Foreign Buyers Guide to NYC & Miami Real Estate
Foreign buyers guide to NYC and Miami real estate for non-resident buyers: condos, financing, FIRPTA, LLC structure, estate tax, and closing costs.
What non-US buyers need to know in 2026: financing, FIRPTA, estate tax, building rules and remote closings
Reviewed October 19, 2026 · 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.
Our experience with international buyers
We have sold property to buyers of over 40 nationalities. Over the years, we have worked with many clients from Asia, Europe, Mexico and South America.
We started meeting clients in Europe when the euro was very strong. That worked. When the euro dropped, we focused more on Asia. For many years, we regularly traveled to mainland China, Hong Kong, Singapore, Taiwan, Seoul and Japan.
Anthony Guerriero is a former CPA and is very aware of the tax issues foreign buyers and investors need to consider. We offer a one-stop shop, coordinating with attorneys, bankers and accountants focused on foreign buyers.
Foreign buyers, non-resident buyers, and international buyers can purchase property in NYC and Miami without U.S. citizenship or residency. The structure of the purchase, entity vs. personal name, jurisdiction, financing, FIRPTA, and estate-tax positioning, matters as much as the property itself. Most successful cross-border acquisitions begin with criteria, jurisdiction, and timing, not a listing search.
- No residency requirement: foreign buyers and non-resident buyers can purchase NYC + Miami real estate freely, subject to normal building, lender, and state-specific rules
- FIRPTA generally requires the buyer to withhold 15% of the amount realized when a foreign seller disposes of U.S. real property. Exceptions and IRS withholding certificates can reduce or eliminate withholding. It is credited against the seller's tax; only an overpayment is refundable.
- 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
- In Manhattan, condos are generally more flexible than co-ops for overseas ownership and renting, but each building has its own rules. Ask about entity ownership, part-time use, rental terms and the application process before making an offer.
Closing taxes and costs depend on location, price, financing and the contract. One percentage cannot describe both Manhattan and Miami. Request an itemized estimate, including any buyer-broker fee.
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?.
Can foreigners buy property in NYC and Miami?
Yes. Foreigners can buy property in New York City and Miami without U.S. citizenship, a green card, or U.S. residency. In Manhattan, most non-resident buyers focus on condos, new development condos, condops, and townhouses because co-op boards usually require U.S.-based income, U.S. assets, and primary-residence use. In Miami, foreign ownership is common across condos and single-family homes, although Florida has country-specific restrictions that must be reviewed before contract.
What should non-resident buyers plan before making an offer?
Before making an offer, non-resident buyers should decide how title will be held, confirm source-of-funds documentation, compare cash versus foreign-national financing, model NYC or Miami closing costs, and coordinate U.S. tax advice around FIRPTA, rental-income filings, estate-tax exposure, and home-country reporting.
2026 Quick Facts for International Buyers
NYC vs Miami at a Glance for International Buyers
| Factor | New York City | Miami |
|---|---|---|
| State income tax | New York State tax may apply to New York-source income. NYC personal income tax generally applies to city residents, not nonresidents. | 0% (no state income tax) |
| Mansion tax | 1% to 3.9% (progressive) | None |
| Documentary stamp tax | N/A | Miami-Dade: $0.60 per $100, plus a $0.45 surtax unless the single-family dwelling exception applies. |
| SB 264 country restrictions | N/A | Ask a Florida attorney to check the buyer's status and the property's location before contracting. |
| 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.
Begin a Confidential ConversationAdvising global buyers across New York and South Florida.
1. Start with the purchase plan and the right team
Decide whether the property is for personal use, family or rental income. Set a purchase budget and an annual ownership budget. The broker handles the search and negotiation; the attorney reviews the contract, title and legal issues; the lender approves financing; the accountant reviews tax treatment and filings.
The sequence matters: prepare the ownership and funding plan, shortlist properties, negotiate, complete legal and building review, satisfy financing and association requirements, then close. Contract and inspection deadlines differ between New York and Florida. Have your attorney identify them before you sign.
2. Agree on brokerage compensation before buying
Broker commissions are negotiable and are not set by law. The seller may agree to pay some or all of your buyer-broker fee. Any amount you owe depends on your written buyer agreement and the transaction terms. We confirm this before you commit.
Confirm the services, fee and any amount you might owe if the seller's contribution is insufficient. Ask for the terms in writing.
2026-10-19 · NAR
3. Budget for closing and ongoing ownership
Request an itemized estimate for the actual property and financing. Include transfer or mansion taxes where applicable, mortgage taxes, legal and title charges, association fees, prepaid insurance and any buyer-broker fee. New-development contracts may allocate additional costs to the buyer.
Budget separately for property taxes, common charges or HOA fees, insurance, maintenance, financing and possible assessments. For rentals, allow for vacancy, leasing and management. Compare the annual cash requirement, not just the purchase price.
4. Choose the property and review the building
In Manhattan, condos are generally more flexible than co-ops for overseas ownership and renting, but each building has its own rules. Ask about entity ownership, part-time use, rental terms and the application process before making an offer.
5. Arrange financing and prepare the documents
Specialist lenders may consider borrowers without US credit history, but approval depends on the borrower, documentation, intended use, ownership entity and building. Obtain lender-specific terms for down payment, reserves, rate, fees and project review before committing to a financed purchase.
Prepare passport and address evidence; income or business records; tax returns if requested; bank and investment statements; the source and transfer trail for purchase funds; and entity documents if applicable. Ask which records need translation. A pre-approval is not a final loan commitment.
2026-10-19 · HSBC
6. Understand rental income, depreciation and losses
Depreciation and allowable expenses, including mortgage interest, can offset rental income. Unused passive rental losses generally carry forward until usable, subject to passive-activity, at-risk and other limits; there is no general seven-year expiry. This can leave positive cash flow with little or no current federal income tax, but no 15-year tax-free period is guaranteed. The result depends on rent, expenses, financing, tax basis and ownership. A nonresident individual may need an IRC 871(d) election and Form 1040-NR to claim net-basis deductions. Property taxes and tax on sale may still apply.
How depreciation and carryforwards can shelter rental income
Hypothetical example, in US dollars: a nonresident individual buys a $1,100,000 rental property for cash. Assume $825,000 of depreciable building basis and $275,000 of land. At an eligible 27.5-year GDS recovery period, full-year depreciation is $30,000. The model starts after the initial partial tax year, with no opening losses, and covers 15 full tax years.
Years 1–7: annual rent of $60,000 less $42,000 of deductible cash expenses leaves $18,000 of positive cash flow. Deduct $30,000 of depreciation and the tax result is a $12,000 loss each year. Assuming no other passive income absorbs it, suspended passive losses accumulate to $84,000.
Years 8–15: assume annual rent rises to $90,000 and deductible cash expenses to $50,000. Cash flow is $40,000; after $30,000 of depreciation, rental profit for tax purposes is $10,000. Apply $10,000 of carried-forward losses each year. Over eight years, $80,000 is used and $4,000 remains. Under these assumptions, this rental generates no current federal income tax during the 15 modeled years, despite positive cash flow.
Year 16: if the same figures continue, the remaining $4,000 offsets part of the $10,000 tax profit, leaving $6,000 of taxable rental income.
| Model year | Annual cash flow before income tax | Annual taxable rental income after carryforwards |
|---|---|---|
| 1–7 | 18,000 | 0 |
| 8–15 | 40,000 | 0 |
| 16 | 40,000 | 6,000 |
These are assumed figures, not a property forecast or guaranteed exemption. The example assumes rental-only use, a valid net-income election and timely filings, sufficient basis and amount at risk, and losses available under the passive-activity rules. Cash expenses are assumed fully deductible. Property taxes are included in expenses; home-country taxes and tax on sale are separate. Depreciation reduces tax basis and can affect tax on sale.
Keep cash flow and taxable income separate. Mortgage principal is a cash outflow, not a rental expense deduction. Have the accountant model the actual basis, allowable depreciation and use of losses.
7. Confirm rental-income elections and filing duties
A nonresident individual's US rental income that is not effectively connected with a US business is generally taxed at 30% of gross income, or a lower treaty rate, without expense deductions. An eligible IRC 871(d) election can allow net-basis treatment at graduated rates.
Have the accountant confirm eligibility, the election statement, tax-ID requirements, returns and deadlines. Do not assume that buying through an LLC or making a loss removes filing duties.
2026-10-19 · IRS 871(d)
8. Plan for FIRPTA when buying and selling
FIRPTA can matter at your purchase as well as your eventual sale. If you buy from a foreign seller, ask the closing attorney or settlement agent to establish the seller's status and any withholding obligation. Plan sale proceeds after withholding, rather than treating the gross selling price as immediately available cash.
2026-10-19 · IRS FIRPTA · IRS
9. Decide how to hold title and plan for succession
An LLC can be the named buyer and owner on the deed in a residential transaction, adding a layer of opacity between the individual and the property. It can also help protect personal assets from the LLC's liabilities: Florida generally does not make members or managers personally liable for company debts solely because of that role. The extent of privacy and protection depends on the structure and facts. Personal guarantees or a person's own conduct can create personal liability. This privacy benefit does not eliminate required owner identification or tax reporting. Florida Statutes 605.0304
U.S. estate-tax treatment depends on domicile, ownership and treaty eligibility. For a non-U.S.-citizen who is not U.S.-domiciled, an estate return is generally required when U.S.-situated assets exceed $60,000, subject to the applicable rules. An LLC alone does not automatically remove estate-tax exposure.
Resolve ownership before signing. Ask US and home-country advisors to compare liability, estate treatment, reporting, financing and eventual sale. Confirm that the lender and building accept the proposed owner. An entity should not be presented as a guarantee of anonymity or tax exemption.
2026-10-19 · IRS 706-NA
10. Coordinate with your home-country advisors
Give both advisory teams the same facts: tax residence, citizenship, intended use, ownership and funding. Ask about home-country reporting, foreign tax credits, treaty eligibility and the effect of personal use or a later change of residence. US property ownership does not itself grant a visa or immigration status.
11. Plan the eventual sale and any 1031 exchange
A qualifying Section 1031 exchange may defer gain on business or investment real property. Buying another property alone is insufficient; personal-use homes generally do not qualify and strict timing and other rules apply.
Discuss exchange requirements before arranging the sale, not after receiving the proceeds. Compare the costs of selling, loan repayment, tax and FIRPTA cash requirements with the proposed replacement investment.
2026-10-19 · IRS 1031
12. Arrange remote closing and the ownership handover
Remote closing is often possible, but the attorney, lender and title or settlement company must approve the signing method in advance. Ask whether a power of attorney, consular notarization or another accepted method is appropriate. Allow time for appointments, authentication and original documents.
Confirm the wire instructions by phone. Use a number you already know. Review the settlement figures and final walkthrough. Arrange insurance, utilities, keys and building registration. If renting, confirm the building's rules, leasing responsibility and the local contact for repairs before handover.
2026-10-19 · U.S. Department of State · CFPB
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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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