Getting a mortgage in Spain: easy guide

Last updated on June 11th, 2025 at 11:56 am.

If you’re thinking about buying a Spanish property, then it’s likely you may consider getting a mortgage in Spain. A new Spanish home can offer you major benefits, such as opportunities to experience beautiful weather, fascinating culture, and delicious food.  

Are you aware of the steps you need to follow to apply for a mortgage in Spain? In this article, we talk you through the entire process so that you’re confident, secure, and well prepared. 

Why get a mortgage in Spain?

There are multiple reasons why getting a mortgage in Spain is an effective solution when you’re looking into buying a Spanish home. You may not have the full amount available at the moment to pay for the property outright. It also may be the case that taking out a mortgage on your new Spanish property makes more financial sense in terms of your budget right now. 

Buying a property in Spain may potentially be a smart personal, financial, or investment opportunity for the future. Flexibility within the system is a definite advantage, and it’s possible you’ll have competitive costs, making this a smart move for the financially savvy. 

Changes in the process of getting a mortgage in Spain

There have been some recent developments in the process of securing a Spanish mortgage. If you’re looking to buy in Spain, it’s likely that there will be specific conditions you’ll have to meet to successfully complete the home purchase. 

In Spain, you can apply for a mortgage in much the same way as you would in most other countries. However, it’s notable that non-residents can usually borrow up to 60-70% of the property’s value. 

Typically, you may have to also make a down payment or deposit of approximately 30% to put your mortgage in place and secure your new home. Also, you may be asked to share proof of income with the lending bank to ensure that you are in a position to pay your mortgage now and in the future.

This can be frustrating for those wishing to buy, but ultimately helps to ensure that once you have bought, you are in a good position to pay your mortgage in Spain.

Also, a mortgage cannot be taken out for longer than 30 years and must be repaid by retirement age. New mortgages must be accompanied by a handwritten note signed by the client saying that he/she has been given details about the mortgage and understands the possible risks and content of the contract.

What are the requirements to get a mortgage in Spain?

Mortgage eligibility requirements will vary depending on the lender you choose, but in general these are similar to requirements you have to meet in most European countries or the UK. 

Here are some potential criteria that mortgage lenders may require you to meet:

• Have a good credit history
• Be aged between 21-70
• Have a deposit of 30-40% available
• Be in employment

You’re also likely to be asked to provide official documentation that proves your identity and personal situation, such as:

• Proof of address
• Proof of ID
• Evidence of income or employment
• Copies of all existing property deeds in your name
• Credit rating from your home country
• Your Número de Identificación de Extranjeros (NIE). This is an important reference as you can’t buy a property in Spain without it. It’s a personal number that’s assigned to all foreigners who have personal or professional reasons for being in Spain. 

Steps for getting a mortgage in Spain

Follow these steps to apply for a mortgage in Spain and secure your dream home:

Step 1: Find a property

Research in the area you want to live, talk to real estate professionals and tour the properties you like to find the one you want to buy. 

Step 2: Explore mortgage options

Use a broker to explore your mortgage options, communicate with the bank who will be your lender to set up your mortgage. 

Step 3: Share financial information with lending bank

Give all of the relevant documentation required to the lending bank so that they can process your mortgage loan application and get the ball rolling. 

Step 4: Get a property appraisal

The bank will let you know once it’s verified your financial situation. Then you can arrange a property appraisal. The lending bank will need this to assess the property’s value and to arrange mortgage loan completion. 

Step 5: Receive a mortgage offer

Your lending bank will likely then send you a mortgage offer. This is binding, so it makes sense to read all of the detailed information to ensure everything is correct and in place before you sign. If there is a detail you’re not sure about, discuss this with the bank. 

Step 6: Sign the mortgage contract

In the presence of a notary (a legal practitioner), you can sign the mortgage contract if you’re happy with the whole process and want to buy the property. When the purchase is completed, the property and mortgage will be registered in the Property Registry. 

Costs associated with getting a Spanish mortgage 

As with a mortgage in most countries, getting a mortgage in Spain will typically generate some fees. Fortunately, the lender in Spain will pay a large portion of these fees, with you as buyer paying two main costs: 

1. A valuation fee: the buyer usually pays for a valuation of the property. This gives a value and is not a structural survey. It typically costs a few hundred euros, approximately 500 euros or less. 
2. Mortgage arrangement fees: also known as the completion fee, this is paid on the completion of the property purchase. The fee varies depending on factors such as the lender and loan size, but is generally up to 1% of the loan amount. 

You may encounter some other fees during a mortgage process in Spain. If you use a mortgage broker, they may charge you a fee. Plus, there could be fund transfer fees if you’re moving money from one country to another to secure the property. 

Things to take into account

If you’re considering taking out a mortgage in Spain, here are the key steps to ensure a smooth and informed process:

1. Determine your budget. Assess how much you need to borrow, factoring in not just the property price but also additional costs such as taxes, legal fees, and insurance. Be realistic about what you can afford in monthly repayments based on your income.
2. Compare mortgage offers. Research and compare quotes from multiple lenders to find the best interest rates and terms. Consider both Spanish banks and international lenders if you’re a foreign buyer.
3. Understand the terms and conditions. Carefully review the mortgage agreement, including interest rates (fixed or variable), repayment periods, early repayment penalties, and any additional fees.
4. Request a firm offer. Once you’ve chosen a lender, ask for a formal mortgage offer that includes all contract details, ensuring transparency before you commit.

By following these steps, you’ll be better prepared to secure a mortgage that suits your financial situation and long-term plans.

ABA is here to help you 

For more information about buying property in Spain, download our free property buying handbook.

If you have any questions about property purchase and management in Spain, fill out this form and we’ll offer you a free consultation with no obligation.

Published on 11/05/2020. last updated on 06/10/2025