Applying for State financial aid to purchase or construct a dwelling (purchase or construction subsidy)

It is possible to obtain government aid in the form of a lump-sum capital payment to purchase or construct a dwelling (single-family home or apartment). The amount of the subsidy is determined according to the applicant's income and family status and ranges from EUR 250 to EUR 9,700. If the dwelling in question is a commonhold flat or a rowhouse, the subsidy is increased by 30 %. If it is a twin house, the subsidy is increased by 15 %.

Construction subsidies are only granted if the beneficiary is the first occupant of the dwelling. Otherwise, only purchase subsidies may be granted. However, the purchase of a dwelling followed by substantial works (structural works or works to replace fittings requiring an investment of at least 50 % of the purchase price) is considered as new construction.

The purchase or construction subsidy can only be granted once to the same beneficiary. The subsidy is paid for the beneficiary to the institution that granted the mortgage loan to finance the dwelling.

Some communes in the Grand-Duchy of Luxembourg promote home ownership through capital allocations. In most cases, these aids are linked to the conditions for granting government subsidies. Consequently, interested parties should contact their communal administration office for further information.

Who is concerned

Any person who has contracted a mortgage loan for the purchase of an existing dwelling, or the construction of a new dwelling, located in Luxembourg, which dwelling is used as a primary and permanent residence by that person, their spouse, their ascendants and/or their descendants, as well as those of their spouse, living in the same household, may apply for a purchase or construction subsidy.

Prerequisites

A borrower who wishes to receive a purchase or construction subsidy from the State must:

  • be authorised to legally reside in Luxembourg, be domiciled there, and effectively live there;
  • have contracted a mortgage loan from an approved financial establishment in the European Union and in the European Economic Area (EEA), or from a social security-related pension institution, to purchase or construct a dwelling located in the Grand-Duchy of Luxembourg that will be used by the applicant's household as their effective primary and permanent dwelling for at least 10 years;
  • satisfy certain income—and family status—related conditions;
  • be neither the owner of, nor the holder of a right to use another dwelling in Luxembourg or in a foreign country;
  • comply with the following useful residential floor space criteria:
    • single-family residence: between 65 m2 and 140 m2;
    • flat: between 45 m2 and 120 m2.

These floor spaces may be increased by:

  • 20 m2 for each dependent child of the applicant starting from the 3rd;
  • 20 m2 for any 1st degree ascendant of the applicant, and any disabled person living in the beneficiary's dwelling, from the 5th person residing there, on condition that said person is not themselves the owner of a dwelling.

The above-mentioned floor space dimensions do not include cellars, attics, garages, or common areas in commonhold buildings.

Workshops, commercial areas and other outbuildings used for professional purposes are excluded up to a maximum of 20 m2. However, lofts or spaces that could be used as a loft are included, but only on condition that the height of the loft is at least 2 meters and that it has a normal access and a total window surface exceeding 0.375 m2.

In some cases, considering the applicant's social situation, the Minister may waive the condition of minimal useful residential floor space.

It should be noted that no transformation that would lead to the useful residential floor space being exceeded may be made for 10 years from the moment the dwelling is occupied, failing which the subsidy may have to be reimbursed.

For buildings constructed prior to 10 September 1944, there are no floor space conditions.

Dwellings for which a construction or purchase subsidy is being applied for must also meet legally prescribed safety and sanitation standards, as well as the specific housing-related requirements that generally apply in the country. If a construction subsidy is applied for, the dwelling must also meet the energy performance standards applicable to residential buildings, as specified by regulations governing the rational use of energy.

How to proceed

Submitting the application

The application is made using the application form for individual housing aid. It must be completed by the applicant and sent to the Housing Aid Service (Service des aides au logement), accompanied by all required documents, no later than one year from the date of the authentic deed documenting the purchase of the dwelling, or within one year of the date of first occupancy.

Each page of the form must be signed separately.

The following must be attached to the application:

  • for the applicant and any other person living in the dwelling: a copy of the certificate of registration or the permanent residence permit (for nationals of a Member State of the European Union) and/or a copy of the residence permit or permanent residence permit or passport with residence permit (for nationals of a third country);
  • a birth certificate (for Luxembourg nationals);
  • a copy of the ID card (for applicants of Luxembourg nationality born abroad);
  • the salary certificates of the applicant and their spouse for the 3 years preceding the purchase of the dwelling or the start date of the construction works;
  • a certificate showing the details of the loan (account number, account holder, amount, term, interest-rate, date of availability, use of the funds);
  • a copy of the notarised property deed for the building or the land, dated and signed by the notary;
  • a certificate documenting the year of construction of the dwelling;
  • a copy of the construction plan dated and signed by the architect or consulting engineer.

Consideration of family status

To determine the amount of the subsidy, the family status on the date of the notarised deed documenting the purchase of the dwelling, or on the start date of the construction works, is considered. If a child is born in the year following that date, the subsidy may be re-examined on the basis of this change in family status. Children who live with the applicant in the subsidised dwelling are also taken into consideration if they are declared as living in the dwelling, and if the applicant receives family allowances for them or they are no older than 27 years of age and are covered by the applicant's health insurance.

The beneficiary of the aid must also immediately inform the administration of any change that could affect the granting, maintenance, modification, or withdrawal of the aid, failing which they may be required to retroactively reimburse the aid.

Consideration of income

The purchase or construction subsidy is calculated based on the applicant's taxable income, which corresponds either to:

  • the average income over the 3 tax years preceding the date of the notarised deed documenting the purchase of the dwelling, or the start date of construction work, in the case of uninterrupted professional income during these 3 years, excluding internship periods;
  • the income of the tax year preceding that date;
  • the income of the year of the purchase or the start of works if:
    • the applicant had no income in the previous year;
    • the applicant's income decreased by more than 10 % compared to the previous year.

The income considered includes the taxable income plus all other income—including the untaxable income of the applicant or of any other person living with the applicant in the dwelling in question, except for descendants and ascendants or family relations up to the 2nd degree inclusively—exclusive of family allowances, State financial aid for students in higher education, allowances for severely disabled people, orphans' pensions and long-term care insurance benefits.

In the case of joint taxation of 2 spouses or civil partners, the income considered—based on the previous provisions—also includes the net income from remunerated work engaged in by the spouse or civil partner who is enrolled in a personal pension plan, which net income, when compared to the cost of living index number 100, is reduced by EUR 1,250. This reduction is automatically applied to the income of a household exercising an agricultural, commercial, or skilled craft activity, provided that the spouse or civil partner is enrolled in a personal pension plan.

If the 2 spouses or 2 civil partners have been married or officially joined in civil partnership for less than 3 years on the date of the deed of purchase of the dwelling, or on the start date of the construction works, only the income of one of the two spouses or civil partners—whichever is the highest—is taken into account for the calculation of the subsidy.

If the 2 spouses or civil partners are taxed jointly, only the income of one of the 2 spouses or civil partners is taken into account, provided that the other spouse or civil partner has definitively stopped all remunerated work no later than 2 years after occupying the dwelling for which the aid was requested.

If a portion of the total income includes an amount originating from remunerated work that was not engaged in throughout the entire tax year, such income is extrapolated over the whole year.

The beneficiary of the aid must also immediately inform the administration of any change that is likely to affect the granting, maintenance, modification, or withdrawal of the aid, failing which they may be required to retroactively reimburse the aid.

Denial of subsidy

The purchase or construction subsidy will be denied if:

  • the applicant has donated their wealth to a third-party;
  • the financing of the dwelling could be covered entirely by the applicant's own financial means, or by those of their spouse or civil partner;
  • the dwelling in question is rented out (even partially) to a third-party, except if it is partially rented to a student enrolled in a post-secondary school in the Grand-Duchy of Luxembourg;
  • the application for a purchase or construction subsidy is filed more than one year after the signing the notarised deed documenting the purchase of the dwelling, or more than one year after the date of first occupancy.

The beneficiary of the aid must also immediately inform the administration of any change likely to affect the granting, maintenance, modification, or elimination of the aid, or else risk having to retroactively reimburse the aid.

Reimbursement of the subsidy 

The dwelling for which the purchase or construction aid is granted must be used as the primary and permanent residence of the beneficiary for at least 10 years after the date of the authentic deed documenting the purchase of the dwelling, or the date of first occupancy, in the case of new construction, failing which the beneficiary may be required to reimburse the aid. If the applicant leaves or sells the dwelling before the end of the 10-year period, the subsidy must be reimbursed.

In addition, by no later than 3 years after the date on which the aid was granted, the beneficiary must be living in the dwelling, or risk having to reimburse the aid.

If one of the beneficiaries of the aid leaves the dwelling before the end of the 10-year period, they must reimburse their share of the aid. If one of the beneficiaries dies before the end of the 10-year period, their share of the aid does not have to be reimbursed.

However, the Minister may partially or totally waive reimbursement of the aid for health, family or financial reasons, or in a case of force majeure.

If the beneficiary of the aid has unduly received the construction or purchase subsidy, it must be reimbursed.

The beneficiary of the aid must also immediately inform the Minister of any change that could affect the granting, maintenance, modification or withdrawal of the aid, failing which they may be required to reimburse the aid retroactively.

Accumulation with other aids

Construction and purchase subsidies cannot be collected concurrently. However, each of these subsidies can be collected concurrently with the savings benefit and with the aid for special home development to cater to the needs of physically disabled persons. Moreover, the construction subsidy can be collected concurrently with the supplementary subsidy for architects' and engineers' fees.

The interest relief as well as the interest subsidy can also be collected concurrently with the construction and purchase subsidy.

The purchase subsidy may be collected concurrently with the improvement subsidy. However, this latter cannot be collected concurrently with the construction subsidy.

Forms / Online services

Demande en obtention des aides individuelles au logement

Demande en obtention des aides individuelles au logement

Les informations qui vous concernent recueillies sur ce formulaire font l’objet d’un traitement par l’administration concernée afin de mener à bien votre demande.

Ces informations sont conservées pour la durée nécessaire par l’administration à la réalisation de la finalité du traitement

Les destinataires de vos données sont les administrations compétentes dans le cadre du traitement de votre demande. Veuillez-vous adresser à l’administration concernée par votre demande pour connaître les destinataires des données figurant sur ce formulaire. Conformément au règlement (UE) 2016/679 relatif à la protection des personnes physiques à l'égard du traitement des données à caractère personnel et à la libre circulation de ces données, vous bénéficiez d’un droit d’accès, de rectification et le cas échéant d’effacement des informations vous concernant. Vous disposez également du droit de retirer votre consentement à tout moment.

En outre et excepté le cas où le traitement de vos données présente un caractère obligatoire, vous pouvez, pour des motifs légitimes, vous y opposer.

Si vous souhaitez exercer ces droits et/ou obtenir communication de vos informations, veuillez-vous adresser à l’administration concernée suivant les coordonnées indiquées dans le formulaire. Vous avez également la possibilité d’introduire une réclamation auprès de la Commission nationale pour la protection des données ayant son siège à 1 Avenue du Rock'n'Roll, L-4361 Esch-sur-Alzette.

En poursuivant votre démarche, vous acceptez que vos données personnelles soient traitées dans le cadre de votre demande.

Antrag auf Bewilligung der individuellen Wohnungsbeihilfen

Antrag auf Bewilligung der individuellen Wohnungsbeihilfen

Ihre in diesem Formular erfassten personenbezogenen Informationen werden von der zuständigen Verwaltungsbehörde verarbeitet, um Ihren Antrag erfolgreich abzuschließen.

Diese Informationen werden von der Behörde für den zur Verarbeitung erforderlichen Zeitraum gespeichert.

Die Empfänger Ihrer Daten sind die im Rahmen Ihres Antrags zuständigen Verwaltungsbehörden. Um die Empfänger der in diesem Formular erfassten Daten zu erfahren, wenden Sie sich bitte an die für Ihren Antrag zuständige Behörde.

Gemäß der Verordnung (EU) 2016/679 zum Schutz natürlicher Personen bei der Verarbeitung personenbezogener Daten und zum freien Datenverkehr haben Sie das Recht auf Zugang, Berichtigung und gegebenenfalls Löschung Ihrer personenbezogenen Informationen. Sie haben zudem das Recht, Ihre erteilte Einwilligung jederzeit zu widerrufen.

Weiterhin können Sie, außer in Fällen, in denen die Verarbeitung Ihrer Daten verpflichtend ist, Widerspruch einlegen, wenn dieser rechtmäßig begründet ist.

Wenn Sie diese Rechte ausüben und/oder Einsicht in Ihre Informationen nehmen möchten, können Sie sich unter den im Formular angegebenen Kontaktdaten an die zuständige Verwaltungsbehörde wenden. Sie haben außerdem die Möglichkeit, bei der Nationalen Kommission für den Datenschutz Beschwerde einzulegen (Commission nationale pour la protection des données, 1, Avenue du Rock'n'Roll, L-4361 Esch-sur-Alzette).

Wenn Sie Ihren Vorgang fortsetzen, akzeptieren Sie damit, dass Ihre personenbezogenen Daten im Rahmen Ihres Antrags verarbeitet werden.

Demande en obtention des aides individuelles au logement

Demande en obtention des aides individuelles au logement

Les informations qui vous concernent recueillies sur ce formulaire font l’objet d’un traitement par l’administration concernée afin de mener à bien votre demande.

Ces informations sont conservées pour la durée nécessaire par l’administration à la réalisation de la finalité du traitement

Les destinataires de vos données sont les administrations compétentes dans le cadre du traitement de votre demande. Veuillez-vous adresser à l’administration concernée par votre demande pour connaître les destinataires des données figurant sur ce formulaire. Conformément au règlement (UE) 2016/679 relatif à la protection des personnes physiques à l'égard du traitement des données à caractère personnel et à la libre circulation de ces données, vous bénéficiez d’un droit d’accès, de rectification et le cas échéant d’effacement des informations vous concernant. Vous disposez également du droit de retirer votre consentement à tout moment.

En outre et excepté le cas où le traitement de vos données présente un caractère obligatoire, vous pouvez, pour des motifs légitimes, vous y opposer.

Si vous souhaitez exercer ces droits et/ou obtenir communication de vos informations, veuillez-vous adresser à l’administration concernée suivant les coordonnées indiquées dans le formulaire. Vous avez également la possibilité d’introduire une réclamation auprès de la Commission nationale pour la protection des données ayant son siège à 1 Avenue du Rock'n'Roll, L-4361 Esch-sur-Alzette.

En poursuivant votre démarche, vous acceptez que vos données personnelles soient traitées dans le cadre de votre demande.

Antrag auf Bewilligung der individuellen Wohnungsbeihilfen

Antrag auf Bewilligung der individuellen Wohnungsbeihilfen

Ihre in diesem Formular erfassten personenbezogenen Informationen werden von der zuständigen Verwaltungsbehörde verarbeitet, um Ihren Antrag erfolgreich abzuschließen.

Diese Informationen werden von der Behörde für den zur Verarbeitung erforderlichen Zeitraum gespeichert.

Die Empfänger Ihrer Daten sind die im Rahmen Ihres Antrags zuständigen Verwaltungsbehörden. Um die Empfänger der in diesem Formular erfassten Daten zu erfahren, wenden Sie sich bitte an die für Ihren Antrag zuständige Behörde.

Gemäß der Verordnung (EU) 2016/679 zum Schutz natürlicher Personen bei der Verarbeitung personenbezogener Daten und zum freien Datenverkehr haben Sie das Recht auf Zugang, Berichtigung und gegebenenfalls Löschung Ihrer personenbezogenen Informationen. Sie haben zudem das Recht, Ihre erteilte Einwilligung jederzeit zu widerrufen.

Weiterhin können Sie, außer in Fällen, in denen die Verarbeitung Ihrer Daten verpflichtend ist, Widerspruch einlegen, wenn dieser rechtmäßig begründet ist.

Wenn Sie diese Rechte ausüben und/oder Einsicht in Ihre Informationen nehmen möchten, können Sie sich unter den im Formular angegebenen Kontaktdaten an die zuständige Verwaltungsbehörde wenden. Sie haben außerdem die Möglichkeit, bei der Nationalen Kommission für den Datenschutz Beschwerde einzulegen (Commission nationale pour la protection des données, 1, Avenue du Rock'n'Roll, L-4361 Esch-sur-Alzette).

Wenn Sie Ihren Vorgang fortsetzen, akzeptieren Sie damit, dass Ihre personenbezogenen Daten im Rahmen Ihres Antrags verarbeitet werden.

Tax credit on notarial deeds

To complete your application, the information about you collected from this form needs to be processed by the public administration concerned.

That information is kept by the administration in question for as long as it is required to achieve the purpose of the processing operation(s).

Your data will be shared with other public administrations that are necessary for the processing of your application. For details on which departments will have access to the data on this form, please contact the public administration you are filing your application with.

Under the terms of Regulation (EU) 2016/679 on the protection of natural persons with regard to the processing of personal data and on the free movement of such data, you have the right to access, rectify or, where applicable, remove any information relating to you. You are also entitled to withdraw your consent at any time.

Additionally, unless the processing of your personal data is compulsory, you may, with legitimate reasons, oppose the processing of such data.

If you wish to exercise these rights and/or obtain a record of the information held about you, please contact the administration in question using the contact details provided on the form. You are also entitled to file a claim with the National Commission for Data Protection (Commission nationale pour la protection des données), headquartered at 1, Avenue du Rock'n'Roll, L-4361 Esch-sur-Alzette.

By submitting your application, you agree that your personal data may be processed as part of the application process.

Crédit d'impôt sur acte notarié

Les informations qui vous concernent recueillies sur ce formulaire font l’objet d’un traitement par l’administration concernée afin de mener à bien votre demande.

Ces informations sont conservées pour la durée nécessaire par l’administration à la réalisation de la finalité du traitement

Les destinataires de vos données sont les administrations compétentes dans le cadre du traitement de votre demande. Veuillez-vous adresser à l’administration concernée par votre demande pour connaître les destinataires des données figurant sur ce formulaire. Conformément au règlement (UE) 2016/679 relatif à la protection des personnes physiques à l'égard du traitement des données à caractère personnel et à la libre circulation de ces données, vous bénéficiez d’un droit d’accès, de rectification et le cas échéant d’effacement des informations vous concernant. Vous disposez également du droit de retirer votre consentement à tout moment.

En outre et excepté le cas où le traitement de vos données présente un caractère obligatoire, vous pouvez, pour des motifs légitimes, vous y opposer.

Si vous souhaitez exercer ces droits et/ou obtenir communication de vos informations, veuillez-vous adresser à l’administration concernée suivant les coordonnées indiquées dans le formulaire. Vous avez également la possibilité d’introduire une réclamation auprès de la Commission nationale pour la protection des données ayant son siège à 1 Avenue du Rock'n'Roll, L-4361 Esch-sur-Alzette.

En poursuivant votre démarche, vous acceptez que vos données personnelles soient traitées dans le cadre de votre demande.

Steuerkredit auf notarielle Urkunden

Ihre in diesem Formular erfassten personenbezogenen Informationen werden von der zuständigen Verwaltungsbehörde verarbeitet, um Ihren Antrag erfolgreich abzuschließen.

Diese Informationen werden von der Behörde für den zur Verarbeitung erforderlichen Zeitraum gespeichert.

Die Empfänger Ihrer Daten sind die im Rahmen Ihres Antrags zuständigen Verwaltungsbehörden. Um die Empfänger der in diesem Formular erfassten Daten zu erfahren, wenden Sie sich bitte an die für Ihren Antrag zuständige Behörde.

Gemäß der Verordnung (EU) 2016/679 zum Schutz natürlicher Personen bei der Verarbeitung personenbezogener Daten und zum freien Datenverkehr haben Sie das Recht auf Zugang, Berichtigung und gegebenenfalls Löschung Ihrer personenbezogenen Informationen. Sie haben zudem das Recht, Ihre erteilte Einwilligung jederzeit zu widerrufen.

Weiterhin können Sie, außer in Fällen, in denen die Verarbeitung Ihrer Daten verpflichtend ist, Widerspruch einlegen, wenn dieser rechtmäßig begründet ist.

Wenn Sie diese Rechte ausüben und/oder Einsicht in Ihre Informationen nehmen möchten, können Sie sich unter den im Formular angegebenen Kontaktdaten an die zuständige Verwaltungsbehörde wenden. Sie haben außerdem die Möglichkeit, bei der Nationalen Kommission für den Datenschutz Beschwerde einzulegen (Commission nationale pour la protection des données, 1, Avenue du Rock'n'Roll, L-4361 Esch-sur-Alzette).

Wenn Sie Ihren Vorgang fortsetzen, akzeptieren Sie damit, dass Ihre personenbezogenen Daten im Rahmen Ihres Antrags verarbeitet werden.

Who to contact

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