How to buy a real estate in Luxembourg

In this guide, we'll look at the most important aspects of buying a home in Luxembourg, from legal aspects to market trends. Find out how to legally become a property owner in the Grand Duchy

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For a citizen and a non-citizen, the process of buying an apartment or a house in Luxembourg is the same.

The real estate market in Luxembourg has its own characteristics, so it is logical to first choose a suitable location and research prices.

Before analyzing some specifics (for example, the presence of railroads or an airport near the house) and choosing a particular place, it is worth understanding what Luxembourg as a whole is as a place of permanent residence. The country has been divided into cantons, which are subdivided into municipalities. In addition, the cantons are divided into two large regions, each with its own peculiarities.

Johny Goerend, Unsplash

Let's learn a little about how to choose a future place to live and what to strive for.

major regions
communes with city status
12 городов-коммун Люксембурга. Источник: Википедия
100 коммун Люксембурга. Источник:


Luxembourg is divided into 12 cantons: northern cantons — Clervaux, Diekirch, Redange, Vianden, Wiltz; eastern cantons — Echternach, Grevenmacher, Remich; southwestern cantons — Capellen, Esch-sur-Alzette, Luxembourg, Mersch. A canton is a unit of administrative-territorial division of the country. It can be compared to a region to make it more familiar.


The 12 cantons are divided into 100 communes. A commune is the local municipality around which the life of each of its inhabitants is organized. The communes provide public education, for example by assigning children to schools, maintaining local roads and other infrastructure, providing social support and access to medicine, and supplying water, gas, and electricity.  Only citizens arriving in Luxembourg or those who have changed their address are registered in the commune. There are 12 communes with city status in the Grand Duchy. These are Luxembourg, Grevenmacher, Vianden and Wiltz, Diekirch, Differdange, Dudelange, Echternach, Esch-sur-Alzette and Ettelbrück.

Major regions

Finally, the cantons are roughly divided between the two major regions of the Grand Duchy: Oesling in the north and Guttland in the south. To make it clearer, we can orient ourselves as follows: Oesling includes the 3 northern cantons of Clervaux, Vianden, and Wiltz. It also partially includes Diekirch and Redange. Guttland includes Echternach, Grevenmacher, Remich, Capellen, Esch-sur-Alzette, Luxembourg, Mersch.

When choosing a house or apartment to buy, it is worth considering this administrative division, as property prices vary according to the municipality in which the dwelling is located.

  • The northern part, the Oesling, has traditionally been slightly less expensive than the southern Guttland.
  • The most expensive place to live was and is the municipality of Luxembourg, the capital of the Grand Duchy, as well as the canton of the same name, which includes 11 municipalities: Luxembourg, Hesperange, Bertrange, Contern, Niederanven, Sandweiler, Schuttrange, Steinsel, Strassen, Walferdange and Weiler-la-Tour. Learn more about each of them in a separate article.

Finally, you need to look at several agencies and sales services to understand the approximate prices of housing in Luxembourg.

When choosing a land plot, also pay attention to the register of contaminated land. It is used by notaries when conducting transactions. Notaries are not obliged to inform their clients about the presence of contamination, but often do so on their own initiative.

Buying real estate in the Grand Duchy is both a big investment and a profitable one. Housing in Luxembourg is becoming increasingly expensive: demand is high but supply is low.

Average price per m² in the Grand Duchy

The most recent data on real estate prices in the Grand Duchy provides Observatoire de l'habitat, suggesting to focus on the range of 5028 — 12 569 euro/m². In some communes, the cost is significantly higher, in some — significantly lower.

Average price per square meter in municipalities from October 1, 2022 to September 30, 2023
CommuneAverage pricePrice range
Luxembourg10 7857517 – 14 345
Hesperange90825891 – 11 900
Sandveiler87245937 – 10 740
Walferdange87626689 – 11 118
Strassen10 8417829 – 13 959
Bertrange10 6766530 – 14 621
Contern88406657 – 11 602

The price per square meter depends on the neighborhood, the location in relation to the main infrastructure — roads, schools, parks, etc.

The further away from Luxembourg, the lower the price per square meter. For example, 7260 euro/m² in Esch-sur-Alzette or 8016 euro/m² in Grevenmacher.

To see the price ranges and average cost per square meter in other municipalities, check out the Luxembourg Housing Observatory report or visit their website directly Observatoire de l'habitat.

Luxembourg Housing Observatory statistics on prices and number of apartments sold in each municipality
Luxembourg Housing Observatory statistics on prices and number of apartments sold in each municipality

Average prices per m² in the capital

Directly in Luxembourg, the price per square meter is higher than in all other cities and communes. According to the latest data from, the average price per square meter in the capital was €12,487.

In some neighborhoods in Luxembourg this figure is much higher, in particular in Belair the average cost per square meter is 14,571 euros and in Kirchberg 13,014 euros per square meter. At the same time, Beggen, Dommeldange and Rollingergrund were the cheapest districts in Luxembourg.

Prices per m² in different districts of the city of Luxembourg. Source:

If you want to know more about the neighborhoods and the structure of the capital of the Grand Duchy, study the information about the districts of Luxembourg in the apartment rental guide or read the hotel material about each of them in the specialized section of our website.

Average prices for apartments and houses

As far as the budget is concerned, that is to say, what is the price of a finished apartment or house in Luxembourg, it is necessary to take into account the territorial principle (which commune) and the number of rooms (studio, 1 room, 2 rooms, etc.).

642 000 €
average price of apartments in the Grand Duchy
1 200 000 €
average house price in the Grand Duchy

As for the capital itself, in Luxembourg you can pay from 700,000 euros for a studio apartment in popular neighborhoods (Kirchberg, for example). And the prices of luxury houses can even reach 5-7 million euros and more.

940 000 €
average price of apartments in the capital of Luxembourg
2 100 000 €
average price of houses in the capital, Luxembourg City

 according to

Buying real estate in Luxembourg has its own subtleties. The buyer can only buy the property itself. And the land on which the property is built. You can buy a property with land. It is more expensive, but then you own both the property and the land.

If you don't have the full amount to buy a home, with a legal income in Luxembourg, you can take out a mortgage at around 5%.

Find out how and under what conditions you can get a mortgage in Luxembourg
Read article

In addition to spending on the property itself, the buyer will need a lot of money for related expenses.

Bank Insurance

When you take out a mortgage, banks require you to take out a life insurance policy. This can be waived, but it is often required. The exact amount depends on the specifics of the buyer's credit. It can be paid in annual installments or you can pay the whole amount. In this case, the cost of the insurance will be deducted from taxes. If the buyer repays the loan early, he will be refunded part of the money paid for the insurance.

Property purchase tax

It must be paid on every purchase. The amount is 7% of the transaction amount. So, if the house costs 640,000 euros, the amount of the real estate tax will be 44,800 euros.


This tax is paid by those who buy homes in the primary market. The amount is 15% of the transaction amount. So, if the house costs 640,000 euros and it is a purchase on the primary market, the VAT will be 96,000 euros.

Notary fees

The notary's services have to be paid in any case, either to the buyer (most of the time) or to the seller. The amount will be between 7% and 10% of the transaction amount.

Obligation to the public notary

3000 euros must be paid to the public notary to register the property for the new owner.

Property Tax

Finally, when the property is owned, you have to pay an annual tax. Fortunately, it is small, ranging from 0.7% to 1%. The exact percentage varies from municipality to municipality. Even for large property owners in the country, the tax is rarely more than a hundred euros. And for most people it is unlikely to exceed 20-30 euros. The tax must be paid annually according to a bill sent by the Property Valuation Commission.

Property Insurance

Basic insurance covers fire and water damage, theft, damage caused by bad weather (floods, hail, snow) and other damage to the property. The amount of insurance varies depending on the insurer and the coverage.

When buying a home, unlike when renting, the buyer does not have to pay an estate agent — it is the seller's responsibility. However, it is necessary to take into account the peculiarities of the Luxembourg market, with high demand and low supply.

Buyers are hiring real estate agents and using their own specialists to find them the right property when it comes on the market, and sometimes even before.

The agent will not only help you find a suitable property, but will also check the cleanliness of the property, organize viewings and conduct negotiations on your behalf. However, you should only work with licensed professionals who are familiar with the Luxembourg real estate market.

All agents operating legally in Luxembourg have an operating license.

On your own or with the help of your real estate agent, find a home that meets your requirements. Make an appointment with the owner to view the property in person and assess its condition, location and suitability.

При выборе жилья учитывайте следующие факторы
Transportation Accessibility
How to get to the center, work, etc.
Local Infrastructure
What is nearby: parks, shopping centers, nursery school, school, hospital.
Energy Efficiency
The higher the energy class, the lower the utility costs.
Legal cleanliness
Are there any encumbrances, debts, redevelopment, etc.
General condition
How long ago and what kind of repairs were made, are there any defects
Gas, light, water, internet: which are connected and do they work or not?
Are there parks and squares nearby, are there no industrial plants, how polluted is the air?
Noise sources
Are there airports, railroads, industrial plants, and other sources of noise nearby?
Safety and Security
What is the crime rate, are there many robberies and other accidents in the area?

These are just the basic points to consider. However, each object should be considered individually, taking into account the specifics of housing: a new house or repeated sale, apartment or low-rise development, availability of parking, whether the negotiation is possible, etc. With these nuances usually helps to understand the real estate agent.

Once you have found a property that meets all your requirements, you need to make an offer to the seller. If you have an agent, all you have to do is let them know that you are satisfied with the property. The agent will then contact the owner, represent your interests and take on the role of negotiator.

The purchase offer must include
Proposed purchase price
Terms of the transaction
Timeline for completing the transaction

Once the seller accepts the offer, the notary must be contacted.

Notaries carry out all real estate transactions in Luxembourg, ensuring their full legality and protecting sellers and buyers from fraud.

In Luxembourg, there is a public notary's office at 53, boulevard Joseph II, L-1840 Luxembourg.

You can go there in person, but it is better to call and order the services of a notary at (+352) 44 70 21. You can also find a notary directly on the website of the Chamber of Notaries.

A real estate agent or seller can also help you choose a notary.

Important details

The notary is paid by the buyer 7-10% of the transaction amount
Notary services are not free. According to Luxembourg practice, the notary is paid by the buyer and not by the seller, unless otherwise agreed.
The preliminary contract has full legal force
At the notary, the buyer and the seller sign a preliminary contract (compromis de vente). It specifies the value of the property, as well as fines and penalties for refusing the transaction. In essence, the compromis de vente is a commitment on the part of the buyer to purchase a home. If the property is purchased with a mortgage, it is a commitment to purchase the home subject to the bank's approval of the mortgage application. So that the seller does not have to wait indefinitely, the parties agree in writing on the period within which the buyer will notify the seller of the bank's decision. It is usually 4-6 weeks.
There is a penalty for violating the terms of the preliminary agreement
If one of the parties terminates the contract without having the right to do so, it must pay a lump sum compensation. Usually the amount is set at 10% of the purchase price, i.e. if the price of the property is 640,000 euros, the party who withdraws from the contract must pay 64,000 euros.
The buyer pays a deposit
As a confirmation of his intentions, the buyer usually pays the notary a deposit into a special settlement account. It is usually one tenth of the value of the property to be purchased. Once the deposit has been paid to the notary, it cannot be returned until the buyer and the buyer's family have paid the deposit.

In order to purchase a property, the buyer must provide a basic set of documents.

After signing the preliminary contract, the notary prepares the package of documents required for the transaction. In order to purchase a property, the buyer must provide a basic set of documents.

What documents do you need to buy a real estate in LuxembourgWhat documents do you need to buy a real estate in Luxembourg
Something is missing
Not all documents have been collected for the transaction
*The mandatory items are marked with red asterisks.
Identity Card
Foreign or regular passport of the buyer.
Proof of the legality of the available funds
It is necessary to document that the buyer has money and that it was obtained legally if we are talking about paying for housing in a single payment without loans and mortgages. Such a document is issued by the bank. It confirms the availability of the necessary funds and the right to purchase real estate.
Confirmation of mortgage or loan from the bank
If the buyer takes the property on a mortgage or loan, he must provide a loan or mortgage approval from the bank.
Something is missing
Not all documents have been collected for the transaction
*The mandatory items are marked with red asterisks.

At this stage, the transaction is "slowed down" for a month and a half or two months. During this time, the notary carefully examines the documents submitted by both parties: the buyer and the seller.

Due diligence examines a property's legal status, land use and development conditions, and identifies potential problems.

Not only the buyer but also the seller may have questions during the inspection.

Examples of situations that due diligence will uncover

If the seller has done illegal renovations, due diligence will uncover this. Or if the seller has yet to disclose that the property has a dark past. Or did not disclose that the house cannot be sold at the moment because it is at the center of a legal dispute about inheritance, etc.

If the inspection is successful, the notary will draw up a sales contract based on the preliminary agreement (compromis de vente).

Review and sign the deed in the presence of a notary.

The contract, as well as the preliminary agreement, must contain:

  • Personal data of both parties to the transaction: the seller and the buyer,
  • Data of the property to be sold (cadastral certificate, passport, etc.),
  • Sale price and terms of payment,
  • Name of the notary who certified the transaction,
  • Date of signing and/or date of intended possession, i.e. date of handing over the keys to the new owner. It is also worth considering a compensation clause in case the keys are not handed over on the scheduled date.

These are the minimum requirements that should be included in the contract.

Usually, the signing of the contract goes hand in hand with the payment. However, you can pay for the apartment after signing the contract. But you should not delay.

Every purchase and sale of real estate is registered by the state notary. And after the registration, the buyer has 15 days to transfer the money to the seller. If the new owner misses this deadline, he will have serious problems.

Once the buyer has paid for the house and received the deed of sale, he is the full owner of the house in Luxembourg.

Do not forget to transfer the payment of the utilities into your name.


Frequently Asked Questions (FAQ)

How much does it cost to buy a house in Luxembourg?

Who can own property in Luxembourg?

Is there a tax on real estate in Luxembourg?

We took photos from these sources: Cedric Letsch для Unsplash, Wikimedia, Johny Goerend для Unsplash,

Authors: Maria, Kadriia
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