Mortgages for US Buyers in Spain
US citizens can get a Spanish mortgage, but as non-EU, non-resident borrowers you should expect a loan of around 50% to 70% of value, meaning a deposit of 30% to 50% plus 12% to 14% in purchase costs on a new-build Costa del Sol home. Rates are fixed or Euribor-linked, and you will owe ongoing Spanish non-resident tax (IRNR, IBI), with the US-Spain treaty preventing you from being taxed twice.
US citizens can buy property on the Costa del Sol and can borrow from a Spanish bank to do it. There is no nationality restriction on ownership or lending. What changes for an American buyer is the profile the bank applies: you are treated as a non-resident and, because the United States is outside the EU and EEA, you sit in the tighter of the two lending brackets. This guide explains what a mortgage for US buyers in Spain actually looks like in 2026, from deposit and rates through to the purchase taxes and the ongoing non-resident tax you will owe as an owner across Malaga province.
Can US citizens get a mortgage in Spain?
Yes. Spanish lenders including Sabadell, Bankinter, CaixaBank and specialist non-resident lenders such as UCI routinely finance foreign buyers.68 The loan is secured against the Spanish property, assessed in euros, and repaid in euros, so exchange-rate movements against the US dollar are a real risk to budget for. You will need a Spanish NIE (foreigner identification number) before you can complete, and the bank will underwrite you on your US income and assets. For more on the number itself, see our related guide on NIE and residency basics.
How much can you borrow: LTV and deposit
Loan-to-value (LTV) is the single most important figure for a US buyer. Non-residents are normally capped at 60% to 70% of value, and non-EU applicants (which includes US citizens) typically sit at the lower end, roughly 50% to 70% depending on profile.16 In practice, plan for a deposit of 30% to 50% of the price.
Mortgage calculator
| Loan amount | €227,500 |
|---|---|
| Total repaid | €341,676 |
| Total interest | €114,176 |
Indicative conversion from euros. Rates as of 2026-08-01 (refreshed live when available).
Non-resident buyers in Spain are typically offered 60–70% of the price or valuation, so plan for a 30–40% down payment plus the purchase costs above.
A critical detail: the LTV is applied to the lower of the bank’s own valuation (tasacion) or the agreed purchase price, not the asking price.1 If the valuation comes in below what you agreed to pay, the loan shrinks and you cover the gap in cash.
| Buyer profile | Typical maximum LTV | Deposit needed |
|---|---|---|
| EU resident, second home | up to 70% | 30%+ |
| Non-EU non-resident (US) | 50% to 70% | 30% to 50% |
Remember the LTV covers the price only. Purchase taxes and fees (see below) must be paid from your own funds on top of the deposit.
Interest rates, terms and affordability
You will be offered three broad structures: a fixed rate for the life of the loan, a variable rate tied to 12-month Euribor plus a bank margin, or a mixed rate (fixed for an initial period, then variable).6 Fixed rates give US buyers predictability against currency and rate swings and are the most common choice for non-residents. Rates move with the market, so confirm the live offer with the lender rather than relying on any published figure.
Terms typically run 20 to 30 years, and most banks want the loan repaid by age 70 to 75, which shortens the term for older buyers.6 Lenders assess affordability on your total debt servicing, so keep existing commitments in mind when you model the monthly payment.
What US buyers need to apply
Expect to provide, translated where required:
- Passport and Spanish NIE
- Last two to three years of US federal tax returns
- Around six months of bank statements
- Recent pay stubs and an employment letter, or company accounts if self-employed
- A statement for any existing mortgage and a home-country credit report
Because US credit files do not transfer to Spain, banks lean heavily on documented income and savings.6
The full cost of buying a new build
On a new-build Costa del Sol home bought from a developer, the headline taxes are 10% IVA (VAT) plus stamp duty, AJD, which in Andalucia is charged at the general rate of 1.2%.57 (Resale homes instead pay 7% ITP transfer tax in Andalucia and no IVA; you never pay both on the same purchase.)5 Add professional fees and a realistic all-in budget for a new build is around 12% to 15% on top of the price.57
| Cost (new build, Andalucia) | Amount |
|---|---|
| IVA (VAT) | 10% of price |
| AJD stamp duty | 1.2% of price |
| Notary | approx. EUR 600 to 1,200 |
| Land Registry | approx. EUR 400 to 700 |
| Lawyer (independent) | approx. 1% to 1.5% plus 21% IVA |
| Property valuation (if financing) | approx. EUR 300 to 500 |
| Bank arrangement fee | 0% to 1% of the loan |
See our related guide on the full cost of buying property in Spain for a worked example.
Who pays the mortgage stamp duty?
Good news for buyers: since the mortgage law reform of 2019 (Ley 5/2019), the bank pays the AJD stamp duty on the mortgage deed itself, along with the notary, registry and gestoria costs of the loan.3 You still pay the valuation fee and any arrangement fee.7
Ongoing taxes for US owners
Owning a Spanish home as a non-resident creates yearly obligations, filed on Modelo 210 with the Agencia Tributaria.1
- Imputed income tax (IRNR). Even if you never rent the property out, Spain taxes a notional benefit of owning it. The taxable base is 1.1% of the cadastral value if that value was revised within the last ten years, otherwise 2%. As a non-EU resident, you pay 24% on that base (EU/EEA residents pay 19%).1
- Rental income. If you let the property, US owners are taxed at 24% on gross rent with no deduction of expenses or mortgage interest. That deduction is available only to EU/EEA residents, who are taxed at 19% on the net figure.1 This is a significant difference and worth modelling before you rely on rental yield.
- IBI. An annual municipal property tax set by each town hall, based on the cadastral value. Rates vary by municipality, so check the local figure for Marbella, Estepona, Fuengirola or wherever you buy.
For the detail on filing, see our related guide on IRNR and Modelo 210 for non-residents.
The US-Spain tax treaty: not taxed twice
As a US citizen you remain taxable by the IRS on your worldwide income, including Spanish rental income and gains, wherever you live. The US-Spain income tax treaty (in force, as amended by the 2013 Protocol that took effect in November 2019) exists precisely so you are not taxed twice on the same income.4 In broad terms you claim a foreign tax credit for tax paid in Spain against your US liability. The mechanics are genuinely complex for property owners (phantom currency gains on the mortgage, FATCA reporting of foreign accounts), so use a cross-border adviser who handles both systems.
Selling later: the 3% retention and plusvalia
When a non-resident sells, the buyer must withhold 3% of the sale price and pay it to the tax authority as an advance on your capital gains tax (filed via Modelo 211, with the seller reconciling on Modelo 210).1 Non-resident capital gains are taxed at 19%. The seller also normally pays plusvalia municipal, a local tax on the increase in land value.5 Factor both into your exit numbers.
Practical steps for US buyers
- Apply for your NIE early; nothing completes without it.
- Get a mortgage decision in principle so you know your true LTV and budget.
- Instruct an independent Spanish lawyer (not the developer’s) before signing anything.
- Budget the deposit plus 12% to 15% costs from cleared euro funds.
- Line up a cross-border tax adviser for IRNR and US filing from year one.
Handled properly, a Spanish mortgage lets a US buyer keep dollars invested at home while owning on the Costa del Sol. The keys are a realistic deposit, a fixed rate to tame currency risk, and clean tax filing on both sides of the Atlantic.
Frequently asked questions
Can a US citizen get a mortgage in Spain without residency?
Yes. Spanish banks lend to non-resident US buyers, secured on the property. You will be assessed as a non-EU non-resident, which usually means a maximum loan of around 50% to 70% of value and a deposit of 30% to 50%, plus a Spanish NIE number to complete.
How big a deposit do US buyers need for a Costa del Sol property?
Plan for 30% to 50% of the price as a deposit, because non-resident LTV is typically capped at 60% to 70% and non-EU buyers often sit at the lower end. On top of the deposit you also pay purchase taxes and fees of roughly 12% to 15% on a new build, all from your own funds.
What taxes do US owners pay each year on a Spanish home?
Non-residents file Modelo 210 for IRNR. If you do not rent it out you pay imputed income tax on 1.1% or 2% of the cadastral value at a 24% rate. Rental income is taxed at 24% on gross rent with no expense deduction for non-EU owners. You also pay annual IBI municipal tax set by the town hall.
Will I be taxed twice, in Spain and the US?
No. The US-Spain income tax treaty lets you credit tax paid in Spain against your US liability, so the same income is not taxed twice. You do remain a US taxpayer on worldwide income, so use an adviser experienced in both systems, especially for FATCA reporting.
How much are the purchase taxes on a new build in Andalucia?
A new build from a developer carries 10% IVA plus AJD stamp duty, which in Andalucia is the general 1.2% rate. Resale homes instead pay 7% ITP transfer tax and no IVA. With notary, registry and legal fees, budget around 12% to 15% over the price.
Who pays the stamp duty on the mortgage itself?
Since the 2019 mortgage law (Ley 5/2019), the bank pays the AJD stamp duty on the mortgage deed, plus the notary and registry costs of the loan. The buyer still pays the property valuation fee and any bank arrangement fee.
