Last updated: October 2026

Yes, foreigners can get a mortgage in Aruba. Local banks do lend to non-residents. You can usually expect a larger down payment, often around 35 to 50 percent, and a shorter term of up to about 15 years. Interest rates commonly sit in the 5 to 7 percent range.

A lot of buyers reach me convinced that owning here means wiring the full purchase price from abroad. That is one path, and plenty of people take it. However, it is not the only one.

Local financing is available to non-residents, and for some buyers it is the more sensible route. So let me walk you through how a mortgage in Aruba works when you buy from overseas, what banks look for, and the costs that come with it.

How a mortgage in Aruba works for non-residents

The core idea is simple. An Aruban bank lends you part of the purchase price, secured against the property. You then repay it over a set term, with interest.

For a non-resident, the difference is mostly in the numbers. Banks tend to ask foreigners for a larger deposit. They also offer a shorter term than a resident with local income would get.

Most of these loans are annuity mortgages. That means each payment covers both interest and part of the principal. Over time, the balance falls and the property moves closer to being fully yours.

How much you can borrow, and what to put down

For non-residents, banks here usually finance around 50 to 65 percent of the value. That leaves a down payment of roughly 35 to 50 percent. Residents with local income can usually borrow a good deal more.

The bank bases this on an appraisal from a recognized Aruban appraiser, not simply the listing price. If the appraisal comes in below the agreed price, you cover the gap.

So for an overseas buyer, a practical planning figure is often close to half the purchase price in cash. Closing costs come on top of that. I always suggest budgeting for this before you fall for a specific home.

Mortgage terms, rates, and currency

Non-resident terms are typically shorter, often up to about 15 years. A resident might get 25 or 30. A shorter term means higher monthly payments for the same loan, so it is worth running the numbers before you commit.

Interest rates for foreign buyers have commonly fallen in the 5 to 7 percent range. The exact rate depends on the bank, the property, and your profile. Rates also move over time, so always confirm the current figure with the bank directly.

It is also worth asking early whether your loan can be in US dollars or Aruban florin. If your income and savings are already in dollars, that detail can matter.

Which banks offer a mortgage in Aruba to foreigners

Several established local banks offer financing to non-residents. The ones buyers most often work with are Aruba Bank, Banco di Caribe, CMB, and RBC Royal Bank.

Each bank has its own appetite, paperwork, and terms. They don’t all treat every property or buyer the same way. So it can pay to approach more than one, rather than assuming the first answer is the market.

I do not steer clients to a particular lender. My role is to help you understand the process, so you can have a confident conversation with whichever bank fits you best.

The documents a bank will ask for

The paperwork surprises people most, so it helps to know it early. An application for a mortgage in Aruba as a non-resident generally asks you to prove who you are and that you can comfortably carry the loan.

Banks here commonly ask for:

• A valid passport, and often a second form of ID.
• Recent pay slips or an employment contract, plus proof of income.
• Several months of bank statements and one or two bank reference letters.
• An appraisal report from a local appraiser, usually no more than six months old.
• A statement of your assets and liabilities, and a source of wealth statement.
• Property insurance, including fire and often life insurance, with the bank named as beneficiary.

None of this is meant to put you off. It is simply the homework that lets a bank say yes with confidence. Having it ready also tends to speed things up.

How the mortgage process runs, start to finish

The timeline is usually measured in weeks, not days. A pre-approval can often come through in about two weeks. Full approval and the compliance review then add several more.

From first application to funds in place, many buyers find the whole process takes about two months. That is worth knowing when you agree dates in the koopovereenkomst, the purchase agreement.

As with any purchase here, the closing runs through a notary and is registered at the Cadaster. The notary draws up the mortgage deed alongside the transfer deed.

The costs on top of a mortgage in Aruba

Financing adds a few costs beyond the deposit, and it is better to see them coming. Bank arrangement fees are often around one percent of the loan. The appraisal and required insurance also carry their own charges.

You still owe the standard buying costs, too. That means transfer tax of 3 percent up to AWG 250,000 and 6 percent above that, plus notary and registration fees.

Together, buyer costs on a financed purchase often land somewhere between 5 and 12 percent of the price. I would build that into your plan from the start, rather than treat it as a surprise at the end.

Financing erfpacht land and new construction

A common worry is that a bank won’t lend on leased government land. In practice, both freehold and erfpacht property can usually be financed here. However, a bank will look closely at how many years remain on an erfpacht lease.

New builds can be financed too, often through a construction loan. The bank releases funds in stages, based on a building permit and a contractor’s quote. In that case, the appraisal reflects the land plus the planned construction.

If you are weighing a specific property, the land type is one of the first things I would check. For a lease, so is the remaining term, since both shape what a bank will offer.

Is a mortgage in Aruba the right move for you?

Not every buyer should borrow, and I will say so plainly. If you have the cash and no better use for it, paying outright is simpler. It also spares you the fees and the interest.

Others prefer to keep their capital working elsewhere and carry a modest loan against the home. There is no single right answer, only the one that fits your situation. Interest may also be tax-deductible in some cases, which is worth confirming with a local tax adviser.

If you would like help deciding whether to finance a purchase here, and what a realistic budget looks like once the deposit and costs are counted, I am always glad to talk it through when the time feels right.

By Brad Croes and Ellen Aartsen, Aruba Lifestyle Realty