Spanish banks offer mortgages of up to 70% of the property purchase price for non-residents. This is a regulation set by the Bank of Spain and applies to all financial institutions.

✅ This means you must have at least 30% of the purchase price saved plus an additional 10-12% for taxes and fees.

✅ Some banks may offer slightly different conditions based on your income, credit profile, and country of residence.

✅ As a licensed mortgage broker, we can negotiate better conditions based on your profile.

Apart from your 30% down payment, you need to budget for an additional 10-12% of the purchase price, which covers:

🔹 Taxes:

Property Transfer Tax (ITP) (for resale properties) or VAT + Stamp Duty (for new builds).

🔹 Legal Fees:

Notary, Land Registry, and mortgage setup costs.

Lawyer fees (recommended, around 1% of the purchase price).

💡 Mortgage in Spain Mortgage Broker can connect you with trusted real estate lawyers to ensure a smooth process.

For non-residents, the maximum term is 25 years.

📌 The mortgage must typically be repaid before you reach 70-75 years old.

📌 A shorter term means higher monthly payments but lower total interest paid.

📌 We help you find the optimal balance between monthly affordability and total cost.

It will normally take around 6 to 8 weeks. This period counts from the date you have provided all the necessary documents until you sign your purchase and mortgage loan at the notary office (including the cooling-off period). 

Spanish banks require proof of the source of funds for the down payment and additional costs.

📑 You may need to provide:

✔ Bank statements showing savings accumulation.

✔ Proof of income, bonuses, or investment returns.

✔ Documents proving inheritance, property sales, or business income.

🔎 We ensure that your documentation is correctly presented to avoid delays in approval.

The most common documents you need to apply for a Mortgage in Spain if you are a non resident are:

• Copy of passport.
• Work contract + 6 last payslips obtained. 
• Bank statement last 6 months from the account where the salary/income is paid in.
• Bank statement from the savings account showing the funds needed to complete the purchase.
• Tax report 2 last years.
• Credit Report
• Last 3 receipts for outstanding debts.
• Reservation Contract for the property to purchase.

You will also need a NIE number (fiscal number in Spain) to complete the purchase, you should apply for this as soon as possible: NIE numbers are issued by the National Police of Spain (same authority that issues Spanish passports and ID cards). You can apply for a NIE number in person, at the Consulate of Spain in your country.

Fixed-rate: For fixed-rate mortgage loans, the monthly instalment to be paid and the interest rate applied will not vary during the lifetime of the loan. Even if market interest rates go up or down you will paying the same every month.

Variable rate: In the case of variable rate mortgage loans, the most common is that the interest rate is linked to a reference index (the most common is the Euribor). In this way, the monthly payment will vary according to the Euribor.

Mixed rate: These mortgages apply a fixed rate during the first years of the loan and then apply a variable interest rate with reference to the Euribor.

n Spain, banks charge penalties if you repay part or all of your mortgage early:

Fixed-rate mortgages:

Up to 2% in the first 10 years, then 1.5% thereafter.

Variable-rate mortgages:

Between 0.25% - 0.15% of the amount repaid.

💡 We can help you choose a mortgage with lower penalties if you plan to repay early.

The tasación (property valuation) is a mandatory step before a mortgage is approved and plays a crucial role in determining whether the property can be mortgaged.

🏡 Key aspects of the valuation:

✔ Determines the market value: The bank bases the loan amount on the lower of the purchase price or valuation.

✔ Confirms if the property can be mortgaged: Some properties may have legal or urbanistic issues that prevent financing.

✔ Verifies the urbanistic status: Ensures the property complies with local zoning laws and construction regulations.

✔ Checks for legal risks: Detects potential encumbrances, disputes, or irregularities in property registration.

✔ Helps assess if the purchase price is fair: The valuation gives an independent assessment of whether the price matches the actual market value.

💰 How much does it cost?

The cost ranges from €300 to €1,000, depending on the property type and location.

The valuation must be conducted by a certified appraisal company authorized by the Bank of Spain.

💡 We work with trusted valuation companies to ensure the process is quick and transparent.

Yes, all foreign buyers who want to purchase property in Spain must obtain a NIE (Número de Identificación de Extranjero).

📌 Why is the NIE necessary?

The NIE is a mandatory tax identification number for foreigners conducting financial transactions in Spain. It is required for:

✔ Buying property and registering it in your name.

✔ Applying for a mortgage from a Spanish bank.

✔ Paying property taxes and utility bills.

✔ Opening a Spanish bank account, which is often required for mortgage payments.

✔ Signing the property deed (escritura) at the notary.

⏳ How long does it take to get a NIE?

The process can take several weeks if done through a consulate abroad.

Some online platforms can obtain it within 1 to 4 weeks, depending on urgency.

💡 We can connect you with a fast and reliable NIE service to speed up the process and avoid delays in your property purchase.

A mortgage pre-approval is a useful indicator that you meet the bank’s financial criteria, but it is not a guarantee of a final mortgage approval.

📌 Key considerations:

✔ The pre-approval is based on your income, debts, and financial profile, but the bank cannot confirm the final mortgage amount until the property valuation is completed.

✔ Once the valuation (tasación) is done, the bank will assess whether the property:

Has a sufficient market value to support the requested mortgage amount.

Is free of legal or urbanistic issues that could prevent financing.

✔ If there are no legal obstacles and the valuation confirms the property's suitability for a mortgage, the bank will proceed with a full mortgage review.

✔ At this stage, the bank issues the FEIN (European Standardized Information Sheet), which is the only legally binding mortgage offer in Spain.

✔ The FEIN guarantees the mortgage terms for a period (usually 30 days), giving you time to finalize the purchase.

💡 We guide you through the entire process to ensure that your mortgage is secured without unexpected surprises.

In Spain, a mortgage can only be granted once the property is fully built and its legal documentation is correctly registered in the Property Registry. This means that if you purchase an off-plan property, you cannot secure a mortgage in advance, only a non-binding pre-approval.

📌 Key considerations for off-plan property financing:

✔ No mortgage until completion – Banks will not issue a mortgage until the construction is finished and the property is legally registered.

✔ Only a pre-authorization is possible – You can obtain an initial financial assessment, but this is not binding for the bank and does not guarantee a mortgage.

✔ Your financial situation could change – If your income, job status, or debts change while the property is being built, the bank may decline your mortgage application when the house is completed.

✔ Bank policies may change – Interest rates or lending policies could be modified, meaning that even if you qualified for a mortgage at the time of reservation, you may not qualify later if conditions tighten.

✔ Interest rate fluctuations – If interest rates increase before completion, your debt-to-income ratio may no longer meet the bank’s requirements, making the mortgage unfeasible.

⚠ The risk of buying off-plan is that until the house is finished, there is no guarantee that you will be able to secure a mortgage. You will only have a rough idea of your eligibility based on today's criteria, but banks are not obligated to honor those conditions when the property is completed.

?? If you’re considering an off-plan purchase, we can help you assess your financial situation and explore risk-minimizing strategies to ensure you have the best possible mortgage options when the time comes.