Spanish vs. German bank — which is better?

Spanish or German bank — which one finances my Spanish property?

For a property in Spain the direct route almost always runs through a Spanish bank: it knows the local market, accepts the Spanish property as security and completes at the notary on site. German banks generally do not finance a foreign property against the property itself — they only come into play when you release equity from an unencumbered German property and bring that capital to Spain. Both routes are valid but solve different problems: the Spanish bank finances the purchase locally, while releasing equity in Germany creates equity or the standing of a cash buyer. Which bank will underwrite your case at all depends on income type, residence status and the property — not on preference. That is why we approach several lenders in parallel for each case instead of relying on a single approval — both countries from one source, with the §34i licence and BAFA notification for Spain.