The advantages introduced in 2024 to boost the real estate market are working! To support this momentum, Prime Minister Luc Frieden has announced that these measures will be extended until June 30, 2025.
Exceptional tax advantages for the purchase or sale of real estate have been extended.
Here are the main measures that have been maintained:
- Tax credit for the primary residence: “Bëllegen Akt” up to €40,000 per person for the acquisition of a primary residence (or €80,000 per couple).
- Tax credit for rental housing: “Bëllegen Akt Investisseur” up to €20,000 per person for newly constructed properties (VEFA) intended for rental.
- Accelerated depreciation: Increased to 6% per year for 6 years, exclusively for new properties (VEFA), with a cap of €250,000.
- Reduced registration fees: Halved from 7% to 3.5% for existing properties and VEFA, applicable to the acquisition of a primary residence, and only for new properties in the case of an investment.
- Capital gains tax: Reduction of the capital gains tax to 10.5% (instead of the usual 21%) upon the sale of real estate. Full exemption for properties with an A+ energy rating and for houses transferred to social rental management.
This is the very last chance to optimize your real estate assets at the best price.
Luc Frieden has been clear: no further extension will be considered after July 2025. This decision gives real estate players the necessary time to meet demand and finalize ongoing transactions.
Time is running out!
Indeed, to make sure you benefit from these advantages, we recommend signing a sales agreement before April 30.
Feel free to ask your questions at info@hektar.lu or by phone at +352 27 85 80 40.