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In major cities around the world, more and more people are moving into new types of housing based on the co-living model. In Luxembourg too, this alternative seems more than ever adapted to the needs of its occupants, who are generally young and passing through due to a tight rental market and a context in which many people are looking for short-term housing.

## A modest personal space, but a multitude of shared amenities

Co-living is gaining popularity in most major cities, after initially gaining traction in metropolises around the world. These modern dwellings are hybrids, featuring both individual and community spaces.

Specifically, tenants can expect to have a studio or room that is between 15 and 30 square meters in size. They can relax and sleep in peace, with access to a full bathroom and a compact kitchen.

They are also welcome to use all the common areas, which may or may not be the same from one building to another. Some developers include spas, movie theaters, sports courts, libraries and even bars in their rental buildings to attract more tenants. Coworking spaces, shared lounges and ancillary services like self-service bikes and electric scooters are common features of this type of rental housing in the Luxembourg real estate market.

## Who can move into a co-living home?

Finding a rental home in Luxembourg can be difficult, especially if you're just passing through and don't intend to settle down permanently. To a greater extent than usual, young people and transients are ideal candidates for co-living situations.

Although we tend to see more young people and singles in these buildings, everyone is welcome to rent an apartment there. You need to be sociable and open to new people if you want to thrive in this type of rental. But don't worry, everyone has their own private space, whether it's a room or an entire studio.

## What is the going rate for roommates?

Rents in a co-living apartment are lower than average because residents have fewer responsibilities. As with any traditional apartment, you will need to purchase furniture, pay utilities and sign up for internet service. The total cost of a co-living apartment includes everything listed above. Especially if you are only staying for a short time, it may not be more expensive than renting an "empty" apartment.

Co-living is growing rapidly in some countries, including the United Kingdom, where it is serving as the economic base for a number of new construction projects. This investment opportunity is attracting investors as it offers them a way to diversify their holdings. The duration of the lease and the location of the taxpayer are not yet regulated by law in Luxembourg. Ministers have already stated that they are discussing new laws to adapt the rules to the new practices.

Co-living shakes up the rental market in Luxembourg!

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If you own a rental property in Luxembourg, do you dread having to find a new tenant for the apartment, organize the inventory of fixtures at the beginning and end of the lease and deal with the various incidents that may occur during the lease? The services of an agency are an option to consider if you want to make the most of your real estate investment and have more free time.

## Using a real estate agent greatly reduces the likelihood of not getting paid

Once a tenant realizes that they are dealing with an organization rather than an individual, they know that they have no bargaining power over rent payments. Most of the time, tenants are able to avoid late or missed rent payments simply by using a rental management company because they know that if they don't pay on time, the company will contact them immediately, try to get a valid excuse for the delay, and demand immediate payment.

Also, keep in mind that a service is always better equipped than a landlord to deal with unpaid bills if you ever have to deal with a difficult and dishonest tenant. They have a firm grasp on how best to get things in place as quickly as possible. In addition, some guaranteed contracts allow you to continue receiving rent even if you are unable to make a payment during the guaranteed period. Do not hesitate to ask for such a protection in order to rent your Luxembourg property in all serenity.

## A rental that scrupulously respects all local regulations

Whatever the size or type of property you offer for rent in Luxembourg City, you must be aware of the regulations that govern your activity.

The lease, for example, must be based on specific regulations to ensure that all parties involved are protected to the fullest extent. Repairs to the home may be required to comply with regulations, including safety regulations.

The agency is an expert in its field and will keep an eye on the property if you are not knowledgeable enough to know what repairs are most urgent. The latter will serve as a sort of warning to you, telling you what to look out for, and may even help you organize your various jobs.

## An open cost for a better return on investment

The cost of hiring a property management agency is something you need to consider, but it is manageable. If you decide to go this route, you can contact several providers to get quotes and see exactly how much money you will spend on the service. Don't rush into a contract, but store around until you find the one that works for you.

Do not automatically choose the lowest price. Additional services may be included in the more expensive plans. The various tasks (inventory of fixtures, signing the lease, receiving rent) should be included in the price and not charged as extras if you receive an offer that seems attractive.


Why use an agency to manage a property for rent in Luxembourg?

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You are considering investing in the Sarrebourg construction project, but you don't know why. Find out in this article why a new build is ideal for your needs.

## Completely new and tailored to your needs

Imagine a brand new structure as a blank page. Want to hang Christmas lights but can't find an outlet near the window? This is a fantastic concept! An individual's plan can be tailored to their specific needs. Underground studios, for example, can be partitioned to create two bedrooms and a second bathroom.

Everything is new and modern. You don't have to wait to start "living" in your new home.

Think of the currently unknown cost of refurbishing an old building and removing dangerous elements. A quaint old house can become a pit of despair in no time.

## Exciting new gadgets

Of course, new technology and modern standards are installed in a new building. Underfloor heating doesn't just bring comfort. It gives you more floor space without annoying radiators. And so many other ways to set up.

Double-glazed windows have been the standard for many years. Thanks to their special thermal insulation, our multi-glazed flush-mounted windows are a good choice for heat and sound insulation.

The increased sound insulation provided by double-skinned house walls also contributes to living comfort. They considerably reduce the transmission of sound between neighboring houses compared to single-shell house partitions.

## Energy and environmental efficiency

Nowadays, it is essential that the energy efficiency of a house is optimal. Efforts must be made to reduce energy consumption.

The use of air source heat pumps and other advanced technologies allows new buildings to significantly reduce heating and auxiliary energy costs. Clearly, new is more cost-effective than old.

## Time to celebrate the arrival of a brand new neighborhood

When you buy a BPD home, you not only get a shiny new structure, but also a comfortable place to call home. We don't just build homes for you to live in, but we also shape the surrounding neighborhood.

Parks, playgrounds, parking and public transport are all available to you.
With the next generation in mind

Comfortable and welcoming (living) environments are what BPD creates. When a community is designed with sustainability in mind, it retains its appeal long after it is built.

It is also important for us to take into account climate and landscape, energy, mobility and biodiversity in sustainable planning.

## New beginnings, new companions

One of the invaluable benefits of moving into a brand new building is the opportunity to move into a community with other families who are also raising young children and who can relate to your experiences as a resident.

New friendships are formed among the residents. An ideal setting for a young family.

The main advantages of a new construction!

Avoid real estate tourism and save time & resources !.jpg

Selling a property usually requires a lot of time and effort. On the one hand, you have to publish an attractive advertisement with pictures and important information, on the other hand, many visits are waiting for you. Real estate tourism is not a good thing. Tourists regularly visit different properties without the intention of buying them.

We present you the different types of tourists and give you valuable tips to avoid real estate tourism in Luxembourg.

## IT IS RARE THAT THERE IS A REAL INTEREST TO BUY

Sometimes it's just one person, in other cases it's a whole family that comes to visit on a Sunday to have a look at the proposed property. But in most cases, the curious are not interested in an actual real estate purchase. Instead, they just want to take a look at other people's homes, wasting the time of the owners and real estate agents. Basically, tourists visiting real estate can be divided into three groups:
- People who like to visit real estate.
- People who are interested but do not have a specific plan.
- Tourists who are not satisfied with any real estate.

## A DIFFERENT KIND OF FAMILY OUTING

While many families visit a zoo or enjoy their free time in a park on Sunday afternoons, other families visit the real estate offered in Luxembourg. These people are not interested in buying a property and just want to see how other people live. They may also be people who know the property on offer from stories and want to take a look at it at last. For sellers, these tourists are the most unpleasant, as they will certainly not buy anything.

## VISIT A PROPERTY WITHOUT A FINANCING PLAN OR PRECONCEIVED IDEAS

Another group of real estate tourists are those who want to buy a property, but do not have a concrete plan yet. Interested people have not talked to the bank and do not have a clear idea of the future property. Most of the time, potential buyers have just started looking for a property that suits them and are therefore looking at all the offers nearby. Visiting the property can help potential buyers get a clearer picture, but as a real estate agent or owner, you don't get much out of their visit.

## IF NO PROPERTY MATCHES YOUR WISHES

There are also people who seem to want to buy real estate, but have something wrong with every property. These real estate tourists come to the visit with very concrete ideas. They don't compromise, but they have a problem with every factor: The house is too noisy, access to public transportation is too difficult, the rooms are not perfectly arranged and the rent is way too high. These real estate tourists will only sign a purchase contract if all their wishes are met. Unfortunately, the chances are very slim.

## HOW TO DISTINGUISH BETWEEN THE TRULY INTERESTED AND THE CURIOUS?

Although real estate tourists are very tiring and time-consuming, there are of course also people who are really looking to buy an interesting property. To distinguish them from the merely curious, it is worth listening carefully. Genuine potential buyers ask important questions about the proposed property as soon as they get off the phone. For example, they want to know if there is an energy certificate, which heating system is in the property or how long ago the last renovation was. In addition, the appointment process determines whether you are talking to a real estate tourist or a real potential buyer. If someone immediately suggests Sunday or Saturday night for a visit, be careful. Weekends are a great time for real estate tourists to indulge in their unusual hobby. On the other hand, if someone is spontaneously available after work, this can be considered a good sign.

However, since it is not easy to distinguish between potential buyers and real estate tourists, it is better to trust a professional. Entrust us with the sale of your property in the Luxembourg region and we will find potential buyers who are really ready to sign a sales contract. Our know-how and human knowledge, as well as our long experience in the real estate sector, help us to select potential buyers.

Avoid real estate tourism and save time & resources !

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Do you know what real estate tourists are? These are people who call you about your real estate ad and visit the property without being genuinely interested. These people waste your valuable time. Moreover, they can be very demotivating, because you place in each new prospect the hope that he can buy your house or apartment. Real estate tourists never do.

## Identifying false prospects: not an easy task

There are different reasons why some people may lie to you about their interest in your property. They may simply want to see the interior of your home or to see how other people are settling in. Sometimes they do it to compare your property with theirs. They want to estimate the value of your home. Sometimes, fake buyers are even sincerely interested in buying a property, but don't know if your property would be suitable for them. Experienced real estate agents openly admit that it is sometimes difficult to identify fake buyers. But it's not impossible.

## Tips and Tricks to minimize visit tourism

You can't get inside someone's head, but you can reduce visit tourism by taking the following steps:
- Create a relevant description that limits the number of people interested.
- Publish realistic photos of the property to avoid disappointment.
- Use 360 degree tours. Only people who provide their email address can access them.
- Make phone calls to interested parties to gauge their intentions.
- Offer more tours on weekdays. Real estate tourists prefer to come on weekends as it is their leisure time.

## Selling without stress with a real estate agent

Want to avoid trouble with real estate tourists altogether? Then a real estate agent is the right person to talk to. He or she takes care of the whole selling process, from the estimation of the value to the handover of the property. This way, you save time and trouble, because he carefully selects solvent potential buyers thanks to his long experience.

Advises and tips to minimize real estate tourists!

In the west of Luxembourg, what do you know about the commune of Bertrange.jpg

The city of Bertrange, located only a few kilometers from the heart of Luxembourg City, will appeal to you in many ways. Living in Bertrange means being part of a dynamic community that has preserved its small-town charm while accumulating many valuable resources.

With a total area of 17.39 km2, the municipality of Bertrange is located in the center of Luxembourg, west of the capital. It is located on the outskirts of the country's capital, linking the city itself to the southern part of the country. A dynamic city that is constantly changing and adapting to meet the needs of its growing population thanks to the funding of various construction projects. As of January 1, 2019, the total population was 8,282, of which approximately 54% are not Luxembourgers. Nearly one hundred different nationalities are represented in the municipality of Bertrange, the majority of whom speak French, Portuguese, Italian, Belgian or German. Today, Bertrange is a community that successfully combines the well-known rustic look of our region with an unmistakably sophisticated air.

## A successful community life

Bertrange, a commune in the center of Luxembourg, is a good place to live because of its village atmosphere and its proximity to the city center. The municipality of Bertrange is considered one of the most prosperous and is home to numerous economic and industrial zones, including the Bourmicht zone, which is home to a large number of national and international companies.

In addition to its many restaurants, Bertrange is home to two large shopping centers: City Concorde and Cactus Belle Etoile. In addition to its original structure, City Concorde now offers a large number of unique stores to Bertrange residents. There are many restaurants in Bertrange - about 15 - to meet your gastronomic needs.

## Distinct settings

In addition, the city of Bertrange provides its residents with numerous facilities, such as the Atert cultural and sports center, which can accommodate up to 1500 spectators, and the Arca music school, which offers young people quality musical instruction and helps to keep Bertrange's artistic community alive. There is also a magnificent music hall, with a stage that can be configured for a variety of performances and accommodate more than 100 people. Exhibitions and receptions can also be held at Arca.

But that's not all, Bertrange's charm extends to its wide range of possibilities for rest and relaxation. Renowned for its swimming pools, the Thermes also has a spa where visitors can relax and recharge their batteries. In addition to its fitness center and restaurant, it also hosts a number of classes that you can sign up for.

Bertrange also has a tennis club, petanque courts, 24 playgrounds and soccer and volleyball clubs among its many other sports organizations and facilities.

## On behalf of our future generations

Bertrange, as a city, is home to an elementary school and several day care centers. The "Krank Kanner Doheem" service of Bertrange offers its inhabitants private home care for sick children. This service allows parents to continue working while providing their children with the best possible environment to heal.

## Bertrange and accessibility

The European School of Mamer is located not far from Bertrange, which reinforces the attractiveness of the city. Its location is ideal, as it allows easy access to major highways while being well served by public transportation. Numerous bus lines run through Bertrange, Luxembourg, due to its proximity to the country's capital.

## Living in Bertrange

After reading this, you should have a good idea of what it's like to live in Bertrange, a small village-like community near the city.  

In the west of Luxembourg, what do you know about the commune of Bertrange?

Understanding the syndic of co-ownership before buying in Luxembourg!.jpg

To what extent have you studied the syndic of co-ownership and mastered its function? In Luxembourg, if you buy a building (or even some houses), you automatically become a co-owner in a complex when you make your first real estate purchase. This means that certain things require anticipation. Take a look at the resources below to learn more about the syndic's role in your life.

## The responsibilities of a syndic of co-owners include both representation and management

In order to streamline the administration of a shared property, the syndicate of co-owners steps in as a representative body for all of the owners. You should be familiar with this individual before finalizing the purchase of a property in Luxembourg. This person allocates funds and ensures that decisions that affect the tenants' daily lives are followed (works, internal regulations, etc.).

Real estate investors in Luxembourg would do well to keep in mind that the syndic is appointed by the co-owners at a General Assembly. He does what he can to safeguard the property for all of the owners, and he takes that responsibility seriously (by implementing the necessary work and repairs, if necessary).

_"Efforts are made to safeguard the building and its occupants from deterioration while protecting the rights of individual owners to the greatest extent possible”._

Every day, the syndic of co-owners checks to make sure that everyone is adhering to the co-ownership rules and that the decisions made at the annual general meeting are being strictly adhered to. In addition, he is responsible for overseeing the home's accounting and general administration (mail, etc.).

## Can you explain the role of the syndicate council and how it differs from that of the syndic of co-ownership?

Planning to purchase a home in Luxembourg? Join the building's union council first. This allows you to participate in the daily operations of the business you co-own. That's why you're so valuable to have around when issues arise and need to be seen from your perspective (need for works, definition of common rules, nuisances and well-being of all, etc.).

However, the syndic of co-ownership is an external interlocutor who handles technical matters like budget and accounting management, law compliance checks (in areas like safety), etc. In addition, he is accountable for assisting the co-owners in selecting reliable service providers to complete the required tasks, placing orders, and keeping tabs on the sites.

_"When the co-owners go out to find workers, he's supposed to tag along to make sure they hire the most qualified people for the job”._

The syndic, as a true daily partner of the co-owners, can arrange visits with specific goals in mind and then report back. In the event of an issue, he can also make a claim on any number of appropriate insurance policies (damage to work, multi-risk co-ownership, among others).

## Who has the authority to make choices and carry out duties?

The building's general meeting of co-owners is called whenever major decisions need to be made. All decisions that will have an effect on the occupants are discussed and agreed upon by this group. After that, the syndicate's job is still one of control; he sees to it that all decisions are carried out exactly as planned by the various groups.

Understanding the syndic of co-ownership before buying in Luxembourg!

Améliorez votre dossier avec un plan de financement pour accélérer votre achat !.jpg

Most real estate purchases are financed by a mortgage, which most borrowers pay off over several decades, usually no more than 30 years. Much depends on the specifics of the property and the client's requirements for it. Before you decide on a property, you need to develop a financial strategy that includes an estimate of costs, cash flow and a borrowing goal.

## When calculating your costs, be as specific as possible

Beyond the purchase price of the home, there are several expenses that must be saved before you can proceed with the purchase. While this is the largest expense, it is important to include all other expenses. For example, you will need to pay the notary handling the transaction so that he can collect taxes directly from the tax authorities, recover certain expenses (such as those incurred in requesting specific administrative documents) and pay himself. Insurance premiums, processing fees and other administrative costs may also be incurred.

## Define the extent of your financial support

Obviously, you can consider all your resources, such as savings, inheritance or the amount from the sale of your current home, to meet all these expenses (if you are not a first-time buyer). To fill the gap between now and the time when you can sell your current home, a bridging loan can be a solution. The amount to be put down can be determined by calculating the capital available at the time of purchase.

A typical down payment is between 20% and 30% of the purchase price, depending on the lending institution you work with. If you can't come up with the money yourself, you can always ask a family member to be a guarantor or to mortgage another property you own. It is also possible to try to negotiate with the bank to reduce the amount of money required. With a government guarantee, buying a home is much less difficult.

## If you have to borrow money, calculate your exact repayment capacity

After a review of your financial assets, you must evaluate your monthly income and expenses to arrive at an accurate debt capacity. In other words, this is the maximum amount you can spend each month to repay the loan without experiencing financial difficulties. Financial institutions generally recommend that this "effort rate" not exceed one third of your annual income.

Of course, you should reduce the term of the contract as much as possible if you want to spend less money on interest and loan insurance. The interest you pay on your loan will decrease as you pay it off. However, this decision will result in higher regular payments, so be prepared to provide for your family despite the unexpected. In the event of the insured's death, outstanding balance insurance (UBI) can provide additional protection. If there is an outstanding principal, the beneficiary of the insurance will receive that amount.

## Plan your finances, but don't go it alone

Your capital acquisition strategy will have a better chance of success if it is more specific and well-founded. Don't hesitate to consult with experts before implementing it, as this will help you anticipate all costs and stay under the maximum debt load allowed by banks.

Lending institutions must have a solid foundation to operate and be able to provide a wide range of collateral. Before you start working, make sure you have your latest paychecks, salary certificate and published estimates.  

How can you improve your file to speed up your purchase?

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If you're looking to buy, sell, or rent a home in Luxembourg, you can expect to be asked some unexpected questions by your realtor. Not only will they question you on your identity, but also on your wealth, income, and line of work. In fact, it's crucial to understand that the AML (anti-money laundering) law strictly governs the collection and use of this data in the context of the fight against money laundering.

## What the legislation in Luxembourg says about combating money laundering

The prevention of money laundering and the financing of terrorism are the subjects of a first law enacted on November 12, 2004. One further law was passed on October 27, 2010, to further fortify the existing legal framework in this area. Last but not least, the law enacted on August 10, 2018, addresses the information that trustees must collect and maintain for the purpose of thwarting money laundering and the financing of terrorism.

_“Money laundering is the process of trying to hide the true origin of money or other valuables”._

All those working in the financial industry need to take preventative measures in a concerted effort to thwart these illicit activities. Not only do banks have to cope with the necessity to take measures, but so do accountants, notaries, gaming operators, and real estate salespeople. Because of this, you may need to provide a variety of paperwork before beginning your real estate project.

## So, what exactly do real estate brokers have to do to comply with the AML law?

For purposes of the AML law, all real estate brokers are required to do client due diligence by asking a series of questions (previously, the work was only done by banks and notaries).

To that end, it is only reasonable to request that you submit a number of records explicating the nature and scope of your project (financial, family, professional, patrimonial).

Included in the required documentation is a government-issued photo ID, a recent utility bill or bank statement showing your current address, and any relevant documentation for your line of work (such as an employment contract or proof of activity for self-employed professionals).

All reports of suspicious transactions in Luxembourg that may include money laundering or terrorist financing are handled by the FIU (Financial Intelligence Unit), an independent and autonomous body.

_“The Financial Intelligence Unit (FIU) is an autonomous organization responsible for handling all reports of potentially fraudulent financial activity”._

For the record, professionals who "suspect or have reasonable grounds to suspect" a money laundering transaction are obligated to decline the transaction and report it immediately to the Financial Intelligence Unit (FIU). Since real estate agents' responsibilities can be called upon at any time, it's only natural that they take safeguards; if they request full documentation, don't panic, and feel free to ask them any queries you have; they'll be happy to provide an explanation.

What law applies to money laundering?

How to buy property a buyer’s manual.jpg

Looking to make a real estate purchase? Where do I even begin, how do I determine my needs, what is a reasonable cost, and what kind of assistance are out there, and on what criteria? Who are the experts you recommend I talk to? How exactly should I go about penning my purchase offer? There are a lot of unknowns that we will clarify for you.

## Setting your criteria before making a real estate purchase is essential

You hope to buy a house or an apartment someday, but you haven't decided what you'd need. We hope that the list of considerations we have helped you create is complete. If you want to maximize the effectiveness of your research efforts, you should prioritize them based on what you really need, rather than what you want.

## How to determine a fair price for a piece of real estate

Reputable government agencies regularly release a plethora of studies. It is crucial to consult them in order to have an accurate understanding of the market values, in this case the apartment prices by municipality, and to avoid going into talks blind. Particularly in today's ever-increasing market!

## How can I get help with purchasing or constructing a home?

There are a number of programs available from the government that can assist you in purchasing your primary residence. You can choose from a number of different programs in Luxembourg, whether you're looking to acquire an existing home, start a construction project, or do either. When do they really pay off, though?

## Who can you consult for advice before making a property investment?

A great deal of planning will go into your real estate venture. What formal procedures must you follow? How much money will we have to spend? Assemble a team of experts who can give you accurate details about your purchase so you can better manage the project.

## After a visit, how do you go about making an offer?

The love bug has bitten you! Your first offer to buy should now be formulated and negotiations should begin. What is your secret? This is an important move that needs to be guided by solid advice.

Blog and real estate advices