Spanish Guarantors (Avales) and Alternatives for Foreigners

You have found a flat you like. The price is right, the location works, and the landlord seems reasonable. Then comes the question: "Do you have an aval?"

For most international students arriving in Spain, this is the first unexpected obstacle in the rental process. Back home, you may have never needed a guarantor. In Spain, it is one of the most common requirements landlords impose, and it can feel like an impossible barrier when you have no family or financial history in the country.

This guide explains what an aval is, why landlords ask for one, and — most importantly — the realistic alternatives available to international students who do not have a Spanish guarantor.

What Is an Aval (Guarantor)?

An aval is a person or entity that legally commits to covering your rent payments if you fail to pay. In the Spanish rental market, this person is called an avalista. The avalista signs the lease alongside you and assumes financial responsibility for the full duration of the contract.

The avalista is not simply a reference. They are legally liable. If you stop paying rent, the landlord can pursue the avalista for the outstanding amount through the courts.

What Landlords Typically Require From an Avalista

• Spanish tax residency — the guarantor must be a Spanish fiscal resident with a NIE or DNI
• Proof of income — usually payslips (nominas) showing stable employment, or proof of pension/investments
• Property ownership — some landlords prefer a guarantor who owns property in Spain, as this provides additional security
• Signed guarantee clause — the avalista signs a clause in the rental contract or a separate guarantee document (aval personal)

Why Landlords Ask for Guarantors

Spain has historically had tenant-friendly eviction laws. Even when a tenant stops paying rent, the legal process to evict them can take months or even over a year. This risk makes landlords cautious, especially with tenants who:

• Have no credit history in Spain
• Are on temporary visas
• Cannot demonstrate stable Spanish-source income
• Are students without employment contracts

International students fit every one of these risk categories. From the landlord's perspective, you could leave the country mid-lease with no practical way to recover unpaid rent. A guarantor solves that problem.

The Catch-22 for International Students

The issue is straightforward: you need a Spanish guarantor to rent, but you are arriving in Spain precisely because you do not yet live there. You probably do not know anyone with Spanish tax residency willing to sign a legally binding financial commitment for a stranger.

This is not a minor obstacle. Many international students lose flats specifically because they cannot produce an aval. Understanding your alternatives before you arrive puts you in a much stronger position.

Alternative 1: Extra Deposit (Deposito Adicional)

The most common workaround is offering to pay several months of rent upfront as a deposit. While Spanish law (Ley de Arrendamientos Urbanos, LAU) limits the standard fianza to one or two months for residential rentals, landlords can and do negotiate additional deposits as a separate agreement.

How It Works

• You offer to pay 3 to 6 months of rent upfront, in addition to the standard one-month fianza
• The landlord holds this amount as security
• At the end of the lease, the deposit is returned (minus any deductions for damages or unpaid bills)

Typical Amounts

• Standard fianza: 1 month
• Additional deposit: 2-5 months
• Total upfront: EUR 1,500-4,000 depending on the city and rent

Pros and Cons

Pros: Simple, widely accepted, no third party involved, you get the money back at lease end.

Cons: Requires significant cash upfront, ties up money you may need for other expenses, and some landlords still prefer a guarantor regardless.

Alternative 2: Rental Guarantee Insurance (Seguro de Impago)

Several companies offer insurance products that function as a replacement for a personal guarantor. These policies pay the landlord if the tenant defaults, effectively eliminating the landlord's risk.

Key Providers

• Garantoo — specifically designed for expatriates and international tenants in Spain. You apply online, provide documentation (passport, enrollment letter, proof of funds), and receive a guarantee certificate that landlords accept in place of a personal aval.
• ARAG — a legal protection insurance company that offers tenant guarantee products.
• Mutua de Propietarios — landlord-focused insurance that some landlords purchase themselves.

How Garantoo Works (Most Relevant for Students)

1. You create an account and submit your application
2. Provide documents: passport, university enrollment, proof of funds (bank statements or scholarship letter)
3. Garantoo assesses your profile and issues a guarantee certificate
4. You present this certificate to the landlord as a substitute for a personal aval
5. Cost: typically 3-5% of annual rent (roughly EUR 200-500 for a student rental)

Acceptance Rate

Not all landlords know about these products, and some may be skeptical. However, acceptance has grown significantly in major cities, particularly in Madrid, Barcelona, and Valencia where international tenants are common. Present the certificate alongside your other documentation and explain that it provides the same financial protection as a personal guarantor.

Alternative 3: Employer or Scholarship Letter

If you have a funded position (research assistant, teaching assistant, fellowship) or a scholarship, a formal letter from the institution can carry significant weight.

What the Letter Should Include

• Your name and identification details
• The nature and duration of the funding
• The monthly or annual amount
• Confirmation that funds are guaranteed for the contract period
• Institution letterhead and contact information for verification

Why It Works

Landlords want assurance that rent will be paid. A letter from a recognized Spanish university or research institution confirming guaranteed income for 12 months addresses the core concern directly. Combined with an extra deposit, this is often sufficient to rent without an aval.

Alternative 4: University Guarantee Letter

Some Spanish universities provide housing support letters for international students. These are not full financial guarantees, but they serve as institutional endorsements.

Universities That Offer This

• Universidad Complutense de Madrid (UCM) — through the international student office
• Universitat de Barcelona (UB) — the Oficina d'Allotjament provides housing support letters
• Universitat Politecnica de Valencia (UPV) — student services can issue support letters

What to Ask For

Contact your university's international student office or housing service before you arrive. Ask specifically for:

• A letter confirming your enrollment and expected duration
• A statement of any housing support the university provides
• Recommendations for landlords or agencies accustomed to working with international students

These letters do not replace a financial guarantee, but they add credibility to your application.

Alternative 5: Bank Guarantee (Aval Bancario)

A bank guarantee is a formal document from a financial institution committing to pay the landlord a specified amount if you default. Unlike a personal aval, it is backed by the bank.

How It Works

• You deposit a sum (typically 6-12 months of rent) into a blocked account at a Spanish bank
• The bank issues a guarantee letter (aval bancario) to the landlord
• If you default, the landlord claims against the bank
• The bank charges a fee (usually 1-2% of the guaranteed amount annually)

Practical Considerations

This option requires you to already have a Spanish bank account, which creates another sequencing challenge. Opening a bank account in Spain typically requires your NIE, which you may not have until after arrival. Some banks (Openbank, N26 Spain) allow remote account opening with a passport, which can help.

Strategy: Combining Alternatives

The strongest approach is combining multiple alternatives rather than relying on a single one.

Recommended combination for international students:

1. Garantoo or equivalent guarantee insurance (EUR 200-500)
2. Extra deposit of 2-3 months beyond the standard fianza
3. University enrollment letter confirming your program duration
4. Bank statements showing 6+ months of rent in available funds

Present all of these together in your initial application. Landlords and agencies who see a complete, organized dossier are far more likely to accept a tenant without a personal aval.

Common Mistakes to Avoid

• Waiting until you arrive to figure out the aval situation. Start researching and preparing documents at least 2 months before your move.
• Assuming all landlords require an aval. Some do not, especially in smaller cities or for rooms in shared flats. Always ask upfront.
• Paying large sums to unverified "guarantee services." Stick to established providers like Garantoo. Scam guarantee services do exist.
• Not reading the guarantee clause. If someone agrees to be your aval, both parties should fully understand the legal commitment involved.

Final Perspective

The aval system is not designed to exclude international students — it is a risk management tool in a rental market where landlord protections are limited. Understanding the system and arriving with alternatives prepared is the difference between spending weeks searching and signing a lease within days.

Your preparation before arriving in Spain matters more than any single document. Build your dossier, research guarantee products, and communicate clearly with landlords about what you can offer. The alternatives exist. You just need to know about them.

Need help navigating the guarantor requirement? Postgrado Espana assists international students with housing documentation, landlord communication, and rental verification. [Contact us via WhatsApp] to start your housing search.