Spain offers a diverse property market — from beachfront villas in Marbella to city flats in Barcelona. But where is the best place to get a mortgage as a non-resident? This article compares the top Spanish regions for foreign buyers, with tips on mortgage availability, property prices, and legal considerations.
🏖️ 1. Costa del Sol (Málaga, Marbella, Estepona)
Why it’s popular:
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Year-round sun
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International lifestyle
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Large English-speaking expat community
Mortgage insights:
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Banks are very accustomed to foreign buyers
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Non-residents often secure up to 70% LTV
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Sabadell, CaixaBank, and Cajasur are very active in the region
Legal tip: Check for tourist rental restrictions in Marbella and Estepona.
🏝️ 2. Balearic Islands (Mallorca, Ibiza, Menorca)
Why it’s popular:
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Luxury market with strong international demand
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Island lifestyle and high rental potential
Mortgage insights:
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Banks tend to offer lower LTVs (60–65%) due to high prices
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Second homes dominate this market
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Property valuations often come in lower than listing prices
Legal tip: Ibiza and Mallorca have some of the strictest urban planning and rental laws in Spain.
🌆 3. Barcelona & Surroundings (Sitges, Castelldefels, Maresme)
Why it’s popular:
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Cosmopolitan city with strong capital appreciation
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Excellent transport and international schools
Mortgage insights:
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Non-resident mortgages available from all major banks
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65–70% LTV possible depending on profile
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Higher closing costs due to regional taxes (AJD, ITP)
Legal tip: Some city zones ban short-term rentals entirely.
🌊 4. Costa Blanca (Alicante, Jávea, Torrevieja, Altea)
Why it’s popular:
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Affordable compared to other coasts
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Strong British and Dutch expat communities
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Excellent weather and beach towns
Mortgage insights:
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Wide access to non-resident mortgages
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More flexible for UK and EU retirees
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Popular with Bankinter and CaixaBank branches
Legal tip: Always check the urban status of rural land or hillside plots.
🏙️ 5. Madrid
Why it’s popular:
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Capital city with year-round demand
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Stable long-term rentals and investment potential
Mortgage insights:
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Banks offer competitive rates and higher LTV
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Strong preference for salaried professionals with EUR income
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Foreign demand is rising in districts like Chamberí, Salamanca, and Retiro
Legal tip: Madrid has lower ITP property transfer tax than other regions (6–7%).
🏖️ 6. Valencia
Why it’s popular:
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Coastal lifestyle meets city amenities
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Rising international interest
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Affordable housing compared to Barcelona
Mortgage insights:
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60–70% LTV available for non-residents
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Popular among digital nomads and EU retirees
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Local CaixaBank offices cater to English-speaking buyers
Legal tip: Some properties may have coastal protection zone issues — legal due diligence is key.
🏡 7. Canary Islands (Tenerife, Gran Canaria)
Why it’s popular:
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All-year sunshine
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Low cost of living
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Great for remote workers
Mortgage insights:
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Access to non-resident mortgages is limited to major towns
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60–65% LTV typical
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Appraisal values may be lower than market price
Legal tip: Always check property registration and zoning when buying rural or touristic properties.
📊 Regional Comparison Table
| Region | Max LTV | Foreign Buyer Friendly | Key Risk |
|---|---|---|---|
| Costa del Sol | 70% | ✅ Very friendly | Tourist license rules |
| Balearic Islands | 65% | ✅ High-end focus | Urban planning/zoning |
| Barcelona Area | 70% | ✅ Easy bank access | Rental bans in city |
| Costa Blanca | 70% | ✅ Excellent access | Land registry issues |
| Madrid | 70% | ✅ Strong infrastructure | Higher legal costs |
| Valencia | 70% | ✅ Growing popularity | Coastal protections |
| Canary Islands | 65% | ☑️ Limited coverage | Remote logistics |
⚖️ Why Legal Advice Is Regional Too
Each Spanish autonomous community has its own:
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Property tax rates (ITP, AJD)
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Urban planning rules
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Rental regulations
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Bureaucratic pace
📌 Work with a lawyer who knows local law and not just national Spanish rules.
❓ FAQs
Can I get a mortgage in one region while living in another?
Yes — your residence doesn’t affect the mortgage region, but banks often prefer proximity.
Do different regions have different closing costs?
Yes. For example, ITP (transfer tax) can range from 6% to 11%, depending on the region.
Can I buy in a rural area with a mortgage?
Yes — but banks are stricter, and valuations may come in lower. You may need a higher deposit.
🤝 How We Help
At Borderless Lawyers, we provide:
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Region-specific legal due diligence
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Mortgage negotiation and comparison by location
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Power of attorney services to complete purchases remotely
👉 Book a call to learn which Spanish region is right for your investment or second home.