Mortgages in Spain: a simple guide for Poles
3/31/2026
Buying a property in Spain is an excellent investment: mortgages are cheaper than in Poland and interest rates are lower. However, the process is different from that in Poland. Below is a step-by-step guide.
🆔 1. NIE and tax card
Every foreigner needs:
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🟢 NIE (Foreigners’ Identification Number): identifies you in Spain
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🟢 Tax card (Tarjeta Fiscal): the equivalent of the Polish NIP, required to carry out transactions and apply for a loan
💰 2. Own funds and taxes
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The bank usually finances 70% of the property’s value
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The remainder is your own contribution, plus additional notary fees and taxes
Additional costs:
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Primary market: 10% VAT + 1.5% stamp duty
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Secondary market: 10% ITP tax
Example:
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Property: €200,000
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Loan: €140,000
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Own contribution: €60,000
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Additional costs: ~€28,000
📊 3. Creditworthiness
The bank allocates a maximum of 35% of net income towards loan repayments
Example:
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Income: €7,300 per month
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Maximum instalment: €2,560
📄 4. Loan commitment and decision (FIN)
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✨ Pre-approval: preliminary decision by the bank, taking 1 to 3 weeks
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✅ FIN decision: official credit decision in accordance with EU regulations
🖋️ 5. Signing of the contract and transfer of ownership
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Following the FIN decision, a 10-day cooling-off period applies
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The solicitor offers free legal advice and conducts a comprehension test on the credit agreement in Spain
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The credit agreement and the transfer of ownership of your dream property on the Costa Blanca, Costa Cálida and Costa de Valencia are normally signed on the same day before a notary
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The bank, or more specifically a dedicated accounting department within the bank, is responsible for registering the deed in the Land Registry
⏱️ 6. Duration of the entire process
| Stage | Time |
|---|---|
| Preliminary agreement and documentation | 0–3 weeks |
| Property valuation | 1–2 weeks |
| FIN decision | 5–6 weeks |
| Grace period | 10 days |
| Registration of the deed in the Land Registry | 2–3 months |
🔄 7. Differences between Spain and Poland
| Element | Spain | Poland |
|---|---|---|
| Preliminary decision on loan approval | Preliminary approval, 1–3 weeks | Immediately at the bank |
| Grace period | 10 days | None |
| Notarial advice | Free of charge, proof of understanding | No |
| Signing of the loan agreement | At the same time as the transfer of ownership | Usually separately before a notary |
| Interest rate | Lower | Higher |
✅ 8. Summary
Buying a property in Spain is safe if:
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You have a deposit of at least 30%
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You assess your borrowing capacity before signing the purchase or reservation contract
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You use the services of a trusted estate agency like ours, which will guide you through the entire buying process
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You choose your solicitor carefully
The mortgage approval process usually takes between 2 and 3 months.
If you’d like to find out more about buying a property with a mortgage in Spain, check out our special guide on our YouTube channel.
