The New Orleans shotgun double is one of the most recognizable rental buildings in the country, and Louisiana also has duplexes and fourplexes in Baton Rouge, Lafayette and Shreveport.
In short: LendingStreet offers DSCR loans on 2-4 unit rentals throughout Louisiana, sized on the total rent from every unit rather than your personal income. Loans start at $150,000 with no stated maximum, with up to 80% LTV on a purchase, up to 75% on a cash-out, a 1.0x standard minimum ratio and a 620 minimum credit score; LLC borrowers are standard. In Louisiana, insurance is the line that decides most files: wind, flood and elevation all matter.
New Orleans doubles are common in Mid-City, Bywater, the Seventh Ward, Gentilly, Broadmoor and Uptown, many raised on piers. Baton Rouge has duplexes near LSU and in Mid City.
Lafayette, Shreveport and Bossier City (near Barksdale Air Force Base) and Lake Charles offer lower prices. Lake Charles is still recovering from the 2020 hurricanes.
Raised doubles in New Orleans sit on piers several feet above grade, which can help with flood insurance, while slab-on-grade buildings in some neighborhoods carry higher flood premiums. Many doubles have been renovated, and some have been combined into single homes, which shrinks the supply.
Baton Rouge's rental market is driven by LSU, state government and the petrochemical industry. Lafayette has duplexes leased to oil and gas and health care workers, and Shreveport-Bossier offers some of the lowest prices in the state.
| Area | Typical 2-4 unit stock | What to check |
|---|---|---|
| New Orleans | Shotgun doubles | Wind, flood, elevation |
| Baton Rouge | Duplexes near LSU | Flood history |
| Lafayette and Shreveport | Lower-priced duplexes | Insurance costs |
| Lake Charles | Rebuilt and older buildings | Hurricane history |
A DSCR loan on a 2-4 unit building looks at one number: the combined monthly rent of every unit divided by the full monthly payment, which includes principal, interest, property taxes, insurance and any HOA dues. A ratio of 1.0x means the rent exactly covers the payment, and that is the standard minimum.
For occupied units, the lender uses the signed leases and checks them against the appraiser's market rent schedule. For vacant units, market rent from the appraisal is usually used. No W-2s or tax returns are needed, and the property can be held in an LLC.
The ratio is only as accurate as the costs behind it. In Louisiana, use the current local tax bill as it will look after your purchase and a real insurance quote for the whole building, not a listing estimate or the seller's numbers, before you set your offer.
Louisiana assesses residential property at a 10% assessment ratio of market value, and parishes reassess every four years. The homestead exemption applies only to owner-occupants.
Louisiana follows civil law, and closings are done by act of sale before a notary.
In New Orleans, the assessor sets values parish-wide, and the homestead exemption removes a large share of an owner-occupant's taxable value. When you buy from an owner-occupant, that exemption comes off, so use the full assessed value in your numbers.
Louisiana does not have a state real estate transfer tax, though local fees and recording costs apply. Your notary and title company will provide the closing figures.
This example is illustrative and not a quote. An investor buys a raised shotgun double in the Mid-City area of New Orleans for $420,000. Rent is $1,700 per unit, or $3,400 a month across both units. Insurance includes a wind policy and flood coverage.
At 80% LTV, the loan is $336,000, estimated principal and interest is about $2,235, taxes are $358 a month and insurance is $575, for a total payment of about $3,168 and a DSCR of about 1.07x. The double clears 1.0x, but insurance takes a large share of the payment.
| Item | Amount |
|---|---|
| Purchase price | $420,000 |
| Combined monthly rent | $3,400 |
| Loan amount (80% LTV) | $336,000 |
| Estimated principal and interest | $2,235 |
| Property taxes (monthly) | $358 |
| Insurance (monthly) | $575 |
| Total monthly payment | $3,168 |
| DSCR | About 1.07x |
Wind and flood insurance are often the largest costs on a Louisiana rental. Many owners use Louisiana Citizens or smaller carriers, and flood premiums have risen under FEMA's Risk Rating 2.0. Elevation certificates help.
Ask whether the property has an elevation certificate, how old the roof is, and whether it has hurricane straps or other mitigation features. A higher flood or wind premium lowers the ratio, so get quotes before you finalize your offer.
Louisiana has no rent control. New Orleans has strict short-term rental rules, so most doubles are rented long term.
Check zoning and permits for any unit you plan to rent.
Louisiana landlord-tenant law is set by the civil code and statutes, and local rules vary. New Orleans limits short-term rentals in residential districts, which is why most doubles there are rented on long-term leases. Baton Rouge and other cities have their own zoning rules.
Two to four units are residential for DSCR purposes, and the same core terms apply: loans from $150,000 with no stated maximum, up to 80% LTV on a purchase and up to 75% on a cash-out refinance. Each added unit spreads vacancy risk, since one empty unit hurts a fourplex less than a duplex.
Buildings with five to eight units are still residential but are often underwritten with more review, and max LTV can be lower; terms vary by program. Nine or more units are commercial and fall under our multifamily programs.
Having these items ready shortens underwriting and keeps the appraisal on track.
LendingStreet finances business-purpose DSCR loans on 2-4 unit rentals across Louisiana. Our investor loans are business-purpose loans on non-owner-occupied property. Send the address, price, rents and target leverage, and we will run the ratio on realistic taxes and insurance and come back with options. You can call (877) 298-1001 or use the form below.
Hurricane wind and flood risk drive premiums, and several carriers have left the state in recent years. Get wind and flood quotes before you finalize the numbers.
Louisiana follows civil law, and the sale is completed by an act of sale passed before a notary rather than a typical deed closing.
Yes. Shotgun doubles are a classic 2-4 unit property, and we qualify them on the combined rent of both sides.
Yes. We finance duplexes, triplexes and fourplexes in Baton Rouge and throughout Louisiana, qualified on combined rent.
Our investor loans are business-purpose loans on non-owner-occupied property, so these DSCR programs are not for a building you will live in.
Yes, up to 75% LTV, as long as the combined rent covers the new payment at the program minimum. Seasoning rules vary by program.
No. The loan qualifies on the combined rent of the units. You need a credit score of 620 or higher, reserves and, if you borrow in an LLC, your entity documents.
Yes. An empty unit is typically counted at appraised market rent. Leasing it before closing, or showing it is rent-ready, helps the file.
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