Authored by the expert who managed and guided the team behind the Luxembourg Property Pack
Everything you need to know before buying real estate is included in our Luxembourg Property Pack
Luxembourg is one of Europe's smallest countries, but it has some of the continent's highest house prices, driven by strong demand from well-paid professionals and limited land supply.
Understanding what houses actually cost in Luxembourg in 2026 can be confusing because asking prices often differ from what buyers end up paying, and prices vary dramatically between communes.
This guide breaks down real transaction data and listing prices so you can plan your budget with confidence, whether you are targeting Luxembourg City or a quieter northern commune.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Luxembourg.
How much do houses cost in Luxembourg as of 2026?
What's the median and average house price in Luxembourg as of 2026?
As of early 2026, the median selling price for an existing house in Luxembourg is around €912,500 (approximately $960,000 or £765,000), while the average price sits higher at roughly €980,000 ($1,030,000).
The typical price range that covers about 80% of house sales in Luxembourg falls between €750,000 and €1,300,000 ($790,000 to $1,370,000), though this shifts considerably based on location and property size.
The gap between the median and average house prices in Luxembourg exists because a significant number of high-value properties in premium communes like Luxembourg City and Strassen pull the average upward, while most buyers close deals closer to the median.
At the median price of around €912,500 in Luxembourg, a buyer can typically expect a 3-bedroom family house of 130 to 160 square meters in a mid-priced commune outside the capital, often with a modest garden and requiring some modernization.
What's the cheapest livable house budget in Luxembourg as of 2026?
As of early 2026, the minimum budget for a livable house in Luxembourg is around €550,000 ($580,000), though finding options at this price requires patience and flexibility on location.
At this entry-level price point in Luxembourg, "livable" typically means a smaller house of 80 to 100 square meters that may need cosmetic updates, has basic amenities, and often carries an older energy rating that could mean higher heating bills.
The cheapest livable houses in Luxembourg are usually found in northern communes like Troisvierges, Vianden, and Wincrange, or in some southern towns like Rumelange and Esch-sur-Sûre, where average asking prices range from €690,000 to €780,000.
Wondering what you can get? We cover all the buying opportunities at different budget levels in Luxembourg here.
How much do 2 and 3-bedroom houses cost in Luxembourg as of 2026?
As of early 2026, a typical 2-bedroom house in Luxembourg costs between €650,000 and €1,000,000 ($685,000 to $1,050,000) outside the capital, while 3-bedroom houses generally range from €850,000 to €1,400,000 ($895,000 to $1,470,000) in similar areas.
The realistic price range for a 2-bedroom house in Luxembourg runs from €650,000 to €1,000,000 in outer communes, but if you are looking within Luxembourg City or close-in communes like Strassen or Bertrange, expect to pay €1,000,000 to €1,600,000 ($1,050,000 to $1,680,000).
For a 3-bedroom house in Luxembourg, the realistic range outside the capital is €850,000 to €1,400,000, while Luxembourg City and its immediate ring push that to €1,300,000 to €2,200,000 ($1,370,000 to $2,310,000).
Moving from a 2-bedroom to a 3-bedroom house in Luxembourg typically adds a premium of €200,000 to €400,000 (roughly 25% to 40% more), reflecting both the extra space and the fact that 3-bedroom homes attract strong demand from families.
How much do 4-bedroom houses cost in Luxembourg as of 2026?
As of early 2026, a typical 4-bedroom house in Luxembourg costs between €1,100,000 and €2,000,000 ($1,160,000 to $2,100,000) nationally, with prices in Luxembourg City and the close-in ring often exceeding this range.
The realistic price range for a 5-bedroom house in Luxembourg is €1,500,000 to €2,800,000 ($1,580,000 to $2,940,000), with these larger properties common in expat-favored communes like Niederanven, Kopstal, and certain Luxembourg City quarters.
For a 6-bedroom house in Luxembourg, expect to pay €2,000,000 to €3,500,000 or more ($2,100,000 to $3,680,000+), as these properties often fall into "villa" territory in premium locations like Belair, Limpertsberg, or the wealthiest suburbs.
Please note that we give much more detailed data in our pack about the property market in Luxembourg.
How much do new-build houses cost in Luxembourg as of 2026?
As of early 2026, a typical new-build house in Luxembourg costs around €1,000,000 to €1,500,000 ($1,050,000 to $1,580,000) outside the capital, while new builds in Luxembourg City and premium communes can easily exceed €2,000,000.
The typical premium for new-build houses compared to older resale houses in Luxembourg is 10% to 20%, driven by modern energy performance ratings, contemporary specifications, and higher construction costs that have persisted since the building boom years.
How much do houses with land cost in Luxembourg as of 2026?
As of early 2026, a typical house with land in Luxembourg costs between €850,000 and €1,500,000 ($895,000 to $1,580,000) in mid-priced communes, while premium communes and Luxembourg City push prices for houses with larger plots to €1,800,000 to €3,500,000 or more.
In Luxembourg, a "house with land" typically means a property with a plot of 3 to 10 ares (300 to 1,000 square meters), since nearly all standalone or semi-detached houses come with some land, and what changes the price is plot size, location, and whether the land is buildable.
We cover everything there is to know about land prices in Luxembourg here.
Thinking of buying real estate in Luxembourg?
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Where are houses cheapest and most expensive in Luxembourg as of 2026?
Which neighborhoods have the lowest house prices in Luxembourg as of 2026?
As of early 2026, the communes with the lowest house prices in Luxembourg are Troisvierges (average asking price around €690,000), Vianden (€720,000), Rumelange (€735,000), Esch-sur-Sûre (€750,000), and Wincrange (€780,000).
In these cheapest communes in Luxembourg, the typical house price range is €550,000 to €850,000 ($580,000 to $895,000), offering the most accessible entry points for buyers on tighter budgets.
The main reason these communes have lower house prices in Luxembourg is their distance from the capital and major employment centers, which means longer commutes and fewer international schools or amenities that expat families typically seek.
Which neighborhoods have the highest house prices in Luxembourg as of 2026?
As of early 2026, the three communes with the highest house prices in Luxembourg are Luxembourg City (average asking price around €2,340,000), Strassen (€2,110,000), and Kopstal (€2,050,000), followed closely by Niederanven and Leudelange.
In these most expensive communes in Luxembourg, the typical house price range is €1,800,000 to €3,500,000 ($1,890,000 to $3,680,000), with exceptional properties in prime Luxembourg City quarters exceeding €4,000,000.
The main reason these communes command the highest prices in Luxembourg is their combination of proximity to major employers (EU institutions, banks, Big Four firms), top international schools, and excellent infrastructure including tram and motorway access.
The typical buyer in these premium Luxembourg neighborhoods is a senior professional or executive working in finance, EU institutions, or multinational corporations, often an international family willing to pay a significant premium for a short commute and access to elite schooling.
How much do houses cost near the city center in Luxembourg as of 2026?
As of early 2026, a house near the city center of Luxembourg (including quarters like Ville Haute, Grund, Gare, Belair, and Limpertsberg) typically costs between €1,300,000 and €3,000,000 ($1,370,000 to $3,150,000), with renovated townhouses and villas often priced higher.
Houses near major transit hubs in Luxembourg, particularly areas with tram access like Kirchberg, Gasperich/Cloche d'Or, and Gare, typically cost €1,200,000 to €2,500,000 ($1,260,000 to $2,630,000), as buyers pay a premium for reduced commute times.
Near top-rated schools in Luxembourg such as the European School Luxembourg I (Kirchberg), St George's International School (Hamm), and the International School of Luxembourg, houses typically cost €1,300,000 to €3,000,000+, since these schools are located in or near premium neighborhoods.
In expat-popular areas of Luxembourg like Kirchberg, Limpertsberg, Belair, Merl, Gasperich, Strassen, Bertrange, and Niederanven, houses typically cost €1,300,000 to €3,000,000+ ($1,370,000 to $3,150,000+), depending on size and exact street.
We actually have an updated expat guide for Luxembourg here.
How much do houses cost in the suburbs in Luxembourg as of 2026?
As of early 2026, a typical house in the suburbs of Luxembourg (the close commuter belt within 15 to 30 minutes of the city) costs between €900,000 and €2,100,000 ($945,000 to $2,210,000), with significant variation depending on which suburb.
The typical price difference between suburban houses and city-center houses in Luxembourg is 20% to 40% lower in outer suburbs, though close-in premium suburbs like Strassen and Kopstal often match or exceed city prices due to their convenience and prestige.
The most popular suburbs for house buyers in Luxembourg include Strassen (average €2,110,000), Bertrange, Mamer, Hesperange, and Sandweiler, which offer a balance of space, good schools, and reasonable commute times to the capital.
What areas in Luxembourg are improving and still affordable as of 2026?
As of early 2026, the top areas in Luxembourg that are improving and still relatively affordable for house buyers include southern towns around Esch-sur-Alzette (benefiting from urban renewal projects), northern communes like Troisvierges and Wincrange, and mid-country commuter hubs with train stations.
The current typical house price in these improving yet affordable areas of Luxembourg ranges from €690,000 to €900,000 ($725,000 to $945,000), which is 25% to 40% below the national median.
The main sign of improvement driving buyer interest in these Luxembourg areas is infrastructure investment, particularly new rail connections, the expansion of remote work acceptance, and the market stabilization that has made buyers more selective and willing to explore beyond the traditional expat corridor.
By the way, we've written a blog article detailing what are the current best areas to invest in property in Luxembourg.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Luxembourg versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
What extra costs should I budget for a house in Luxembourg right now?
What are typical buyer closing costs for houses in Luxembourg right now?
The estimated typical total closing cost for house buyers in Luxembourg is around 7% to 8% of the purchase price, with the vast majority of this going to government transfer taxes collected through the notary.
The main closing cost categories for house buyers in Luxembourg are the registration fee (6% of purchase price), transcription fee (1%), and notary professional fees (typically a few thousand euros depending on property value).
The largest single closing cost for house buyers in Luxembourg is the combined 7% transfer tax (registration plus transcription), though the "Bëllegen Akt" tax credit can reduce this burden for buyers purchasing a main residence who meet certain conditions.
We cover all these costs and what are the strategies to minimize them in our property pack about Luxembourg.
How much are property taxes on houses in Luxembourg right now?
The estimated typical annual property tax (impôt foncier) for a house in Luxembourg is in the low hundreds of euros per year, ranging roughly from €150 to €500 ($160 to $525) depending on the commune and property characteristics, which is quite modest compared to many other countries.
Property tax in Luxembourg is calculated using cadastral unit values multiplied by commune-specific rates, which means the exact amount varies by location, and buyers should use the official property tax simulator to estimate their specific liability.
If you want to go into more details, we also have a page with all the property taxes and fees in Luxembourg.
How much is home insurance for a house in Luxembourg right now?
The estimated typical annual home insurance cost for a house in Luxembourg is €600 to €1,100 per year ($630 to $1,160), which works out to roughly €50 to €90 per month, though larger houses and more comprehensive coverage push premiums higher.
The main factors that affect home insurance premiums for houses in Luxembourg are the property size, construction type, coverage level, location, and any additional options like natural disaster coverage or liability protection.
What are typical utility costs for a house in Luxembourg right now?
The estimated typical total monthly utility cost for a house in Luxembourg is €300 to €500 ($315 to $525), covering electricity, heating, water, and internet, though this varies significantly based on house size and energy efficiency rating.
The breakdown of main utility categories for houses in Luxembourg includes electricity (€80 to €150/month), heating (€100 to €200/month depending on fuel type and insulation), water (€40 to €60/month), and internet/telecom (€50 to €80/month).
What are common hidden costs when buying a house in Luxembourg right now?
The estimated total of common hidden costs that house buyers in Luxembourg often overlook ranges from €5,000 to €20,000+ ($5,250 to $21,000+), depending on the property condition and any immediate repairs or upgrades needed after purchase.
The typical inspection fees buyers should expect when purchasing a house in Luxembourg are €800 to €1,500 ($840 to $1,580) for a thorough pre-purchase building inspection, with additional costs if you add specialist checks like roof structure, moisture mapping, or heating system diagnostics.
Other common hidden costs beyond inspections when buying a house in Luxembourg include immediate maintenance or repairs (roof, windows, heating systems), energy-efficiency upgrades to improve poor energy ratings, bank mortgage fees (valuation, file fees, required insurance), and moving costs.
The hidden cost that tends to surprise first-time house buyers in Luxembourg the most is the expense of energy-efficiency upgrades, since many older houses have poor energy ratings and upgrading insulation, windows, or heating can easily cost €20,000 to €50,000 but helps protect resale value.
You will find here the list of classic mistakes people make when buying a property in Luxembourg.
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What do locals and expats say about the market in Luxembourg as of 2026?
Do people think houses are overpriced in Luxembourg as of 2026?
As of early 2026, the general sentiment among locals and expats is that houses in Luxembourg remain structurally expensive due to high incomes, tight land supply, and strong cross-border demand, but the market no longer feels as overheated as it did during the 2021-2022 frenzy.
Houses in Luxembourg typically stay on the market for several weeks to a few months before selling, which is a noticeable change from the boom years when properties often sold within days of listing.
The main reason locals and expats give for feeling house prices in Luxembourg are high but increasingly fair is the meaningful price correction that occurred after the 2022 peak, which brought values down and then stabilized, making the market feel less disconnected from fundamentals.
Compared to one or two years ago, sentiment on house prices in Luxembourg has shifted from frustration over rapid price increases to cautious acceptance, as buyers recognize that while prices remain elevated, the market has cooled and offers more negotiating room.
You'll find our latest property market analysis about Luxembourg here.
Are prices still rising or cooling in Luxembourg as of 2026?
As of early 2026, house prices in Luxembourg have stabilized after a period of cooling, meaning the sharp declines seen from 2022 to early 2024 have ended and the market is now moving sideways with modest selective strength in some segments.
The estimated year-over-year house price change in Luxembourg is roughly flat to slightly positive (0% to 3%), following a cumulative drop of around 15% to 20% from the 2022 peak, according to official and portal-based analyses.
Experts and locals expect house prices in Luxembourg over the next 6 to 12 months to remain relatively stable, with potential for modest increases in desirable locations if interest rates continue to ease, but no return to the rapid appreciation of 2020-2022.
Finally, please note that we have covered property price trends and forecasts for Luxembourg here.
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Luxembourg. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Luxembourg, we always rely on the strongest methodology we can, and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why it's authoritative | How we used it |
|---|---|---|
| Le Logement en Chiffres n°18 (Observatoire/STATEC) | Official joint government publication tracking Luxembourg housing with notarial transaction data. | We used it to anchor median and mean transaction prices for existing houses. We treated it as our primary "ground truth" for what buyers actually pay. |
| Luxembourg Open Data Portal (listing prices by commune) | National open data portal with clearly described datasets and downloads. | We used it to map which communes are cheapest and most expensive. We extracted concrete examples like Troisvierges and Luxembourg City averages. |
| Rapport d'analyse #19 (buildable land prices) | Official Observatoire report using land transaction records and hedonic methods. | We used it to explain land-cost pressure behind house prices. We referenced its documented price correction since 2022. |
| Guichet.lu (Bëllegen Akt tax credit) | Official government service portal for Luxembourg citizens and residents. | We used it to quantify the 7% transfer taxes and explain the tax credit. We based our closing cost section on its official rules. |
| atHome market commentary | Luxembourg's largest property portal with transparent listing-based methodology. | We used it to confirm market stabilization into early 2026. We treated it as a "market pulse" indicator alongside official data. |
| Immotop price analysis | Major Luxembourg portal with clearly stated listing-based methodology. | We used it as a trend cross-check and to discuss energy rating premiums. We did not treat it as official transaction pricing. |
| Eurostat House Price Index | EU's official statistics body with transparent HPI methodology. | We used it for trend confirmation alongside Luxembourg's national series. We validated direction and timing of price movements. |
| Banque centrale du Luxembourg (Financial Stability Review) | Luxembourg's central bank with authoritative macroprudential analysis. | We used it to support the macro story of rate shock leading to housing slowdown. We treated it as context rather than primary price data. |
| Guichet.lu (impôt foncier) | Official portal describing how property tax works in Luxembourg. | We used it to explain property tax calculation and why bills are often modest. We framed realistic yearly budget expectations. |
| CMS Expert Guide (transaction taxes) | Major international law firm providing verified legal summaries. | We used it to cross-check transfer tax structure and typical add-ons. We validated our Guichet.lu findings with this second source. |
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