Real estate investment in Luxembourg
Foreigners can freely buy, sell and rent out real estate in Luxembourg.
Statistics confirm the liquidity of investments: residential real estate prices grow every quarter by an average of 2.6%. Five years ago, an apartment of 100 m² cost an average of €620,000, and today it is sold for €1,005,000.
of housing in Luxembourg
increase per quarter
of the transaction amount
How the residential property price index is growing in Luxembourg
Cost of a 3-bedroom apartment in Luxembourg
with 3 bedrooms and 2 bathrooms
Apartment of 90 m² in Luxembourg with 3 bedrooms and 1 bathroom
Apartment in a 30-minute drive from Luxembourg
What do investors buy?
The most expensive real estate is in the capital, Luxembourg. The price of real estate does not depend on the location but the quality of housing: its area, number of bathrooms and repairs.
- houses with terraces
Luxembourg residence permit or citizenship by real estate investment
Obtaining a Luxembourg residence permit or citizenship is not connected with purchasing real estate. Luxembourg has a program for getting a residence permit by investing at least €500,000 in the country’s economy, but it does not provide a real estate option.
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Taxes and associated costs
Owners pay an annual property tax of 1.5% to 10% of the cadastral value. The municipality sets the tax rate depending on the property type.
Rental income is included in the income tax base. The income tax rate is progressive from 0% to 42%.
maintenance of an apartment
Electricity, gas, water, heating, and garbage collection
Internet, TV and telephone
Real estate sellers pay a capital gains tax on the difference between the sale and purchase prices:
- 45.8% if the seller has owned the property for
less than two years;
- 22.9% in other cases.
The agency fee is 3.5%.
of real estate in Luxembourg
Capital gains tax
Paid on the difference between the sale and purchase prices