Presentation

In Luxembourg, accommodation remains one of the main problems for persons and households on low incomes. The shortage of housing, demographic growth and the constant increases in rent levels are just some of the factors which may explain the current situation. This problem is observed throughout the country, and it is evident that the communes managed by the Wiltz social welfare office are similarly confronted with it. To support its residents, the Wiltz social welfare office has set up a housing department, which is engaged in managing the various social housing options located in the member communes.

The housing department of the Wiltz social welfare office offers two different concepts for providing the best help to the individuals concerned : 

1. Social housing management (GLS)

Under the GLS framework, owners entrust the management of their accommodation to the housing department of the Wiltz social welfare office, a body officially approved by the housing ministry. The housing department then makes this accommodation available to people who are having difficulties in finding housing. As a basic principle, the rent required from tenants is below that in the open market. 

The advantages for the owners:

 Guaranteed rent

By signing the tenancy agreement with an approved partner, payment of the rent is guaranteed, even if the property is vacant

  Support

The tenant is supported by a team of social welfare professionals, who support the tenant throughout the contract and who intervene as needed.

  Availability

The asset remains available for the owner. In the event of personal need, the owner can recover the asset quickly, with the tenants being rehoused through the efforts of the partner body.

Maintenance

Approved partners monitor the state of upkeep of the rented asset, and intervene in the event that works are required.

 Tax exemption

The owner benefits from a 50% tax exemption on rental income (fiscal reform 2017 – art. 115/22a), compensating substantially for the fact of renting his/her asset around 30 to 40% below what might be achieved in the private rental market.

The advantages for the tenants

 Access to affordable and decent housing

Approved partners monitor the state of upkeep of the rented asset, and intervene in the event that works are required.

 Welfare support

Families are supported by a social welfare assistant in their individual project to access the primary housing market..

2. Social renting of communal social housing

The commune of Wiltz has delegated management of its social rent housing to the housing department of the Wiltz social welfare office. The rent for this accommodation is calculated on the basis of household income, on the terms set out by the law of 25 February 1979 on housing assistance and the grand-ducal regulation of 16 November 1998.

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