Occupied Life Annuity in Luxembourg
Sell your property while continuing to live in it!
The occupied life annuity lets you release the capital tied up in your house or flat while keeping the right to live there for the rest of your life.
How Does the Occupied Life Annuity Work?
The Principle
You sell your property to a buyer (known as the « annuity debtor ») but you keep the right of use and habitation (DUH) until your death.
In exchange, the buyer pays you:
- •A bouquet (initial lump-sum payment - optional)
- •A life annuity (monthly, for life)
Typical Breakdown
Broken down into:
Bouquet: €100,000
Annuity: €1,850/month
✅Advantages of the Occupied Life Annuity
- ✓You stay in your familiar home
- ✓Guaranteed monthly income for life
- ✓No more co-ownership charges*
- ✓No more major repairs at your expense*
- ✓Immediate capital with the bouquet
- ✓Full legal security
- ✓Significant tax advantages
- ✓Optimised transfer to heirs
* Subject to the contractual terms negotiated
🤔Points to Consider
- !Reduced sale price (occupancy discount)
- !You can no longer sell the property
- !Limitation on certain works
- !Property passed to heirs as bare ownership only
- !Need to choose the buyer carefully
- !Contract irrevocable once signed
Our advice: The occupied life annuity is ideal if you wish to stay in your home while securing your income.
Your Rights and Protections
Right of Use and Habitation (DUH)
You keep the right to live in your home until your death. This right is recorded in the land register and protects you against any eviction.
- ✓Personal, non-transferable lifelong right
- ✓Protection against eviction
- ✓Possibility to let with agreement
- ✓Maintained if the buyer resells
Allocation of Charges and Works
The allocation of charges between you and the buyer is defined contractually according to the negotiation.
- ✓Running charges: often at your expense
- ✓Major works: generally at the buyer's expense
- ✓Co-ownership: as negotiated
- ✓Insurance: home (you) + owner (buyer)
Legal Protections
The Luxembourg Civil Code specifically protects life annuity sellers against abuse.
- ✓Notary's duty to advise
- ✓Nullity of abusive clauses
- ✓Extended right of withdrawal
- ✓Remedies in case of non-payment
Personalised Calculation Example
Simulation: Mrs Martin, 72 years old - Luxembourg-Ville
Property Characteristics
Personal Situation
Life Annuity Calculation
1. Occupied value
2. Breakdown
Monthly Annuity
Paid every month for life
Free, personalised simulation in 2 minutes
Occupied Life Annuity Testimonials
“The occupied life annuity allowed me to stay in my house while having a regular income. I strongly recommend this solution.”
“An excellent solution for my retirement. The team was very professional and supported me well.”
“I no longer have any financial worries and I stay in my home. What more could I ask for?”
Is the Occupied Life Annuity Right for You?
Find out in 2 minutes whether the occupied life annuity meets your needs. Free estimate and personalised advice from our experts.