Deposit for a mortgage in Luxembourg: how much, and can you buy with no deposit?

How much deposit for your profile

CSSF Regulation 20-08 limits the share of the property that loans can finance (CSSF Regulation 20-08 (ouvre dans un nouvel onglet)). Whatever is missing must come from your own funds (CSSF FAQ (ouvre dans un nouvel onglet)).

Example, trigger calculation, for an older flat at €400,000, valued at its price, with a full tax credit:

In all three cases, add the notary's fees (quote) and the loan fees.

Three details that change everything:

• First-time buyer = never had a mortgage for a property in Luxembourg. As a couple, you must both qualify.
• The value used is the lower of the price and the valuation by an independent expert. If the expert values a property you paid €400,000 for at €380,000, even at 100% the bank only finances €380,000: €20,000 to put in yourself (trigger calculation).
• These are ceilings. The law forbids going beyond them; it doesn't oblige the bank to go that far. Your file makes the difference.

If your deposit is small, the bank you are talking to may not be the right one for your profile. A broker compares banks for you and knows which ones back files like yours.

“No deposit” doesn't mean “no money”: the cost gap

The value the bank can finance is the value of the property. The purchase costs are not part of it. Even at 100%, you still need enough to pay:

• The duties: 7% of the price. If you live in the property, the Bëllegen Akt deducts up to €40,000 per buyer from them, with a €100 minimum to pay (Guichet.lu (ouvre dans un nouvel onglet)). For a first-time buyer, it is often next to nothing.
• The notary's fees, for the sale and for the loan deed: regulated tariff, on quote.
• Registering the mortgage: 0.05% of the registered amount (AED (ouvre dans un nouvel onglet)), i.e. €200 on €400,000 (trigger calculation).
• The bank's fees: file, valuation, insurance.

The details, with examples at €150,000, €300,000 and €500,000, are in our guide to property purchase costs.

Keep a reserve too. Emptying all your savings on the day of the deed leaves you no margin for a move, furniture or a repair.

Your options when your savings are low

The State guarantee. The State can guarantee part of your loan, up to 40% of the cost of the project and €303,862 at most (2025 value, Guichet.lu (ouvre dans un nouvel onglet)). Until 31 March 2027, the CSSF accepts that it counts as own funds when calculating the ceiling (CSSF FAQ (ouvre dans un nouvel onglet)). It can therefore replace part of the deposit. The main conditions:

• a home in Luxembourg, which will be your main and permanent residence;
• a right of residence of more than 3 months and registration in the national register;
• regular savings for at least 3 years at the same bank, with a net increase of at least €1,000 per year (€290 per year for savings built up until the end of 2023);
• a mortgage from a bank that has signed an agreement with the State, financing at least 60% of the project;
• you or your household must not own more than a third of another home;
• an income below €101,874.03 (one borrower) or €141,048.97 (several).

It is the bank that submits the application with you.

Capital grants. The home ownership grant (prime d'accession) ranges from €500 to €10,000 depending on your household and income (+€1,000 per child from the 4th), increased by 40% for a flat or terraced house and by 15% for a semi-detached house, to be applied for within a year of the deed (Guichet.lu (ouvre dans un nouvel onglet)). The savings grant (prime d'épargne) goes up to €5,000 at most (Guichet.lu (ouvre dans un nouvel onglet)). Together, capital grants are capped at €35,000 per person. Watch out: they arrive after the deed, so they don't replace the deposit on signing day.

The interest subsidy lowers your monthly payment, not your deposit: it currently applies to a loan of up to €200,000, plus €20,000 per child, up to a limit of €280,000 (Guichet.lu (ouvre dans un nouvel onglet)). The July 2026 Booster announces higher ceilings: announced, not yet voted as of 16 October 2026.

Home savings. A home savings contract can also reduce your taxes while you build up your deposit: see home savings and deduction.

All the grants, added up on a real case: Bëllegen Akt and home purchase grants.

Which bank accepts a mortgage with no deposit?

The honest answer: no such list exists. The CSSF rule allows 100% for a first-time buyer, but each bank decides case by case, with its own criteria. A bank that turns you down may be followed by another that says yes.

That's where a broker helps. The law calls them a “mortgage credit intermediary”: they present offers to you and prepare your file (law of 23 December 2016 (ouvre dans un nouvel onglet)). The law also requires them to be transparent:

• they tell you whether their advice covers a limited range or a large part of the market;
• they tell you their possible fees;
• they tell you whether they receive a commission from banks and, if you ask, the commission level of each one.

What they can't do: force a bank to lend to you, or exceed the CSSF ceilings.

When a broker is worth it, and how they are paid: our guide to the mortgage broker.

To have your file reviewed, the broker form is higher up on the page.

As a couple, cross-border worker, already an owner: what changes

As a couple. To be classed as first-time buyers, you must both qualify (CSSF FAQ (ouvre dans un nouvel onglet)). If one of you has already had a mortgage in Luxembourg, the ceiling drops to 90% for your main residence. On the cost side, each of you has their own €40,000 Bëllegen Akt.

Cross-border worker. Owning a home in France, Belgium or Germany with a loan from there doesn't make you lose first-time buyer status for a purchase in Luxembourg: only loans for a property in Luxembourg count. However, the State guarantee and the Bëllegen Akt require you to live in the property in Luxembourg (or to commit to moving in, for the Bëllegen Akt). And the State guarantee, the home ownership and savings grants and the interest subsidy are ruled out if your household owns more than a third of another home, including abroad (Guichet.lu (ouvre dans un nouvel onglet)).

You sell to buy again. The deposit can come from the sale of your current home. A bridging loan is allowed by the CSSF, in principle for 18 months at most (24 months for a new build), with a check of the ceiling before and after the sale (CSSF FAQ (ouvre dans un nouvel onglet)). After a separation and the sale of a jointly owned property, neither of you is a first-time buyer any more.

You buy to rent out. 80% at most, and no Bëllegen Akt: this is the profile that requires the biggest deposit. The temporary exemption that allowed each bank to go up to 95% for at most 10% of its buy-to-let loans ended on 30 June 2025 (CSSF Regulation 24-10 (ouvre dans un nouvel onglet)).