The 30-year-old right-back is one of the longest-serving players at the Liberty Stadium having joined the Swans from Terrassa in 2007 when they were still in League One.
Rangel's previous contract was due to expire at the end of next season, but he has now penned a new three-year deal which will increase his stint with the club to nine years.
He told the club website: "I arrived in 2007 and I've already had six excellent years at Swansea.
"I am settled here, I am enjoying my football, I have married a Welsh girl and I'm building a house in Swansea - I feel like a Welshman now."
Rangel, who recently hit the headlines after he and his wife spent time helping to feed Swansea's homeless, is the latest in a string of players to pen new deals at the club.
Michu, Wayne Routledge, Leon Britton, Garry Monk, Ben Davies and Ashley Williams have been among those to commit themselves to Swansea.
The club are enjoying arguably the finest season in their 101-year history. They currently lie eighth in the Premier League table and claimed their first major honour after beating Bradford in the Capital One Cup final last month.
Success at Wembley has set up a Europa League campaign next term, and Rangel admits it was easy to agree to extend his stay.
He said: "It shows how well things are going here that so many of the squad have signed new contracts. "The club realises the players are doing a great job and the board and chairman are rewarding us for that.
"We are getting better and better as a club again this season and everyone here is keen to play their part in helping Swansea City grow."
He added: "We are in the top half of the Premier League, we have 40 points already and we have a first major trophy for the club. What a story this is.
"We have shown what we can do in the Premier League, now we are looking forward to showing what we are capable of achieving in Europe."
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