HOW TO FINANCE A RENOVATION PROJECT IN BARCELONA

Marko S.
Jun 23
2 min read

Renovating a property in Barcelona can significantly increase its value—but funding the project is often the first hurdle. Whether you’re remodeling a flat, upgrading a rental unit, or restoring a historic home, knowing your financing options is essential to keeping your renovation on track.

PERSONAL SAVINGS OR LOANS: WHICH IS BETTER?

Using personal savings gives you full control and avoids interest costs. It’s the safest option for smaller upgrades or phased renovations. But for larger projects, many property owners in Barcelona turn to home improvement loans or mortgage extensions.

Spanish banks offer:

Préstamos personales (personal loans) – Quick approval, fixed rates, and no collateral. Great for mid-size projects.
Home equity loans – Tied to the property’s value, these offer larger amounts with longer repayment terms.
Renovation mortgages (hipoteca + reforma) – Combine a property purchase and renovation budget into one loan—ideal for buyers renovating fixer-uppers.

CAN FOREIGN BUYERS GET RENOVATION FINANCING?

Yes, but with conditions. If you’re not a resident of Spain, you may face stricter lending criteria. Some banks will offer up to 60–70% of the property + renovation value to foreign investors, depending on credit profile and intended use.

Renovate Manager often partners with banks and mortgage advisors who can streamline this process—especially if your renovation is part of a long-term investment strategy.