BreakThru Realty

Can a Foreigner Buy Property in Florida?

Reviewed by Tyson E. Sam, Founder and Broker of Record, BreakThru Realty, Florida License 3565210

The Short Answer

Yes. Foreign citizens can buy and own Florida real estate, with or without a visa, and many pay cash or use a foreign national mortgage with a larger down payment. Two rules need early attention: a Florida law that restricts purchases by some buyers from a short list of countries, and FIRPTA, the federal withholding that applies when a foreign owner later sells. An attorney and a tax adviser should confirm both before you sign a contract.

Who Can Buy

The United States does not require citizenship or residency to own real estate, and a foreign buyer has the same property rights as anyone else. Owning a home does not give you a visa or the right to live in the country; immigration status is a separate matter.

Florida's Restrictions on Some Buyers

A Florida law in force since July 2023 restricts purchases by people and entities domiciled in a short list of countries of concern, named in the statute, who are not United States citizens or lawful permanent residents. It bars them from buying agricultural land and property near military installations and critical infrastructure, applies stricter limits to buyers domiciled in China, and allows a narrow exception for one residence in some cases. Every buyer in Florida now signs an affidavit about it at closing. The law has been challenged in court, so ask a Florida attorney how it stands and whether it reaches you.

Paying for It

Many international buyers pay cash. Those who borrow use foreign national loan programs, which typically ask for a larger down payment, proof of income and assets from the home country, and funds held in a bank for a period before closing. Consult a mortgage lender that offers these programs. Money is wired to the title company's escrow account, and large transfers should be planned with your bank well ahead.

Taxes While You Own It

Property taxes are the same for every owner of a non-homestead property. Rental income from United States real estate is taxable here: by default 30 percent of the gross rent is withheld, unless the owner elects to be taxed on net income after expenses, which most do. United States estate tax can also apply to property a nonresident owns, with a much lower exemption than residents have, so how you hold title deserves advice before you buy.

FIRPTA When You Sell

Under the Foreign Investment in Real Property Tax Act, the buyer of property from a foreign seller must generally withhold 15 percent of the sale price and send it to the Internal Revenue Service, as a deposit against the seller's tax on the gain. The rate is lower or zero for some lower-priced homes the buyer will live in, and a seller can apply for a reduced withholding certificate. The seller files a return and receives a refund of any excess.

Buying From Abroad

You do not have to be in Florida to close. Showings can be done by video, documents can be signed electronically or before a notary abroad or online, and a power of attorney can cover the closing itself. BreakThru coordinates the agent, the attorney, the lender and the title company across time zones.

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Can a Foreigner Buy Property in Florida?: Questions

Can a foreigner buy property in Florida?
Yes. Foreign citizens can buy and own Florida real estate, with or without a visa, and many pay cash or use a foreign national mortgage with a larger down payment. Two rules need early attention: a Florida law that restricts purchases by some buyers from a short list of countries, and FIRPTA, the federal withholding that applies when a foreign owner later sells. An attorney and a tax adviser should confirm both before you sign a contract.
Does buying property in Florida give me a visa or residency?
No. Owning real estate does not by itself give any immigration status. An immigration attorney can explain the visa categories that involve investment.
Do I need a United States bank account or tax number?
You need a taxpayer identification number to report rental income and to file when you sell, and lenders usually require a United States bank account for the loan payments. A cash purchase can close without either, but most owners end up needing both.
Can I buy through a company?
Yes. Many foreign buyers hold property through a limited liability company or another structure for liability and estate tax reasons. The Florida restrictions look through an entity to its owners, and the right structure depends on your home country, so decide it with an attorney and a tax adviser before the contract is signed.

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