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La. Rev. Stat. § 6:830 (2026)

Security for loan on immovable properties; purchase and sale of property

✓ current as of May 2026
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§830. Security for loan on immovable properties; purchase and sale of property

           A. Except as otherwise provided in this Chapter, every loan on immovable property shall be secured by a mortgage upon the property, and also, where applicable, accompanied by a pledge to the association of any shares or savings accounts borrowed upon. Such mortgage shall provide specifically for full protection to the association with respect to the loan and additional advances, and the usual insurance risks, taxes, assessments, other governmental levies, maintenances, and repairs. The mortgage may provide for a pledge of leases and rents. A declaration of the pledge creates a valid and complete pledge of the shares or savings accounts and of all future payments or credits thereon.

           B. Repealed by Acts 2015, No. 336, §2, eff. January 1, 2016.

           C. Repealed by Acts 1995, No. 1087, §5.

           D.(1) If an association, to accomplish any of the powers granted it pursuant to this Chapter, purchases or secures property from any person and afterward sells or disposes of the same property to a borrower, the association has a privilege of equal rank as the vendor's privilege upon the property so acquired, sold, and disposed of for the security of the payment of the money due by the borrower.

           (2) An association may contract with any person to acquire or purchase from him any property and afterward to sell or dispose of the same property to a borrower even though the agreement is at one and the same time. This contract shall not be considered or treated as a loan, but as a purchase or acquisition by the association and a sale by the association to the borrower, and the association, to secure payment of the amount due by the borrower, has a privilege of equal rank with a vendor of immovable property and enjoys for the protection of its claim and the enforcement of its loan all the rights, privileges, and securities which are now accorded by law to the vendor of immovable property.

           (3) Repealed by Acts 2015, No. 336, §2, eff. January 1, 2016.

           E. In all sales made by associations of property acquired by them for the purpose of making a loan on the security of such property, the warranties and obligations imposed by law on vendors shall not apply to such associations.

           F. A mortgage granted in favor of a savings and loan association and a vendor's privilege created in favor of a savings and loan association shall be subject to the rules provided by Chapter 2 of Title XXII-A of Book III of the Louisiana Civil Code.

           G.(1) In all cases where immovable property is sold partly for cash and partly for credit and the credit portion of the purchase price is represented by a note secured by vendor's privilege and special mortgage, the note may be made payable to any association doing business under this Chapter and the association may purchase this note from the vendor. This note and vendor's lien or mortgage or obligation shall have the same preference and priority over other liens, charges, privileges, and encumbrances and shall have the same legal force and effect as if the vendor had sold the property to the association and the association had thereupon sold the property back to the purchaser, and shall in every regard enjoy the same rank as the vendor privilege and mortgage created under the provisions of Subsections A and C of this Section.

           (2) There may be inserted in the act of sale any and all provisions applicable to loans made through such associations and to the vendor's privilege and mortgage held by them, including a subscription to shares in the association, and the pledge of such shares or any savings accounts, and the purchaser's agreement to abide by the regulations of the association as set out in its articles of incorporation and bylaws.

           (3) The association may intervene in the act of sale through its proper officer and acknowledge and accept the undertakings of the purchaser in its favor.

           (4) This act of sale with vendor's privilege and mortgage, if recorded within three working days of its execution, when the registry is required to be made in the parish where the act was executed, and within five working days, if the registry is required to be made in any other parish of this state, shall have the same priority with regard to the effective date of recordation as is accorded vendor's privileges under the provisions of Louisiana Civil Code Article 3274, without regard to the time for recordation as provided therein.

           (5) Repealed by Acts 2015, No. 336, §2, eff. January 1, 2016.

           H.(1) All mortgages executed upon immovable property in Louisiana in favor of associations organized and operating under the laws of the state shall have a rank equal to that of a vendor's privilege upon immovable property and shall have priority over all other liens, privileges, encumbrances, and mortgages upon the property, and the improvements and component parts thereon which are recorded or arise in any manner subsequent to the date of recordation of the mortgage in favor of the association, including tax privileges of any nature and character, except ad valorem taxes on immovable property and assessments for paving.

           (2) If any mortgage provided for in this Section is placed on record within three working days of its execution, when the registry is required to be made in the parish where the act was executed, and within five working days, if the registry is required to be made in any other parish of this state, it shall have and enjoy the same priority in regard to the effective date of such recordation as is accorded vendor's liens under the provisions of Louisiana Civil Code Article 3274, without regard to the time for recordation as provided therein.

           (3) The associations adopting the procedure set forth in this Section shall have all of the rights and privileges of a vendor to the same extent and in the same manner as if a sale to the association, and a sale by the association to a borrower had in fact been consummated, the intent of this Section being merely to provide an optional procedure without altering in any manner any of the rights accorded to, and obligations incurred by, associations prior to the passage of this Section.

           I. No mortgage provided for in this Section can be cancelled, removed from the public records, or in any manner affected by any sale in a succession, liquidation, insolvency, receivership, bankruptcy, or partition proceedings, unless prior to the application or petition for the sale, at least ten days written notice of the sale is given by certified or registered mail to the association in whose favor the mortgage was executed. Waiver of this notice by the association shall be in writing and shall be filed in the court authorizing or ordering the sale. In the event the sale is made, the mortgage in favor of the association shall not be made secondary to and shall not be primed by any costs, fees, or charges of any kind in such proceeding, except the costs of advertising and selling the property.

           Acts 1970, No. 234, §1. Amended by Acts 1977, No. 689, §1; Acts 1981, No. 292, §1; Acts 1981, No. 328, §1; Acts 1983, No. 675, §1; Acts 1985, No. 349, §1, eff. Jan. 1, 1986; Acts 1986, No. 161, §1; Acts 1995, No. 1087, §5; Acts 2015, No. 336, §§1 & 2, eff. January 1, 2016.

Notes of Decisions
Cited in 11 cases, 1973–2016 · leading case: HOME S. & L. ASS'N v. Tri-Par. Ventures, 505 So. 2d 165 (La. Ct. App. 1987).
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HOME S. & L. ASS'N v. Tri-Par. Ventures, 505 So. 2d 165 (La. Ct. App. 1987). · cites it 7× “Thus, plaintiff argues, the privilege created by LSA-R.S. 6:830 causes the HSLA vendor's liens and mortgages to take preference over the intervenors' judicial mortgage despite its prior recordation.”
Feingerts v. D'Anna (In re D'Anna), 548 B.R. 155 (Bankr. E.D. La. 2016). “Art. 3300. Counterletters involving immovable property are addressed by La.”
Lawyers Title Ins. Corp. v. Valteau, 558 So. 2d 1319 (La. Ct. App. 1990). · cites it 9× “R.S. 6:830 H set out below. After Tri-Parish defaulted on both loans, and after foreclosure, holders of judicial *1321 mortgages against Tri-Parish intervened, claiming priority in the distribution of funds from the judicial sale.”
Pelican Homestead & Sav. Ass'n v. Royal Scott Apts. P'ship, 541 So. 2d 943 (La. Ct. App. 1989). · cites it 5× “1987), our brothers in the fourth circuit explained: While LSA-R.S. 6:830 does create a vendor’s privilege upon the mortgaged property, the privilege has priority only over those “other liens, privileges, encumberances, and mortgages upon the property .”
Mexic Bros., Inc. v. 108 Univ. Place, 488 So. 2d 1193 (La. Ct. App. 1986). · cites it 8× “The rent assignment provisions now contained in R.S. 6:830 were first enacted by Section 153 of Act 234 of 1970 and were then contained in R.”
Jay's Com. Carpets, Inc. v. Magna Interests, Inc., 559 So. 2d 1348 (La. 1990). · cites it 8× “The court of appeal amended and affirmed 2 as amended, 3 concluding that FSLIC’s assignment was superior to Jay’s garnishment under LSA-R.S. 6:830(A). 4 A writ was granted to consider the judgment of the court of appeal.”
Forrest v. Capital Bldg. & Loan Ass'n, 385 F. Supp. 831 (M.D. La. 1973). “LSA-R.S. 6:830 provides: a. Fees and charges.”
Jay's Com. Carpets, Inc. v. Magna Interests, Inc., 551 So. 2d 681 (La. Ct. App. 1989). · cites it 5× “The sole issue raised by appellant is: to be effective against third parties must a document containing an assignment of rents to a savings and loan association, which document exists separate from a mortgage instrument, be recorded in the conveyance records, or can the two…”
Prudential Ins. v. CC & F BATON ROUGE, 647 So. 2d 1131 (La. Ct. App. 1994). · cites it 2× “9:4401 sets forth but one manner in which an assignment of leases and rents can be secured and held that LSA-R.S. 6:830 permits the assignment to be recorded in the mortgage records.”
Seal v. Crain, 767 So. 2d 798 (La. Ct. App. 2000). “ows: On the simple written application of the property owner, creditor of the owner, or other party interested, the recorder of mortgages, or person acting as such, shall cancel in full from the records of his office all inscriptions of mortgages affecting the property which…”
Secor Bank v. Hackle, 644 So. 2d 1138 (La. Ct. App. 1994). · cites it 3× “*1142 LSA-R.S. 6:830 deals not with escrow but with the security interest that a financial institution is required to obtain in connection with real property loans.”
La. Rev. Stat. § 6:830(A): 3 cases
Jay's Com. Carpets, Inc. v. Magna Interests, Inc., 559 So. 2d 1348 (La. 1990). “The court of appeal amended and affirmed 2 as amended, 3 concluding that FSLIC’s assignment was superior to Jay’s garnishment under LSA-R.S. 6:830(A). 4 A writ was granted to consider the judgment of the court of appeal.”
Mexic Bros., Inc. v. 108 Univ. Place, 488 So. 2d 1193 (La. Ct. App. 1986). “The rent assignment provisions now contained in R.S. 6:830 were first enacted by Section 153 of Act 234 of 1970 and were then contained in R.”
Jay's Com. Carpets, Inc. v. Magna Interests, Inc., 551 So. 2d 681 (La. Ct. App. 1989). “The sole issue raised by appellant is: to be effective against third parties must a document containing an assignment of rents to a savings and loan association, which document exists separate from a mortgage instrument, be recorded in the conveyance records, or can the two…”
La. Rev. Stat. § 6:830(C): 1 case
Mexic Bros., Inc. v. 108 Univ. Place, 488 So. 2d 1193 (La. Ct. App. 1986). “The rent assignment provisions now contained in R.S. 6:830 were first enacted by Section 153 of Act 234 of 1970 and were then contained in R.”
La. Rev. Stat. § 6:830(D): 1 case
HOME S. & L. ASS'N v. Tri-Par. Ventures, 505 So. 2d 165 (La. Ct. App. 1987). “Thus, plaintiff argues, the privilege created by LSA-R.S. 6:830 causes the HSLA vendor's liens and mortgages to take preference over the intervenors' judicial mortgage despite its prior recordation.”
La. Rev. Stat. § 6:830(H)(1): 2 cases
Pelican Homestead & Sav. Ass'n v. Royal Scott Apts. P'ship, 541 So. 2d 943 (La. Ct. App. 1989). “1987), our brothers in the fourth circuit explained: While LSA-R.S. 6:830 does create a vendor’s privilege upon the mortgaged property, the privilege has priority only over those “other liens, privileges, encumberances, and mortgages upon the property .”
HOME S. & L. ASS'N v. Tri-Par. Ventures, 505 So. 2d 165 (La. Ct. App. 1987). “Thus, plaintiff argues, the privilege created by LSA-R.S. 6:830 causes the HSLA vendor's liens and mortgages to take preference over the intervenors' judicial mortgage despite its prior recordation.”
La. Rev. Stat. § 6:830(H)(2): 1 case
HOME S. & L. ASS'N v. Tri-Par. Ventures, 505 So. 2d 165 (La. Ct. App. 1987). “Thus, plaintiff argues, the privilege created by LSA-R.S. 6:830 causes the HSLA vendor's liens and mortgages to take preference over the intervenors' judicial mortgage despite its prior recordation.”
Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.