Everything about housing aid in Luxembourg
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JUNE 13, 2019
You want to buy or renovate a home, and you wonder if you could benefit from a little help? Know that the state offers several types of financial assistance to help you become a homeowner or improve your home. Let's take stock of the different options available to support you in accessing housing in Luxembourg.
How housing aids work ?
Housing subsidies have been put in place to help homeowners maintain their property and meet energy and safety standards. They also have a social purpose, as they help the poorest households to access property or rent decent housing.
They are also aimed at people with disabilities by allowing them to make the necessary adjustments to live at home independently.
What are the different housing subsidies in Luxembourg?
In Luxembourg, several types of housing benefits are listed by intention : construction, purchase, rental, renovation, transformation, special facilities ...
They depend on different organisms :
>The Ministry of Civil Service ; ;
>The Registration and Domains Administration . .
Certain premiums and interest subsidies are valid simultaneously for different situations : construction, renovation and purchase for example.
> The interest subsidy: it is calculated, among other things, according to the number of dependent children. A reduction of 0.50% per child is granted on interest on the loan.
> The interest subsidy: it is calculated on the basis of taxable income and family status. The maximum rate of the interest subsidy is 2.45%.
Good to know:theState guaranteeallows people who can not get credit to build, buy or renovate, get support in the process with their bank.
1. Helps to build your house
In the case of construction, housing benefits correspond to a premium or a tax gain :
> Construction premium : between € 250 and € 9,700 depending on the resource conditions and the type of construction. To this is also added a bonus supplement to partially cover the costs and engineering consultants.
> Savings premium: the maximum amount of this bonus is € 5,000 and can not exceed the amount of interest and bonuses of your savings accounts.
2. Aid to renovate a property
Do you want to renovate? You can also claim some help :
Bonuses :
> The improvement bonus: it allows to finance 30% of the amount of the renovation work for a maximum amount of 10 000 €
> The premium for the costs of architect or consulting engineers.
Interests:
> Reduced rate or refund of VAT : it is applicable for work done in a main residence. The super reduced rate is 3% with a maximum amount of 50 000 €.
> Credit tax on notarial deeds: this is an allowance for registration and transcription fees of up to € 20,000.
Did you know ? Government employees can receive an interest subsidy as part of a renovation loan.
3. Aid to rent a home
Several helpers have been put in place to help individuals rent a home :
> The rent subsidy : it is granted under means conditions for a maximum amount of € 300 per month.
> The financing of the rental guarantee : the state helps those who can not afford to pay their deposit or who do not have sufficient guarantees to rent a home.
> Rental of subsidized housing: these low-rent housing units are rented by the National Housing Company (SNHBM) and by the Housing Fund .
> The lease for residential use : owner and tenant together define the terms of the lease.
> Rental of student housing: students can benefit from a room in university residence or in a house at attractive prices.
>Rental management social: provision of social housing to households with housing difficulties (divorce, homelessness, etc.). The maximum duration of the contract is 3 years.
4. Helpers to buy his house
Do you want to become an owner ? In addition to interest rate subsidies , you can claim:
> The acquisition premium : it varies according to the family situation and the type of housing purchased. Its amount is between 250 € and 9 700 €.
> The savings bonus: it corresponds to the interest and bonus of your savings account provided that at least 90% of the savings were used for the work. Its maximum amount is € 5,000.
5. Assistance to adapt your home to your disability
The state subsidizes 60% of the cost of work to build a new building or renovate an existing house for physically disabled person .
The maximum amount, however, is € 15,000.
Where to find out more?
You will find more information on all these housing aids at the Single Housing Helpdesk , located at 11 rue de Hollerich in Luxembourg.
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