Foreigners who want to purchase a property in Luxembourg have no restrictions. There are many factors that could influence the decision to buy or rent in Luxembourg and one of the most common is the duration of the stay in the country.
How to buy
Most properties on the market are advertised by real-estate agents (agents immobiliers). Foreigners are advised to be cautious when dealing with real estate agents and companies. The agents should have certain qualifications and approvals for legally conducting their business, such as a professional card and an approval from the Ministry of Middles Classes, Tourism and Housing (Direction Générale des Classes Moyennes). Some real-estate agents are members of the Chambre immobilière du Grand-Duché de Luxembourg, a non-profit association that guarantees quality real-estate trades.
It is possible to see private sale signs on properties, but the most common methods are advertising via important newspapers or various specialized websites.
When performing a real-estate transaction, both the seller and the buyer pay certain costs.
The buyer must pay for:
- registration tax;
- notary fee (a notary must transfer the title after the price has been negotiated to its final value);
- transcript tax.
The seller will pay only for the real-estate agent’s fee.
The property purchase agreement is a contract signed between the parties. It is not mandatory, however, if it is drawn up, the contract will legally bind the two parties, ensuring that neither will discontinue the sale process. If the buyer and the seller choose to conclude a contract, it should include:
- identification details for both the seller and the buyer;
- a full description of the property and the surface area;
- purchase price;
- mortgage information;
- any penalties, if one of the parties does not conclude the sale etc.
The buyer may be asked to make a deposit for the property. The purchase must be completed by a notary in Luxembourg.
Our lawyers in Luxembourg can offer you legal representation and counseling for purchasing a property in Luxembourg. Contact us for more information.
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