Can foreigners buy property in the United States?

Yes. There are no federal restrictions on foreign ownership of US real estate. Most states have no restrictions either. International buyers follow the same purchase process as US citizens, though financing requires larger down payments (30-50%) and tax planning is more complex due to FIRPTA withholding and US estate-tax exposure.

What is FIRPTA withholding?

The Foreign Investment in Real Property Tax Act (FIRPTA) requires the buyer to withhold 15% of the gross sale price when purchasing US real property from a foreign seller. The withholding is remitted to the IRS at closing. The seller can apply for a withholding certificate (Form 8288-B) in advance to reduce withholding to actual expected tax liability — approval typically takes 90 days.

How much down payment do I need as a foreign buyer in the US?

Standard foreign-national mortgages require 30% to 50% down. Salaried-income buyers may qualify with 30%, while UHNW buyers using asset-based lending typically put 35-40% down. Many international buyers ultimately purchase in cash, particularly above $3 million, to avoid mortgage recording tax (~1.925% in NYC) and documentation complexity.

What is the US estate tax exposure for non-US buyers?

A non-US-domiciled individual who dies owning US real estate directly is subject to US estate tax of up to 40% on value above just $60,000. By contrast, US citizens enjoy a $13.61 million exemption (2024). To avoid this, international owners typically hold US property through a foreign corporation, two-tier LLC/foreign-corp structure, or irrevocable trust. Tax-treaty countries (UK, France, Germany, Australia) have higher exemptions.

Should I buy through an LLC as a foreign buyer?

An LLC alone does not solve the estate-tax problem because the LLC interest is treated as US-situs property. The most common protective structure is a US LLC owned by a foreign holding corporation ('two-tier'), which combines limited liability with estate-tax shielding. Some buildings restrict LLC purchases — verify with the building's bylaws and consult both US and home-country tax advisors.

Can I close on a US property without being in the United States?

Yes. International buyers commonly close via a Limited Power of Attorney (POA) appointing their US real-estate attorney or another authorized representative to sign closing documents on their behalf. The POA must be notarized, apostilled (for Hague Convention countries) or consularly legalized, and pre-approved by the title insurance company and condo managing agent. Plan 2-8 weeks for POA preparation.

What is the Section 871(d) election?

By default, US-source rental income paid to a non-US owner is subject to a 30% gross withholding tax with no deductions. The Section 871(d) election (filed with Form 1040-NR) converts taxation to net basis — you pay tax only on rental income after operating expenses and depreciation. With 27.5-year depreciation and operating costs deductible, taxable rental income is typically zero or negative in the early years of ownership.

Why should foreign buyers focus on condos rather than co-ops in NYC?

Approximately 75% of Manhattan apartments are co-operatives, in which residents own corporate shares rather than a deed. Most NYC co-op boards prohibit foreign ownership because they cannot easily enforce judgments against owners whose assets are abroad. Condos (deed ownership) and condops (co-ops with condo-style rules) welcome foreign buyers, allow LLC ownership in most cases, and have a simpler approval process.

What is Florida SB 264 and who does it affect?

Florida Senate Bill 264 (effective July 1, 2023) restricts purchases of agricultural land and certain real estate within 10 miles of military installations or critical infrastructure by nationals of seven 'countries of concern': China, Russia, Iran, North Korea, Cuba, Venezuela (Maduro regime), and Syria. Most non-agricultural urban condo purchases (Brickell, Miami Beach, Edgewater) are not affected. Chinese nationals face additional residential restrictions. Consult a Florida attorney before purchase.

Can foreign sellers use a 1031 exchange to defer capital gains?

Yes — 1031 exchanges are available to foreign sellers on US real estate held for investment or business use (not primary residence or vacation home). Strict timing rules apply: 45 days to identify replacement property, 180 days to close. Funds must be held by a qualified intermediary. The 1031 does NOT eliminate FIRPTA withholding — 15% must still be withheld and recovered via Form 8288-B.

Can foreign buyers obtain US mortgages?

Yes. Foreign-national mortgages are available from select US lenders, typically requiring 30-50% down payment, higher interest rates than domestic loans (50-150 bps premium), and more extensive documentation. Asset-based lending against AUM at private banks is common for UHNW buyers. Cash purchases avoid mortgage recording tax (~1.925% in NYC) and are most common above $3 million.

What documents do I need as an international buyer to close on a US property?

International buyers typically need: passport copy, second photo ID, proof of funds (bank/brokerage statements), source-of-funds documentation for AML compliance, US tax ID (ITIN — apply via Form W-7), retainer agreement with US real-estate attorney, and Limited Power of Attorney if closing remotely. For LLC purchases, add the operating agreement and certificate of formation. Plan documentation 4-8 weeks before closing.

Resources · International Buyers

International Buyer's Guide to NYC & Miami Real Estate

International buyer's guide to NYC and Miami real estate — entity structures, tax obligations, financing, FIRPTA, estate planning, and the operational mechanics of cross-border purchase.

What non-US buyers need to know in 2026 — financing, FIRPTA, estate tax, building rules and remote closings

Updated 2026-04-27 · 30-minute read · By Anthony Guerriero, Licensed Broker (NY · FL · CA)

ABOUT US

Manhattan Miami Real Estate has advised international buyers for over 20 years, guiding clients from Latin America, Europe, Asia, the Middle East and beyond through US real estate transactions. We know what works — and what doesn't — for non-US buyers across New York and Miami.

Founder Anthony Guerriero is licensed as a Real Estate Broker in New York, Florida and California, and serves UHNW individuals, family offices, and cross-border investors with FIRPTA, entity structuring, and Power-of-Attorney closings as core expertise.

Quick Answer

International buyers can purchase property in NYC and Miami without residency or U.S. citizenship. The structure of the purchase — entity vs. personal name, jurisdiction, and tax positioning — matters as much as the property itself. Most successful cross-border acquisitions begin with criteria, jurisdiction, and timing — not a listing search.

Key Takeaways

No residency requirement — international buyers can purchase NYC + Miami real estate freely
FIRPTA (Foreign Investment in Real Property Tax Act) applies on sale — ~15% withholding
Entity structures (LLC, trust, foreign corporation) impact tax exposure, anonymity, and estate planning
NYC closing costs are buyer-heavy (mansion tax, mortgage tax, attorney); Miami closing costs lower but with state nuances
Co-ops in Manhattan typically reject international buyers; condos accept; new development is the most common path

The United States welcomes international real estate investment. There are no additional stamp duties, no caps on foreign ownership, and most states have no restrictions on non-US buyers — although Florida has introduced restrictions on nationals of certain countries under SB 264 (covered in detail below).

In a world where Canada has banned most foreign buyers outright (Prohibition on the Purchase of Residential Property by Non-Canadians Act, extended through 2027), Australia and New Zealand impose strict approvals, and cities like Singapore (60% additional buyer's stamp duty), Toronto (35%), Vancouver (20%) and Hong Kong (eliminated BSD in February 2024) have historically levied punitive transfer taxes on foreigners, the United States remains remarkably open.

That said, international buyers face unique considerations — financing, entity structuring, FIRPTA withholding, estate tax exposure, home-country tax treaties, and country-specific Florida restrictions. This guide covers what you need to know before purchasing property in New York City, Miami, or anywhere in the United States, with specific attention to the practicalities of buying as a non-US resident.

For a Miami-specific deep dive on Florida tax advantages and SB 264 country restrictions, see our Best Miami Neighborhoods to Buy a Condo guide. For NYC condo selection, see our Manhattan Luxury Condo Buying Guide. For the underlying ownership question, see Can Foreigners Buy Property in the USA?.

2026 Quick Facts for International Buyers

Foreign ownership restrictions on US real estate (most states)

15%

FIRPTA withholding on gross sale price for non-US sellers

30-50%

Typical down payment for a foreign-national mortgage

Florida state income tax (vs ~10.9% NY top rate)

$60K

US estate tax exemption for non-US-domiciled owners (vs $15M for residents in 2026)

NYC vs Miami at a Glance for International Buyers

Factor	New York City	Miami
State income tax	Up to 10.9% (NYC adds ~3.876%)	0% (no state income tax)
Median condo $/sqft	~$1,998	~$995
Mansion tax	1% to 3.9% (progressive)	None
Documentary stamp tax	N/A	~0.7% of sale price
Co-op share of inventory	~70% (foreign-buyer-restrictive)	~0% (condos only)
SB 264 country restrictions	N/A	7 countries restricted (China, Russia, Iran, NK, Cuba, Venezuela-Maduro, Syria)
Tenant rights	Strong (rent stabilization on pre-1974 6+ unit bldgs)	Landlord-friendly
Best for international buyers seeking	Capital preservation, prestige, education access (Columbia, NYU)	Tax efficiency, lifestyle, Latin American cultural alignment

Many international buyers ultimately own in both cities — Manhattan for business and education, Miami for lifestyle and tax residency.

Private Advisory for International Buyers

Begin with a conversation, not a listing.

For cross-border acquisitions in New York and South Florida, structure, jurisdiction, and timing matter as much as price. Reach out for a confidential briefing tailored to your residency, tax, and family-office considerations.

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Foundational guide

Foreigners buying U.S. property →

Cost comparison

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Advising global buyers across New York and South Florida.

PART 1US REAL ESTATE MARKET IS VERY TRANSPARENT

PART 2MOST OFTEN, THE COMMISSIONS ARE PAID BY THE SELLER

PART 3NO EXTRA STAMP DUTIES FOR FOREIGN BUYERS

PART 4FOREIGN BUYERS SHOULD FOCUS ON CONDOS, NOT COOPS

PART 5FINANCING IS READILY AVAILABLE TO FOREIGN BUYERS

PART 6INVESTORS PAY NO TAX ON RENTAL INCOME FOR THE FIRST 10-15 YEARS OF FINANCING

PART 7FOREIGN BUYERS MUST ELECT TO OFFSET EXPENSE FOR INCOME TAX

PART 8FIRPTA WITHOLDING

PART 9FOREIGN BUYERS MUST PLAN TO AVOID THE ESTATE TAX or DEATH TAX

PART 10FOREIGN BUYERS SHOULD CONSULT WITH THEIR HOME COUNTRY TAX SPECIALISTS

PART 11FOREIGNERS CAN DEFER CAPITAL GAINS TAXES BY BUYING ANOTHER INVESTMENT PROPERTY

PART 12FOREIGN BUYERS DO NOT HAVE TO BE IN THE US TO CLOSE THE DEAL

LET'S CHAT

Whether you are buying your first US property, structuring a multi-property portfolio, or planning a tax-residency migration to Florida, we specialize in cross-border transactions for international clients.

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All consultations are confidential. We coordinate with your home-country advisors and US tax counsel.

Begin with a conversation, not a listing.

Manhattan Miami advises a small group of buyers, sellers, and family offices across NYC and South Florida. We do not run open searches. Every relationship begins with context.

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Miami coverage Manhattan vs Miami

International Buyer's Guide to NYC & Miami Real Estate

What non-US buyers need to know in 2026 — financing, FIRPTA, estate tax, building rules and remote closings

ABOUT US

2026 Quick Facts for International Buyers

NYC vs Miami at a Glance for International Buyers

Begin with a conversation, not a listing.

LET'S CHAT

Continue exploring

Begin with a conversation, not a listing.

Begin with aconversation,not a listing.

Begin with a
conversation,
not a listing.