Louisiana Real Estate Exam Topics: Complete Breakdown

Louisiana's PSI real estate exam is unique in the United States. Its 55-question state section tests concepts from Louisiana's civil law system — a legal framework derived from the Napoleonic Code rather than English common law. Here's a complete breakdown of everything you need to know.

Exam Format

| Section | Questions | Passing Score | |---------|-----------|---------------| | National | 80 | 75% (60 correct) | | State | 55 | 75% (42 correct) | | Total | 135 | Both sections independently |

Time limit: 4 hours. Administered by PSI.

National Content Areas

The national portion covers the standard ARELLO/AMP real estate content outline:

Property ownership — types of ownership, legal descriptions, rights (in national common law terms)
Land use controls — zoning, deed restrictions, environmental regulations
Valuation — cost, income, and sales comparison approaches
Financing — mortgage types, LTV, RESPA, TILA, ECOA
Transfer of title — deed types, title insurance, closing procedures
Agency — relationships, duties, disclosure requirements
Contracts — formation, contingencies, default, remedies
Leasing — types, landlord/tenant rights

Louisiana Civil Law — State Content Areas

This is what makes Louisiana unique. Every term below replaces a common law concept.

Louisiana Terminology vs. Common Law

| Louisiana Term | Common Law Equivalent | |---------------|----------------------| | Immovables | Real property | | Movables | Personal property | | Predial servitude | Easement | | Usufruct | Life estate | | Naked ownership | Remainder interest | | Act of Sale | Closing / deed transfer | | Purchase agreement | Contract of sale (similar) |

Usufruct and Naked Ownership

Usufruct gives the usufructuary the right to use and benefit from property without owning it outright
Naked owner retains underlying ownership but cannot use the property during the usufruct period
When the usufruct ends (by time or death), full ownership returns to the naked owner
Usufruct most commonly arises in Louisiana estate planning and inheritance law

Predial Servitude

The right of one tract of land (dominant estate) to burden another (servient estate)
Equivalent to an easement in common law states
Predial servitudes run with the land
Types include: passage servitude, drain servitude, view servitude

Community Property in Louisiana

Louisiana is a community property state:

Property acquired during marriage is community property — owned equally by both spouses
Property owned before marriage or received as a gift/inheritance during marriage is separate property
Both spouses must sign documents affecting community property
At divorce: community property is divided equally
At death: decedent's half may be disposed of by will; surviving spouse retains their half

This community property framework is heavily tested on the Louisiana state exam and contrasts sharply with common law states.

Act of Sale

Louisiana's equivalent of a closing or settlement
Must be executed before a notary public
The notary plays a much larger role in Louisiana than in common law states — they authenticate the transaction
The Act of Sale is the document that transfers title (equivalent to a deed in other states)

Louisiana Mortgage and Foreclosure

Louisiana uses mortgages (not deeds of trust)
Foreclosure is judicial — requires court proceedings (slower than non-judicial)
There is no non-judicial foreclosure track in Louisiana (unlike Kentucky, which has both)

Louisiana Property Disclosure

Louisiana Property Disclosure Document required for most residential sales
Sellers disclose known material defects
Buyers have rights to inspect before completing the purchase

Agency in Louisiana

Agency Relationship and Duties disclosure required at first substantive contact
Seller's agency, buyer's agency, dual agency all available
Dual agency requires written informed consent
Louisiana uses conventional agency terminology (not "transaction broker" as default)

LREC Structure

9 members: 7 licensed real estate professionals + 2 consumer members
Governed by Louisiana Revised Statutes Title 37, Chapter 5 (RS 37:1430–1474)
Powers: licensing, discipline, rulemaking

License Requirements

Prelicense: 90 hours
Renewal: every 2 years
CE: 12 hours per 2-year cycle

Study Priority

Louisiana's state section is the most unique in the country. Prioritize: 1. Civil law terminology (usufruct, predial servitude, immovables, Act of Sale) 2. Community property rules 3. Judicial foreclosure only — no deeds of trust 4. LREC: 9 members, RS Title 37

Practice Louisiana-specific questions at [CARealestate.com/states/louisiana](https://carealestate.com/states/louisiana).