Foreign Buyer’s Guide to Miami Condos
What international buyers need to know about financing, taxes, and ownership structure.
What It Means
The United States places no restrictions on foreign nationals owning real estate — you can buy a Miami condo on the same legal footing as a U.S. citizen. What differs is financing, tax treatment, and how you hold title.
Most foreign buyers either pay cash or use an ITIN loan (for buyers with an Individual Taxpayer Identification Number rather than a Social Security number), typically requiring 20–25% down at a slightly higher rate than conventional financing. Many buyers hold the property through a U.S. LLC, often owned by a non-U.S. holding company, for privacy and estate-planning reasons.
Key Things to Know
- FIRPTA (the Foreign Investment in Real Property Tax Act) generally applies when a foreign owner sells U.S. real estate, not when they buy — it requires withholding a percentage of the sale price, though reduced rates or exemptions can apply for lower-priced personal residences.
- A single-member LLC owned by a foreign person is typically treated as a “disregarded entity” for U.S. tax purposes — it doesn’t avoid FIRPTA or estate tax by itself, so entity structure should be set up with a cross-border tax professional, not assumed to be a shortcut.
- DSCR loans (which qualify based on a property’s rental income rather than personal income) are common for foreign investors buying rental property.
- Purchase timelines typically run 30–45 days for cash, 45–60 days with financing.
Why It Matters to Buyers
Getting financing and ownership structure right before you make an offer avoids delays and unexpected tax exposure later. This is general information, not tax or legal advice — FIRPTA, entity structuring, and estate tax rules are complex and depend on your country of residence and any applicable tax treaty. Please consult a qualified cross-border tax attorney or CPA before you buy.
Related Reading
Once you’ve found a property, our closing costs guide covers what to budget for beyond the purchase price, and our property tax guide explains how ownership costs work for non-residents. If you’re selling an investment property elsewhere and reinvesting in Miami, our 1031 exchange guide covers how to defer capital gains tax. See our buyer’s guide for the full process.
