National Housing Week: an expo – and one or two traps!


Home Expo is the major event of the Grand Duchy's National Housing Week. It is a gathering place for organisations and professionals able to help you achieve your real estate purchase project. But when it comes to financing, watch out for the pitfalls!

Open from 5 to 8 October, Home Expo is the highlight of National Housing Week. Visitors who have decided to take the plunge and acquire a home in the Grand Duchy will have an opportunity to meet, all in one place and among its hundred or so exhibitors, government representatives able to remind them of legal and taxation rules, for example, and representatives of associations specialising in integration and social housing. Exhibitors also include architects, estate agencies and property developers, there to showcase the offerings on their books, and specialists in energy refurbishment, decoration and home automation.

And it goes without saying that, as is the case every year, bank advisers will also be there on their stands and available to meet visitors. For the vast majority of people thinking of purchasing a home, the process involves negotiating a mortgage loan and a number of pitfalls can undeniably arise at this stage. In a period marked by a real estate crisis, particularly due to increased mortgage rates, great caution has to be the watchword.

The banks exhibiting at Home Expo present loan offers that are particularly difficult to compare in minutes when going from one stand to another. Firstly, not every organisation is represented at the expo, and by definition, it is entirely possible that the bank best able to potentially offer the solution most suited to your profile (defined by, among others, the amount to be borrowed, how much cash deposit you have available, your current and future household income, etc.) and your plans may not be present at the show. In addition, and this is another pitfall to always be aware of, outside the October event, banks do not present their offers in the same way. In other words, it is not enough simply to compare headline reference loan rates. If that were so, you could make your choice in just a few minutes, like a quick trip to the supermarket to buy a can of beans.

The rate is just a starting point...

The period of the loan (number of months over which payments are spread), the insurance terms (e.g., job-loss cover), penalties or lump sums to be paid for total or partial early repayment – which should always be taken into account, particularly to cover any possible future inheritance – and the fees and conditions for renegotiating your mortgage due to a significant change in your circumstances or rates (especially a significant drop in rates) are particularly important aspects to get on top of.

So, can anyone truly study such important parameters in a matter of minutes, on an exhibition stand, possibly surrounded by crowds? The answer has to be a resounding "No".

That is why, National Housing Week and Home Expo or not, to compare offers and negotiate a mortgage loan, your best partner remains a mortgage broker. And that is exactly what we are at LuxKredit. Analysing the market, gaining a clear understanding of your plans and then "shopping around" the various banking partners likely to make an offer to suit your profile...this all requires not only good negotiation of the posted mortgage rate, but also careful screening of all the terms and conditions of the mortgage deal. This demands expertise, and our expertise has helped countless families and individuals make their purchase on the best-possible terms.

In October, and all through the year, trust a specialist!

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