Housing Index in Luxembourg increased to 169.80 points in the second quarter of 2025 from 162.54 points in the first quarter of 2025. This dataset provides - Luxembourg House Price Index - actual values, historical data, forecast, chart, statistics, economic calendar and news.

Graph and download economic data for Residential Property Prices for Luxembourg (QLUN628BIS) from Q1 2007 to Q2 2025 about Luxembourg, residential, HPI, housing, price index, indexes, and price.

Key information about House Prices Growth

• Luxembourg house prices grew 4.5% YoY in Jun 2025, following an increase of 1.0% YoY in the previous quarter.
• YoY growth data is updated quarterly, available from Mar 2008 to Jun 2025, with an average growth rate of 5.7%.
• House price data reached an all-time high of 17.2% in Mar 2021 and a record low of -14.5% in Dec 2023.

This statistic illustrates the take-up of office real estate in Luxembourg City from 2013 to 2020. It can be seen that between the years of 2019 and 2020, take-up decreased by approximately 35 thousand square meters to a total of 225 thousand square meters in 2020.

This statistic shows the prime yield of office property in Luxembourg from 2014 to 1st half of 2020. In 2014, the prime yield of office space reached a value of approximately 5.5 percent. By 2018, this had decreased to four percent.

Luxembourg Real Estate Software Market is expected to grow during 2025-2031

This statistic illustrates the vacancy rate for office real estate in Luxembourg City from the fourth quarter of 2013 to the fourth quarter of 2019. It can be seen that between 2013 and 2019 the vacancy rate fluctuated to 3.6 percent as of the fourth quarter of 2019.

Statistics on the rental market in Luxembourg with prices by region and type of accommodation

This statistic shows the average asking price of houses and apartments in Luxembourg from the first quarter of 2013 to the third quarter of 2017 (in euros). As of the third quarter of 2017, the price of a house was estimated at approximately ****** euros or ***** euros per square meter.

In recent years, the housing market of the Grand Duchy of Luxembourg was affected by two developments: an increasing population due to the arrival of new residents from foreign countries and new dwellings not matching up to the population increase. As such, prices of residential property have increased.

How much is a house in Luxembourg? According to calculations based on data from the Publicité Foncière, prices increased over the last years. Between ********* and *********, the average selling price was over ******* euros. In recent years, the housing market of the Grand Duchy of Luxembourg was affected by two developments: an increasing population due to the arrival of new residents from foreign countries and new dwellings not matching up to the population increase. As such, prices of residential property have increased. Prices in the canton of Luxembourg, which includes both Luxembourg City as well as its outskirts, were higher than in the rest of the country.

This statistic shows the answers to a survey question asking at what age consumers who had not bought their first property yet in Luxembourg in 2018 at which age they expected to do so. ** percent answered they expected to buy under the age of **, while ** percent of the respondents answered they believed they would not be able to buy. These numbers indicate a positive outlook on entering the housing market when compared to the European average.

This statistic shows the vacancy rate of office space in Luxembourg from 2014 to the first half of 2020. In 2014, the vacancy rate reached a value of 4.7 percent. By the first half of 2020, this had decreased to a value of 3.1 percent.

The USA office real estate market, currently experiencing robust growth, is projected to maintain a Compound Annual Growth Rate (CAGR) exceeding 4% from 2025 to 2033. This expansion is fueled by several key drivers. The robust performance of the Information Technology (IT and ITES) sector, along with continued growth in the Banking, Financial Services, and Insurance (BFSI) industries, are significantly boosting demand for office space. Furthermore, the expansion of consulting firms and other service-based businesses contributes to this positive trend. However, the market is not without its challenges. Factors such as economic uncertainty, fluctuating interest rates, and the increasing adoption of hybrid work models could act as restraints on growth. The market is segmented by sector, with IT and ITES, BFSI, and consulting firms representing the largest segments. Major players like Turner Construction Company, Kiewit Corporation, and others are shaping the market through their construction and development activities. While the precise market size for 2025 is not provided, considering a conservative estimate based on the given CAGR and assuming a 2024 market size of approximately $1 trillion (this is an estimation), we can project a substantial increase over the forecast period. Regional variations will exist, with major metropolitan areas like New York, Los Angeles, and Chicago likely exhibiting higher growth rates compared to less densely populated regions. The long-term outlook remains positive, although proactive adaptation to evolving workplace dynamics will be critical for sustained success within the industry. The competitive landscape is characterized by a blend of large national firms and regional players. The increasing emphasis on sustainable building practices and technological advancements in building management systems is another trend shaping the market. While the rise of remote work poses a potential challenge, the demand for flexible and adaptable office spaces, designed to cater to hybrid work models, is simultaneously creating new opportunities. The market's future trajectory will depend heavily on the macroeconomic environment, technological advancements, and the evolving preferences of businesses and workers concerning workspace arrangements. Continuous monitoring of these dynamics is essential for informed decision-making in this dynamic and competitive sector. Recent developments include: April 2023: The principals of Mishawaka-based Cressy Commercial Real Estate are pleased to announce the completion of a merger with Mno-Bmadsen, the nongaming investment arm of the Pokagon Band of Potawatomi. The merger will enable Cressy to expand into new markets and implement their strategic goals while continuing to provide world-class service to past and future clients. Mno-Bmadsen will benefit from additional resources to manage the real estate needs of its growing portfolio of investments., February 2023: Mirabaud Asset Management has structured the acquisition of a two-building office occupied by a non-profit academic foundation and medical center. The transaction was structured by Mirabaud Asset Management as a Luxembourg-based institutional commercial real estate partnership on behalf of its international clientele. This acquisition brings the value of Mirabaud's US real estate portfolio to almost $600 million.. Notable trends are: Increase in Leasing Volumes.

Luxembourg LU: Foreign Direct Investment Position: Inward: Total: Real Estate Activities data was reported at 1,238.000 EUR mn in 2023. This records an increase from the previous number of 1,222.000 EUR mn for 2022. Luxembourg LU: Foreign Direct Investment Position: Inward: Total: Real Estate Activities data is updated yearly, averaging 164.500 EUR mn from Dec 2012 (Median) to 2023, with 12 observations. The data reached an all-time high of 1,344.000 EUR mn in 2014 and a record low of 9.000 EUR mn in 2015. Luxembourg LU: Foreign Direct Investment Position: Inward: Total: Real Estate Activities data remains active status in CEIC and is reported by Organisation for Economic Co-operation and Development. The data is categorized under Global Database’s Luxembourg – Table LU.OECD.FDI: Foreign Direct Investment Position: by Industry: OECD Member: Annual. Reverse investment: Netting of reverse investment in equity (when a direct investment enterprise acquires less than 10% equity ownership in its parent) and reverse investment in debt (when a direct investment enterprise extends a loan to its parent) is applied in the recording of total inward and outward FDI transactions and positions. Treatment of debt FDI transactions and positions between fellow enterprises: directional basis according to the residency of the ultimate controlling parent (extended directional principle). FDI transactions and positions by partner country and/or by industry are available excluding and including resident Special Purpose Entities (SPEs). The dataset 'FDI statistics by parner country and by industry - Summary' contains series including resident SPEs only. Valuation method used for listed inward and outward equity positions: Market value. Valuation method used for unlisted inward and outward equity positions: Own funds at book value. Valuation method used for inward and outward debt positions: Market value, Nominal value.; FDI statistics are available by geographic allocation, vis-à-vis single partner countries worldwide and geographical and economic zones aggregates. Partner country allocation can be subject to confidentiality restrictions. Geographic allocation of inward and outward FDI transactions and positions is according to the immediate counterparty. Intercompany debt between related financial intermediaries, including permanent debt, are excluded from FDI transactions and positions. Direct investment relationships are identified according to the criteria of the Framework for Direct Investment Relationships (FDIR) method. Debt between fellow enterprises are completely covered. Collective investment institutions are not covered as direct investment enterprises. FDI statistics are available by industry sectors according to ISIC4 classification. Industry sector allocation can be subject to confidentiality restrictions. Inward FDI transactions and positions are allocated to the activity of the resident direct investment enterprise. Outward FDI transactions and positions are allocated according to the activity of the resident direct investor. Statistical unit: Enterprise.

Building contractors and developers depend on various socio-economic factors, including property values, underlying sentiment in the housing market, the degree of optimism among downstream businesses and credit conditions. All of these drivers typically track in line with economic sentiment, with recent economic shocks spurring a difficult period for building contractors and developers. Nonetheless, the enduring need for building services, particularly to tackle housing shortages across the continent, ensures a strong foundation of work. Revenue is forecast to grow at a compound annual rate of 2.3% to reach €1.3 trillion over the five years through 2025. Operational and supply chain disruption caused by the pandemic reversed the fortunes of building contractors and developers in 2020, as on-site activity tumbled and downstream clients either cancelled, froze or scaled back investment plans. Aided by the release of pent-up demand and supportive government policy, building construction output rebounded in 2021. Excess demand for key raw materials led to extended lead times during this period, while input costs recorded a further surge as a result of the effects of rapidly climbing energy prices following Russia’s invasion of Ukraine. Soaring construction costs and the impact of interest rate hikes on both the housing market and investor sentiment led to a renewed slowdown in building construction activity across the continent. However, falling inflation and the start of an interest rate cutting cycle have spurred signs of a recovery in new work volumes, supporting anticipated revenue growth of 2.3% in 2025. Revenue is forecast to increase at a compound annual rate of 6.7% to €1.7 trillion over the five years through 2030. Activity is set to remain sluggish in the medium term, as weak economic growth and uncertainty surrounding the impact of the volatile global tariff environment on inflation and borrowing costs continue to weigh on investor sentiment. Contractors and developers will increasingly rely on public sector support, including measures to boost the supply of new housing, as countries seek to tackle severe housing shortages. Meanwhile, the introduction of more stringent sustainability requirements will drive demand for energy retrofits.

Luxembourg LU: Foreign Direct Investment Position: Outward: USD: Total: Real Estate Activities data was reported at 8.510 USD bn in 2023. This records an increase from the previous number of 8.215 USD bn for 2022. Luxembourg LU: Foreign Direct Investment Position: Outward: USD: Total: Real Estate Activities data is updated yearly, averaging 9.581 USD bn from Dec 2012 (Median) to 2023, with 12 observations. The data reached an all-time high of 12.733 USD bn in 2015 and a record low of 8.067 USD bn in 2012. Luxembourg LU: Foreign Direct Investment Position: Outward: USD: Total: Real Estate Activities data remains active status in CEIC and is reported by Organisation for Economic Co-operation and Development. The data is categorized under Global Database’s Luxembourg – Table LU.OECD.FDI: Foreign Direct Investment Position: USD: by Industry: OECD Member: Annual. Reverse investment: Netting of reverse investment in equity (when a direct investment enterprise acquires less than 10% equity ownership in its parent) and reverse investment in debt (when a direct investment enterprise extends a loan to its parent) is applied in the recording of total inward and outward FDI transactions and positions. Treatment of debt FDI transactions and positions between fellow enterprises: directional basis according to the residency of the ultimate controlling parent (extended directional principle). FDI transactions and positions by partner country and/or by industry are available excluding and including resident Special Purpose Entities (SPEs). The dataset 'FDI statistics by parner country and by industry - Summary' contains series including resident SPEs only. Valuation method used for listed inward and outward equity positions: Market value. Valuation method used for unlisted inward and outward equity positions: Own funds at book value. Valuation method used for inward and outward debt positions: Market value, Nominal value.; FDI statistics are available by geographic allocation, vis-à-vis single partner countries worldwide and geographical and economic zones aggregates. Partner country allocation can be subject to confidentiality restrictions. Geographic allocation of inward and outward FDI transactions and positions is according to the immediate counterparty. Intercompany debt between related financial intermediaries, including permanent debt, are excluded from FDI transactions and positions. Direct investment relationships are identified according to the criteria of the Framework for Direct Investment Relationships (FDIR) method. Debt between fellow enterprises are completely covered. Collective investment institutions are not covered as direct investment enterprises. FDI statistics are available by industry sectors according to ISIC4 classification. Industry sector allocation can be subject to confidentiality restrictions. Inward FDI transactions and positions are allocated to the activity of the resident direct investment enterprise. Outward FDI transactions and positions are allocated according to the activity of the resident direct investor. Statistical unit: Enterprise.

The prime yield of office real estate in the country of Luxembourg has increased since 2021. From *** percent in that year, the prime yield rose to five percent by the first quarter of 2024. Yield is a measure of the rate of return, and many different factors such as demand, quality, location, renting time can affect it. Compressing yields are usually a sign of a competitive market.

Luxembourg LU: Foreign Direct Investment Position: Inward: USD: Total: Private Real Estate Activities data was reported at 0.000 USD mn in 2023. This stayed constant from the previous number of 0.000 USD mn for 2022. Luxembourg LU: Foreign Direct Investment Position: Inward: USD: Total: Private Real Estate Activities data is updated yearly, averaging 0.000 USD mn from Dec 2012 (Median) to 2023, with 12 observations. The data reached an all-time high of 0.000 USD mn in 2023 and a record low of 0.000 USD mn in 2023. Luxembourg LU: Foreign Direct Investment Position: Inward: USD: Total: Private Real Estate Activities data remains active status in CEIC and is reported by Organisation for Economic Co-operation and Development. The data is categorized under Global Database’s Luxembourg – Table LU.OECD.FDI: Foreign Direct Investment Position: USD: by Industry: OECD Member: Annual. Reverse investment: Netting of reverse investment in equity (when a direct investment enterprise acquires less than 10% equity ownership in its parent) and reverse investment in debt (when a direct investment enterprise extends a loan to its parent) is applied in the recording of total inward and outward FDI transactions and positions. Treatment of debt FDI transactions and positions between fellow enterprises: directional basis according to the residency of the ultimate controlling parent (extended directional principle). FDI transactions and positions by partner country and/or by industry are available excluding and including resident Special Purpose Entities (SPEs). The dataset 'FDI statistics by parner country and by industry - Summary' contains series including resident SPEs only. Valuation method used for listed inward and outward equity positions: Market value. Valuation method used for unlisted inward and outward equity positions: Own funds at book value. Valuation method used for inward and outward debt positions: Market value, Nominal value.; FDI statistics are available by geographic allocation, vis-à-vis single partner countries worldwide and geographical and economic zones aggregates. Partner country allocation can be subject to confidentiality restrictions. Geographic allocation of inward and outward FDI transactions and positions is according to the immediate counterparty. Intercompany debt between related financial intermediaries, including permanent debt, are excluded from FDI transactions and positions. Direct investment relationships are identified according to the criteria of the Framework for Direct Investment Relationships (FDIR) method. Debt between fellow enterprises are completely covered. Collective investment institutions are not covered as direct investment enterprises. FDI statistics are available by industry sectors according to ISIC4 classification. Industry sector allocation can be subject to confidentiality restrictions. Inward FDI transactions and positions are allocated to the activity of the resident direct investment enterprise. Outward FDI transactions and positions are allocated according to the activity of the resident direct investor. Statistical unit: Enterprise.

This statistic shows the total stock of office space in Luxembourg from 2014 to the first half of 2020 (in million square meters of lettable floor area). In 2014, the total office stock in Luxembourg was approximately 3.5 million square meters. By the first half of 2020, this had increased to roughly 4.3 million square meters.

Revenue is forecast to contract at a compound annual rate of 2% over the five years through 2025 to €44.7 billion. This is mostly the result of COVID-19 restrictions dampening downstream demand in 2020. While 2021 saw some recovery, poor economic conditions since 2022 have stifled any significant recovery, continuing to weigh on the industry’s revenue performance. In 2025, revenue is slated to dip by 1.1% owing to the cooling housing market, despite significant investment in civil engineering projects across Europe. Despite public funding and support for new residential properties, a weaker housing market has limited stone and aggregates demand from property developers. This is primarily the result of persistently high interest rates, inhibiting borrowing and investing. Another key factor is the decline in cement and concrete manufacturing (two key downstream markets) in Europe since 2021, according to CEMBUREAU, owing to construction companies moving towards lower embedded CO2 construction materials. Still, revenue has been propped up by growing demand from non-construction markets, like glass manufacturers, fertiliser manufacturers and other industrial and building-environment solutions applications (like sand and gravel being used to prevent coastline erosion) Over the five years through 2030, revenue is forecast to grow at a compound annual rate of 2.5%, to €50.7 billion. Economic conditions are likely to remain fairly weak in the short to medium term as inflation remains above the universal 2% target. The elevated rate of inflation will ensure central banks delay any reductions in the base rate, keeping the cost of borrowing high for would-be home buyers. Weaker demand for houses will contribute to weak price performance and disincentivise developers from increasing production, weighing on activity levels in the construction sector. However, pockets of opportunity will remain in alternative uses of stone, clay, gravel and sand.