Mortgages Frequently Asked Questions

Purchasing a property in Spain is a decision to make considering how different it can be from buying a property at your country of residence. Therefore, it is very important that you are very well informed in all the advantages of buying a home through a mortgage whilst being guided by the right professionals. Getting all your questions answered by Lionsgate Capital it is key to the process.

Economic aspects

The minimum deposit is usually between 30% and 40% of the purchase price plus the costs involved in the purchase (taxes, notary, registry and administration costs), which are generally between 10% und 14% of the purchase price.

The maximum age for taking out a mortgage in Spain depends on the lender granting the mortgage loan. However, in general terms, the maximum age is up to 75 years old.

The costs involved in a mortgage are usually the following:

  • Property appraisal.
  • Transfer taxes or VAT.
  • Stamp duty.
  • Notary.
  • Land registry.
  • Bank arrangement fee.
  • Early repayment fee.
  • Home insurance.
  • Legal fees.
  • Other costs, such as brokerage commission.

If you wish to make early repayments, you will have to pay an early repayment penalty. Since 2019 this fee is regulated by the Spanish mortgage law, which establishes limits depending on the interest rate of the loan and how early the repayment is made. The law establishes that with a variable interest rate the early repayment penalties are 0.25% for the first 3 years or 0.15% for the first 5 years and 0% thereafter. With a fixed interest rate, the early redemption penalty is 2% for the first 10 years and 1.50% thereafter. These penalties are the maximum penalties the bank can charge, and the penalty will only be charged if the bank incurs a loss at the time of early repayment.

The Euribor is the main indicator for variable rate mortgages in Spain. It is calculated as the average of the interest rate at which a group of European institutions lend money to each other in the interbank market. The base rate in Spain is usually the 12-month Euribor.

With a fixed rate you will know what you are going to pay each month for a certain time or for the whole term of the mortgage. With a variable rate the interest rate will be more competitive, but it can go up or down as it is linked to Euribor, or the base rate applied. In Spain all rates are usually fixed for the whole term of the mortgage.

Rather than the type of mortgage, the most important thing is to choose the right bank for each client and that is what the Lionsgate Capital team specialize in.

There are different-types-of-mortgages in Spain, depending on their characteristics and the needs of each person:

  • Fixed-rate, variable-rate and mixed mortgages.
  • Mortgages for residents and non-residents.
  • Lombard loans.
  • New-build and construction mortgages.
  • Commercial mortgages.
  • Interest only mortgage for HNW and UHNW individuals.

If you are a Spanish tax resident, you can generally borrow up to 80% of the total value of the property, while if you are a non-resident, you can generally borrow up to 70%.

Obtaining a mortgage in Spain can be a tedious and lengthy process, especially when comparing several banks. From the first meeting with the Lionsgate Capital team to completion at the notary we estimate a period of 8 to 10 weeks.

It is not a recommended practice and, in fact, many banks do not even accept this option. However, there are some exceptions that should be reviewed individually to assess each situation.

These vary from bank to bank but can include home insurance, life insurance, an alarm or other products depending on the bank. We always aim to reduce the additional products to a minimum for our clients.

It is a report issued in the country you reside in that shows your credit history and includes any mortgages and loans you have today.

About Lionsgate Capital

A mortgage broker is an intermediary that studies your individual case and searches and selects the best mortgage for you based on your personal preferences and needs. Non-Spanish tax residents benefit immensely by contacting a mortgage broker as they have all the experience at a national level, know the terrain and can obtain the best conditions for each client at any given time. Lionsgate Capital are the leading mortgage brokers in Spain.

At Lionsgate Capital we specialize in all types of mortgages in Spain and can accommodate your requests thanks to the network of experts and professionals we collaborate with.

The Lionsgate Capital team is here to help you with all aspects of your property purchase and mortgage. We can introduce you to the best real estate agents if you haven't contacted one yet. We can also start the mortgage process before you find a property. Please contact our team who will guide you through the process. 

When working with Lionsgate Capital you will just have one contact for all banks. We obtain special rates and conditions and ensure we always find the best bank for your personal application. Our mortgage advisors are impartial and will always ensure the best mortgage is obtained to suit your needs. A small difference in the interest rate can make a big difference over the years, we have the banking experience, but we are on the side of our clients. By choosing Lionsgate Capital, clients save time, effort and money and can optimize their property purchase in the smartest way.

Any client can benefit from our services, regardless of the status of the mortgage application and the stage of the process. Clients come to us in 3 different ways: 1) without having contacted the banks and we take over the whole process, 2) having contacted some banks and they ask us to take over and 3) clients also come to us with the bank's offers and we take over to improve them. In other words, all clients at any stage of the process can benefit from contacting our team.

All banks need a series of documents to be able to fully assess your situation. However, by working with Lionsgate's mortgage advisors you will only have to submit the documents once instead of giving them to each lender separately, and our team will ensure the best offer is obtained for each client from over 30 banks.

read more

Do you have a question we haven’t answered?

We are one step away from helping you with your next mortgage in Spain. Our aim is for the process to be as quick, simple and cost effective as possible. Please note that there is no charge for an initial consultation. We are your Mortgage Broker


Name and surname



I accept the Terms and conditions*

Download our brochure

For more information on our services

We use cookies to personalize content and to analyze our traffic. Please decide if you are willing to accept cookies from our website.