As a British buyer you can finance a Spanish property with a Spanish mortgage. The conditions differ from UK ones and depend on the bank, your finances and the type of property.
How much you can borrow #
Spanish banks apply fixed lending limits, with a clear split between residents and non-residents. Non-residents can generally borrow up to 60 to 70 per cent of value, residents up to around 80 per cent.
The lending is calculated on the lower of the purchase price or the valuation, carried out by an independent valuer appointed by the bank. In practice this means you always bring a substantial deposit, usually around 30 to 40 per cent of the purchase.
Term and interest #
The term is usually 20 to 25 years, shorter than a typical UK mortgage.
On interest you can choose a fixed rate, a variable rate usually linked to Euribor, or a mixed product that is fixed for an initial period and variable afterwards.
One condition catches British buyers out: the mortgage almost always has to be repaid in full by around age 70 to 75. If you are buying at 60, that shortens the available term considerably and pushes up the monthly payment.
Documents required #
The bank wants a full financial file: passport, NIE number and proof of income, meaning payslips if employed or accounts and an accountant’s letter if self-employed.
Also your tax documents for the last one to two years, bank statements for the last three to six months, a summary of outstanding debts, and the purchase or reservation contract.
How the bank assesses you #
Several criteria come into it.
Affordability. The monthly payment normally has to sit between 30 and 35 per cent of net income, and Spanish banks count your existing UK commitments in that calculation.
Creditworthiness, checked through credit registers including international ones.
The property itself, valued through the bank’s own valuation (tasación).
From that the bank decides whether to lend and on what terms.
Mortgage costs #
On top of the purchase costs come the mortgage costs: the valuation, notary fees for the mortgage deed, registration fees, and bank or arrangement fees. Together these average around 2 to 3 per cent of the loan amount.
Practical points #
Start early, because the process takes four to six weeks. Compare several banks. Budget for a 30 to 40 per cent deposit. Check the term and the maximum age limit against your own age. And ask for quotes based on both the purchase price and the valuation.
In short #
Spanish mortgage conditions are clearly defined and differ from UK ones in several ways. Lower lending, more documentation and additional costs all make preparation worth the effort.
Last reviewed 2026-08-24
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