Thinking about buying in Miami as a non‑U.S. citizen, but not sure how financing works here? You are not alone. Many international buyers wonder who will lend to them, what down payment they need, and how condo rules affect their loan. In this guide, you will learn how foreign national mortgages work in Miami, where to look for financing, what paperwork to prepare, and how to set a clean path to closing. Let’s dive in.
Who lends to foreign nationals
You have several pathways to financing in Miami. Each option fits a different borrower profile and comfort level with documentation and U.S. credit.
- U.S. retail banks and credit unions with foreign‑national programs. These often favor applicants who have a Social Security Number or ITIN, a U.S. credit file, or clear U.S. income documentation.
- Portfolio, non‑QM, and private lenders. These lenders can work with limited U.S. credit, bank‑statement programs, or asset‑based underwriting. They are common for second homes and investment properties.
- International banks with U.S. branches. If you bank abroad, you may be able to finance in U.S. dollars through your existing relationship.
Every lender must meet anti‑money‑laundering and Know Your Customer requirements, so expect thorough identity checks and source‑of‑funds verification. For a consumer overview of the mortgage process and required disclosures, review the Consumer Financial Protection Bureau’s borrower guidance in the Owning a Home section. The CFPB provides plain‑language resources on shopping and closing.
Typical terms and down payments
Foreign‑national loans are treated as higher risk. That usually means larger down payments and a rate premium compared with similar U.S. borrowers. Terms also vary by how you intend to use the property.
- Primary residence for well‑documented buyers. Some lenders offer loan‑to‑value up to roughly 70 to 80 percent. Strong U.S. credit and income documentation improve your options.
- Non‑resident buyers with limited U.S. credit. Expect LTV in the 50 to 70 percent range. You may need a 30 to 50 percent down payment.
- Second home and vacation property. LTV often falls in the 50 to 70 percent range.
- Investment property. This is the most conservative category. LTV commonly sits around 50 to 65 percent, and lenders may look closely at rental income assumptions.
Rates are typically higher than for comparable U.S. borrowers. The spread depends on your profile and the lender’s risk appetite. Closing costs can also include additional lender fees, foreign wire verification, and a requirement to open a U.S. bank account for payments.
Pre‑approval and loan features to discuss
Pre‑approval for foreign buyers often requires more documentation upfront than a basic pre‑qualification. Ask your lender to clarify:
- Fixed versus adjustable rate options and any balloon features.
- Whether mortgage insurance is available if you target a higher LTV.
- Conditions tied to condo project approval if you are buying in a building.
- Timing expectations and any extra verification steps for international wires.
You can use the CFPB’s resources to compare loan features and understand total costs over time.
Documents you will need
Plan for more paperwork than a typical domestic buyer. Organizing these items early can save weeks at closing.
- Identification. Passport plus a secondary photo ID. Include visa or immigration documents if applicable.
- Tax ID. SSN or ITIN if you have one. An ITIN can simplify reporting and banking.
- Credit history. U.S. credit report if available. Otherwise be ready with international credit references or bank letters.
- Source of funds. Recent bank and asset statements, proof of any gifts, and clean wire traceability. Lenders will verify the origin of funds.
- Income and employment. U.S. pay stubs and tax forms if applicable. Otherwise employer letters, foreign tax returns, or bank‑statement evidence for self‑employed programs.
- Property records. Executed contract, title and insurance details, and condo documents when purchasing a unit.
Financial institutions must follow strict anti‑money‑laundering rules. To understand the compliance backdrop, see the Financial Crimes Enforcement Network’s overview of anti‑money‑laundering obligations. Expect requests for notarized or certified documents, and in some cases an apostille.
Condo financing in Miami: what matters most
Miami has a deep condo market, and many international buyers choose high‑rise living. Lenders place special attention on project health because the association’s finances and legal status affect collateral quality.
Key items lenders review:
- Project eligibility. Conventional lenders often follow standards similar to Fannie Mae’s project requirements, including owner‑occupancy ratios, concentration limits, reserve levels, and litigation status. Buildings that do not meet criteria can limit financing choices.
- Association finances. Budgets, reserves, insurance, delinquency rates, and pending litigation are scrutinized. Low reserves or major legal issues can slow or stop loans.
- New construction and conversions. Lenders look at developer track record, presale thresholds, and completion timelines. Hotel‑to‑condo conversions can be higher risk.
- Short‑term rentals. Projects that allow broad short‑term rental activity may be less financeable with conventional lenders.
If you plan to use an FHA loan in the future or want to check a building’s status for reference, HUD publishes condominium approval information. While many foreign‑national buyers use portfolio or non‑QM loans, these reference points help you gauge project quality.
Practical condo checklist
- Request and review association documents early with your lender or attorney.
- Verify owner‑occupancy, reserve levels, rental rules, and any pending litigation.
- Confirm flood zone status and required insurance. Obtain quotes early.
- Ask your lender to confirm project eligibility in writing before you finalize your offer.
Insurance, flood, and coastal risk
Insurance is a major cost driver in South Florida and affects loan approvals. If the property is in a FEMA flood zone and the mortgage is federally regulated, flood insurance is required. You can check flood maps using FEMA’s Flood Map Service Center.
Windstorm coverage and wind mitigation may also be required by insurers and factored into underwriting. For context on Florida insurance and consumer guidance, refer to the Florida Office of Insurance Regulation. Ask your insurance broker for quotes early so your lender can confirm debt‑to‑income ratios with realistic premiums.
Taxes, ITINs, and future sales considerations
Florida has no state income tax. However, rental income and gains may be subject to U.S. federal taxation for non‑resident owners, and you may want an ITIN to handle filings. The IRS explains how to apply for an Individual Taxpayer Identification Number.
If you sell in the future, you may be subject to FIRPTA withholding as a non‑U.S. seller. The IRS provides an overview of FIRPTA withholding rules and exemptions. Speak with a cross‑border tax advisor to plan ahead.
Cash vs financing in Miami
Cash offers are powerful in competitive situations. They close faster, remove loan and appraisal risk, and simplify documentation. Many foreign buyers choose cash to avoid underwriting and exchange‑rate uncertainty.
Financing can still be strategic. You preserve capital for other investments, align debt in U.S. dollars with U.S. income, and may benefit from rates that are attractive relative to your opportunity cost. For buyers targeting rental income, loans can improve overall return on equity, even with a rate premium.
Choosing your path
- If speed and certainty matter most, cash can give you an edge.
- If you value leverage or diversification, explore non‑QM and portfolio loans.
- If you already bank abroad, ask about cross‑border options with your international institution.
Timeline: what to expect
Foreign‑national mortgages take longer than typical domestic loans. Build in extra time for approvals and international logistics.
- Pre‑approval. Start early. Gathering international documents can add days or weeks.
- Underwriting and appraisal. Condo reviews and document authentication can extend timelines.
- Closing. Many foreign‑national deals take 30 to 75 days. International wires and notarizations can add further time, so confirm requirements upfront.
Protect yourself by verifying wire instructions with your title company or closing attorney using known phone numbers. Title teams commonly require in‑person or verified call confirmation to prevent fraud.
How to get started
- Decide if you plan to buy with cash or finance. Your offer terms and negotiation strategy depend on this choice.
- If financing, speak with lenders experienced in foreign‑national loans before you shop. Ask for written guidance on LTV, rate structure, condo eligibility, and timeline.
- Assemble documents now. Identification, ITIN or SSN if applicable, proof of funds, income records, and reference letters.
- For condos, request association documents immediately after going under contract. Share them with your lender.
- Line up a closing team that handles international buyers regularly. Confirm notarization, apostille, and wire protocols early.
- Consult a cross‑border tax advisor on ITIN, rental income reporting, and potential FIRPTA implications on resale.
For condo project standards and building eligibility context, review Fannie Mae’s project requirements. For flood and insurance planning, consult FEMA’s mapping tools and Florida’s insurance regulator resources.
Work with a Miami advisor who understands cross‑border buyers
You deserve a team that speaks your language, understands condo project risk, and can guide you from acquisition through ownership. Whether you are buying a pied‑à ‑terre, a waterfront home, or an investment condo for short‑term rental yield, you can streamline the process with seasoned local support. Our boutique, multilingual practice helps you compare cash versus financing, coordinate lenders and closing partners, and evaluate condo associations with an investor’s eye.
Ready to explore your options in Miami and Miami‑Dade County? Schedule a Consultation with Isabela Faria to map your path, from pre‑approval to keys in hand.
FAQs
Can a foreign national get a mortgage in Miami and what down payment is typical?
- Yes. Many lenders serve foreign buyers. Well‑documented borrowers may see LTV up to about 70 to 80 percent, while non‑resident or limited‑credit buyers often need 30 to 50 percent down.
Which documents do lenders request from foreign buyers in Miami?
- Expect a passport and secondary ID, ITIN or SSN if available, proof of funds with wire traceability, income and employment records, credit references, and full condo documents if buying a unit.
How long does closing take for a foreign‑national mortgage in Miami?
- Plan for 30 to 75 days. Extra time covers condo reviews, appraisals, international document authentication, and secure wire arrangements.
Are FHA, VA, or conforming loans options for foreign buyers in Miami?
- Government‑backed programs are limited for many foreign nationals without eligible status. Most buyers use portfolio, non‑QM, private lenders, or international banks.
How do Miami condo association rules affect my loan approval?
- Lenders review project eligibility, reserves, litigation, insurance, and rental policies. Buildings that fail criteria can limit or prevent financing options.
What insurance is required for financed homes and condos in Miami?
- Hazard and wind coverage are standard, and flood insurance is required for properties in FEMA flood zones when the mortgage is federally regulated.
What should I know about taxes, ITINs, and future sales as a non‑U.S. owner?
- You may need an ITIN for U.S. filings, rental income may be taxable federally, and future sales can trigger FIRPTA withholding. Consult a cross‑border tax advisor early.
Is cash better than financing for foreign buyers in Miami?
- Cash boosts speed and certainty, which helps in competitive situations. Financing preserves capital and can improve return on equity, especially for investment purchases.
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