A Guide to Buying Property in the U.S. as an International or Latin American Buyer

Buying property in the United States as an international buyer is different from buying in your home country. The financing process, the title system, the closing procedures, and even the way real estate agents work are not the same. For Latin American buyers specifically, the language and cultural differences can add another layer of complexity.

This guide covers the basics of what to expect, so you can approach the process with confidence. It also walks through the legal, tax, and practical points that matter most when you are buying from another country.

Can International Buyers Get a Mortgage in Florida?

Yes. International buyers can obtain financing from U.S. lenders, though the process and requirements differ from domestic purchases. Several lenders offer programs specifically for foreign nationals. Foreign-national mortgage programs often require larger down payments than conventional U.S. mortgages. Requirements vary by lender, property type, and financial qualifications. Some programs may require approximately 25% to 30% down, while others require more.

Depending on the lender and transaction, buyers may need a valid passport, proof of income, bank statements, asset documentation, and potentially a U.S. tax identification number. Some foreign-national loan programs accept applicants without an ITIN or U.S. credit history, so it is worth asking lenders directly what their specific program requires.

Some international buyers choose to pay cash, which simplifies the process and can make the transaction more attractive to sellers. The right approach depends on your financial situation and goals.

Florida Foreign-Buyer Restrictions

This guide would not be complete without a recent change in Florida law. In 2023, Florida enacted Senate Bill 264, effective July 1, 2023, now codified in Chapter 692 of the Florida Statutes. The law restricts certain real estate acquisitions by foreign principals connected to seven designated countries of concern: China, Russia, Iran, North Korea, Cuba, Syria, and the Venezuelan regime of Nicolas Maduro.

Whether the restrictions apply depends on factors such as your domicile, your relationship to certain entities, the location of the property, and any applicable exceptions. The law is not a blanket prohibition on every citizen of those countries. Restrictions tied to China are the broadest and carry the most serious consequences. Buyers connected to any of these countries may face additional legal screening and are generally asked to sign affidavits at closing.

Importantly, this law does not automatically prohibit all buyers from Latin America, including Venezuelan nationals, because eligibility depends on individual circumstances. If any of this may apply to you, work with a Florida real estate attorney before signing a contract.

Understanding the U.S. Title System

In the United States, title insurance is a standard part of most real estate transactions. Title insurance protects you against any claims or liens on the property that were not discovered during the title search. For international buyers, this may be an unfamiliar concept, but it is an important protection. Coverage is subject to exclusions and policy exceptions, so it is worth reviewing what your policy does and does not cover.

There are two main types of title policies. An owner's policy protects the buyer's ownership interest in the property, while a lender's policy protects the mortgage lender's interest. Who pays for each depends on the purchase contract, so it is worth asking about when you review your offer.

The Closing Process in Florida

The closing process in Florida is typically handled by a title company or attorney, and both are commonly used. The seller generally executes the deed that conveys ownership, while the buyer signs the applicable financing and closing documents. Closings do not have to happen in a single meeting: they can involve advance document signing, authorized representatives, or remote notarization.

Florida authorizes certain remote online notarizations, including when the signer is abroad. You should verify in advance that your lender and title company will accept that approach, since acceptance is not guaranteed.

What Changes When You Are Buying from Abroad

If you are purchasing from another country, several practical considerations come into play:

• Power of Attorney: If you cannot be in Florida for the closing, you may be able to grant a power of attorney to someone you trust to sign on your behalf. Do not assume that any power of attorney will be accepted. Documents executed abroad may require specific formalities, translations, or additional legal review, and the lender, the title company, and your Florida attorney should approve the proposed arrangement in advance.
• Wire Transfers: International wire transfers take time. Plan for several business days for funds to arrive, especially during peak periods. Wire fraud is a real concern in real estate, so protect yourself: independently verify wiring instructions by calling your title company at a previously confirmed phone number, and never rely solely on emailed payment instructions.
• Property Management: If you will not be living in the property full-time, understanding Florida's property management options, HOA rules, and insurance requirements is important.
• Tax Considerations: International property ownership has tax implications in both the U.S. and your home country, including potential U.S. taxes at a future sale. This guide covers the main points below, and a tax professional who understands cross-border ownership can walk you through your situation.

Property Ownership and U.S. Residency

Buying real estate in the United States does not automatically grant a visa, a green card, citizenship, or permission to live permanently in the country. This is a common point of confusion for international buyers, and the distinction matters. If you are considering relocating permanently rather than purchasing a vacation or investment property, factor that into your planning and consult an immigration attorney about the requirements that apply to your situation.

Choosing an Ownership Structure

You will have choices about how to hold title, including personal ownership, an LLC, or a trust. The structure you choose can affect tax reporting, estate planning, liability exposure, financing, and how easily the property can be resold later. Because each option has trade-offs that depend on your country of residence, your goals, and the specifics of the transaction, talk with an attorney and a cross-border tax advisor before you decide how to take title.

Tax Considerations for International Buyers

International ownership brings U.S. tax considerations at purchase, during ownership, and at a future sale. The points below are general information, not legal advice, and your situation may differ. A qualified cross-border tax advisor should review the details with you.

FIRPTA and a Future Sale

When a foreign owner eventually sells U.S. real estate, the Foreign Investment in Real Property Tax Act (FIRPTA) generally requires the buyer to withhold and remit tax to the IRS. The general withholding is 15% of the amount realized on the sale, which includes cash paid, any mortgage or other liabilities assumed, and the value of other property transferred. A reduced 10% rate applies to qualifying residence purchases of $1 million or less, and no withholding is required for a primary residence sold for $300,000 or less.

FIRPTA withholding is not necessarily the seller's final income tax liability, and it can be adjusted through the tax filing process. Before deciding how to hold title, understand the future consequences of selling. The IRS explains FIRPTA withholding in detail here.

U.S. Estate Tax

International buyers who are not U.S. citizens or not domiciled in the U.S. may be subject to special federal estate tax rules. One reporting threshold to be aware of: when a nonresident noncitizen's U.S.-situated assets exceed $60,000, a filing may be required, subject to applicable adjustments and treaty provisions. This is a filing threshold, not an automatic tax bill. Ownership structure and estate planning can materially affect international families, so it is worth discussing estate planning with a qualified cross-border tax or estate attorney.

Rental Income

If you rent out a U.S. property, nonresident foreign owners may face federal income tax and reporting obligations on that rental income. Under the default U.S. treatment, a 30% rate may apply to gross rental income, subject to tax treaties and other rules. A qualifying election can permit taxation on net income after allowable deductions. A tax advisor who handles cross-border situations can help you choose the approach that fits your situation.

Property Taxes and the Homestead Exemption

Foreign buyers should budget for annual property taxes, which vary by county in Florida. Note that ownership alone does not make a property eligible for Florida's homestead exemption. Eligibility depends on qualifying permanent-residence circumstances and the applicable legal requirements, and vacation properties generally do not qualify. Your title company and a local advisor can help you understand the property tax picture for the home you are considering.

Insurance and Association Expenses

Plan for the ongoing costs of ownership beyond the purchase price. That includes homeowners insurance and, in many coastal areas, potential flood insurance and hurricane deductibles. If you are buying a condo or a home in a community with an association, budget for condominium assessments and understand the HOA restrictions. These matters are especially important for buyers who may leave a property vacant for extended periods, since some insurance policies and associations have specific rules about vacancy.

Working with a Buyer-Broker Agreement

A note on how agents work in the U.S. market: MLS participants working with buyers generally need a written buyer agreement before touring a home together, including qualifying live virtual tours. This is a standard part of the process, not a surprise. Buyer-broker compensation is negotiable, and seller contributions toward that compensation may be negotiated as well. Your agent should explain the agreement in plain language, in English or Spanish, before you sign anything.

The Purchasing Process, Step by Step

To bring it all together, here is how the process typically flows for an international buyer:

• 1. Get your financing in order. Talk with a lender about foreign-national mortgage options, or confirm your ability to pay cash. Ask about down payment, closing costs, and any tax identification or documentation requirements.
• 2. Choose your property and community. Work with your agent to shortlist homes that match your lifestyle, budget, and timeline, whether that is a condo near the beach, a golf community, or a single-family home.
• 3. Sign a written buyer agreement. Before touring homes together, you and your agent typically complete a written buyer agreement. Compensation is negotiable, so review it together before signing.
• 4. Make an offer and negotiate. Your agent prepares the offer and negotiates on your behalf. If you are abroad, plan for time-zone differences and make sure your team can reach you when deadlines come up.
• 5. Complete inspections and due diligence. Inspect the property, review the title report, and address anything that comes up before closing.
• 6. Prepare for closing. Work with your title company and attorney to review the closing documents, arrange your funds and international wire transfer, confirm any power of attorney or remote notarization arrangements in advance, and verify your wiring instructions by phone.
• 7. Budget for ownership. After closing, plan for property taxes, insurance, association fees, and any property management or maintenance needs, especially if the home will sit vacant between visits.

The Consumer Financial Protection Bureau offers a free, step-by-step home buying guide that is useful reading for anyone, international buyer or not.

The Value of a Bilingual Agent

When you are navigating an unfamiliar system in a second language, the details matter even more. A bilingual agent does not just translate words. She understands the cultural context, the differences in how real estate works in different countries, and how to explain U.S. processes in a way that makes sense.

As a native Spanish speaker from Bogota, Colombia, Catalina brings both personal experience with international relocation and professional expertise in international real estate transactions. She holds the Certified International Property Specialist (CIPS) designation and works with international buyers regularly.

This article provides general information only and is not legal, tax, immigration, or financial advice. Financing, tax, immigration, and property ownership requirements vary by individual circumstances and should be reviewed with qualified professionals, including a Florida real estate attorney and a cross-border tax advisor.