Luxembourg taxes gains on private property by holding period. Your main residence is exempt. Sell within five years and the gain is ordinary income; sell later and it is halved, with a €50,000 allowance every ten years.
Renting in Luxembourg means competing in one of Europe's most expensive, supply-starved markets. This guide walks you through the main portals (atHome.lu, Immotop.lu, Wortimmo), agencies and expat networks, realistic rents in Luxembourg City versus the rest of the country, the agency fee (now split 50/50), the dossier landlords expect, the lease and the two-month deposit cap, plus the cross-border option.
Buying a home in Luxembourg follows a clear path: a bank pre-approval, a signed offer, a binding compromis de vente, then the notarial deed (acte notarié) that transfers ownership. On top of the price, expect registration and transcription duties of roughly 7% plus a notary fee of around 1%. The Bëllegen Akt tax credit of up to EUR 40,000 per buyer and the 3% VAT on building cut those costs. There are no restrictions on foreigners buying.
Luxembourg’s housing crisis will not be solved by helping buyers bid more for scarce homes. A serious policy has to mobilise land, tax non-use and make planning faster enough to matter.
Average residential rent reached €31.09/m²/month in April 2026 — a 6.47% rise on the year. Sale prices held at €8,151/m², a slight 0.32% decline, in a market that is stabilising at a high level.