Advice on buying Luxembourg Property

Luxembourg is situated between France, Belgium and Germany, it is an independent sovereign state, and is also known as the “Grand Duchy of Luxembourg. It is the capital for European monetary policy with foreign residents making up over 30of the population.
 
There are no restrictions on foreign residents owning property in Luxembourg. The practise of putting “For Sale” boards outside property is not widely used, so the importance of your Estate Agent who knows the market and what property is for sale will obviously be a great advantage
 
PURCHASE
 
When you have found your ideal property, you enter into a written contract (sales agreement) with both parties signing to confirm their intent in front of a Public Notary. Oral contracts that bind both parties to the sale of the property are also accepted but the written contract gives both parties that extra security.
 
The property transaction is always registered and recorded in the notary’s deed .The public notary will present the new property deeds for recording in this register. You then have up to 15 days from the date of signing to pay duty.
 
COSTS
 
The cost of registration of your new property will be 6 of the property sale price with an additional 1 transcript tax based upon the same (the property cannot be declared at less than the market value).
Taxes for municipal services vary between 0.7 and 1 per annum.Net wealth tax is levied annually and is 0.5 at this moment.
 
MORTGAGES
 
Luxembourg being at the centre of many financial banking institutions, offer various types of mortgage to assist property purchase. Mortgages of 80 and above being available with repayment periods up to 30 years
being quite normal.