What you need to know when renting a property in Luxembourg

Renting an accomodation in LuxembourgYou’ve just arrived in Luxembourg as an expat and wish to rent an accommodation? Just Arrived accompanies you in your initiative, wether you are a tenant or an owner wishing to rent your property.
Search for a rental property, legal obligations as a tenant or lessor owner, renting advice, necessary insurances to rent an accommodation, administrative procedures and steps to be made as a new tenant,… You will find in this column everything you need to know in order to rent under the best possible conditions in Luxembourg!

The rental real estate market

In Luxembourg, the rental properties in a good state and not too expensive are really quickly rented. One often observes apartments being rented upon the first visit. Besides, rental boards are relatively rare on houses and apartments.

A market with few real estate offers and many requests
Globally, the real estate market is dominated by the owners who can ask the contract of lease to be made according to their desires, as long as it is within the regulatory framework. Real estate agencies have rental leases meeting the various requirements.

More information about real estate market in Luxembourg

The intermediaries to rent a real property

Real estate agencies and relocation agencies

To access the rental properties available in Luxembourg, the best way of proceeding is to present yourself in a real estate agency or to inquire with a relocation agency.

Both have a wide selection of rented flats in Luxembourg. They will find an accommodation corresponding to your criteria. These agencies generally take charge of the organisation of the visits of the selected properties and draft the rental contracts. Real estate agencies also take charge of the incoming and outgoing inventory of fixtures, which we strongly advise you to make.

Agency fees for the rental
The inventory of fixtures is normally included in the agency fees, which are taken care of by the tenant. It is necessary to calculate the equivalent of one month of rent (even more in certain agencies) to which it is advisable to add the current VAT. These expenses linked to the rent will be added to the deposit asked by the owner (3 months maximum – to be negotiated).

The Luxembourg real estate portals

To find a rental property quickly, also think of visiting the various real estate portals of Luxembourg. They offer a wide choice of properties renting on the Luxembourg territory.
Furthermore, you can set alerts on these real estate portals so that you do not miss the accommodation of your dreams by specifying your criteria: location, number of rooms, price,…
Real estate agencies, relocation agencies and real estate portals are the best way to find an accommodation in Luxembourg. More information here.

For an owner trying to rent a studio, an apartment or a house, the best solution is also to call on a real estate agency that will organise the visits and take charge of all the administrative procedures. Besides, it remains free for the owners because it is generally the tenant who pays for the rental costs.

Administratives aspects when renting an accomodation

Rental duration

The rental contract for an unfurnished accommodation is generally signed at the owners’ request for 3 years and is normally renewable at the end of this first term, with a 3-month advance notice. It is nonetheless negotiable. For a studio apartment, the rental duration is generally of one year, renewable every 6 months or every year.

Think of addressing the topic of the duration with the owner. The diplomatic clause (possibility of leaving the accommodation at any time with a 3-month advance notice for professional reasons) does not exist in Luxembourg.

The legal advance notice to leave the accommodation is of 3 months before the term of the current rental. You have to pay the 3 due months of rent, even if you leave the accommodation earlier, unless you find a tenant to take your place, with the agreement of the owner.

No pets clause

A rental contract can contain a clause forbidding pets in the accommodation, unless the owner gives his agreement. Think of inquiring beforehand if you have a pet dog or cat.

Documents to be presented to sign a rental contract

During the signature of a rental agreement directly with an owner or a real estate agency, you will be asked an ID card or a passport, your last 3 pay slips or a contract of employment if you’ve just arrived in Luxembourg, as well as a certificate of income so that your request can be studied.

Tip: Make sure you are in possession of these various documents when visiting. You can thus book an accommodation very quickly and will save time with regard to the other applicants.

Renting guarantee

You will probably be asked to choose a guarantor and/or a renting guarantee in order to cover possible damage committed by the tenant(s) or a non-payment when signing the rental contract, be it asked by agencies or by the owner.

Your future owner can ask you to pay him this rental guarantee directly. This one does not have to exceed 3 months of rent, excluding fees, for a furnished apartment or a house and 2 months of rent, excluding fees, for an empty apartment. This sum will be paid off to you at the end of the contract if the owner considers that you have left the accommodation in good condition.

Tip: we recommend that you establish the pledge in the form of a bank guarantee and that you do not pay the funds on the lessor’s private account.

Energy passport

The owner of the accommodation has to provide you with a copy of the “energy passport” of the rented accommodation. The energy passport is compulsory in Luxembourg, be it when renting or when buying. It is valid 10 years.

Renting insurance

Don’t forget to sign a tenant’s risk insurance either. This is a legal obligation. By renting a house in Luxembourg, you also submit yourselves to the obligations engendered. For example, every tenant has to have signed a fire and diverse risks insurance contract, as well as an insurance contract in case of a rental accommodation furnished by the owner. You can inquire with insurance companies.

Tip: think of making a proper entrance and outing inventory of fixtures of the accommodation. If you call on a real estate agency, they generally take care of these inventories of fixtures, this is included in the agency fees.

Find all your legal obligations as a tenant in Luxembourg at this address.

What steps to undertake once I have found my new accommodation?

Statement of your change of address

In Luxembourg, any change of address must be indicated necessarily personally to the local authorities of the municipality of residence. When you leave, you have to distinguish yourselves in the municipality which you leave before your departure. You will then have to register in your new municipality upon your arrival to set things straight with the local authorities.
A passport or an ID card will be required, as well as a family book if you have children. Other documents can also be asked to you as a documentary evidence of your income or a contract of employment if you arrive to the Luxembourg as foreign resident. According to the municipality, other documents can be necessary.
If you are moving in Luxembourg City for the first time, presenting yourself with an ID card with the Bierger Center is also necessary.

Warning your service providers

Also make sure to warn your bank as well as the CNS of your change of address.

Once you have chosen your accommodation, you also have to contact personally the gas and electricity supplier of your choice in order to proceed to your connection. Numerous suppliers plan a transfer of the contract of electricity to make your installation easier.

Make sure to get in touch with your phone operator to connect your new phone line, knowing that it is always better to anticipate in order to shorten the waiting time.

In brief: insure that you indicate your change of address to all the necessary authorities and to register in your municipality as well as in the Bierger Center of the City of Luxembourg, if necessary. Also think of planning your various connections in advance.

Good to know if you want to rent an accomodation in Luxembourg