Terminating the Lease Agreement

Understand how to legally terminate a lease agreement in Luxembourg...

If neither the owner nor tenant has given notice for the contact to end when the lease expires then tacit agreement is made for it to continue for an unlimited period using the same terms and conditions.

To end an agreement the tenant can give three months' notice in writing by registered letter. Some landlords may accept a shorter notice period at their own discretion. Presenting a new tenant to the landlord may result in the acceptance of a reduced notice period.

The landlord may terminate the contract:

  1. If the tenants fails to honour their obligations.
  2. If the landlord or their family wish to occupy the property.
  3. Under exceptional circumstances such as expropriation, demolition, etc.

Both tenant and landlord can mutually agree to terminate the contract at any point in time. In this case, it is important, but not required to formalise the details of such a termination in writing duly signed by both parties.

Inventory on departure

At the time of returning the keys, the original inventory report (├ętat des lieux) is reviewed together by the exiting tenant and the owner. All damages excluding fair wear and tear are agreed.

The landlord/agent has up to six months to reimburse the deposit, deducting any money needed for repairs to the property. If the departing tenant feels that an unnecessary amount has been deducted, they may request to see the invoices or estimates for work done. In the event of a dispute, the matter can be passed to a lawyer.