One of the biggest questions foreign buyers ask is: What interest rates can I get on a non-resident mortgage in Spain? The answer depends on your residency, income, and lender — but understanding your options helps you negotiate better terms and avoid surprises.
🏦 Types of Mortgage Rates in Spain
Spanish banks offer three main types of interest rate structures to non-residents:
| Type | Description | Best For |
|---|---|---|
| Fixed rate | Rate locked in for entire term | Budget-conscious buyers |
| Variable rate | Linked to Euribor + bank margin | Those expecting rates to drop |
| Mixed rate | Fixed for first 3–5 years, then variable | Buyers who want initial stability |
📉 Typical Rates for Non-Residents
Non-resident rates are usually higher than for Spanish residents due to perceived risk.
| Type | Approximate Rate Range |
|---|---|
| Fixed | 3.5% – 4.5% |
| Variable | Euribor + 1.5% to 2.5% |
| Mixed | Fixed 3.5–4% initially, then variable |
📌 Rates depend on factors like your country of residence, credit score, LTV ratio, and income stability.
📊 What Impacts Your Rate?
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Nationality & Residency
EU residents often get better rates than non-EU nationals. -
Loan-to-Value (LTV)
Lower LTV = lower risk for the bank = better rate. -
Income & Currency
Stable income in EUR, GBP, or USD is favored. -
Credit Profile
Clean credit history, verified by a local credit agency (Experian, Equifax, etc.). -
Bank Relationship
Holding a Spanish bank account or assets may help negotiate better rates.
📆 Mortgage Term Lengths
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Typical terms: 5 to 25 years
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Minimum age: 18
-
Maximum age at maturity: Usually 70–75 years old
📌 A shorter term means higher monthly payments but less interest paid overall.
💸 Other Costs to Consider
Besides interest, your total mortgage cost will include:
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Bank opening fee (often 0.5% – 1%)
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Valuation fee (≈ €300–€500)
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Notary & registry fees (≈ 1% – 2%)
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Life & home insurance (may be mandatory)
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Legal fees (for contract review and POA)
💡 In Spain, the bank usually pays for most mortgage taxes and administrative costs (since mortgage law reforms).
🔄 Can I Switch Rates Later?
Yes, some banks allow subrogación (switching your mortgage to another bank) if you find a better rate later — though conditions apply.
🌐 Currency Considerations
Most banks only offer loans in EUR. Foreign currency mortgages (GBP, USD, CHF) are rare and risky unless you earn in that currency.
💡 Example Scenarios
Buyer A: EU resident, salaried income in EUR, 60% LTV
→ Likely to get a 3.6% fixed rate
Buyer B: Non-EU investor, self-employed, income in USD, 70% LTV
→ Likely to be offered 4.5% fixed or Euribor + 2.5% variable
⚖️ Legal Tip
Always review the fine print in mortgage contracts. Some banks include:
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Early repayment penalties
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Compulsory bundling of insurance
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Rate hikes after the first few years
🛡️ A Spanish property lawyer can flag abusive clauses and negotiate changes before you sign.
❓ FAQs
Is Euribor still used in Spanish mortgages?
Yes — it’s the most common benchmark for variable-rate loans.
Can I get a 100% mortgage as a non-resident?
No — maximum is usually 60–70% LTV.
Are non-resident mortgage rates negotiable?
Yes, especially if you have a strong financial profile or apply through a broker.
🤝 How We Help
At Borderless Lawyers, we assist with:
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Rate comparisons and mortgage structuring
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Reviewing loan terms in Spanish
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Legal representation via power of attorney
👉 Book a consultation to find the best non-resident mortgage in Spain for your situation.