Torrevieja property for sale on the Costa Blanca: lending to non-residents
Torrevieja anchors the flatter, cheaper southern market of the Costa Blanca — larger and more liquid than the mountainous north around Dénia and Jávea, with a broad international buyer base and a great deal of new build. The high number of comparable sales tends to make bank valuations more straightforward.
Torrevieja property for sale: how do non-residents finance a purchase?
Non-residents finance a purchase in Torrevieja with a Spanish bank: typically up to 70% of the lower of purchase price and the bank's own valuation (tasación), so roughly 30% equity. They pay the Comunitat Valenciana's transfer tax themselves: 9% ITP on resale, rising to 11% above a €1 million tax base (Ley 5/2025, in force since 1 June 2026).
Torrevieja property for sale: what is the loan-to-value measured against?
For Torrevieja property for sale, banks lend non-residents up to 70% of the lower of price and tasación.
- Flatter, cheaper and more new build than the north: Torrevieja, Orihuela Costa and Guardamar form the flatter, cheaper southern market — more new build, a broader international buyer base and a larger, more liquid market than the mountainous north. Financing a new build in stages.
- How much will a Spanish bank lend? For non-residents, as along the rest of the Costa Blanca: up to 70% loan-to-value, against the lower of purchase price and tasación — the cheaper entry price does not make financing automatically easier. The Spanish banks.
- Torrevieja property for sale: 9% ITP, 11% above €1m: Comunitat Valenciana: resale ITP 9%, 11% above €1m (Ley 5/2025, since 1 June 2026). New build — especially common here: 10% IVA plus 1.4% AJD. Financing a new build in stages.
Developer reservations: why does the deposit commit you earlier than expected?
With the many new-build urbanisations in and around Torrevieja, developers often ask for a reservation fee as soon as a floor plan is reserved, often weeks or months before the actual notarial signing. Anyone who only clarifies afterwards how much the bank will actually finance risks a reservation that they can no longer cleanly afford.
That is why the financing framework comes first, then the reservation: our mortgage eligibility check gives you reliable guidance in a few minutes.
What sets Torrevieja apart from the north?
Bank-side, the whole Costa Blanca sits in the same frame — Comunitat Valenciana, the same tax rates. The difference is the market itself. Torrevieja offers the largest standardised supply on the entire coast, which means more comparable properties and therefore more predictable valuations than in the smaller neighbouring towns:
- Larger and more liquid than the north: Together with Orihuela Costa and Guardamar, Torrevieja forms the largest contiguous holiday-property market on the Costa Blanca — flatter, drier and with far more new-build urbanisations than the mountainous north.
- Broadly international buyers: British, Scandinavian, Belgian and German buyers together form the core — a wider mix than in the more German- and Dutch-oriented northern towns.
- A cheaper entry price level: Prices per square metre sit noticeably below the premium north around Jávea and Moraira. A lower entry price does not automatically mean easier financing, though: the loan-to-value rules are identical.
Torrevieja: how much transfer tax applies, and how much will a Spanish bank lend?
Comunitat Valenciana: transfer tax of 9 % on resale, rising to 11 % where the taxable base exceeds €1m (Ley 5/2025, in force since 1 June 2026). On a new build, 10 % IVA plus 1.4 % AJD — particularly relevant given how much of Torrevieja's stock is new build. For non-residents, lending runs up to 70 % of the lower of purchase price and tasación.
Notary, land registry, the valuation and — where a mortgage is taken — the cost of registering it come on top. Full overview: purchase costs in Spain. Tax rates change.
What decides it is your profile: proof of income, existing commitments, your age at the end of the term and whether you earn in euros.
Buying an apartment in Torrevieja: which transfer tax and loan-to-value apply?
A non-resident who buys an apartment in Torrevieja finances through a Spanish bank and bears the real estate transfer tax of the Comunitat Valenciana themselves: on a resale it is 9 %, rising to 11 % from a tax base of €1 million (Ley 5/2025, in force since 1 June 2026). Non-residents usually finance up to 70 % of the lower of the purchase price and the bank's own valuation (Tasación), that is, roughly 30 % equity.
Together with Orihuela Costa and Guardamar, Torrevieja is the anchor of the flatter, cheaper southern Costa Blanca market. It is a larger, more liquid market than the northern towns such as Dénia or Jávea, with a broad international buyer base and new-build urbanisations. The high number of comparable sales tends to make bank valuations easier, so financing commitments here can often be settled faster than in smaller neighbouring markets. We recommend clarifying whether the financing is feasible before signing the private purchase contract (Contrato de Arras), not afterwards.
What applies when letting the property out as a holiday home?
Short-term letting requires a tourist licence (vivienda turística) from the Comunitat Valenciana; without one it is prohibited. Some owners' associations restrict holiday letting further, so the statutes are worth reading before you commit — the rental case is often part of what makes the purchase work.
The mortgage readiness check sets out the realistic frame in a few minutes — before a deposit is committed.
Second route: when does mortgaging a German property help?
Self-employed applicants with fluctuating earnings, buyers close to the age limit, income earned outside the euro area or a property without a robust valuation regularly get a no from the Spanish bank. In that case an unencumbered property in Germany can be mortgaged instead and the capital used as equity here — often faster, and without a Spanish bank having to value your property at all. Details under German property as security.
What was actually paid in this area. Portal prices are what sellers ask. What was recorded at the notary is published by the Spanish notaries themselves: the Portal Estadístico del Notariado — free, no registration, and searchable down to postcode level.
In the first quarter of 2026 the prices paid ran 29 per cent below asking prices, the widest gap since 2007. For a mortgage that is the figure that counts: the bank's valuer works from completed sales, not from listings. → Portal Estadístico del Notariado · What that means for your financing · Where the numbers come from
Further reading
Torrevieja: why are purchase costs a larger share at a small purchase price?
Torrevieja belongs to the Comunitat Valenciana, with graduated ITP under Ley 5/2025. Because purchase prices here are lower than further north along the coast, the tax is lower in absolute terms, but the share of the costs in the total outlay tends to be higher, because notary, Registro and Tasación costs scale less strongly with the price.
On a purchase in the lower price segment, the sum of tax and costs can therefore make up a considerable part of the equity required. In addition, banks are more cautious with smaller loan amounts and apply minimum amounts. Both should be clarified before a reservation fee is paid.
Frequently asked questions
How high is transfer tax (ITP) in Torrevieja?
Torrevieja lies in the Comunitat Valenciana: 9 % ITP on resale, rising to 11 % above a taxable base of €1m (Ley 5/2025, in force since 1 June 2026). On a new build, 10 % IVA plus 1.4 % AJD.
How much will a Spanish bank lend in Torrevieja?
For non-residents the same frame applies as along the rest of the Costa Blanca: up to 70 % loan-to-value, measured against the lower of purchase price and tasación.
Buying an apartment in Torrevieja: What do you need to bear in mind regarding the developer’s reservation fee?
Property developers often charge a reservation fee as soon as a floor plan is reserved, frequently weeks or months before the actual signing of the deed. Anyone who only finds out afterwards how much the bank will actually finance risks making a reservation that they can no longer afford. That is why you should clarify the financing framework first, then make the reservation.
What distinguishes Torrevieja from the north of the Costa Blanca?
Torrevieja and its neighbours Orihuela Costa and Guardamar form the flatter, cheaper southern market — more new-build urbanisations, a broader international buyer base and a larger, more liquid market than the mountainous north around Dénia and Jávea.
Can I let a property in Torrevieja as a holiday home?
Yes, with a tourist letting licence (vivienda turística) from the Comunitat Valenciana. Without one, short-term letting is prohibited. Some owners' associations restrict holiday letting further — check the statutes in advance.
What if the Spanish bank says no?
Self-employed applicants with fluctuating earnings, buyers close to the age limit, income from outside the euro area or a property without a robust valuation often get a no. Mortgaging an unencumbered German property then remains a route.
Settle what is financeable — before you reserve
It costs nothing and it prevents the most expensive mistake in a foreign purchase: a committed deposit without secured financing.
These figures are as of July 2026 and are not tax advice.
Related pages
German property as security
Raising the equity in Germany when the Spanish bank stops short.
Fuerteventura property for sale: how much will a bank lend to non-residents?
A developer new build runs differently: the stage payments fall due before a mortgage can even exist — see financing a new build during construction.
Content by Siegfried Perini — local brand representative since 2019, active in real estate since 1992, entered in the German intermediary register (§ 11a GewO) as a person directly involved in brokerage and advice. Point of contact for German-speaking buyers in Spain and Portugal. Brokerage by Olga Nikushkina, mortgage credit intermediary under § 34i German Trade Regulation (GewO); in Portugal through a locally licensed intermediary.