Spanish Mortgage for Foreign Buyers: Rates, LTV & How to Apply (2026)
Spanish banks lend to non-residents. Here is what you can borrow, what it costs, which banks are best positioned, and what documents you need.
Quick Answer
Non-residents can get Spanish mortgages at 60–70% LTV, max 25 years, rates from ~2.8% fixed. You need documented income, assets, and credit history. Key banks: Sabadell, Santander, CaixaBank, BBVA, Bankinter. Get pre-approval before signing the Contrato de Arras.
Yes, foreigners can absolutely get a Spanish mortgage. Both non-EU and EU buyers are eligible to apply for financing when purchasing property in Spain. The key difference compared to Spanish residents typically lies in the loan-to-value (LTV) ratio.
While residents can often borrow up to 80% of the property's valuation, non-residents are generally limited to 60–70% LTV. This means non-residents will need a larger cash deposit.
LTV Limits and What You Can Borrow
For non-residents, the typical loan-to-value (LTV) limit for a Spanish mortgage is between 60% and 70% of the property's valuation (tasación). This means if you are buying a property for €600,000, the maximum mortgage you can obtain would be between €360,000 and €420,000.
Consequently, you must have a cash deposit covering 30% to 40% of the purchase price, in addition to approximately 10% to 13% of the purchase price to cover acquisition costs (taxes, notary fees, registry fees, etc.).
Current Rates (Fixed vs Variable)
As of 2026, fixed mortgage rates for non-residents in Spain typically range from approximately 2.8% to 3.5%. Variable rates are usually tied to the Euribor plus a fixed spread, often around 0.5% to 1%. Mixed-rate mortgages are also available.
For non-residents, fixed-rate mortgages are generally recommended due to the certainty they provide regarding monthly repayments, protecting against potential fluctuations in the Euribor.
Which Banks Lend to Non-Residents
Several Spanish banks are active in the non-resident mortgage market, each with its own strengths:
Sabadell: Known for having one of the strongest track records with non-resident mortgages, particularly on the Costa del Sol.
Santander: Offers competitive rates and has a dedicated international desk to assist foreign buyers.
CaixaBank (HolaBank): HolaBank is specifically designed to cater to the needs of international clients, offering tailored services.
BBVA: A major player with a comprehensive range of mortgage products for non-residents.
Bankinter: Often provides very competitive fixed-rate mortgage options.
It's advisable to approach 2-3 banks or use a mortgage broker to compare offers and find the best terms for your specific situation.
Documents Required
To apply for a Spanish mortgage as a non-resident, you will typically need to provide the following documents:
Passport: Valid passport.
NIE Number: Foreigner Identification Number (Número de Identificación de Extranjero).
Tax Returns: Last two years of tax returns from your home country.
Income Proof: Last three months' payslips (for employed individuals) or last two years' business accounts (for self-employed).
Bank Statements: Bank statements for the last three to six months.
Property Valuation (Tasación): An official valuation of the property you intend to purchase.
Purchase Contract: The private purchase contract (Contrato de Arras) or Nota Simple of the property.
Additional documents may be requested depending on your personal circumstances and the bank's requirements.
Mortgage Costs and Fees
Beyond the property purchase price, there are several costs and fees associated with obtaining a Spanish mortgage:
Bank Valuation (Tasación): Typically €300–600.
Arrangement Fee: Some banks charge an opening or arrangement fee, usually 0–1% of the loan amount.
Life Insurance: Often required by banks as a condition for the mortgage.
Home Insurance: Mandatory for the property itself.
Since the introduction of the 2019 Mortgage Law, banks now cover the costs of the mortgage deed notary, registry fees, and the Stamp Duty (AJD) on the mortgage deed, significantly reducing buyer costs.
The 2019 Mortgage Law
The Spanish Mortgage Law of 2019 brought significant changes, primarily aimed at protecting consumers. The most impactful change for buyers is that the bank is now responsible for paying the Stamp Duty (AJD) on the mortgage deed, which was previously a substantial cost for the buyer.
Additionally, the bank also covers the notary and registry fees associated with the mortgage deed. The buyer is now only responsible for the notary and registry fees related to the purchase deed itself, not the mortgage.
Step-by-Step Application Process
The process of obtaining a Spanish mortgage typically involves these steps:
Get NIE: Obtain your Foreigner Identification Number (NIE), which is essential for any financial transaction in Spain.
Gather Documents: Collect all necessary financial and personal documents as requested by the banks.
Approach 2–3 Banks: Contact several banks or a mortgage broker to compare offers and terms.
Receive FEIN: Once a bank approves your application, you will receive the FEIN (binding offer) detailing all mortgage conditions.
Notary Cooling-Off Period: A mandatory 10-day period to review the FEIN with a lawyer before signing.
Sign at Notary: Final signing of the mortgage deed and purchase deed at a Spanish notary.
Frequently Asked Questions
Yes, it is possible to apply for a Spanish mortgage from outside Spain. Many banks have international departments that can process applications remotely. However, you will need to be present in Spain for the final signing at the notary.
A tasación is an official property valuation carried out by an independent, regulated valuation company. Spanish banks require this valuation to determine the loan-to-value (LTV) ratio for your mortgage. The cost is typically borne by the buyer.
Most Spanish mortgages allow for early repayment, either partial or total. However, banks may charge an early repayment fee, which is legally capped. It's important to check the specific terms and conditions of your mortgage agreement.
If you have a variable-rate mortgage, your monthly payments will increase if the Euribor rate rises, as your interest rate is typically Euribor plus a fixed spread. If you have a fixed-rate mortgage, your payments remain constant regardless of Euribor fluctuations.
Yes, you will need a Spanish bank account to manage your mortgage payments and other property-related expenses. It's advisable to open one early in the process, as it's also required for utilities and other services.
Yes, using a mortgage broker specializing in non-resident mortgages can be highly beneficial. They can help you navigate the Spanish mortgage market, compare offers from different banks, and assist with the documentation process, often saving you time and money.
FEIN stands for Ficha Europea de Información Normalizada (European Standardised Information Sheet). It is a binding mortgage offer document that banks are legally required to provide. It details all the terms and conditions of your mortgage, including interest rates, fees, and repayment schedule. You have a mandatory 10-day cooling-off period to review it before signing.
Now you know the financing — know what properties actually transact for
Spain doesn't publish individual sale prices. Our report contains transaction data from official notary and Land Registry records for all 28 Marbella sub-areas — including the gap between asking prices and what buyers actually pay in each district.
The information on this page is provided for general guidance only and is updated periodically. Tax rates and legal requirements change — always verify with a qualified Spanish lawyer before proceeding.