Are you considering moving to Luxembourg? It is important to know that property prices are generally high, whether for sale or for rent, at levels equivalent to those of major European cities. These prices continue to rise due to a shortage of housing.
Some specialists even argue that real estate is overvalued, up to +28% according to the European Commission. Between 2010 and 2019, housing prices have increased by 56%, while the median income increased only 35% over the same period.
Even if we can see everywhere in Luxembourg construction sites of collective buildings and individual houses, the supply is still not sufficient to meet the demand.
Moreover, studies show a significant increase in population in the coming decades, which does not point to a drop in prices, especially since economic growth is on the rise. Statec reports a need for 5,600 to 7,500 additional housing units per year.
Average announced sale prices per municipality
The advertised prices are the externalized selling prices in the real estate advertisements for the period from January to December 2019. These are not the prices actually recorded for sale.
Advertised prices apartments for sale
On average, the advertised prices for the sale of apartments in the Grand Duchy was 7,949 €/m² in 2019. Today, it costs approximately 658,977 euros to buy an apartment in Luxembourg, with notable price variations depending on the sector.
In Luxembourg City, the announced prices were on average 11.257 €/m² against 7.637 €/m² over the period from July 1st, 2016 to June 30th, 2017, that is to say an increase of almost 50% over 2 years. The differences are significant by district. The Limpertsberg district is at the upper end of the range, while Beggen and Cents are rather at the lower end of the range.
The average value of an apartment is announced at 839,313 euros in the municipality of Luxembourg, with disparities there again. An apartment in Belair exchanges at more than one million euros.
In the neighboring communes, there are 8.004 €/m² in the commune of Niederanven, 6.977 €/m² in the commune of Sandweiler, 9.100 €/m² for the commune of Hespérange, 8.973 €/m² for Walferdange, 8.447 €/m² for Strassen and 9.221 €/m² for Bertrange.
The further away you are from the City of Luxembourg, the lower the price per m². In Esch-sur Alzette, 6.116 €/m² or in Grevenmacher, 5.809 €/m².
Advertised prices houses for sale
The value of the houses per m² is very subjective as the price of the property depends above all on the surface of the land and its characteristics. Nevertheless, the values below can be retained.
In the Grand Duchy of Luxembourg, a house is today advertised at an average price of 970,589 euros (784,000 euros over the period 2016-2017), i.e. 5,039 €/m².
In Luxembourg-City, this price rises to 1,576. 214 euros on average, or 8,078 €/m² against 1,198,000 euros on average and 6,467 €/m² over the period 2016-2017. It costs more than 2.5 million euros to buy a house in the Belair district.
In the commune of Niederanven, it will cost on average 1,579,153 euros to buy a house, 1,440,262 euros in the commune of Walferdange, 1,244,352 euros in Sandweiler, 1,310,676 euros in the commune of Hespérange, 1,606,353 euros in Bertrange and 1,621,651 euros in Strassen.
Once again, the distance from the capital is a factor of lower prices. The price for a house in Beaufort is 710,549 euros, 1,107,318 euros in Bettembourg and 957,575 euros in Remich.
Average announced rents per municipality
Rents per m² for the period from 1 January to 31 December 2019 were announced at 27.05 €/m² compared to 19.91 €/m² for the period July 2016-June 2017, an increase of 35%. The rental prices depend primarily on the type of apartment (new/old and number of bedrooms).
The average rent per m² in Luxembourg City is 31.94 €/m² with differences between the districts of Cents and Bonnevoie, located at the bottom of the range, and Limpertsberg or Belair or even Gasperich. which has seen a significant increase due to the development of the Cloche d’Or district.
Rents for the apartments in the neighboring municipalities are within the following averages: in the municipality of Sandweiler 1,686 euros, 1,621 euros in Walferdange, 1,709 euros in Hespérange and 1,706 euros in Strassen.
Here again, prices decrease the further you go from Luxembourg. An apartment in Leudelange can be rented on average at 1.279 euros per month, in Steinfort about 1.282 euros.
**Source Observatoire de l’Habitat
17 October 2020
13 October 2020
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14 September 2020
13 August 2020
21 July 2020
25 June 2020