Mortgages in Spain for German buyers

Spanish lenders generally cap non-resident LTVs at 70% of the lower of purchase price or valuation. German applicants regularly reach that ceiling, subject to affordability, particularly with employed income from an established employer, civil-servant (Beamte) status, or established self-employment (Freiberufler / Selbstständig).

Total worldwide debt service is stress-tested to around 35% of gross monthly income. A German Baufinanzierung on your main home is included, but a long-term fixed rate at home often leaves capacity for a Spanish facility.

Euribor reference: September 2026, published 2 October 2026 (Banco de España / BOE). Lender margins reviewed: 2 November 2026. Purchase tax: Balearic resale ITP scale (Agència Tributària de les Illes Balears). Illustrative only, not an offer.

Tax is calculated band by band: 8% on the first €400,000, 9% from €400,000 to €600,000 and 10% from €600,000 to €750,000. German buyers earn and borrow in euros, so no currency conversion applies. A lender may offer less than 70% depending on valuation, property type and affordability — rural fincas are often lower.

• Reisepass or Personalausweis, plus NIE application in progress.
• Last 3 months' Gehaltsabrechnungen and most recent Einkommensteuerbescheid.
• For self-employed: last 2–3 years of BWA, EÜR or GuV plus tax assessments.
• Last 6 months of Kontoauszüge (current, savings and brokerage).
• Existing Grundschuld / mortgage statement for your German home.
• SCHUFA-Selbstauskunft is helpful supporting evidence, though not scored by Spanish banks.

Sworn Spanish translation of statutory documents is standard.

Mallorca. The island's south-west (Andratx, Santa Ponsa, Port d'Andratx), Palma and the north-east (Cala Ratjada, Alcúdia) have long-established German communities and direct flights from most German airports. Holiday-let (ETV) licences are strictly limited; lenders check licence status, and a property without an active licence is financed as a second home. See Mallorca mortgages.

Costa Blanca. Dénia, Jávea and Moraira attract German buyers seeking lower entry prices than the Balearics, with Valencia's 9% resale tax (11% above €1m). See Costa Blanca mortgages.

Costa del Sol. Marbella and Estepona draw higher-value German purchases, with Andalucía's 7% flat resale tax. See Costa del Sol mortgages.

Ibiza. Prime and seasonal-let demand under the same Balearic tax scale as Mallorca. See Ibiza mortgages.

1. Week 1–2: Fact-find, EU-lender shortlist, indicative terms.
2. Week 2–4: NIE, formal submission, initial underwriting.
3. Week 4–7: Valuation (tasación) and credit committee approval.
4. Week 7–10: FEIN/FiAE offer issued; 10-day cooling-off period.
5. Week 10–14: Notary appointment and escritura pública.

General information, reviewed 16 October 2026. Your position depends on tax residence, not nationality — take advice from a Steuerberater and a Spanish tax adviser.

• Under the 2011 Germany–Spain double tax treaty, Spain generally has the first right to tax Spanish rental income and gains. If you are German tax resident, Germany may also tax that income and generally gives credit for Spanish tax; the credit may not remove all German tax. See the Federal Ministry of Finance Spain page.
• Non-resident owners file Spanish non-resident income tax (IRNR): 19% for EU/EEA residents on net rental income, and imputed income tax on a non-let second home.
• Spanish wealth tax (Impuesto sobre el Patrimonio) can apply to Spanish assets of non-residents; allowances vary by region and change often. The state solidarity tax on large fortunes may apply to net Spanish assets above €3 million.
• Spanish inheritance and gift tax may apply to Spanish property, and Germany may also tax the estate of a German resident; treaty relief is limited, so plan ownership early.
• Ownership via a German GmbH or Spanish SL is possible but narrows lender choice and rarely improves tax efficiency for pure holiday use.