Buying Miami Real Estate As A Foreigner

Are you a foreign national interested in investing in Miami real estate but unsure about getting financed? Look no further because the answer is yes, you can get a mortgage in the US. However, there are certain parameters and requirements you need to meet before you can invest and obtain a mortgage.

In terms of costs, using a lender requires an appraisal, which is an inspection to determine the property value, and there are fees for transferring property, recording fees, settlement fees, tax transfers, and taxes on the property. As a foreign national, you may also have a 10 to 15% first holding for tax purposes.

Regarding the closing table, if you cannot be present, you can schedule a closing with a US embassy in your country or assign someone with a power of attorney to represent you, preferably a relative or an attorney.

Different mortgage companies have varying options, but generally, a credit score of 680 or higher is ideal. If not, established credit lines in your country can suffice, and you must have at least two credit lines with 12 to 24 months of on-time payments.

You can only purchase a second home or an investment property with a minimum downpayment of 30%. The maximum amount you can purchase with a mortgage company is $2 million, and the minimum is $150,000.

If your income is used to qualify, you need to provide paystubs or taxes from your foreign country, a CPA letter stating your year-to-date income (if self-employed), and a translation of all documents to English.

When it comes to investment properties, short-term or long-term rentals are viable options, and potential rental income can be used to qualify for an investment property. However, for a second home, you must prove that it is not for investment purposes.

Foreign nationals are required to pay about 10 to 15% in taxes after the sale, collected at the closing table by the title company, and distributed to the IRS to ensure payment.

Finally, non-residents can buy property in the US, and you do not have to be a permanent resident. You can have a work permit or asylum, which must be renewed consistently for at least two years.

If you need assistance with obtaining a mortgage or understanding where your investment is best, mortgage experts like Jennyffer Kurz  Senior Loan Officer at PRMG and Realtor Floise Mizejewski of LPT Realty are here to help. Investing in Miami real estate as a foreign national is possible, as long as you meet the necessary requirements and guidelines.