Non-residents can get a mortgage in Spain, but the bank will lend less than it does to residents. Published guides say lenders typically offer 60% to 70% of the property value to non-residents, against up to 80% for residents, so you need a deposit of 30% to 40% plus roughly 10% to 15% more for taxes and costs. Banks ask for home-country tax returns, bank statements, proof of income and a credit report. Pre-approval takes about one to three weeks, and full approval a few more weeks. This guide explains the loan-to-value rules, the documents, the rates and fees, the steps up to the notary and a worked example on a €250,000 home. It is general information, not financial advice, and every lender sets its own terms.
How much will a bank lend a non-resident?
The loan is a share of the lower of the purchase price and the bank’s own valuation (tasación). Two published guides give the same range:
| Typical loan-to-value | Deposit you need | |
|---|---|---|
| Spanish resident, main home | About 70% to 80% | 20% to 30% |
| Non-resident | Normally 60% to 70% | 30% to 40% |
A few banks offer 80% to applicants from specific countries, but guides treat these as exceptions. Lenders also look at your total debt payments, and one guide gives a rule of thumb of no more than 30% to 35% of your net monthly income. Plan on the lower end of the range when you budget, and use the cost calculator for the taxes and fees.
What documents do you need?
- Passport and NIE (see the NIE guide).
- Home-country tax returns, commonly the last three years.
- Bank statements, commonly the last six months.
- Recent payslips, and an employment contract or employer letter, or two to three years of certified accounts if you are self-employed.
- A home-country credit report.
- Details of any current mortgage.
- A Spanish bank account number, since repayments are collected from a Spanish account.
Banks may ask for more, and documents in other languages may need translation. Start collecting them before you make an offer.
What terms and rates can you expect?
Non-residents usually get terms of 20 to 25 years, against up to 30 years for residents, and banks generally want the loan repaid by around age 75. Rates come in three types:
| Type | How it works |
|---|---|
| Fixed | The rate is locked for the full term |
| Variable | 12-month Euribor plus the bank’s margin, reviewed every year |
| Mixed | Fixed for an initial period, often 5 or 10 years, then variable |
One published 2026 guide estimates fixed rates of about 3.5% to 4.5% for non-residents and 2.5% to 3.5% for residents. These are estimates, not offers, and rates change, so ask each bank for a written offer. Spanish mortgages are normally in euros, so a borrower earning pounds or dollars carries exchange-rate risk on every payment (see the money transfer guide). They are also full-recourse: if a repossessed home sells for less than the debt, you remain liable for the difference.
What does it cost? A worked example
This example uses a €250,000 resale home in a region with 7% ITP, a loan of 65% of the price, and fee allowances taken from published guides. It is a model, not a quote.
| Item | Amount |
|---|---|
| Price | €250,000 |
| Loan at 65% | €162,500 |
| Deposit at 35% | €87,500 |
| ITP at 7% | €17,500 |
| Notary (allowance) | €800 |
| Land registry (allowance) | €400 |
| Lawyer at 1% (before VAT) | €2,500 |
| Valuation (allowance) | €450 |
| Gestoría (allowance) | €400 |
| Cash needed in total | €109,550 (≈ £92,500 / $122,700), 43.8% of the price |
Conversions are approximate and use the European Central Bank reference rates of 14 October 2026 (€1 = £0.844 = $1.120). Rates move every day.
The monthly repayment on the €162,500 loan over 25 years depends on the rate:
| Fixed rate (estimate) | Monthly payment | Approx. in £ / $ |
|---|---|---|
| 3.5% | €814 | ≈ £700 / $900 |
| 4.0% | €858 | ≈ £700 / $1,000 |
| 4.5% | €903 | ≈ £800 / $1,000 |
The difference between 3.5% and 4.5% is about €90 a month, or €1,077 a year, so a small difference in the rate matters over 25 years.
Who pays the mortgage costs?
Since the 2019 mortgage law (Law 5/2019), the lender generally pays the stamp duty (AJD) on the mortgage deed and the notary, registry and gestoría costs of that deed, while the borrower pays the valuation. Older guides still say the buyer pays these costs, so check the figures in your own offer. Ask the bank to confirm in writing which costs are yours, and compare the total cost of different offers rather than only the interest rate. The purchase taxes are separate and explained in ITP vs IVA vs AJD.
What are the steps to get the mortgage?
- Pre-approval: the bank reviews your documents and gives an indicative offer. One guide says this takes about 5 to 15 working days.
- Valuation: a bank-approved appraiser values the home. It typically costs a few hundred euros, with one guide giving €300 to €600.
- Binding offer: the bank issues the standard information sheet (FEIN), which must stay valid for at least 10 days, and a warning sheet (FIAE) about complex clauses.
- Notary visit: you visit the notary before signing to check the terms, at no cost to you.
- Cooling-off period: at least 10 days pass between the binding offer and the signing.
- Signing: the mortgage deed is signed together with the purchase deed, and the bank releases the money.
One guide puts full approval after you have chosen the property at 4 to 8 weeks, so line it up with the date in your arras contract.
How does the mortgage fit into the purchase contract?
Do not sign the deposit contract before the bank has given you at least an approval in principle. Ask your lawyer to put a clause in the contract that returns your deposit if the loan is refused within a set period. Without one, a refusal can cost you the deposit. The main buying guide shows where the mortgage fits among the 12 steps.
How can you improve your chances?
- Keep a clean credit file and avoid new debt before you apply.
- Hold the deposit and the costs in liquid funds, with a record of where the money came from.
- Apply to more than one bank, or use a broker who knows both the Spanish and your home-country system.
- Model the repayments at a higher rate than today’s.
- Choose a shorter term if you can afford it, since the total interest is lower.
What are the common mistakes?
- Assuming that a resident’s 80% loan is available to a non-resident.
- Paying a deposit before the bank has given any approval.
- Comparing only the interest rate, not the fees and insurance.
- Accepting bundled insurance without checking that it is optional.
- Ignoring the exchange-rate risk when your income is in another currency.
- Not asking about early repayment fees.
What if you want to repay early?
Spanish law limits the fee a bank can charge for repaying all or part of a mortgage early, and the limit depends on the type of loan and on how many years have passed. Ask the bank to state in writing the current maximum for your loan, and compare it between offers. A lender that waives or lowers this fee may be worth a slightly higher rate if you expect to sell or repay early.
What if your income is not in euros?
The bank will assess your income in your home currency and may apply a safety margin to protect against exchange-rate swings. After the purchase, a fall in the pound or the dollar makes every euro payment more expensive. Some borrowers hold part of their savings in euros to cover the payments, or ask a currency specialist about a plan for regular transfers. Run the repayment table above at a higher rate and at a weaker exchange rate to see whether you could still pay comfortably.
Is the insurance compulsory?
Banks often offer life and home insurance bundled with the loan, with a lower rate in return. The insurance linked to the loan can generally be bought elsewhere, so ask for the terms of the bundle and compare the total cost with an outside policy before you accept.
Frequently asked questions
Can a non-resident get a mortgage in Spain?
Yes. Banks lend to non-residents, but typically offer 60% to 70% of the value, so you need a larger deposit than a resident.
How much deposit do I need?
Plan for 30% to 40% of the price plus roughly 10% to 15% for taxes and costs.
How long does it take to get a mortgage in Spain?
One guide gives about 5 to 15 working days for pre-approval and 4 to 8 weeks for full approval once you have chosen the property.
Do I need a Spanish bank account?
Yes. Repayments are collected from a Spanish account, so open one when you apply.
What if the bank refuses the loan after I paid a deposit?
Only a clause in the deposit contract can protect your money, so ask your lawyer to include one before you sign.
Sources
Official sources (check these for the current rule):
- Banco de España: bank customer portal
- Law 5/2019 on real estate credit contracts (BOE)
- European Central Bank: euro reference rates
Also cross-checked against published guides, because practice varies between notaries, registries and banks:
- Costa Luz Lawyers: Spanish mortgages for foreigners 2026
- Spain Handbook: mortgages in Spain for foreigners
- Your Overseas Home: Spanish mortgage for foreigners
This is general information, not legal or tax advice. Rules and rates change, and your situation may differ. Confirm the figures with the tax authority and a qualified lawyer or tax adviser before you commit.
