At a glance
Key facts
Figures reviewed:
- Max LTV, EU / resident buyer
- 60 – 70%
- Max LTV, UK / Swiss buyer
- 60%
- Max LTV, US / UAE / corporate buyer
- 50 – 60%
- Rental income counted for affordability
- Usually 0%, up to c.50% for residents
- IRNR on rental income
- 19% (EU/EEA) / 24% (non-EU)
- Timeline to drawdown
- 5 – 10 weeks
Indicative figures for guidance only, correct as at August 2026. Rates, costs and timelines vary by lender, borrower profile, asset and jurisdiction, and are not an offer of finance. How we derive these figures.
Methodology and assumptions
- Figures are compiled by Clifton International specialists from live lender term sheets, indicative quotes and completed transactions arranged over the preceding 12 months.
- Rates and costs are stated as ranges rather than a single number because pricing is set case-by-case on borrower profile, residency, asset type, location and loan-to-value.
- Timelines assume a complete document file from the outset; valuation, legal capacity and (in Spain) NIE and notary availability drive the critical path.
- Costs exclude any lender, broker or third-party fees not stated on the page, and exclude currency movement between agreement and drawdown.
- Figures are reviewed at least quarterly and re-checked against lender pricing whenever a material market change occurs.
Last reviewed . Read the full Key facts methodology, or speak to our team for a quote based on your circumstances.
Can you get a Spanish mortgage on a holiday-let property?
Yes, but at a lower advance than an own-use home and on your personal income rather than projected rental. Indicative maximum loan-to-value runs from 50% for corporate and non-EU buyers to 70% for EU and resident buyers. Holding a valid regional tourist licence, or buying in a zone where one can still be issued, is what widens the lender panel.
- Licences are issued regionally — Balearics, Catalonia, Andalucía and Valencia all differ.
- Community of owners rules can prohibit tourist letting even where the region permits it.
- Licensed income can sometimes be partially counted for residents; rarely for non-residents.
- Rental income is taxed under IRNR, at 19% for EU/EEA owners with deductible costs and 24% on gross otherwise.
Key takeaways
- Affordability is assessed on your personal income; rental projections seldom lift the loan you can raise.
- Indicative maximum advance runs 50% for corporate and non-EU buyers up to 70% for residents and EU buyers.
- A valid tourist licence (or a property in a zone where one can still be issued) materially widens the panel.
- Licence regimes are regional and tightening — several city centres and island zones no longer issue new licences.
- Where a licence is pending, bridging to completion and refinancing once it is granted is the common structure.
Tourist licence position and lender appetite
The licence status of the property at exchange is the single biggest driver of appetite on a holiday-let file.
| Licence position | Lender appetite | Indicative LTV | Usual route |
|---|---|---|---|
| Valid licence transfers with the property | Widest available | 60 – 70% | Standard mortgage, personal income led |
| No licence, zone still issuing | Selective | 60% | Mortgage now, licence applied for after completion |
| Licence application pending | Limited | 50 – 60% | Bridge to completion, refinance once granted |
| Zone closed to new licences | Long-let basis only | 50 – 60% | Underwritten as a long-term rental asset |
Swipe the table sideways to see all columns.
Indicative figures only. Licence regimes are regional and change frequently — verify with the relevant autonomous community.
How Spanish lenders assess a holiday-let file
A Spanish bank stress-tests your total debt against your documented personal income, usually to a debt-to-income ceiling around 30–35% including the new loan. Holiday-let projections do not move that calculation for most non-residents, because seasonal income is volatile and depends on a licence that can be withdrawn.
Where the borrower is a Spanish fiscal resident with a filed rental history, part of the income can sometimes be counted. Where the buyer is a company, serviceability is tested on the SPV's trading accounts instead, with personal guarantees the norm.
Tourist licence rules by region
Licensing sits with the autonomous communities, and the direction of travel is restrictive. Barcelona has effectively closed its centre to new tourist-use licences; the Balearics operate a capped, transferable licence system with high entry prices; Andalucía and the Valencian Community register properties but apply local zoning limits; the Canaries restrict letting in residential developments.
Two checks matter before you commit: whether a licence exists and transfers with the property, and whether the community of owners has voted to prohibit tourist letting — permitted in Spanish law by a qualified majority, and increasingly common in coastal blocks. Our region-by-region guide to licence and tax rules sets out the current position in each autonomous community.
Modelling the yield honestly
Gross headline yields in the 5–8% range are common on the coast; net returns are considerably lower once management (typically 20–25% of gross), IBI, community fees, insurance, utilities, maintenance and IRNR are taken out. Model the mortgage payment against a realistic occupancy of the shoulder seasons, not against peak-week rates extrapolated across the year.
When bridging is the right structure
Two situations recur. First, a licence application is pending and the vendor will not wait — short-term finance completes the purchase and a term mortgage refinances it once the licence is granted. Second, the asset is being bought at auction or with a compressed deadline where a 5–10 week mortgage timeline does not fit. In both cases the lender wants the exit evidenced at the outset.
Frequently asked
Questions from readers
Do Spanish lenders count holiday rental income towards affordability?
Rarely for non-residents. Affordability is assessed on documented personal income with a debt-to-income ceiling around 30–35%. Spanish fiscal residents with a filed rental history can sometimes have part of the licensed income counted.
Do I need a tourist licence before applying for the mortgage?
Not always, but it helps materially. A licence that transfers with the property gives the widest panel and the highest advance. Where a licence is pending or the zone is closed to new licences, lenders underwrite the property on a long-let basis at a lower loan-to-value.
What is the maximum LTV on a Spanish holiday-let purchase?
Indicatively 60–70% for EU and resident buyers, around 60% for UK and Swiss buyers, and 50–60% for US, UAE and corporate buyers. Every profile sits one level below what the same buyer could raise on an own-use home.
Can the community of owners stop me letting the property?
Yes. Spanish law allows a community of owners to prohibit tourist letting by qualified majority, and many coastal communities have done so. Check the community statutes and recent minutes before exchanging.
How is holiday rental income taxed for a non-resident?
Through the non-resident income tax (IRNR), filed quarterly. EU/EEA residents pay 19% on net income after deductible costs; non-EU owners, including UK residents, pay 24% on gross rental income with no deductions.