Buyer guide · Choosing a home
New construction vs. resale homes in Louisiana
A new home in Louisiana comes with a builder warranty set by state law: 1 year for workmanship and materials, 2 years for plumbing, electrical, heating, cooling and ventilating systems, and 5 years for major structural defects. A resale home comes with the seller’s property disclosure and, unless you waive it, the Civil Code warranty against hidden defects (redhibition). Nationally in September 2026 the median new home sold for $400,400, against $417,500 for an existing home.
Reviewed by Nicole Gaudet, REALTOR®
Updated October 29, 2026
Side by side
New construction vs. resale, point by point
What Louisiana law and national data say about each.
| New construction | Resale | |
|---|---|---|
| Warranty | New Home Warranty Act: 1 year workmanship and materials, 2 years major systems, 5 years major structural defects. These are minimums the owner cannot waive | Civil Code warranty against redhibitory (hidden) defects, which the buyer can waive in a clear “as is” clause |
| Property disclosure form | Not required for a newly built home that has never been occupied | Required from most sellers by the time you make an offer |
| Price, U.S. median (Sept. 2026) | $400,400 for new houses sold | $417,500 for existing homes; $361,000 in the South |
| Builder’s lender | A builder that refers you to an affiliated lender must disclose the relationship and cannot require you to use it. Discounts are allowed only if optional | You choose your lender |
| Flood elevation | Built to the parish’s current floodplain rules. Ascension Parish has required 2 feet above base flood elevation since 2019 | Built to the rules in force when it was built; ask for an elevation certificate |
| First property tax bill | Assessed on its condition and ownership as of January 1, so a home finished during the year can be assessed differently the next year | Assessed as an existing home; taxes are prorated at closing |
Sources: La. R.S. 9:3144, New Home Warranty Act; La. R.S. 9:3197, disclosure exemptions; Louisiana Civil Code art. 2520; Louisiana Civil Code art. 2548; U.S. Census Bureau, New Residential Sales (Sept. 2026); NAR, existing-home sales, September 2026 (Oct. 13, 2026); CFPB, Regulation X 1024.15; CFPB, Regulation X 1024.2; Ascension Parish Floodplain Management presentation (2026); East Baton Rouge Parish Assessor, important dates.
The new home warranty
How Louisiana’s New Home Warranty Act works
La. R.S. 9:3141 to 9:3150. It is the builder’s legal duty, separate from any extra warranty the builder sells or gives you.
When it starts: the day title passes to the first buyer or the home is first occupied, whichever comes first. Later owners: the warranty follows the home to later owners for the rest of the warranty periods. At closing: the builder must give you written notice of the Act’s requirements.
What it leaves out: the Act lists exclusions, including fences, landscaping, driveways and walkways, insect damage and mold. Exclusive remedy: between builder and owner, this Act replaces the Civil Code’s redhibition rules.
Sources: La. R.S. 9:3144, New Home Warranty Act; La. R.S. 9:3143, definitions; La. R.S. 9:3145, notice; La. R.S. 9:3150, exclusive remedy; FTC, warranties for new homes.
Buying new
Before you sign with a builder
A builder’s contract is written by the builder. Read it with these in mind.
- Check the builder’s license.Louisiana requires a residential license for residential construction over $50,000, labor and materials included. Look the builder up on the LSLBC site.
- Get the warranty in writing.The builder must give you notice of the New Home Warranty Act at closing. Keep it with the date you closed or moved in.
- Compare lenders.Builder incentives tied to an affiliated lender must be optional. Get a Loan Estimate from at least one other lender.
- Ask for the elevation certificate.FEMA’s Elevation Certificate shows the home’s elevation against the base flood elevation, and it affects flood insurance.
- Get your own inspection.HUD says an inspection informs you about a property before you make a financial commitment. New homes can have defects too.
- Report defects in writing.Send written notice by registered or certified mail within one year of learning of a defect, before repairing it yourself.
Sources: Louisiana State Licensing Board for Contractors, license types; La. R.S. 9:3145, notice; CFPB, Regulation X 1024.15; FEMA, Elevation Certificate; HUD, For Your Protection: Get a Home Inspection (HUD-92564-CN).
Buying resale
Before you buy a resale home
An existing home’s history is in the paperwork.
- Read the property disclosure.Most sellers must give you the Louisiana Real Estate Commission’s disclosure form by the time you make an offer. It covers flood history, insurance claims and known defects.
- Inspect during your due diligence period.Set the number of days in your purchase agreement; the 2026 form leaves it blank for the parties to fill in.
- Watch for an “as is” clause.If you sign one, you waive redhibition. Under Civil Code art. 2548 a waiver must be clear, unambiguous and brought to your attention.
- Check the flood zone and insurance.Older homes may sit lower than today’s rules require. Get insurance quotes before your inspection period ends.
Sources: LREC, property disclosure document; Louisiana Civil Code art. 2548.
Questions
New construction vs. resale: questions
What warranty comes with a new home in Louisiana?
Under the New Home Warranty Act, the builder warrants the home for 1 year against defects in workmanship and materials, 2 years for plumbing, electrical, heating, cooling and ventilating systems, and 5 years against major structural defects. The owner cannot waive these minimums.
Source: La. R.S. 9:3144.
Does a builder have to give a property disclosure in Louisiana?
Not for a newly built home that has never been occupied. That transfer is exempt from the Residential Property Disclosure Act.
Source: La. R.S. 9:3197(B)(5).
Is new construction more expensive than resale?
Not nationally right now. In September 2026 the median new house sold for $400,400, and the median existing home for $417,500. Local prices vary by area and builder.
Sources: U.S. Census Bureau; NAR.
Do I have to use the builder's lender?
No. Under federal rules a builder that refers you to an affiliated lender must disclose the relationship and cannot require you to use it. Any discount for using it must be optional.
Source: CFPB, Regulation X.
Does the new home warranty transfer if I buy a home that is a few years old?
Yes, for the time left. The Act defines the owner to include the first buyer's successors in title while the warranties are in effect.
Source: La. R.S. 9:3143.
Should I get an inspection on a new construction home?
We recommend it. HUD says an inspection informs you about a property before you make a financial commitment, and the warranty only helps once you know about a defect.
Source: HUD.
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