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The rental market reform has stuck

Last time updated
11.01.23
The rental market reform has stuck

The long-awaited reform has been under development since 2020. Tenants are waiting for it most of all since it will make their lives much easier. Well, it was supposed to make it easier.

First of all, the bill was intended to reduce the rent rate, distribute the cost of agent services between the tenant and the landlord, and reduce the obligatory deposit.

However, at the end of 2022, the forthcoming law was severely criticized by Prime Minister Xavier Bettel. According to him, such a measure could produce the opposite effect. The politician and the real estate industry representatives believe that the implementation of the reform will complicate the work of agents, reduce the motivation of landlords and scare away potential investors.

If the offer goes down even more, prices will skyrocket. Then, instead of a long-awaited respite, tenants will get even more expensive deals and search difficulties.

The final word is up to the State Board. It reviews the validity of the laws and their compatibility with the Constitution. However, there is an important detail that should not be missed – a decision is likely to be made before the summer. Since elections are scheduled for June, the state legislature will be on a break.

Last time updated
11.01.23

Source: Delano

Authors: Daria

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