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7 steps to buying real estate in Luxembourg

Buying real estate can be a stressful time in your life. It is not always easy to know how to go about it and where to start. Discover the 7 steps to complete the purchase of your property.


1. Define your real estate purchase project


The first step is to clearly define your real estate project. What are you looking for ? A main residence, a second home or a rental investment? There are many different real estate projects possible and each have their own specificities.


Also write down your criteria: minimum surface area, outdoor space, accessibility, location, bedrooms, home office, parking, etc. A clearly defined list is useful for the next steps of your project.


2. Establish your purchasing budget and find your mortgage


It is essential to clearly define your purchasing budget before moving on with the property search. Have a clear view of your finances and don't hesitate to talk to your bank or mortgage broker to make simulations for the financing of your envisioned purchase.


3. Visiting properties


With your criteria defined and a budget in mind, you can now start looking for real estate. The search is not easy, be patient and be proactive when you see a property that interests you.


Make sure to register on the main real estate portals to create daily alerts based on your criteria - you will be notified as soon as a property matching your search is put online.


You can also hire a real estate advisor or buying agent, such as TigerRock, to help you with the search process. Your advisor will then find the property for you and visit it to make sure it meets your criteria - saving you precious time.


Before continuing, and if you like the property, find out about the price, the area, the condition of the property and take the time to read the various documents of the property.


4. Making an offer to buy the property


That's it, you are convinced by the property found. Now is the time to write your offer to buy the property. The offer to purchase must be made in writing and generally contains the contact details of the parties, the address of the property, the description of the property, the purchase price you are offering and possibly your financing conditions.


Don't forget to set a period of validity for your offer. Usually it lasts several days, but in a tight market it can be relatively short.


5. Signing of the compromis


Once your purchase offer has been accepted, it is time to find a notary to assist you in drafting the sales agreement and the deed.


The sales agreement, signed by the parties, includes many clauses and conditions for the completion of the sale.


The compromis recalls the sale price, the lot purchased, the area, and all the elements related to the property purchased. Finally, it specifies the terms of the purchase: long sale, conditions precedent, etc.


At this stage of your real estate purchase, you will most often have to pay a deposit to the seller or his notary. The deposit represents on average 10% of the price of the property.

In Luxembourg, remember that "Compromise equals sale". Indeed, there is no withdrawal period in the purchase of real estate in Luxembourg.


Once the compromis is signed, it is also time to return to your bank or mortgage broker to finalize your financing.


6. Signing the authentic deed

Allow an average of 1 to 2 months between the compromis and the signing of the authentic deed. This period may vary if, for example, the property manager, the town planning department or the notary are not very responsive.


On the day of signing, the notary reads the deed to both parties and you must pay him his fees and pay the purchase price of the property.


7. Move and settle down


It's time to open a bottle of champagne, you are homeowner! It's time to organize your move or plan the renovation works if needed.


Please do not hesitate to contact us to discuss your real estate project in Luxembourg.


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