Perini Finance & Property §34i GewO · Mortgages in Spain & Portugal
Region focus · Spain · §34i

Costa Blanca — mortgage for non-residents

The province of Alicante has been the strongest market for foreign property buyers in Spain for years. From Dénia to Torrevieja: two markets, one adviser on the ground.

Market analysis

Costa Blanca — north and south compared

Costa Blanca North

Dénia, Jávea, Moraira, Calpe, Altea

A green, hilly coast with pine woods and established northern-European communities. Premium: Jávea, Moraira, Altea. Mid-range: Calpe, Benissa, Dénia. Price per square metre €2,500–4,500.

Costa Blanca South

Torrevieja, Orihuela Costa, Guardamar

Flatter, drier, a lower entry price. Large international communities — British, Scandinavian, Belgian, German. New-build urbanisations with a communal pool. Price per square metre €1,500–2,800.

Buyer profile

No. 1 for foreign buyers

The province of Alicante has topped the statistics for property purchases by foreigners in Spain for years. British, German, Belgian, Dutch, Norwegian and Swedish buyers form the core.

Rental market

Holiday lets dominate

Gross yields in tourist locations typically 4–6%. Short-term letting requires a licence (Vivienda Turística, VT) from the Comunitat Valenciana. Year-round letting is possible in the south.

Tax

ITP 10% Comunitat Valenciana

The Costa Blanca lies in the Comunitat Valenciana — ITP transfer tax 10% on resale, or 10% IVA plus AJD stamp duty on new builds. Wealth-tax allowance €500,000 per person.

Access

Alicante airport (ALC)

One of Spain's busiest airports, with direct flights from many northern-European cities. The north is also reachable via Valencia (VLC) in about an hour.

Example financings

Two realistic scenarios

Concrete sample calculations for typical foreign buyers — as a guide for your own plan. North and south differ markedly.

North · Jávea

Apartment near the sea · €320,000

  • Equity€128,000 (40%)
  • Mortgage€192,000 (60%)
  • Purchase costs (~11%)~€35,200 (ITP 10%)
  • Loan-to-value60% LTV
  • Example payment (20 yrs, 3.1%)~€1,069/month
  • Bank typeBanco Sabadell · Alicante

Model calculations without guarantee. Not binding offers. Terms vary depending on credit profile, property and bank. No tax or legal advice.

South · Orihuela Costa

Townhouse with pool · €180,000

  • Equity€54,000 (30%)
  • Mortgage€126,000 (70%)
  • Purchase costs (~11%)~€19,800
  • Loan-to-value70% LTV
  • Example payment (20 yrs, 3.1%)~€701/month
  • Bank typeBBVA · Alicante province

Model calculations without guarantee. Not binding offers. Terms vary depending on credit profile, property and bank. No tax or legal advice.

Mortgage calculator

Calculate your costs quickly

Pre-filled with typical values for this region — adjust and calculate.

FAQ

Frequently asked questions about the Costa Blanca

Costa Blanca north or south — which suits me?
The north (Dénia, Jávea, Moraira, Altea) is greener, hilly, higher-priced and very popular with German buyers. The south (Torrevieja, Orihuela Costa, Guardamar) is flatter, drier, cheaper to enter and internationally mixed. Both are financeable — the choice of bank follows the location.
How much equity do I need on the Costa Blanca?
As a non-resident, typically 30–40% equity on the purchase price plus around 11% costs. Spanish banks usually finance up to 60–70% of the purchase price or the Tasación value — the lower figure applies. With a strong credit profile, exceptions are possible.
How high is the transfer tax (ITP)?
The Costa Blanca belongs to the Comunitat Valenciana. On a resale property ITP is 10%. On a new build you pay 10% IVA plus AJD stamp duty (1.5% in this region). Notary, land registry, lawyer and the NIE are additional.
Which banks finance in Alicante province?
Banco Sabadell (strong regionally in Alicante), CaixaBank, BBVA, Santander and Bankinter have non-resident programmes. Which bank offers the best terms in your case, I find through comparison. Terms as elsewhere in Spain: up to 70% LTV, term up to 25 years.
Can I let my Costa Blanca property to holidaymakers?
Yes, with a tourist-letting licence (Vivienda Turística) from the Comunitat Valenciana. Without one, short-term letting is prohibited and penalised. Some owners' communities also restrict holiday letting — check the statutes beforehand.
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Related topics

Read on

Region · Spain

Valencia & Costa Azahar

The neighbouring region to the north, same ITP 10%.

Learn more → Requirements

Mortgage without residency

Documents and process for non-residents.

Learn more → Costs

ITP comparison Spain

Purchase costs by region.

Learn more →

Legal notice

Author & regulatory separation. Content author: Siegfried Perini. Mortgage brokerage in Spain and Portugal is carried out under the §34i permit of Olga Nikushkina (BAFA-notified). This page does not replace legal or tax advice.