More and more real estate sales
According to statistics reported by the Housing Observatory of the Ministry of Housing and STATEC, in collaboration with IMMOTOP.LU, the real estate market is doing very well, with an upward trend in sales. Apartments account for two-thirds of transactions and make up the majority of Luxembourg's rental properties.
Nearly 7,400 sales were finalized in 2017. This is a significant increase compared to previous years, with fewer than 6,400 sales in 2015 and 2016.
There was a marked increase in the number of transactions in the first semester of 2018. On average, between July 1, 2017, and June 30, 2018, existing apartments accounted for 59% of sales while apartments under construction accounted for 41% of sales.
Rising real estate prices
Unsurprisingly, 2017–2018 is experiencing an upward trend in selling prices. According to STATEC, the house price index rose 6.2% between the first quarter of 2017 and the first quarter of 2018. This increase affected all types of housing: +5.9% for existing houses, +6.8% for existing apartments, and +6.2% for apartments under construction, with an especially marked increased in Luxembourg City and surrounding areas.
The highest sales prices per square meter in 2017–2018 were recorded in Luxembourg City (on average, €7,508/m2 for an existing apartment and €8,539/m2 for an apartment under construction) and surrounding communes, especially Bertrange and Strassen, which have sales prices above €6,800/m2 for an existing apartment and €8,000/m2 for an apartment under construction.
In these areas, an existing apartment will cost you between €4,879 and €10,256 per square meter, a rate that varies based on the size of the home, the age of the building, the quality of the benefits offered, and the area where it is located.
On the other hand, the lowest sales prices per square meter are in the northern and western regions of the country (in Clervaux and Wiltz, for example), where the price of existing apartments is often less than €3,800/m2 and the price of apartments under construction less than €4,800/m2 on average.