What is the importance of the outstanding balance insurance in Luxembourg for your home loan.jpg

Every time a Luxembourg resident applies for a home loan or a personal loan to pay for renovation work, he or she is informed of the ASRD, the outstanding balance insurance. How does it work? Will you be obliged to do so? Would you recommend it in your situation?

## In the event of the insured's death, financial security is provided for his or her family

If the borrower dies with an amount still owed on the loan, the family and loved ones will be protected by the outstanding balance insurance. Thus, the ASRD transfers the covered capital to the beneficiary when a buyer receives a home loan in Luxembourg for his project but dies before having made all the required repayments.

Some outstanding balance insurances designate the bank as beneficiary, while others favor the spouse and/or children of the policyholder. In any case, this insurance ensures that the surviving family members will not be left in a difficult financial situation if they have to continue to repay the loan in the event of the borrower's death.

## Is outstanding balance insurance mandatory or recommended?

The subscription of an outstanding balance insurance is optional when obtaining a real estate loan in Luxembourg. This security measure is not mandatory, but it is strongly recommended, especially in the case of a large loan.

The bank can insist on an ASRD even if it is not required by law, depending on the debtor's personal finances and the needs of his family.

It may be difficult for your relatives to settle the home loan in Luxembourg if you die while you still owe money on the property. If you have outstanding balance insurance, not only will your family be relieved of the financial burden of paying off the mortgage, but they will also be able to keep the property as part of the family inheritance.

## Choosing Outstanding Balance Insurance

The premium for outstanding balance insurance is determined by the amount insured, the age of the insured and his/her health.

It is possible to pay the premium in one go or on a recurring basis within the framework of the ASRD, both of which are offered to you at the time of signing your mortgage in Luxembourg.

What is the importance of the outstanding balance insurance for your home loan?

6 tips for successful telecommuting.jpg

To be as productive as you would be in the office when you work from home, you'll need to adopt new organizational strategies. How can I optimize my daily routine? We recommend it!

## 1. Keep regular hours

You can do your work when it's convenient for you when you have a "home office", rather than sticking to traditional office hours. Keep a steady pace so you don't get too out of control. Work when it's convenient for you, but don't stray too far from regular office hours. Be sure to give yourself a break, as you normally would.

## 2. Daily preparation is essential

Wish you could work while wearing your pajamas? If you want to pamper yourself, there's no harm in doing it once or twice. With the exception of sleep, always prepare for the day when you wake up. This will allow you to keep up with the day while looking your best and taking a little bit of care of yourself.

## 3. Make some space for yourself

Make sure you have a place to work where you can relax and be productive (stationery, computer, coffee cup, etc.). Develop a routine to ensure you are not stuck in the same routine every day. Avoid the temptation to eat at the table or work in the kitchen by taking your breaks in the living room or on the couch. There should be no mixing of work and personal life, so don't let it happen.

## 4. Let your family members know

Need to focus on a difficult task, or are you in charge of planning an important conference? Let your family and friends know so they don't disturb you when you're in the middle of something important. Make sure the little ones are taken care of and you can get to work without worrying about them.

## 5. Stay in touch

Everyone at work, from subordinates to superiors, could use your help at some point, which is why you should always be reachable. Choose the most productive ways to stay in touch and continue working together, whether it's phone conversations, messages, emails or even video conferencing.

## 6. Write down your expectations

If you're worried about forgetting things or procrastinating too much, write down your own to-do lists. Make a list of everything you need to do each day or week, from errands to who you need to call or emails to send. Now you can plan your daily routine with confidence.

6 tips for successful telecommuting

4 tips to keep your kids busy when you don't have a garden.jpg

How do you plan your days when the kids are stuck at home and you don't even have a yard at home? They may want to go outside to play, which can mean extra work for mom and dad. Here are some basic, quick-to-implement, boredom-busting activities you can do right now at home.

## 1. Helping out with the housework

What if your kids found a way to contribute? It's not about taking advantage of the kids, but depending on their age and ability, they might enjoy helping with some light housework. For example, if you give a toddler who is just learning to walk a piece of paper to throw away, he or she will gladly lend a hand. By age six or seven, they can participate in tasks like setting the table and sweeping. They can learn a lot about responsibility and independence in this setting.

## 2. Start creative workshops

Creative activities are a great way to relax and exercise creativity, and they can be adapted for people of all ages and backgrounds. It's possible to offer this exercise to children without spending a lot of money on supplies... In fact, it's often as simple as recycling mundane packaging like cardboard boxes to get your hands on usable materials. Follow DIYers on Instagram or Pinterest if you're feeling short on inspiration. You can easily do it yourself with these simple guides.

## 3. Do exercises as a group!

Kids should exercise regularly, but it's not always easy to do so when you're stuck at home. Running or jumping creates a lot of noise, which can be a problem if your apartment is above someone else's. The good news is that it's not hard to sign up for adaptive sports programs, where people of all abilities can play together and improve their health, fitness and motor skills. Hundreds of free fitness videos can be found on YouTube, and the Internet in general is full of information that can help. Many of them don't require special equipment or tricks like jumping to participate, so they are open to a wide range of people.

## 4. Make dinner together

Now that you're going to be staying in one place longer, you can treat the family to a home-cooked meal. Kids love to help in the kitchen, and you can use that to your advantage by inviting them to help you prepare meals and desserts. Children can learn about balanced eating by exploring the different types of foods (fat, carbohydrates, protein, etc.), or you can simply help them become more independent by allowing them appropriate levels of independence.

Since you live at home without a garden, you and the children have more time to spend together and make memories. They can continue to have fun and grow as individuals, even in a small space like an apartment.

4 tips to keep your kids busy when you don't have a garden?

How to manage your rental property investment in Luxembourg.jpg

If you are considering buying a rental property in Luxembourg, you should be aware that you will have to spend time looking for tenants, collecting rent in a timely manner and making the necessary repairs. If the thought of all this makes you anxious, you should consider outsourcing the management to an agency. This option has a number of attractive fundamental aspects that attract many buyers.

## The rental management mandate, a regulated and clear approach

A rental management mandate is a legal document signed by the owner or lessor that gives the management company the authorization to manage the property of the tenant or owner. Services such as researching and checking the solvency of tenants, collecting rent, accounting, etc. are essential, as is the monitoring of works, repairs, representation at general meetings, etc.

In the same spirit, this mandate details the agency's responsibilities and the owner's agreement for the expert to exercise them on his behalf. Finally, the duration of the contract and the conditions of its renewal are fixed.

## How much does it usually cost to manage a property?

Professional property managers and their clients are free to negotiate the fees for their services. In most cases, the monthly percentage agreed upon by the parties is deducted from the rent paid by the tenant to the agency. On your side, you pay a professional to come and establish an annual inventory of fixtures, which not only saves you a lot of time, but also allows you to better track unpaid rent and monitor the condition of the property. To avoid costly maintenance repairs and rent arrears, hire a competent property manager.

You can contact several different people and offer to manage your property. You should not only evaluate the price, but also the services included, as some bidders may be willing to take on the bulk of the rental management responsibilities. You may want to choose a mandate that gives the agency complete independence, relieving you of any responsibility for the safety of your property.

## List of the many rental management services available

Going it alone in a private rental in Luxembourg can be a waste of time, effort and money. If a tenant has regular, one-on-one interactions with the landlord, he or she is less likely to worry about not paying the rent. They are not always reliable in their payments and can cause damage that requires costly repairs.

Your contracted property manager will handle issues such as finding tenants, establishing an inventory of existing property, collecting rent on a regular basis and scheduling maintenance. They can perform all necessary checks to ensure the financial stability of the tenant. Rent reviews to ensure compliance with the law is another service he offers. Last but not least, he will take the necessary steps in case of non-payment of rent, which will save you a ton of time and energy.

Concerning the financial, legal or administrative aspects of the rental management, a real estate agent will also accompany you. Don't hesitate to ask for expert advice if you want to explore your options.

How to manage your rental property investment in Luxembourg?

6 tips for managing your interior space.jpg

Decorating can help save space, but nothing beats a good reorganization for maximum efficiency, especially if you have little space. It is possible to make a room much brighter and more livable with just a few small changes.

## It's time for a lifestyle change

Putting furniture on the wall to save space is not always a good idea. You should move your furniture away from the wall and, for example, put a plant behind it. While it is true that sofas against the walls reduce the viewing area, positioning them in a corner or diagonally will open up more of the room.

## It may be necessary to create partitions between spaces

Consider using partitions or shelves to separate the room if it is particularly large. You can also divide a room into different sections by using different shades. Using light colors can help a small room appear larger. Sure, there are only two rooms, but they are used more efficiently.

A wooden floor is a great alternative to carpeting to create a higher feel in the room. The result inside your home will be quite special. You can minimize the visual impact of the length of the floor by strategically placing its planks. For a narrow hallway, you can install your planks at right angles to the walls.

## There must be sliding doors

According to the advice of architectural and interior design professionals, it is estimated that you can save one square meter by installing a sliding door. This is intriguing in the interest of minimizing the footprint. While the effect is striking in both small and large spaces, it is in the former that it really shines. Plus, they can be used as a decorative piece in their own right.

## Don't neglect your door tops

It may be hard to believe, but door tops can serve a number of important purposes. Unless you're staying in a small studio apartment, you'll probably have a door top that you can use in your bedroom. If you install a shelf or two in your bathroom, you can store towels, keep toilet paper handy, and even create a bookcase! The bedroom closet is a great place to store extra blankets and sheets. However, aesthetically pleasing and subtly designed art pieces can be strategically placed to enhance the decor without drawing undue attention to them.

## It's safe to say that the choice of furniture is important

The chaise lounge is a popular option for outdoor seating this year. Choose from a variety of wood and woven finishes to complement your decor. This compact furniture is very comfortable, stylish and practical.

## String lights for added sparkle

Traditional pendant lights have been replaced with string lights that offer a projected look. String lights, whether made of metal or organic materials, provide a pleasant evening show without requiring you to remove your ceiling tiles.

6 tips for managing your interior space

How to manage family life and telecommuting.jpg

Coronavirus and the choice to work from home have forced families to rethink their routines. Parents who choose to work from home face the added challenge of juggling the needs of their young children (such as helping them with homework and keeping them occupied). The question is how to get organized. Here are some suggestions that should help you overcome this obstacle without losing your cool.

## Need to be more accepting of electronic media

You probably share the concerns of many parents when you see the amount of screen time your children spend. You have to work during this time, but it can be difficult to explain this to your youngest child.

Tell yourself that this new setting requires a more adaptable approach. Allow your children to watch cartoons longer than usual from time to time. This will give you peace of mind while you attend to your work duties.

## Schedules that are convenient for you

In all likelihood, you won't be as productive as you are at work during the same periods. You'll either have to get up before the kids or work through the evening movie if you don't want to fall behind.

Choose the times that work best for you, whether it's before the kids get up if you're an early riser or after they go to bed if you're a night owl. It can be exhausting, but it won't be for long... Think of it as a temporary opportunity to spend more precious time with your children.

## Adjust the length of each activity

Change the routine from time to time to avoid boredom in young children. If you have a task that requires a lot of concentration, it's best to do it between 9 a.m. and 3 p.m. For youngsters, 30 minutes is the maximum amount of time they should spend on a given activity.

Once everyone has done their homework, you can start the arts and crafts activities. Of course, arts and crafts are a sure way to get kids thinking outside the box, but you can also get them involved in household chores. In the afternoon, you can mix work and play by having everyone help create a cake for snack time.

Taking care of the kids while working at home can be a challenge. Are you struggling right now? Don't hesitate to reach out to the school and other parents by phone or online; have open conversations, celebrate and compare the highs and lows experienced by all involved.

How to manage family life and telecommuting?

Why do you need good partners for your real estate purchase.jpg

While investing in real estate is a decision that should be carefully considered, a family member's perspective on the matter may not give you the confidence you need to make a purchase. In fact, assistance is crucial to avoid making costly mistakes or being surprised by unexpected costs when buying a home. A serious and thoughtful buying process that ends in complete satisfaction is guaranteed if the buyer is surrounded by reliable professionals who can offer advice tailored to the buyer's specific goals and circumstances.

## The involvement of a real estate agency allows you to have a point of contact that will be in constant communication with you

Most people who want to buy a house or rent an apartment first go to a real estate agency. Choose this person carefully, as they will be there for you from the beginning of the project until the day you move in.

A dedicated real estate professional will take the time to get to know you, your family and your goals over several initial sessions. He or she will provide you with valuable market data that will help you determine how much you need to spend on a product or service and what opportunities you can pursue.

Next, the agent will arrange private viewings of houses and/or apartments that meet your criteria. The agency will provide you with all the information you need to make an offer, start negotiations and finalize the purchase of a home.

If you work with an intermediary, you'll know that the houses put on the market have been checked for compliance with the law and that the sellers have provided an energy passport if one is required. For peace of mind, work with experienced real estate agents; if you're not sure what you're doing or don't know the industry well, private contracting is something to avoid at all costs.

## To obtain financing, a bank is absolutely necessary

A mortgage is an option you have to finance the purchase. For this reason, you will need the services of a reliable banking partner in addition to a traditional bank.

After finding a suitable investment property, the next step is to find a reliable lender. You have reached the second most crucial step. However, if the perfect apartment hasn't come up yet, you can always schedule a visit to find out more.

You don't know how much money you can borrow, so you can't say for sure what type of home you should be looking for. You can expect your housing consultant to be by your side as you research properties, make offers and finalize the purchase or renovation. Choose your financial partner carefully; you will work closely with that institution until the loan is repaid.

## The notary's duty is to act in accordance with the established procedures

A compromise in Luxembourg is identical to a sale in this country. The need to go to the notary for registration and transcription does not diminish the legal value of the compromise. You can work with a professional you already know, or consult your agency to be guided in the search for a suitable partner.

Thanks to the notary's intervention, the deed of purchase is legally binding, which is in everyone's interest. He checks that everything about the sale is legal to ensure that it is.

You can also consult third parties, but this depends on the nature of your project. An asset management consultant can be invaluable if you are looking to maximize your return on investment (ROI) with a real estate rental investment, for example. If you are having trouble doing the research due to lack of time or expertise, you can enlist the help of experts who can take the necessary steps.

Why do you need good partners for your real estate purchase?

How to fix the price of a property to rent in Luxembourg.jpg

It is not always easy for new landlords to find a balance between a fair and profitable rent for their tenants. There are many factors to consider in order to set the right rental price for a property in Luxembourg. All the elements that will help you think about it are here.

## Follow the rent regulations in Luxembourg

You should check the legal limit before renting out your property in Luxembourg City. Legislation passed on September 21, 2006 regulates residential leases.

For example, if you rent your apartment without any furniture, the monthly rent you charge must be less than five percent of the total amount you spent on the property. This amount is calculated by multiplying the initial investment by 0.05% and then dividing it by 12 (for the 12 months of the year).

## Adjusting the rent based on the size of the unit

In reality, smart investors in Luxembourg realize that square footage is not the only aspect that matters when setting rental rates. In fact, if everything else is equal in terms of location and amenities, a larger apartment will rent for more. However, the final cost depends on a number of factors.

## Knowing local prices

When looking for a place to rent in Luxembourg, location is one of the most important factors to consider. Apartments near the city of Luxembourg, for example, can command a high price because the area is highly sought after. Cappellen-Mersch and its surroundings are another great location.

However, Esch-sur-Alzette and the North Canton remain less desirable because of their greater isolation. For example, rents in Luxembourg City are much lower than in this area.

## It's essential to look closely at the foundation of your home

Once you've decided on the area and size of your new apartment, you can consult a real estate agent in Luxembourg who specializes in rentals.

He or she will be able to advise you on the best ways to increase the rental value of your apartment, for example by installing a fully equipped kitchen, including a parking space, connecting the living room to a nice balcony or using authentic materials such as parquet flooring.

However, in the world of modern apartments, where people are looking for quality services, things like low ceilings, rooms that are a bit small to accommodate a double bed, poorly equipped kitchens and the lack of electric shutters can be a drawback. Common area features (elevator, lobby decor, keypad, etc.) can work in your favor or against you, depending on the circumstances.

How to fix the price of a property to rent in Luxembourg ?

4 tips to easily sell your property in Luxembourg.jpg

If you own a home in Luxembourg and are looking to sell it, you are probably concerned about two things: getting the most money possible and selling the home quickly. When you're trying to achieve these two goals, how can you find common ground? Find out the most important information that can help anyone sell a house or apartment quickly and profitably.

## 1. Recommend the use of a third-party service: real estate agency

Private sale of real estate is legal in Luxembourg. Everyone has access to it, and it is within the law. However, you risk making costly mistakes if you go about it without help.

When selling your house in Luxembourg, a real estate agency can provide you with a more precise and accurate evaluation of the value of your house. Afterwards, they will only be used to advertise your house, which will increase the chances of a sale. She will be present for the signing of all the papers, but especially at the notary's office. Finally, she will be able to give you practical advice that will make your apartment more marketable and facilitate a quick sale at a fair price.

## 2. Always prepare the place for the clients

Your studio in the heart of Luxembourg City is for sale, right? Meticulously plan the layout of your rooms as soon as a visitor is expected. Clean and air all the rooms, arrange the furniture and remove any personal items that may be there before the announcement.

On a larger scale, you will benefit from maintaining a relaxed atmosphere in the apartment. In practical terms, this means aiming for a minimalist, unpretentious aesthetic with no knick-knacks, so that everyone can feel at home and express themselves. Reduce the amount of stuff in the room, keep only the essentials, and get rid of any posters, picture frames, or anything else that may intrude on your privacy.

## 3. Take a walk outside during visits

Let the agency in Luxembourg that you hired to sell your home handle all the viewings; don't attend any of the open houses. Visitors to your home will feel humiliated if you are there to greet them. They may be too afraid to fully explore the rooms, they may not dare open all the drawers and cabinets.

But in your absence, they will feel more comfortable talking to the real estate agent. They'll be more likely to stick around, ask around and make preparations. This is the best way to attract someone!

## 4. Communicate openly and honestly

Writing an ad for a private property sale in Luxembourg requires attention to detail. Take beautiful photos and write an accurate description that lists the qualities of each room in detail.

Make sure all potential buyers know the strengths and weaknesses of the property. Instead of trying to haggle over the price, make the effort to get rid of the downside if you think it will work!

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