One of the most frequent questions we receive from international buyers is:

“If I register on the census (empadronamiento) tomorrow, does that mean I’ll be considered a resident by the banks and qualify for more than 70% financing?”

Closely linked to this, another common question is:

“What if I open a Spanish company? Can my new company apply for the mortgage and get more financing?”

Both are logical doubts, but the reality is quite different.

Understanding the 70% Rule for Non-Residents

The Bank of Spain sets strict rules that apply to all banks in the country. Non-resident buyers can obtain up to 70% of the lower between the purchase price and the valuation. This is the maximum limit, and it is non-negotiable, regardless of the bank.

This rule ensures stability in the Spanish mortgage market, and it applies equally whether you are buying as an individual or thinking about setting up a company.

Why Empadronamiento Does Not Make You a Resident for the Banks

Becoming a resident on paper by registering on the local census or even holding a residence permit is not enough for mortgage purposes. Banks will only classify you as a fiscal resident once you can present your first Spanish tax return (IRPF).

Until then:

• You may live in Spain physically.
• You may hold residency documents.
• You may even work locally.

But without a Spanish tax return filed, banks will continue to treat you as a non-resident, meaning the 70% maximum financing still applies.

It is also important to understand that filing an IRPF is not enough on its own. Spanish banks will carefully review your net income declared. For example, if you register as self-employed (autónomo) in Spain for one year but declare losses or very low income, even though you are technically considered a resident, you will not qualify for mortgage financing.

From a banking perspective, a newly self-employed professional with only one year of activity represents a high-risk profile, since there is no proven income stability.

In fact, it is often a better financial position to request your mortgage as a non-resident with a stable job in your home country, where you can demonstrate several years of consistent income, than to request it as a resident in Spain with only one year of self-employment and limited or negative income.



This distinction is crucial for international buyers who are planning to move to Spain and want to secure the highest possible chances of mortgage approval.

Can a New Spanish Company Apply for the Mortgage?

Some buyers think about setting up a Spanish company (SL or similar) to try to bypass the non-resident rules. The question we often hear is: “If my company is Spanish, will it be treated as a resident and qualify for more than 70% financing?”

The reality is:

• Spanish banks do not generally provide mortgages to newly formed companies without an operational track record.
• To be eligible, the company must show audited accounts, income, and tax history in Spain—usually at least two full years.
• Banks will not accept a company created “overnight” simply to buy a property. They will request corporate tax returns and financial statements before considering any financing.

For this reason, creating a Spanish company does not allow you to access higher financing in practice, unless it is a genuine business with established activity.

Why This Matters for Buyers

Understanding these distinctions is critical for planning your property purchase in Spain:

• If you move to Spain, you need to wait until you have filed your first Spanish tax return before banks will consider you a resident.
• If you remain abroad, you will always be treated as a non-resident and limited to 70% financing.
• Setting up a company to access more financing does not work unless the company has real economic activity and a track record in Spain.

The Good News: 70% Financing Is Still a Strong Option

Even with the 70% cap, many of our international clients—🇬🇧 UK, 🇮🇪 Ireland, 🇫🇷 France, 🇧🇪 Belgium, 🇳🇱 Netherlands, 🇨🇭 Switzerland, 🇩🇪 Germany, 🇵🇱 Poland, 🇺🇸 USA, 🇨🇦 Canada, 🇲🇽 Mexico, 🇸🇦 Saudi Arabia, 🇦🇪 Dubai, 🇷🇴 Romania, 🇸🇪 Sweden, 🇳🇴 Norway, 🇩🇰 Denmark, 🇮🇹 Italy, 🇨🇿 Czech Republic, 🇱🇹 Lithuania, 🇪🇪 Estonia, 🇫🇮 Finland, 🇮🇱 Israel—successfully obtain mortgages in Spain.

Our approval rate is 99%, thanks to our strong agreements with Spanish banks and our experience handling cross-border financial documentation.

Why Work With Mortgage in Spain

At Mortgage in Spain Mortgage Broker, we guide you through the entire process with clarity and efficiency:

• ✅ Experience: Over 15 years in the Spanish financial sector.
• ✅ Licensed by the Bank of Spain: We are a mortgage broker licensed by the Bank of Spain.
• ✅ Highest approval rate: 99% of applications are approved.
• ✅ End-to-end service: From calculating your debt ratio to coordinating with notaries.
• ✅ Trusted network: We connect you with lawyers, real estate agents, utilities companies, and currency exchange specialists.
• ✅ Completely free for you: Our fees are paid by the bank, not by the client.

Final Takeaway

Whether you register on the census or set up a company tomorrow, you will still be considered a non-resident for mortgage purposes until you either:

1. File your first Spanish income tax return (as an individual), or
2. Have a company with at least two years of real financial history in Spain.

Until then, the 70% financing rule applies to all non-residents without exception.

📩 Considering buying in Spain? Contact us today to find out exactly how much mortgage you can obtain and let us secure the best offer tailored to your needs.