Property prices are not weakening in Luxembourg. On the contrary, the increases observed in atHome Magazine Spring 2019 are important. Faced with increasing demand and limited supply, the Luxembourg property market remains tight.

Rental: rents up 10% for flats

In March 2019, to rent a flat in Luxembourg, you need to budget an average of €1,520 for a flat and €2,892 for a house.

Following a significant rise in rents in the spring and summer of 2018, the price increases observed over the last 12 months of the year are substantial. They reach + 10% for flats and + 16% for houses. However, it can be seen that in the last six months rental prices have increased, albeit less rapidly than in the previous period.
More specifically, for the rental of a 2-bedroom flat, which is the most numerous in the offer, it will cost an average of 1,660 euros/month.

In addition, it should be noted that the Centre region alone accounts for 65% of rental properties of the country. The high rental prices are therefore largely due to the geographical location of the rental accommodation.

Sale: property prices continue to soar

Today, The average price of an old flat in Luxembourg is 485,826 euros. While the average price of a house reaches 812,624 euros (posted prices, all areas combined).

On the sale side, the increase observed over the past year is very marked. Flat prices have indeed increased by +12 % and house prices by +11%.
Although the increase was already remarkable last autumn, it has continued at the same rate over the last 6 months.
It should be noted, however, that prices in the Centre have changed little over the past 6 months, whereas they have increased more strongly in the other regions, particularly in the West (from +4% to +8% depending on the type of dwelling) and in the East (+7% on average over the past 6 months).

Flat prices per m2

Prices per square metre are also on the rise.
The average price for a flat in March 2019 is 5,687€/m2. And the price of a house is €4,386/m2. Of course, the city of Luxembourg holds the record with an average price, all properties combined, of €8,000/m2.

Finally, it should be noted that the real estate offer for sale is mainly concentrated in the south (40%) and the centre of the country (30%).

NB The prices presented here are averages calculated for the whole of Luxembourg. Property prices can vary greatly from one region to another. The Centre of the Grand Duchy is the region where prices are highest. The North of the country is where prices are lowest.

BASIS OF CALCULATION
The statistics presented above, and in atHome Magazine, are based on the prices displayed in the ads published on atHome.lu between March 2018 and March 2019. The statistical sample consists of more than 21,800 real estate listings.