Costs of buying a property in Luxembourg: how much should you budget for?

The costs of buying a property in Luxembourg mainly comprise registration and transcription fees, notary’s fees, mortgage-related costs and any renovation work. Depending on the project, you should also factor in insurance, service charges, removal costs and the running costs of your future home.

What costs should you expect when buying a property in Luxembourg?

The price shown in the advert does not represent the total cost of your purchase. Before you start your search, factor in the additional costs when drawing up your budget so that you know your actual budget.

In practice, the exact amount depends on the price of the property, the financing option chosen, the available Bëllegen Akt balance and the condition of the property.

How much do notary fees cost in Luxembourg?

The sums commonly referred to as «notary fees» comprise several different costs. The largest of these is generally the duty paid to the State, rather than the notary’s fee.

The standard rate applicable to a property purchase in Luxembourg is 7 % :

• 6 % in registration fees ;
• 1 % in transcription fees.

In addition to this, there are the notary’s regulated fees, their administrative out-of-pocket expenses and, where applicable, the costs associated with the loan or mortgage deed.

For a more detailed estimate, see our guide on Notary fees in Luxembourg in 2026.

How does the Bëllegen Akt reduce purchase costs?

The Bëllegen Akt is a tax credit deducted from registration and title registration fees for the purchase of a property intended to become your main residence.

As at 6 August 2026, the Registration, Land and VAT Authority sets the statutory amount at €40,000 per buyer. A couple applying for a mortgage together can therefore benefit from a total loan of up to 80 000 €, provided that each person is eligible and still has their full balance remaining. However, a minimum of €100 remains payable.

For example, someone buying a property for €600,000 would normally have to pay €42,000 in stamp duty. With a Bëllegen Akt of €40,000 available, the remaining stamp duty payable amounts to €2,000. Fees, disbursements and any mortgage charges must then be added.

Will the Bëllegen Akt rise to €45,000?

On 16 July 2026, the government announced an increase in the Bëllegen Akt of €40,000 to €45,000 per person, applicable to purchases completed on or after that date. However, as at 6 August 2026, the AED’s official website still states a statutory limit of €40,000. You should therefore ask your solicitor what limit may apply to your deed and whether any adjustment will be necessary.

What costs are involved in a mortgage?

A mortgage involves costs other than interest. Depending on the bank and your application, you will need to budget for the following in particular:

• application fees; ;
• the costs of valuing the property; ;
• the cost of the mortgage deed; ;
• the mortgage registration fees; ;
• any insurance policies relating to the financing.

The bank often requires a mortgage to be registered against the property being financed. This security is subject to formalities and charges separate from the deed of sale.

Before choosing a product, check the standardised European information sheet, known as the FISE. It sets out the main features of the loan and makes it easier to compare different offers.

To arrange your financing, you can also estimate your borrowing capacity with atHomeFinance.

Does the buyer have to pay the estate agent’s fees?

As a general rule, the buyer does not pay the estate agent’s commission when the agent has been appointed by the seller.

In Luxembourg, the commission is paid by the party who engaged the estate agent, usually the seller. It usually amounts to 3 % of the selling price, plus VAT. The parties may, however, agree on a different allocation in their agreements.

On the other hand, a buyer who instructs a professional themselves to search for a property may have to pay the fees set out in that agreement. You should therefore always check the terms and conditions before committing yourself.

What costs should you expect when buying a new-build property?

The purchase of a property that is yet to be built or being sold off-plan may be subject to VAT on the construction element. The rules therefore differ from those for an existing property, the purchase of which is, in principle, exempt from VAT.

Under certain conditions, construction or renovation work on a main residence may qualify for the super-reduced VAT rate of 3 %. The total tax relief is limited to €50,000 per dwelling newly built or refurbished.

Before signing, please check the following in particular:

• whether the price is shown inclusive or exclusive of VAT; ;
• which part of the project is eligible for the reduced rate; ;
• which works or equipment you are responsible for; ;
• if any connection or installation charges are added to the price.

How much should I budget for the work and installation?

Even when a property appears to be in good condition, certain expenses may arise shortly after you’ve been given the keys.

Firstly, set aside a budget for priority repairs: heating, electricity, plumbing, roofing or insulation. Next, add in any painting work, the cost of buying furniture and removal costs. Finally, keep a reserve for any unforeseen issues that come to light after you’ve moved in.

If you’re looking at a flat, do also check the latest minutes of the owners’ association meetings. This will enable you to identify any works that have already been approved, planned expenditure and the amount of the service charges.

What ongoing costs are there after the purchase?

Becoming a homeowner involves regular costs that you’ll need to factor into your monthly or annual budget.

Depending on the accommodation, you will need to pay, amongst other things:

• service charges; ;
• home insurance; ;
• maintenance and repairs; ;
• energy and water bills; ;
• local taxes; ;
• property tax.

The property owners concerned receive a property tax bill from their local authority. Local authorities may also charge for various services, including water, waste collection and sewerage.

What financial assistance is available to help reduce the cost of your purchase?

As well as the Bëllegen Akt, certain forms of state aid may help ease the strain on your budget.

The home ownership grant is available, subject to certain conditions, to households who purchase or build their main residence in Luxembourg using a mortgage. The amount currently ranges from €500 to €10,000, depending on household income and composition.

Furthermore, the allowance may be increased for certain types of accommodation: from 40 % for a flat in a block of flats or a terraced house, and from 15 % for a semi-detached house. The application must be submitted within one year of the notarised deed.

How do you work out your total budget before buying?

To get a realistic estimate, add up:

1. the purchase price of the property; ;
2. the fees remaining payable following the Bëllegen Akt; ;
3. the notary’s fees and disbursements; ;
4. costs associated with the loan and the mortgage; ;
5. insurance; ;
6. construction and development; ;
7. a contingency fund.

This way, you’ll avoid spending your entire budget on the property itself. You’ll also be able to check that your deposit covers the costs not covered by the bank.

How do we support you with your property purchase?

atHomeFinance first helps you set a realistic budget and put together your financing plan. atHome then helps you find the property that suits your plans.

To begin with, an atHomeFinance adviser analyses your situation, assesses your borrowing capacity, compares the options offered by partner banks and negotiates the terms on your behalf. They also monitor your application right through to the granting of your mortgage.

You can then search for your future home on atHome with a clear idea of your overall budget, taking into account the property price, purchase costs and any renovation work.

Frequently Asked Questions about property purchase costs

Are notary fees always 7 %?

No. The 7 % figure relates solely to the registration and transcription fees applicable prior to the Bëllegen Akt. The notary’s fees, administrative costs and any mortgage deed fees are charged separately. The actual amount paid therefore depends on the price of the property, the tax credit available and the necessary formalities.

Does the Bëllegen Akt cover all notary fees?

No. The Bëllegen Akt only reduces registration and transcription fees. However, it does not cover the notary’s fees, administrative expenses or costs relating to the mortgage. Even if the tax credit covers the full amount of the fees, other costs therefore remain to be paid.

Can purchase costs be included in the mortgage?

It depends on the bank, your deposit and your ability to make repayments. In practice, some costs can be included in the financing plan, whilst others must be paid from your own funds. Ask for a detailed breakdown to find out the actual amount being financed and the sum you will need to contribute before signing.

Are estate agent’s fees payable by the buyer?

Generally speaking, no. The commission is paid by the party who engaged the agency, usually the seller. However, a buyer may be liable to pay a fee if they have themselves commissioned a professional to find a property, or if the contract provides for a different arrangement.

Official sources

• Guichet.lu — property tax and local taxes
• Registration, Domains and VAT Administration — Bëllegen Akt
• Guichet.lu — Super-reduced VAT rate for construction and renovation
• Luxembourg Government — increase in the Bëllegen Akt announced in July 2026
• Guichet.lu — preliminary sale agreement, notary fees and estate agent’s commission
• CSSF — mortgage agreements
• Guichet.lu — first-time buyer grant