Florida Foreign National Mortgage Guide 2026 — Non-US Citizen Home Buying, FIRPTA & Loan Options

Non-US citizens without a green card or SSN can buy property in Florida — but the financing, tax, and reporting rules are fundamentally different from domestic purchases. This guide covers every layer: loan types, down payment requirements, FIRPTA withholding, FinCEN GTOs, ITIN, and what to expect in Florida's largest international buyer markets.

Who Qualifies as a Foreign National Buyer?

In US real estate and mortgage lending, a "foreign national" is broadly defined as a non-US citizen who does not hold permanent resident status (a green card) and does not have a Social Security Number (SSN). This includes:

• Non-resident aliens: Citizens of other countries who live abroad and do not maintain a primary US residence
• Visa holders without permanent residency: Individuals present in the US on tourist (B-1/B-2), work (H-1B, L-1, O-1), or other non-immigrant visas who have not yet obtained a green card
• Visa waiver country nationals: Citizens of countries participating in the US Visa Waiver Program who visit or purchase property without a formal visa

Importantly, US law places no restriction on foreign nationals owning real property in Florida. The restrictions exist at the financing and tax layer — not the ownership layer. Any person, regardless of citizenship or immigration status, may purchase and hold real estate in Florida subject to federal tax law and applicable reporting requirements.

Loan Types Available for Foreign National Buyers

Non-QM Foreign National Loans

The primary financing tool for foreign national buyers is the non-qualified mortgage (non-QM) foreign national loan. These are portfolio loans — meaning the lender originates and holds them on their own books rather than selling them to Fannie Mae or Freddie Mac, which do not purchase foreign national loans. Key characteristics:

• No SSN required: Qualification is based on passport, visa status (or lack thereof for visa-waiver nationals), and documented assets or income
• No US credit history required: Lenders accept bank statements, foreign credit references, or asset depletion in lieu of a FICO score
• Higher rates: Expect rates approximately 1–3% above conventional 30-year fixed rates — a reflection of higher lender risk and the non-secondary-market nature of these loans
• Higher down payments: Most programs require 25–35% down for primary or vacation homes; up to 40% for investment properties or borrowers with thinner documentation
• Limited lender pool: Not all banks offer these products — work with a mortgage broker who specializes in foreign national lending or international buyers

DSCR Loans for Investment Properties

If a foreign national buyer intends to purchase an income-producing property — a condo, single-family rental, or small multifamily — a DSCR (Debt Service Coverage Ratio) loan is often the most practical option. DSCR loans qualify the property, not the borrower: if the property's expected rental income covers the monthly mortgage payment (typically DSCR of 1.0 or above), the loan can be approved without verifying the borrower's personal income at all.

DSCR loans are particularly well-suited to foreign national buyers because they sidestep the income-documentation challenge entirely. The lender underwrites based on a rental appraisal (Form 1007) or a signed lease. Rates and down payment requirements are similar to or slightly higher than standard foreign national loans.

Portfolio Loans from Community Banks and International Lenders

Some community banks, credit unions, and internationally-focused lenders (including US branches of Brazilian, Colombian, and Canadian banks) offer customized portfolio loan products for their own international clients or for buyers with existing banking relationships. These can sometimes offer more favorable terms — lower rates or down payment requirements — for borrowers who bring significant assets or deposit relationships to the institution. Relationships matter here: if you have an existing account or investment relationship with a bank that has US operations, ask about their private banking or international mortgage products before going to the open market.

Down Payment Requirements

Down payment requirements for foreign national buyers are materially higher than for US citizens and green card holders — primarily because the loans carry more risk for the lender and have no government guarantee:

Down payment funds typically must be sourced and seasoned — lenders want to see the funds in a US or foreign bank account for 60–90 days before closing, with a clear paper trail (wire records, account statements) documenting the origin. Gifts from family members may be permitted with a gift letter and documentation of the donor's ability to make the gift.

FIRPTA Withholding: What Every Buyer Must Know

The Foreign Investment in Real Property Tax Act (FIRPTA) is a federal law that applies when the seller of US real property is a foreign national. Under FIRPTA, the buyer — not the seller — is legally required to withhold 15% of the gross sale price and remit it to the IRS within 20 days of closing.

This withholding is an advance payment of the seller's US capital gains tax obligation on the sale. The IRS collects it from the buyer because foreign sellers may otherwise leave the country before paying taxes on their US real estate gains.

Who Is Responsible for FIRPTA Withholding?

The buyer (or the buyer's qualified substitute — typically the title company or closing agent) is responsible for collecting, reporting, and remitting the withheld funds using IRS Form 8288. If a buyer closes on a property without withholding when the seller is a foreign national, the buyer can be personally held liable for the full withholding amount — even if the sale has already closed and the seller has left the country.

FIRPTA Exemptions and Reduced Rates

• $300,000 personal residence exemption: If the sale price is $300,000 or less and the buyer (or a member of the buyer's family) intends to use the property as a primary or secondary residence for at least 50% of the time the property is in use during the first two 12-month periods following the sale, no withholding is required
• Reduced 10% rate: If the sale price is between $300,001 and $1,000,000 and the buyer will use the property as a personal residence (same 50% test), withholding is reduced to 10%
• IRS Withholding Certificate: The seller can apply to the IRS for a Withholding Certificate (Form 8288-B) before closing if their actual tax liability is less than the 15% withholding amount. If approved, the IRS can reduce or eliminate the required withholding. This process can take 90+ days, so it must be initiated well in advance of closing
• Non-foreign certification: The seller signs a FIRPTA affidavit (certifying they are not a foreign person). The buyer may rely on this certification to avoid withholding — but if the certification is false, the IRS can still pursue the buyer

FinCEN Geographic Targeting Orders (GTOs)

The Financial Crimes Enforcement Network (FinCEN), a bureau of the US Treasury, has issued Geographic Targeting Orders (GTOs) requiring title insurance companies to collect and report beneficial ownership information on certain all-cash residential real estate purchases. Florida has been a primary target of this program since its 2016 inception due to the documented use of anonymous LLC purchases in Miami and other South Florida markets to launder money.

Which Florida Counties Are Covered?

As of 2026, FinCEN GTOs in Florida cover purchases in: Miami-Dade, Broward, Palm Beach, Duval (Jacksonville), Hillsborough (Tampa), Pinellas (St. Petersburg/Clearwater), and Orange (Orlando) counties. Coverage thresholds and county lists are updated periodically — always confirm the current GTO status with your title company before closing.

What the GTO Requires

If you are purchasing residential real estate with cash (no mortgage) in a covered county and the purchase price exceeds the GTO threshold (currently $300,000 in most covered counties), and the buyer is a legal entity (LLC, corporation, partnership, or trust), the title company must collect and report to FinCEN:

• The name, address, and date of birth of every individual who owns 25% or more of the purchasing entity
• The name and address of the entity itself
• The taxpayer identification number (TIN) of the beneficial owners, if available
• The purchase price and address of the property

These reports go to FinCEN and are used by federal law enforcement. They do not become public record, but the data is accessible to law enforcement agencies investigating financial crimes. GTOs do not prevent a foreign national from purchasing property — they simply create a reporting paper trail for large all-cash entity purchases.

ITIN vs. SSN for Foreign National Buyers

Many foreign nationals who invest in US real estate obtain an Individual Taxpayer Identification Number (ITIN) from the IRS. An ITIN is a 9-digit number (beginning with the digit 9) issued to individuals who have a US tax filing requirement but do not qualify for a Social Security Number.

What an ITIN Does

• Allows a foreign national to file US tax returns (required if they have US rental income, capital gains, or other US-source income)
• Can be used to open certain US bank accounts
• May be accepted by some ITIN mortgage programs at community banks and credit unions
• Required when applying for an IRS Withholding Certificate under FIRPTA as a seller

What an ITIN Does Not Do

• An ITIN is not a work authorization document and does not confer any immigration status
• An ITIN is not a Social Security Number — it cannot be used for employment eligibility verification (Form I-9) or government benefits
• Most foreign national mortgage programs do not require an ITIN — they are designed for borrowers with no US tax identification at all, relying instead on passport, visa, and bank documentation

If you are a foreign national who already has US rental income or has sold US property, you likely need to file US tax returns and should obtain an ITIN if you do not already have one. Consult a CPA or tax attorney familiar with non-resident alien (NRA) taxation.

The Credit History Problem — and How Lenders Work Around It

Foreign credit does not transfer to the US. A Colombian buyer with a 30-year perfect credit history in Bogota arrives in the US with a blank FICO file. The same is true for Canadian, Brazilian, or Argentine buyers regardless of their home-country financial standing. This is one of the most common frustrations foreign national buyers encounter when approaching US banks.

Foreign national mortgage programs are specifically designed to accommodate this gap. Lenders use alternative documentation in place of a credit score:

Bank Statement Underwriting

The most common approach: 12–24 months of personal or business bank statements (foreign or US) demonstrating consistent cash flow, income deposits, and sufficient reserves. Lenders typically calculate an average monthly income from the statements and use it to verify debt-to-income ratios. Large unexplained deposits are questioned — the statement history needs to tell a clean, consistent financial story.

Asset Depletion

For buyers with significant liquid assets but lower income (retirees, investors, or buyers whose wealth is held in investments rather than salary), lenders may use asset depletion: total verified liquid assets are divided by the remaining loan term (in months) to generate an imputed monthly income. A buyer with $2,000,000 in verified liquid assets seeking a 30-year loan might receive $5,500/month of imputed income for qualifying purposes.

DSCR (for Investment Properties)

As described above, DSCR loans require no income verification at all — the property qualifies itself if rental income covers the mortgage payment. This is often the cleanest path for foreign national investors purchasing Florida rental properties.

US Bank Account History

Many lenders require 3–6 months of US bank account history with sufficient balance. If you are planning a Florida purchase, open a US bank account at least six months before you intend to apply for financing. Wire your down payment and reserve funds over time rather than as a single large deposit at closing, to create a documented transaction history that underwriters can follow.

Florida's International Buyer Market Context

Florida consistently ranks as the top state for international real estate purchases in the United States, according to the National Association of Realtors (NAR). In 2024–2025, international buyers accounted for approximately 24% of all foreign buyer purchases nationally, with Florida capturing the largest share — driven primarily by Miami-Dade, Broward, and Palm Beach counties.

The dominant countries of origin for Florida's international buyers reflect the state's geographic and cultural position:

• Colombia: The largest single source market for South Florida international buyers, particularly Miami, Doral, and Weston. Colombian buyers often pursue primary residences, vacation properties, and investment condos
• Canada: The largest source of international buyers nationally; Canadians concentrate heavily in Southwest Florida (Fort Lauderdale, Naples, Sarasota) and Central Florida. Canadian buyers often have US investment vehicles already in place
• Brazil: Significant buyer pool in Miami, Sunny Isles Beach, and Aventura. Brazilian buyers frequently use US LLCs to hold property
• Venezuela: A large diaspora population in South Florida drives both primary home purchases and investment activity in Doral, Coral Gables, and Brickell
• Argentina: Strong presence in Miami Beach and Sunny Isles; Argentine buyers are particularly active during periods of Argentine peso weakness
• Mexico, Peru, Ecuador: Growing buyer segments across South and Central Florida

This international demand underpins FL's luxury and pre-construction condo markets — and makes lenders operating in South Florida more experienced with foreign national loan products than lenders in most other US states. Competition among foreign national lenders in Miami-Dade and Broward counties is meaningful, which can work in your favor when shopping for rates.

Costs and Rate Expectations for Foreign National Buyers

Budget for higher costs across the board compared to a conventional domestic purchase:

Frequently Asked Questions