Civ. Code art. 1839 (Corpus official text): https://corpuslaw.us/code/ceae627d-23bb-4b58-a0ca-7fea4d06e21a ; legis.la.gov: https://www.legis.la.gov/legis/Law.aspx?d=109078
• La. Civ. Code art. 3338 (Corpus official text): https://corpuslaw.us/code/757eef54-7c02-4627-92c5-cbb89ba57e99 ; legis.la.gov: https://legis.la.gov/legis/Law.aspx?d=110389
• La. R.S. 12:1320 (Corpus official text): https://corpuslaw.us/code/e4f56254-34eb-4e27-8e26-66f20a2c3712 ; legis.la.gov: https://www.legis.la.gov/legis/Law.aspx?d=76272
• La. R.S. 12:1308.1 (Corpus official text): https://corpuslaw.us/code/cf373de6-7198-4f1e-a6ef-856cadaabd06 ; legis.la.gov: https://legis.la.gov/legis/Law.aspx?d=76256
• La. R.S. 12:1308.2 (Corpus official text): https://corpuslaw.us/code/38189fb6-fad2-4156-a7e8-d41f0f92ad0d ; legis.la.gov: https://legis.la.gov/legis/Law.aspx?d=76257
• La. R.S. 12:1368 (Corpus official text): https://corpuslaw.us/code/5a1ef5e1-6ffc-450c-83b2-1c84d7871f67 ; legis.la.gov: https://www.legis.la.gov/legis/Law.aspx?d=108455
• SR 37 (2019): https://www.legis.la.gov/legis/ViewDocument.aspx?d=1127267
• New Orleans Code ch. 26 art. XIII (Healthy Homes): https://library.municode.com/la/new_orleans/codes/code_of_ordinances?nodeId=PTIICO_CH26BUBUREHOST_ARTXIIIHEHOPR
• nola.gov Healthy Homes: https://nola.gov/next/healthy-homes/home/ ; FAQ: https://nola.gov/next/healthy-homes/topics/faqs/ ; register: https://nola.gov/register-for-healthy-homes-coc/
• nola.gov STR registry: https://nola.gov/next/short-term-rental-administration/topics/registry-of-short-term-rentals/
• 12 U.S.C. § 1701j-3 (Corpus official text): https://corpuslaw.us/code/2fc8c7eb-0b53-4b5a-821a-477c5d2baf63
• Fannie Mae Servicing Guide D1-4.1-02: https://servicing-guide.fanniemae.com/svc/d1-4.1-02/allowable-exemptions-due-type-transfer
• IRS single-member LLCs: https://www.irs.gov/businesses/small-businesses-self-employed/single-member-limited-liability-companies