diff --git a/frontend/src/lib/components/AnnotationEditOverlay.svelte b/frontend/src/lib/components/AnnotationEditOverlay.svelte
new file mode 100644
index 00000000..45605f13
--- /dev/null
+++ b/frontend/src/lib/components/AnnotationEditOverlay.svelte
@@ -0,0 +1,259 @@
+<script lang="ts">
+import { getContext } from 'svelte';
+import type { Annotation } from '$lib/types';
+import { m } from '$lib/paraglide/messages.js';
+
+type UpdateAnnotationFn = (
+	id: string,
+	coords: { x: number; y: number; width: number; height: number }
+) => Promise<void>;
+
+const updateAnnotation: UpdateAnnotationFn =
+	getContext('annotationUpdate') ?? (() => Promise.resolve());
+
+let { annotation }: { annotation: Annotation } = $props();
+
+let liveX = $state<number>(0);
+let liveY = $state<number>(0);
+let liveWidth = $state<number>(0);
+let liveHeight = $state<number>(0);
+
+$effect(() => {
+	liveX = annotation.x;
+	liveY = annotation.y;
+	liveWidth = annotation.width;
+	liveHeight = annotation.height;
+});
+
+let svgEl = $state<SVGSVGElement | null>(null);
+
+type HandleId = 'nw' | 'n' | 'ne' | 'w' | 'e' | 'sw' | 's' | 'se';
+
+type DragState = {
+	type: 'handle' | 'move';
+	handleId?: HandleId;
+	startPointerX: number;
+	startPointerY: number;
+	preDragX: number;
+	preDragY: number;
+	preDragWidth: number;
+	preDragHeight: number;
+};
+
+let dragState = $state<DragState | null>(null);
+
+const handles: Array<{ id: HandleId; cx: number; cy: number; cursor: string }> = [
+	{ id: 'nw', cx: 0, cy: 0, cursor: 'nwse-resize' },
+	{ id: 'n', cx: 50, cy: 0, cursor: 'ns-resize' },
+	{ id: 'ne', cx: 100, cy: 0, cursor: 'nesw-resize' },
+	{ id: 'w', cx: 0, cy: 50, cursor: 'ew-resize' },
+	{ id: 'e', cx: 100, cy: 50, cursor: 'ew-resize' },
+	{ id: 'sw', cx: 0, cy: 100, cursor: 'nesw-resize' },
+	{ id: 's', cx: 50, cy: 100, cursor: 'ns-resize' },
+	{ id: 'se', cx: 100, cy: 100, cursor: 'nwse-resize' }
+];
+
+function pixelToNorm(dx: number, dy: number): { nx: number; ny: number } {
+	if (!svgEl) return { nx: 0, ny: 0 };
+	const rect = svgEl.getBoundingClientRect();
+	return {
+		nx: (dx / rect.width) * annotation.width,
+		ny: (dy / rect.height) * annotation.height
+	};
+}
+
+function applyHandleDrag(handleId: HandleId, nx: number, ny: number, ds: DragState): void {
+	const MIN = 0.01;
+	let x = ds.preDragX,
+		y = ds.preDragY,
+		w = ds.preDragWidth,
+		h = ds.preDragHeight;
+
+	if (['nw', 'w', 'sw'].includes(handleId)) {
+		const newX = Math.max(0, Math.min(x + w - MIN, x + nx));
+		w = w - (newX - x);
+		x = newX;
+	} else if (['ne', 'e', 'se'].includes(handleId)) {
+		w = Math.max(MIN, Math.min(1 - x, w + nx));
+	}
+
+	if (['nw', 'n', 'ne'].includes(handleId)) {
+		const newY = Math.max(0, Math.min(y + h - MIN, y + ny));
+		h = h - (newY - y);
+		y = newY;
+	} else if (['sw', 's', 'se'].includes(handleId)) {
+		h = Math.max(MIN, Math.min(1 - y, h + ny));
+	}
+
+	liveX = x;
+	liveY = y;
+	liveWidth = w;
+	liveHeight = h;
+}
+
+function handlePointerDown(
+	event: PointerEvent,
+	type: 'handle' | 'move',
+	handleId?: HandleId
+): void {
+	if (!event.isPrimary) return;
+	event.stopPropagation();
+	(event.currentTarget as Element).setPointerCapture(event.pointerId);
+	dragState = {
+		type,
+		handleId,
+		startPointerX: event.clientX,
+		startPointerY: event.clientY,
+		preDragX: liveX,
+		preDragY: liveY,
+		preDragWidth: liveWidth,
+		preDragHeight: liveHeight
+	};
+}
+
+function handlePointerMove(event: PointerEvent): void {
+	if (!dragState || !event.isPrimary) return;
+	const dx = event.clientX - dragState.startPointerX;
+	const dy = event.clientY - dragState.startPointerY;
+	const { nx, ny } = pixelToNorm(dx, dy);
+
+	if (dragState.type === 'move') {
+		liveX = Math.max(0, Math.min(1 - dragState.preDragWidth, dragState.preDragX + nx));
+		liveY = Math.max(0, Math.min(1 - dragState.preDragHeight, dragState.preDragY + ny));
+	} else if (dragState.handleId) {
+		applyHandleDrag(dragState.handleId, nx, ny, dragState);
+	}
+}
+
+async function handlePointerUp(event: PointerEvent): Promise<void> {
+	if (!dragState || !event.isPrimary) return;
+	const ds = dragState;
+	dragState = null;
+
+	if (
+		liveX === ds.preDragX &&
+		liveY === ds.preDragY &&
+		liveWidth === ds.preDragWidth &&
+		liveHeight === ds.preDragHeight
+	) {
+		return;
+	}
+
+	try {
+		await updateAnnotation(annotation.id, {
+			x: liveX,
+			y: liveY,
+			width: liveWidth,
+			height: liveHeight
+		});
+	} catch {
+		liveX = ds.preDragX;
+		liveY = ds.preDragY;
+		liveWidth = ds.preDragWidth;
+		liveHeight = ds.preDragHeight;
+	}
+}
+
+let keyDebounceTimer: ReturnType<typeof setTimeout> | null = null;
+
+function handleKeyDown(event: KeyboardEvent): void {
+	if (!['ArrowUp', 'ArrowDown', 'ArrowLeft', 'ArrowRight'].includes(event.key)) return;
+	event.preventDefault();
+	const STEP = event.shiftKey ? 0.05 : 0.005;
+
+	if (event.key === 'ArrowLeft') liveX = Math.max(0, liveX - STEP);
+	if (event.key === 'ArrowRight') liveX = Math.min(1 - liveWidth, liveX + STEP);
+	if (event.key === 'ArrowUp') liveY = Math.max(0, liveY - STEP);
+	if (event.key === 'ArrowDown') liveY = Math.min(1 - liveHeight, liveY + STEP);
+
+	if (keyDebounceTimer) clearTimeout(keyDebounceTimer);
+	keyDebounceTimer = setTimeout(async () => {
+		try {
+			await updateAnnotation(annotation.id, {
+				x: liveX,
+				y: liveY,
+				width: liveWidth,
+				height: liveHeight
+			});
+		} catch {
+			liveX = annotation.x;
+			liveY = annotation.y;
+		}
+	}, 300);
+}
+
+let previewX = $derived(((liveX - annotation.x) / annotation.width) * 100);
+let previewY = $derived(((liveY - annotation.y) / annotation.height) * 100);
+let previewW = $derived((liveWidth / annotation.width) * 100);
+let previewH = $derived((liveHeight / annotation.height) * 100);
+</script>
+
+<div aria-live="polite" class="sr-only">
+	{m.annotation_edit_mode_active()}
+</div>
+
+<!-- svelte-ignore a11y_no_noninteractive_element_interactions -->
+<svg
+	bind:this={svgEl}
+	viewBox="0 0 100 100"
+	preserveAspectRatio="none"
+	role="application"
+	aria-label="Annotation resize handles"
+	style="position: absolute; top: 0; left: 0; width: 100%; height: 100%; pointer-events: none; touch-action: none; overflow: visible;"
+	onpointermove={handlePointerMove}
+	onpointerup={handlePointerUp}
+	onkeydown={handleKeyDown}
+>
+	<rect
+		data-move-area
+		role="none"
+		x="0"
+		y="0"
+		width="100"
+		height="100"
+		fill="transparent"
+		style="cursor: move; pointer-events: all;"
+		onpointerdown={(e) => handlePointerDown(e, 'move')}
+	/>
+
+	{#if dragState}
+		<rect
+			x={previewX}
+			y={previewY}
+			width={previewW}
+			height={previewH}
+			fill="none"
+			stroke="#002850"
+			stroke-width="1.5"
+			stroke-dasharray="4 3"
+			pointer-events="none"
+		/>
+	{/if}
+
+	{#each handles as handle (handle.id)}
+		<g
+			data-handle={handle.id}
+			role="none"
+			transform="translate({handle.cx}, {handle.cy})"
+			style="cursor: {handle.cursor}; pointer-events: all;"
+			onpointerdown={(e) => handlePointerDown(e, 'handle', handle.id)}
+		>
+			<rect data-handle-hit x="-22" y="-22" width="44" height="44" fill="transparent" />
+			<rect x="-8" y="-8" width="16" height="16" fill="white" stroke="#002850" stroke-width="2" />
+		</g>
+	{/each}
+</svg>
+
+<style>
+.sr-only {
+	position: absolute;
+	width: 1px;
+	height: 1px;
+	padding: 0;
+	margin: -1px;
+	overflow: hidden;
+	clip: rect(0, 0, 0, 0);
+	white-space: nowrap;
+	border-width: 0;
+}
+</style>
diff --git a/frontend/src/lib/components/AnnotationEditOverlay.svelte.test.ts b/frontend/src/lib/components/AnnotationEditOverlay.svelte.test.ts
new file mode 100644
index 00000000..1afa47eb
--- /dev/null
+++ b/frontend/src/lib/components/AnnotationEditOverlay.svelte.test.ts
@@ -0,0 +1,50 @@
+import { describe, it, expect } from 'vitest';
+import { render } from 'vitest-browser-svelte';
+import AnnotationEditOverlay from './AnnotationEditOverlay.svelte';
+import type { Annotation } from '$lib/types';
+
+const annotation: Annotation = {
+	id: 'ann-1',
+	documentId: 'doc-1',
+	pageNumber: 1,
+	x: 0.1,
+	y: 0.2,
+	width: 0.3,
+	height: 0.4,
+	color: '#00c7b1',
+	createdAt: '2026-01-01T00:00:00Z'
+};
+
+describe('AnnotationEditOverlay', () => {
+	it('renders 8 handle elements', async () => {
+		render(AnnotationEditOverlay, { annotation });
+
+		const handles = document.querySelectorAll('[data-handle]');
+		expect(handles).toHaveLength(8);
+	});
+
+	it('each handle has a 44x44 hit area', async () => {
+		render(AnnotationEditOverlay, { annotation });
+
+		const hitAreas = document.querySelectorAll('[data-handle-hit]');
+		expect(hitAreas).toHaveLength(8);
+		hitAreas.forEach((el) => {
+			expect(el.getAttribute('width')).toBe('44');
+			expect(el.getAttribute('height')).toBe('44');
+		});
+	});
+
+	it('renders a move area covering the full box', async () => {
+		render(AnnotationEditOverlay, { annotation });
+
+		const moveArea = document.querySelector('[data-move-area]');
+		expect(moveArea).not.toBeNull();
+	});
+
+	it('renders an aria-live region for screen reader announcement', async () => {
+		render(AnnotationEditOverlay, { annotation });
+
+		const liveRegion = document.querySelector('[aria-live="polite"]');
+		expect(liveRegion).not.toBeNull();
+	});
+});