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Real Estate in Luxembourg, Luxembourg | Expat Exchange
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Real Estate in Luxembourg, Luxembourg

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By Joshua Wood, LPC

Last updated on Feb 14, 2024

Summary: The most desirable neighborhoods in Luxembourg, Luxembourg are Kirchberg, Belair, and Limpertsberg. The average cost to buy a nice 2 bedroom home in Luxembourg is around $1,000,000 USD, and a nice 3 bedroom home is around $1,500,000 USD. These properties typically include modern amenities such as high-end appliances, spacious living areas, and balconies with views of the city. Foreigners are allowed to purchase property in Luxembourg, however, they must obtain a permit from the Ministry of Foreign Affairs. Expats should search for a home to buy in Luxembourg by using online real estate portals, such as Immobel, or by contacting a local real estate agent.

How do I find a place to live in Luxembourg?

We asked expats how they chose their neighborhood and found a place to live. They answered:

"Finding a place to live in Luxembourg is relatively easy as there are several options available. Rental apartments are common in the larger cities and towns, as well as in smaller villages. German-speaking neighborhoods are more likely to be found in the south, with French-speaking areas in the north and east. To find a place to rent, it is important to search classifieds or contact large real estate agencies. You can also look into student accommodation, furnished or short term rentals, and single rooms or sharing with a flatmate. Also, many people find rooms to rent through contacts such as friends or family. Finally, do not forget to inquire about rental prices and appointment availability," explained one expat living in Luxembourg, Luxembourg.

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What is a typical expat home or apartment like in Luxembourg?

"Luxembourg expat homes and apartments tend to be modern and comfortable, with many luxury features. Most homes have at least three bedrooms and two bathrooms, as well as a large, open layout and spacious living areas. Floors are usually wood, tile, or laminate, with underfloor heating, while some buildings may feature a lift. Kitchens are usually fitted with modern appliances and some balconies, terraces, and outdoor spaces are common. Internet and telephone connections can often be easily established and buildings typically offer intercom and CCTV security systems," remarked one member in Luxembourg.

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What is the average cost of housing in Luxembourg?

If you are thinking about moving to Luxembourg, cost of living in probably a key consideration. Expats commented about the cost of housing:

"The cost of housing in Luxembourg is generally high, with rents in the city center being particularly expensive. Prices vary depending on the type, size, and location of accommodation. Although the Grand Duchy is one of the most expensive places in Europe for rental accommodation, rental costs can still vary greatly, with rural areas having much lower rental costs than city centers," said one expat in Luxembourg.

Should I buy or rent a home in Luxembourg?

If you have not spent a lot of time in Luxembourg, you should rent before even thinking about buying. We asked expats there about the buy vs. rent decision:

"Buying a home in Luxembourg is likely the more financially viable option in the long run. However, renting is the better option for those who don't intend to stay in Luxembourg for very long, or who want more flexibility. The cost of buying and housing in Luxembourg can be high, so it's important to consider the difference in costs between buying and renting before coming to a decision," said one person in Luxembourg.

What do I need to know when buying property in Luxembourg?

When we asked expats what advice they would give a foreigner before buying a property in Luxembourg, they said:

"When buying property in Luxembourg, it is essential to be aware of the high demand and competitive real estate market. You should research the different neighborhoods and their respective property prices to find the best fit for your needs and budget. It is also important to consider the type of property you want to buy, such as a house, apartment, or land. Hiring a real estate agent can be beneficial in navigating the complex property market and finding the right property for you. They can also help with negotiations and provide valuable advice on the buying process. You should also be aware of the legal aspects of buying property in Luxembourg. This includes understanding the notary's role in the process, as they are responsible for drafting and registering the deed of sale. It is crucial to have a notary review all documents and contracts before signing. Financing your property purchase is another important aspect to consider. You may need to secure a mortgage from a bank or financial institution in Luxembourg. Be prepared to provide proof of income, credit history, and other financial documents to secure a loan. Additionally, be aware of the taxes and fees associated with buying property in Luxembourg. These may include registration fees, notary fees, and property transfer taxes. It is also important to consider ongoing costs such as property taxes, maintenance, and insurance. Finally, it is essential to understand the language and cultural differences when buying property in Luxembourg. Although many people speak English, it is helpful to have a basic understanding of French, German, or Luxembourgish to communicate effectively with real estate agents, notaries, and other professionals involved in the process," said one person in Luxembourg.

Are foreigners allowed to own property in Luxembourg?

When we asked expats what advice they would give a foreigner before buying a property in Luxembourg, they said...

"Yes, foreigners are allowed to own property in Luxembourg. There are no specific restrictions on foreign nationals purchasing real estate in the country. Both European Union (EU) and non-EU citizens can buy property in Luxembourg for residential or investment purposes. However, it is essential to follow the standard legal procedures and requirements, such as signing a notarized sales agreement, obtaining necessary permits, and registering the property with the local land registry. It is also advisable to consult a local real estate agent or lawyer to ensure a smooth property acquisition process," said one foreigner living in Luxembourg, Luxembourg.

What appliances are typically included in a rental?

We asked foreigners in Luxembourg what appliances are typically included in a rental, and, if there is anything else included or not included that a newcomer would not expect. Replies included:

"In a rental property in Luxembourg, the typical appliances that are included are a refrigerator, stove, oven, dishwasher, and washing machine. Some properties may also include a dryer, microwave, and small kitchen appliances like a kettle or coffee maker. Additionally, the rental property may come with heating and air conditioning systems. However, it is essential to check the specific property listing or consult with the landlord to confirm the appliances included in the rental," explained one person living in Luxembourg, Luxembourg.

Additional Information about Searching for a Home in Luxembourg:

We asked foreigners in Luxembourg what appliances are typically included in a rental, and, if there is anything else included or not included that a newcomer would not expect. Replies included...

"Expats searching for homes in Luxembourg typically begin by exploring online property portals and websites, which offer a wide range of listings for rental and purchase options. They may also consult local newspapers and real estate magazines for advertisements. Engaging the services of a real estate agent can be helpful, as they have extensive knowledge of the local market and can provide personalized assistance. Additionally, expats may seek recommendations from friends, colleagues, or social media groups to find suitable housing options. Visiting neighborhoods and attending open houses can also be a useful way to find a home in Luxembourg," said one expat in Luxembourg.

About the Author

Joshua Wood Joshua Wood, LPC joined Expat Exchange in 2000 and serves as one of its Co-Presidents. He is also one of the Founders of Digital Nomad Exchange. Prior to Expat Exchange, Joshua worked for NBC Cable (MSNBC and CNBC Primetime). Joshua has a BA from Syracuse and a Master's in Clinical and Counseling Psychology from Fairleigh Dickinson University. Mr. Wood is also a licensed counselor and psychotherapist.

Some of Joshua's articles include Pros and Cons of Living in Portugal, 10 Best Places to Live in Ireland and Pros and Cons of Living in Uruguay. Connect with Joshua on LinkedIn.

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