Applying for a State home loan guarantee
Last update
To grant a mortgage loan, banking establishments require guarantees (personal contribution, mortgage, etc.).
If you are unable to provide sufficient guarantees of your own to borrow the money needed for:
- building;
- purchasing; or
- improving your home ;
the Luxembourg government may, under certain conditions, help you to guarantee the loan.
The banking institution from which you take out the loan must have signed an agreement with the Luxembourg government in order for you to benefit from this guarantee.
The State guarantee covers the portion of the loan that exceeds 60 % of the total cost of the investment, but cannot exceed 30 % of the total loan.
The maximum amount of the State guarantee may not exceed EUR 269,807.20, which corresponds to the average annual value of the building price index in 2022 (index at 1037.72).
Who is concerned?
Anyone over 18 who wants to take out a home loan in order to:
- purchase;
- build;
- improve;
- transform; or
- renovate
a dwelling that is located in Luxembourg and serves as the main and permanent residence for the borrower and their spouse or registered partner, as well as for their ascendants and descendants and/or those of their spouse or registered partner living in the same household.
Prerequisites
Submitting the application
The application for a State guarantee is submitted by your accredited banking institution which grants the loan.
The application form must be signed by both you and the banking institution.
Supporting documents
The following items must be submitted with the application:
- a copy of your identity document;
- a declaration concerning the composition of your household, duly dated and signed by you;
- the history of the transactions on the savings account over the previous 3 years (or copies of bank statements);
- a copy of the provisional sale and purchase agreement in the case of purchase of property, or a copy of the preliminary contract (contrat préliminaire) if you are building a new property, or any other document proving that you are the full owner of the property;
- a sworn statement to the effect that you own no other property in Luxembourg or abroad;
- your salary certificate (and that of your spouse if there are several applicants) ;
- a financing plan;
- the general terms and conditions of the loan;
- for foreign applicants: a document proving your right to stay for more than 3 months.
As the beneficiary of the loan, you are obliged to inform the Single point of contact for housing assistance as soon as possible of any change in your situation.
The State guarantee is valid for the entire term of the loan and covers repayment of the principal, interest and ancillary costs of the loan.
How to proceed
The application for a State guarantee is submitted by the approved banking and savings establishment that is granting the loan, at the same time as the application to obtain individual housing aid. The application is filed using the aid application form, which must be completed and signed by the financial institution.
The following items must be submitted with the application:
- the history of the transactions on the savings account over the previous 3 years (or copies of bank statements);
- a copy of the contract of sale agreement, dated and signed by all parties;
- a salary certificate in the name of the applicant (and their spouse);
- for non-Luxembourgish residents: a copy of the residence certificate, or a copy of the residence permit, or a copy of the certificate of registration, or a copy of their currently valid passport with a residence permit.
The recipient of the loan must inform the administration at the earliest opportunity of any change in their circumstances.
Online services and forms
Who to contact
Single point of contact for housing assistance
Single point of contact for housing assistance
-
Ministry of Housing and Spatial Planning Single point of contact for housing assistance
- Address:
- 11, rue de Hollerich L-1741 Luxembourg Luxembourg
- Phone:
-
(+352) 8002 10 10
Telephone: Monday to Friday from 8.00 to 16.00
- Fax:
- (+352) 458 844
- Email address:
- info@ml.etat.lu
- Website:
- http://www.logement.lu
Closed ⋅ Opens Monday at 8.00
- Sunday:
- Closed
- Monday:
- 8.00 to 12.00, 13.30 to 16.00
- Tuesday:
- 8.00 to 12.00, 13.30 to 16.00
- Wednesday:
- 8.00 to 12.00, 13.30 to 16.00
- Thursday:
- Closed
- Friday:
- 8.00 to 12.00, 13.30 to 16.00
- Saturday:
- Closed
Thursdays by appointment only
-
Ministry of Housing and Spatial Planning Single point of contact for housing assistance
- Address:
- 11, rue de Hollerich L-1741 Luxembourg Luxembourg
- Phone:
-
(+352) 8002 10 10
Telephone: Monday to Friday from 8.00 to 16.00
- Fax:
- (+352) 458 844
- Email address:
- info@ml.etat.lu
- Website:
- http://www.logement.lu
Closed ⋅ Opens Monday at 8.00
- Sunday:
- Closed
- Monday:
- 8.00 to 12.00, 13.30 to 16.00
- Tuesday:
- 8.00 to 12.00, 13.30 to 16.00
- Wednesday:
- 8.00 to 12.00, 13.30 to 16.00
- Thursday:
- Closed
- Friday:
- 8.00 to 12.00, 13.30 to 16.00
- Saturday:
- Closed
Thursdays by appointment only
Related procedures and links
Procedures
Links
Further information
sur logement.lu
Legal references
-
Loi du 7 août 2023
relative aux aides individuelles au logement
-
Règlement grand-ducal du 7 août 2023
fixant les modalités d’exécution relatives aux aides individuelles au logement.
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