Spanish mortgages are available to foreign buyers, but on different terms than those offered to residents. This guide covers everything you need to know before approaching a lender.
A Spanish mortgage is possible, but you will need a larger deposit than you might expect. Most non-residents should budget for at least 30 to 40 per cent of the purchase price in cash, plus all taxes and costs on top.
Non-residents are typically offered up to 70% of the purchase price or bank valuation, whichever is lower.
Current indicative fixed rates for non-residents. Variable rates linked to Euribor also available.
Most lenders cap non-resident mortgage terms at 25 years, repaid by age 75.
Spanish banks assess non-resident applications differently from resident ones. Key differences: loan-to-value limit of 60 to 70% (vs 80% for residents), stricter income verification, and monthly repayments must not exceed 30 to 35% of net monthly income.
Banks assess income from your home country. Self-employed applicants need at least two years of tax returns. Employed applicants typically need three to six months of payslips and their most recent tax assessment.
The most common mistake: Buyers underestimate how much cash they need upfront. Even with a 70% mortgage, you need 30% deposit plus 10 to 13% in taxes and fees. On a €1,000,000 property that is €400,000 to €430,000 in cash before any mortgage payments begin.
Several major Spanish banks lend to non-residents: Banco Sabadell, CaixaBank, Unicaja and BBVA. Specialist lenders including Banca March and Bankinter also have dedicated non-resident products. Using an independent mortgage broker who works across multiple lenders is usually the most efficient approach.
Timing: Allow 6 to 10 weeks from mortgage application to completion. If buying a new build with a set completion date, apply well in advance.
Spanish banks typically offer non-residents a loan-to-value of 60 to 70% of the lower of the purchase price or the bank valuation (tasación). Residents can borrow up to 80%, sometimes more. The gap matters: on a €1,000,000 property, the difference between a 70% and an 80% LTV is €100,000 in cash you need to find elsewhere.
The 60 to 70% range is a guideline, not a guarantee. The exact figure depends on the lender, your income profile, the property type, and whether the purchase is for primary use or investment. Some lenders will go to 70% for strong applicant profiles; others start at 60% for all non-residents. Get an indicative offer from at least two lenders before committing to a purchase timeline.
Cash required on a €1,000,000 purchase: 30% deposit (€300,000) plus 10 to 13% in taxes and fees (€100,000 to €130,000) = €400,000 to €430,000 in cash before the mortgage begins. Build this into your planning from the start.
Spanish mortgage products come in two main forms: fixed rate and variable rate linked to Euribor. Fixed rates provide certainty over the full term and have been the preferred choice for most non-resident buyers in recent years. Variable rates can be lower at outset but expose the borrower to Euribor movements over time.
Most lenders cap non-resident mortgage terms at 25 years, with repayment required by age 75. Monthly repayments must generally not exceed 30 to 35% of net monthly income, calculated on your home-country income documentation. Specific current rates move frequently and are better confirmed directly with lenders or a mortgage broker at the time of your search.
The mortgage timeline and the purchase contract timeline need to be aligned from the start. The standard sequence: obtain an indicative pre-approval before signing the arras (reservation) contract, which typically commits you to a 10% deposit, non-refundable if you withdraw without cause. After the arras, the bank orders its valuation and works toward a formal offer. Completion at the notary requires the full mortgage approval and funds to be in place.
A mortgage delay that causes you to miss the arras completion date can cost you the deposit. This is one of the most concrete, avoidable risks in a Spanish property purchase, and it is why coordinating the financing timeline with the rest of the purchase process, rather than treating them separately, matters.
An independent buyer's agent does not arrange the mortgage, but coordinates the financing timeline with the purchase process. That means ensuring the arras is not signed before financing in principle is in place, tracking the bank's valuation and approval schedule against the contractual completion date, and flagging to your solicitor when timelines are at risk. The mortgage process in Spain is procedurally straightforward. The timing risk is real and specific, and it is the part that catches buyers who manage the purchase and the financing in parallel rather than as one coordinated process. See also our guide to all costs when buying in Andalucía for the full picture on what you need beyond the mortgage.
Most Spanish lenders offer non-residents up to 60 to 70% of the purchase price or bank valuation, whichever is lower. The exact figure depends on the lender, income profile, and property type. Residents can access up to 80%, so plan for a larger cash contribution than you might expect from home-country mortgage experience.
A NIE number, valid passport, proof of income (payslips for employees, tax returns for self-employed), bank statements for the past 3 to 6 months, an overview of existing assets and liabilities, and the property details or reservation agreement. The bank will commission its own independent valuation once you proceed.
From initial application to formal offer, allow 6 to 10 weeks as a working estimate. The bank valuation takes 1 to 2 weeks. Formal approval and the mandatory 10-day cooling-off period before signing add further time. Building a buffer into your purchase timeline is advisable, particularly if completing close to a holiday period.
Yes, and it is strongly advisable. An indicative pre-approval based on your income and financial profile lets you know your realistic borrowing range before you sign an arras contract. It is not a binding offer and requires a bank valuation of the specific property to proceed, but it removes the risk of committing to a purchase your financing cannot support.
No. Aluma coordinates the financing timeline as part of independent buyer representation and can introduce you to trusted independent mortgage brokers who work across multiple Spanish lenders. The mortgage itself is arranged directly between you, the broker, and the bank.
We work with trusted independent mortgage brokers across the Costa del Sol. Book a call and we will make the introduction at the right moment.