Renting in Luxembourg
If you have read elsewhere that you need three months' deposit and must pay the whole agency commission, the information is out of date. Both rules changed on 1 August 2024, and the gap is quantifiable: one month's rent, plus half a commission.
What changed on 1 August 2024
| Rule | Before | Since 01.08.2024 |
|---|---|---|
| Rental deposit | 3 months' rent | 2 months maximum |
| Agency commission | borne by the tenant | split 50/50 between landlord and tenant |
| Form of the lease | written or verbal | written compulsory, with mandatory particulars |
| Rent increase | annual thirds rule | + 10% at most, every two years |
| Rent cap | unchanged — 5% a year of the capital invested in the property | |
| House sharing | unregulated | single contract + written sharing pact; 3 months' notice |
Sources: Ministry of Housing and Spatial Planning, statement of 10.07.2024; law of 23 July 2024 (Mémorial A No 311), in force 1 August 2024. Consulted 07.08.2026.
A deposit-return procedure was also introduced, with precise deadlines and a penalty for non-compliance.
What you pay on signing day
Three items, and only one is negotiable:
- the rental deposit, capped at two months' rent;
- half the agency commission, if there is an agency;
- the first month's rent.
The rent subsidy is closed to cross-border workers
It is the same shape as the impatriate regime: a real, visible aid, inaccessible to those who look for it first. It fails on three conditions at once:
- a right of residence of more than three months in Luxembourg;
- registration in the national register of natural persons;
- a home located on Luxembourg territory, on the private market.
A cross-border worker meets none of them. For a resident, the financial condition is that the monthly rent excluding charges exceeds 25% of the household's net income; the aid “may vary between €10 and €520 a month” depending on composition and income.
Source: Guichet.lu, “Rent subsidy”, page updated 19.02.2026, consulted 07.08.2026.
Getting your deposit back
It is the most frequent end-of-lease dispute, and the text is precise — article 5, paragraph 2bis of the 2006 law, inserted by the reform. If the exit inventory matches the entry one (normal wear and tear excepted) and the landlord claims neither rent arrears nor damage, then half the deposit must be returned within a maximum of one month. The balance follows the settlement of charges.
Sources: law of 21 September 2006 on residential leases, articles 1 and 5, as amended by the law of 23 July 2024 (Mémorial A No 311). Texts read on the Legilux filestore on 07.08.2026.
What we have not established
- The official consolidated text: we read the 2006 law AND its 2024 amending text, but not the consolidated version in one piece.
- The article carrying the written lease on pain of nullity: two readings attributed it differently, and we do not settle it.
- The scale of the rent subsidy, without which no amount can be projected.
- The state rental guarantee for households without savings.
- Lease registration and its tax treatment.