A Louisiana fix-and-flip loan is asset-based and ARV-driven: it funds the purchase and the rehab budget, carries interest-only while you work, and is repaid when the finished home sells in New Orleans or your target submarket.
Fix-and-flip economics in Louisiana
ARV discipline and a real rehab number decide the flip — not optimism. Two Louisiana cost lines bite flip margin: holding-period property tax at an effective ~0.56% (low rate but homestead exemption does not apply to investors) and state income tax on the gain (flat 3% (2025)). Model both before you commit to ARV.
| Metro | Typical basis | Rent band | Flip notes |
|---|---|---|---|
| New Orleans | $240K–$380K | $1,600–$2,200 | shotgun-double rehabs with elevation/flood contingency |
| Shreveport | $140K–$220K | $1,050–$1,450 | lowest basis; cosmetic flips with 120-day targets |
| Baton Rouge | $200K–$300K | $1,350–$1,850 | suburban ranch flips with faster permit cycles |
Speed comes from judicial foreclosure norms — executory process foreclosure is comparatively fast for a judicial state. Build the local process timeline into your carry, because Louisiana disposition can run longer than national averages.
Louisiana flip loan terms (2026)
| Term | Louisiana range |
|---|---|
| Acquisition leverage | Up to ~90% of purchase |
| Rehab funding | 100% of approved scope, on draws |
| Basis | Sized to ARV ($195,000 – $310,000 typical) |
| Rate | Interest-only, ~10.5%–12% |
| Term | 6–12 months |
Local risk to scope in Louisiana
Louisiana carries specific physical-risk lines you must price before close:
- Hurricane, flood, and elevation requirements — insurance can dominate the pro forma
- Rising premiums and carrier exits statewide
Profit math on a New Orleans flip
| Line | Amount |
|---|---|
| Purchase | $273,000 |
| Rehab | $48,000 |
| All-in | $321,000 |
| Carry (~5 mo @ ~10.5% IO) | $12,639 |
| ARV (conservative) | $404,000 |
| Selling costs (~8%) | $32,320 |
| Est. net before tax | $38,041 |
Healthy on conservative comps; overruns are the main risk. Spread compresses fast when ARV comps are optimistic or rehab runs 15%–25% over scope.
Where Louisiana flippers find inventory
- New Orleans — shotgun-double rehabs with elevation/flood contingency
- Shreveport — lowest basis; cosmetic flips with 120-day targets
- Baton Rouge — suburban ranch flips with faster permit cycles
Louisiana Office of Financial Institutions regulates mortgage brokers; verify flood insurance early.
After the flip: hold instead?
If the numbers favor a hold, refinance into a Louisiana DSCR loan on the stabilized rent, or run a portfolio bridge via hard money lenders Louisiana.
Louisiana fix-and-flip FAQ
How much do Louisiana fix-and-flip loans cover?
Typically up to ~90% of purchase plus 100% of an approved rehab budget, sized to ARV — commonly the $195,000 – $310,000 band across Louisiana investor stock. Leverage depends on experience and the deal.
How fast can I close a flip loan in Louisiana?
Asset-based files in Louisiana can close in roughly 7–14 days with clear title and a workable scope — fast enough for New Orleans auction and estate timelines.
What kills Louisiana flip margin most often?
Optimistic ARV comps and rehab overruns of 15%–25%, plus hurricane, flood, and elevation requirements — insurance can dominate the pro forma. Build contingency into every Louisiana budget.
Get Your Louisiana Fix-and-Flip Quote · (833) 264-7776
Rates, terms and conditions offered only to qualified borrowers and are subject to change at any time without notice. All loans are subject to full underwriting. Jaken Finance Group only finances non-owner occupied investment properties.