Renting: what housing subsidies are available in Luxembourg?

Financing of a rental guarantee, rent subsidy or rental of subsidised housing... these are all housing aids put in place by the State to facilitate access to housing in Luxembourg.
Housing aid n°1: Aid for the financing of a rental guarantee
It is granted to people who wish to rent accommodation, but who cannot afford to pay the deposit requested by the owner or landlord. To qualify for this rental guaranteeThe following conditions must be met:
- Be of age
- Have a residence permit valid for at least 3 years
- Not being a landlord
- Enter into a conditional deposit agreement and allow the State to recover the deposit via a pledge agreement
Good to know: The accommodation for which an application for rental guarantee funding has been made must be the applicant's main residence.
Housing Benefit No. 2: Rent Subsidy
This is a monthly payment. It is calculated on the basis of household income and is intended to help low-income people to live in decent accommodation.
The conditions for accessing this aid are :
- Be of age
- Not being a landlord
- The accommodation must be in Luxembourg
- No public housing
- The amount of the rent must be higher than a quarter of the monthly income (excluding social benefits)
- Have a regular income for at least 3 months
Types of accommodation with reduced rent
Subsidised housing
The Housing and Habitat Development Fund has properties, houses and flats, for rent to low-income residents. The rent is calculated at 75 % on the household income and 25 % on the number of square metres of living space.
In order to rent subsidised housing, the applicant :
- Must be residing in other accommodation in Luxembourg at the time of application
- Can't be a landlord
- Must provide a rental guarantee of 3 months' rent if accepted
What are the property prices at the moment?
Renting via the Social Estate Agency
L'AIS rents out flats to people who cannot find accommodation in the mainstream. In return, they undertake to be monitored by the social services. The rental period cannot exceed 3 years.
The following are among those who are eligible for this assistance:
- The homeless
- Immigrants
- People living in hostels
- Divorced or unemployed people
- People living in substandard housing or housing not suitable for their family
Please note: the applicant must be in a precarious financial situation and be affiliated to the CNS. He/she must not be a landlord and must have a valid residence permit.
Student accommodation
The University of Luxembourg provides its students with more than 1,000 accommodations in 37 university residences.
To be eligible for student accommodation in Luxembourg, you must :
- Being a full-time student at the University of Luxembourg
- Be part of a recognised exchange programme for a period of 6 months
- The deposit to be paid depends on the accommodation occupied. It can vary between €350 and €500. Rents range from €365 for a room to €695 for a furnished studio. Couples can rent a large studio for €1,050 per month including charges.
Written by
Fanny Pimentel
Posted on
11 February 2019