Luxembourg real estate sales pick up in Q2 2024

The residential property market showed signs of recovery in the second quarter of 2024, after several quarters of decline. This improvement mainly concerns existing apartments and houses, while apartments under construction are still struggling.

📈 Slight rise in house prices

House prices rose by 1% this quarter, breaking a long period of decline. Year-on-year, however, prices fell by 8.3%, with a more marked decline for houses (-9.9%). Prices for apartments under construction fell by 4.3%.

🏡 Resumption of sales of existing apartmentsResumption of sales of existing apartments

Sales of existing apartments jumped by 30.5% compared to 2023, with 911 transactions recorded. Although this figure is still below the pre-crisis average (1,041 sales), it marks a clear upturn, with a 22.9% increase in financial volume.

🚧 Challenges for apartments under construction

Despite an increase in sales of apartments under construction (+60.4%), the sector is still struggling to regain its momentum. With just 154 transactions, we're still a long way from the average of previous years (656 sales per quarter).

🏠 Housing market on the rise

The home market recorded 570 sales, up 33.8% year-on-year, but still below historical levels (890 sales on average). The financial volume of home sales rose by 25.3%.

🔮 Outlook

The recovery in the real estate market, while positive, remains fragile. While sales of existing homes are stabilizing, price and interest rate uncertainties continue to hold back the new-build market. The second half of 2024 will be decisive in confirming this trend.

Source: Observatoire de l'habitat

💬 And you, have you noticed these evolutions on the real estate market in Luxembourg? Share your experience or ask your questions in the comments below! 👇