2024-04-10 11:39:37
After stabilizing in the first quarter of 2023, according to the April report from the real estate portal atHome, rents are expected to rise again. At issue is the growing pressure on the rental market, resulting from the decrease in construction that has occurred in the last year.
“We will suffer the consequences of the drop in housing construction in 2024 and 2025”, estimated Georges Krieger, president of Owners Union (Union of Owners), in statements to RTL.
House rents in Luxembourg are lower
In agreement with this prediction is Jean-Michel Campanella, president of Tenant protection (Tenant Protection), according to which the situation will tend to worsen in the near future, as “there will be a delaying effect on construction”.
Gilles Hempel, director of Social Real Estate Agency (Agência Imobiliária Social) considers that the rental market was already under pressure before the increase in inflation. In fact, the slowdown in construction caused it to become “clogged”, the person in charge told the public broadcaster.
Despite the progressive slowdown in rents in mid-2023, and the relative stability at the beginning of this year, an increase of 2.5% in apartment rents across the country had already been recorded in that same period.
House prices continue to fall in Luxembourg. Find out which region is cheapest
On the other hand, the home buying market appears to be facing more favorable circumstances, with a drop of almost 10% in housing prices, according to the atHome report.
At a European level, Luxembourg was, in fact, the country that recorded the biggest drop in housing prices (-14.4%), according to Eurostat data for the fourth quarter of 2023.
2024-04-10 11:39:37