How to Get a Mortgage in Spain for Non-Residents in 2025 (What I Learned Working with Experts)

When I started working with clients (and planning my own move to Spain), figuring out mortgages felt like entering a maze with no map.
Every forum, every Facebook group had someone giving advice, but honestly, it was confusing, incomplete, and often just plain wrong.

So I decided to team up with relocation, mortgage, and wealth management experts who specialize in working with expats. This guide is a combination of what I learned through that work and what I wish someone had handed me when I first started.

If you're thinking about buying property in Spain, whether it's a vacation home, a retirement move, or a full relocation, here's what you need to know.

Can a Foreigner Even Get a Mortgage in Spain?

Good news: you can get a mortgage as a foreigner.
The catch? It’s a little trickier than it is for residents, and the banks definitely don't hand you a golden ticket.

Here’s the reality:

• Most non-residents can borrow 60%–70% of the property's appraised value (not the purchase price).

• You’ll need to put down a 30–40% deposit.

• Mortgage rates are typically a bit higher for non-residents — but they’re still very competitive compared to U.S. rates in 2024.

• You’ll have to show a lot more paperwork to prove your financial stability.

What Banks Look For (and What They Don’t Tell You)

Here’s what kept coming up in conversations with brokers and wealth managers:

✔ Proof of stable income abroad (2–3 years tax returns, pay slips, recent bank statements)
✔ A healthy debt-to-income ratio — ideally under 35%
✔ A Spanish bank account (you’ll need this before the deal closes)
✔ Documentation translated into Spanish if needed (official sworn translations are best)

Real-world example:
A client who worked freelance needed to show not just her income but also multi-year contracts and proof she had steady clients.
If you're self-employed, just showing one year of good income won't be enough.

Need help securing a mortgage in Spain?

I work with trusted mortgage brokers who specialize in helping foreigners buy property in Spain.

Speak to a Broker

How Much You Can Borrow as a Foreigner

Most non-residents are capped at 60–70% loan-to-value.
That means if you’re buying a €300,000 apartment, be ready to pay €90,000–120,000 out of pocket plus taxes and fees.

There’s some nuance:

• EU citizens sometimes get slightly better deals.

• If you later become a resident, you could refinance under better conditions.

👉 From one tax report I reviewed, a client had to disclose U.S. 401K holdings and foreign rental income just to get bank approval — and it delayed his closing by two months because they wanted extra documentation.

The Hidden Costs You Need to Budget For

This part really surprised a lot of people I’ve worked with:

• Mortgage arrangement fees: 0.5–1% of the loan

• Tasación (property appraisal): ~€300–600

• Notary fees: usually around 0.5%–1% of property value

• Stamp duty and property transfer taxes:

  • For resale homes: 6%–10% depending on the region

  • For new builds: 10% VAT + 1.5% stamp duty

👉 Real talk:
Budget an extra 10–13% on top of the property price.
If you think €300,000 means €300,000 — it doesn’t.

➡️ Want a deeper breakdown?
I wrote a full guide on the cost of buying a house in Spain — including examples, real numbers, and what most people forget to plan for.

It’s definitely worth reading if you want a complete picture before making any offers.

Need help securing a mortgage in Spain?

I work with trusted mortgage brokers who specialize in helping foreigners buy property in Spain.

Speak to a Broker

How Currency Fluctuations Can Hit You Hard (and How to Avoid It)

If your money is still in USD (or another currency) and you're buying in EUR, timing matters.

Example:
During the Trump tariff chaos, USD–EUR rates moved massively.
One client working with a currency expert saved over €10,000 simply by locking a favorable rate 30 days before closing.

Banks rarely offer you the best transfer rates — that's why working with a specialized currency transfer company (one that understands property deals) can seriously save your budget.

What About Wealth Tax and Reporting?

Spain’s Wealth Tax applies whether you're a resident or not.
And owning property here means you have an asset Spanish authorities can see and tax.

Quick breakdown:

• If you're non-resident, only your Spanish assets (like property) count.

• If you become resident, all your worldwide assets count toward Wealth Tax and Modelo 720 reporting obligations.

The national exemption is €700,000 — but regions like Catalonia have lower thresholds.
If your property value plus other assets push you over, you might owe Wealth Tax every year.

👉 Translation:
Buying a home means thinking long-term about taxes, not just upfront costs.

How to Get the Best Mortgage Deal (Without Losing Your Mind)

Here’s what the experts recommend:

• Start prepping 6–12 months ahead — banks love organized clients.

• Compare rates carefully: fixed vs. variable (variable usually tied to Euribor, which moves).

• Use a broker who specializes in non-resident buyers — not just any bank mortgage rep.

Tip: Good brokers can sometimes negotiate better deals than you'd get walking in solo — especially if you’re not fluent in Spanish banking lingo.

Should You Buy Before or After Becoming a Resident?

Both have pros and cons:

Buying Before Becoming a Resident:
✅ Might avoid full Wealth Tax reporting obligations (if below thresholds)
✅ Lower immediate paperwork burden

Buying After Becoming a Resident:
✅ Easier mortgage terms
✅ Potential tax advantages if structuring properly

It depends on your bigger life plan — how fast you’ll move, where you’ll live, and your asset situation abroad.

Final Takeaways: What I’d Tell Any Foreigner Considering a Mortgage in Spain

Plan early — like way earlier than you think.

1. Budget for the real costs — property price + ~12%.

2. Get organized with your paperwork (income, assets, taxes).

3. Work with trusted mortgage brokers and currency experts.

4. Don’t think only about “buying” — think about long-term financial positioning in Spain.

Want Help?

If you’re feeling overwhelmed (and I get it, I was too), I offer personalized relocation planning sessions.

Alternatively, I can connect you with trusted mortgage brokers and currency advisors who specialize in helping foreigners move to Spain smoothly.

Need help securing a mortgage in Spain?

I work with trusted mortgage brokers who specialize in helping foreigners buy property in Spain.

Speak to a Broker