June’s Spanish mortgage example on a property worth €119,000

In June’s Spanish mortgage example we look at a property worth €119,000.

If you hadn’t already heard, now is a great time to buy a Spanish property; with prices rising and investment potentials high, a property in Spain is an asset that grows.

Spanish mortgage on a Costa Blanca property

This month’s property is a brand NEW 2 bedroom apartment in Pilar de la Horadada, Alicante, Costa Blanca. These apartments are frontline to a championship golf course and have stunning views over orange groves. The properties benefit from a large sun-drenched communal pool and landscaped gardens which is perfect for BBQs and relaxing in the Spanish sun. View more about this property here >

Spanish mortgage example on a Murcia property worth €119,000 - 2 bedroom apartment in Costa Blanca

Why consider a Spanish mortgage?

Alike in the UK, obtaining a mortgage on a property can be a lengthy but rewarding process that doesn’t need to be stressful. If you are looking for extra funding to purchase a property in Spain, then a Spanish mortgage can be a strategic move.

There are many benefits to obtaining a Spanish mortgage including:

  • Offsetting the low value of the £ sterling, so once the exchange rate improves you can pay off your mortgage with no penalties.
  • Being able to afford and buy your property sooner.
  • Opportunity to increase your budget and purchase a home in Spain that’s bigger and/or better.
  • If you are hoping to let your property, the rental returns can help pay towards the mortgage repayments.

Spanish mortgage example

There are additional fees that come with property purchases such as taxes, community fees and legal fees. As such we have accounted for these in our example, at around 14%.

Property price – €119,000
Estimated closing costs – €16,660 (including all taxes & bank mortgage set up fees approx 14%)
Therefore the total cost of purchase – €135,660


Spanish mortgage option 1

30% deposit value – €52,360 @ an exchange rate of 1.12 = GBP 46,750

Mortgage value (LTV) 70% (Max lending for non-Spanish tax residents from the EU) – €83,300

Cost per month over 25 years @ 2.00% interest rate – €356 @ an exchange rate of 1.12 = GBP 317.86

In summary, you could buy this property using a 70% mortgage with a deposit of €52,360 and monthly instalments of €356 over 25 years. 


Spanish mortgage option 2

40% deposit value – €64,260 @ an exchange rate of 1.12 = GBP 57,385

Mortgage value (LTV) 60% (Avg lending for non-Spanish tax residents from the EU) – €71,400

Cost per month over 25 years @ 2.00% interest rate – €305 @ an exchange rate of 1.12 = GBP 272.32

In summary, you could buy this property with a 60% mortgage using a deposit of €71,400 and monthly instalments of €305 over 25 years.


*Please check with an officially registered currency exchange company for up to date exchange rates, the figures shown are for guidance purposes only. Our partners at Global Currency can offer competitive rates.

Sounds great, how can I get a Spanish mortgage on a property?

If you’re interested in obtaining a Spanish mortgage then our dedicated mortgage brokers, Fluent Finance Abroad (FFA) can offer you guidance, advice and act in your best interest. The team have close connections with the best high street banks in Spain and are sure to get the best deals for you.

For more information, please get in touch with our friendly team, call us on 01202 971614.

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Take a look at our other Spanish mortgage examples here: