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Spanish Mortgages for Foreign Buyers | Finance Guide 2026

How to get a Spanish mortgage as a foreign buyer. 60-70% LTV, fixed vs variable rates, bank requirements, and currency exchange tips.

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What Foreign Buyers Can Borrow

Spanish banks welcome international buyers. As a non-resident, you can typically borrow 60-70% of the property value (LTV), meaning you need 30-40% as a cash deposit. Residents may access up to 80% LTV.

For a €300,000 property with 70% financing, you'd borrow €210,000 and need €90,000 as deposit. Add buying costs (~12%) and you need around €126,000 in total cash. See our costs and taxes guide for the full breakdown.

Your Total Investment: €336,000

70% LTV sounds high, but when you add buying costs, the bank only funds 62% of your total outlay. You need 38% in cash.

Interest Rates

Fixed, Variable, or Mixed?

Your choice of rate type affects both monthly payments and long-term costs. Most foreign buyers choose fixed rates for predictability.

Fixed Rate

Same payment for the entire term. Currently 3-4%. Best for long-term stability and peace of mind.

Variable Rate

Euribor + 1-2% margin. Lower initial rates but payments fluctuate. Better when rates are falling.

Mixed Rate

Fixed for 5-10 years, then variable. Good balance of initial stability with potential future savings.

TypeCurrent RateMonthly on €200k/20yr
Fixed3.5%€1,160
VariableEuribor + 1.5%~€1,050
Mixed (5yr fixed)3.0% → Variable€1,109
Indicative rates as of 2025. Actual rates depend on your profile and the bank.

Bank Requirements

What You'll Need to Apply

Banks assess your ability to repay. The key metric is debt-to-income ratio—your total debt payments (including the new mortgage) shouldn't exceed 35-40% of net income.

Self-employed? Expect stricter scrutiny. Banks typically want 2-3 years of trading history and may offer lower LTV (50-60%). Having a Spanish accountant prepare your documents helps.

Spanish Banks

Who to Approach

Several major Spanish banks have dedicated international buyer departments with English-speaking staff. Shop around—terms vary significantly between lenders.

Sabadell

Strong international desk. Competitive rates for non-residents.

CaixaBank

Spain's largest bank. Wide branch network across Costa Blanca.

Santander

International presence. Can link to UK/EU banking relationships.

BBVA

Good digital platform. Competitive variable rates.

Mortgage brokers can save you time by comparing multiple banks at once. They know which banks are currently lending to your buyer profile and often negotiate better terms. Their fee (typically 0.5-1% of the loan) is often worth it for the rate savings and convenience. Talk to our team for broker introductions.

Currency Exchange

Moving Money to Spain

If you're transferring a large sum from GBP, USD, or another currency, don't use your regular bank. High-street banks typically charge 2-4% in hidden exchange rate margins—that's €6,000-€12,000 on a €300,000 transfer.

Currency specialists offer rates 1-2% better than banks, with transparent fees. On a property purchase, this saves thousands. Contact us for trusted currency partner recommendations.

High-Street Bank

2-4% exchange rate margin
€30-50 transfer fees
Limited rate locking options
Slower processing

Currency Specialist

0.3-0.8% exchange rate margin
Lower or no transfer fees
Forward contracts to lock rates
Dedicated dealer for large transfers

Forward contracts let you lock in today's exchange rate for a future transfer. If you're buying off-plan or have staged payments, this protects you from currency fluctuations between now and completion.

Mortgage Timeline

Getting mortgage approval typically takes 4-6 weeks from application to offer. Here's the typical process:

  • Week 1-2: Submit documents, bank reviews your profile
  • Week 2-3: Bank orders property valuation (tasación)
  • Week 3-4: Valuation completed, offer issued
  • Week 4-6: Legal review of offer, signing at notary

If you're buying with a mortgage, factor this into your timeline. Don't sign a private contract with a tight completion date unless you have pre-approval in place.

Ready to Get Pre-Approved?

Know Your Budget Before You View

We connect buyers with Spanish banks and mortgage brokers who specialise in international purchases.

Talk to Our Team
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