Financial benefits
The real has moved sharply against the dollar more than once in recent decades. A rented Florida property holds value in dollars and pays rent in dollars, which is why many Brazilian families use it as a store of wealth as much as an investment.
Orlando and South Florida are both popular with Brazilian buyers: Orlando for vacation rentals near the theme parks, South Florida for condos with year-round rental demand and easy flights to São Paulo and Rio.
Political and practical benefits
Clear title, public records and regulated escrow give certainty that is hard to find elsewhere. Closings can be done remotely with a power of attorney, notarized and apostilled in Brazil.
Tax considerations
- FIRPTA: when a foreign person sells U.S. real estate, the buyer generally withholds 15% of the gross sale price for the IRS. The withholding is a prepayment, and the actual tax is settled on the seller’s U.S. return.
- Rental income: by default, 30% of gross rent is withheld. Most investors elect to be taxed on net income instead, which lets them deduct expenses and depreciation and file a U.S. nonresident return each year (an ITIN is needed).
- Estate tax: nonresidents who aren’t U.S. citizens get only a $60,000 U.S. estate tax exemption on U.S. assets unless a treaty improves it. Ownership structure matters.
- Florida: no state personal income tax. Property taxes and insurance are the main carrying costs, and both should be budgeted before you buy.
- No income tax treaty: Brazil taxes its residents on worldwide income. Brazil has generally allowed a credit for U.S. income tax under a reciprocity rule, which helps avoid double tax on rent.
- Estate tax exposure: with no estate tax treaty, a Brazilian who owns Florida property personally is exposed to U.S. estate tax above $60,000. Many families hold U.S. property through a structure designed with a cross-border advisor, and life insurance is sometimes used to cover the risk.
- Reporting at home: foreign assets must be declared in Brazil, and recent laws changed how foreign investments and entities are taxed. Your Brazilian accountant should review any structure before you buy.
Residency pathways
Owning property doesn’t give residency. Brazil isn’t on the E-2 treaty investor list. The EB-5 immigrant investor program is open to Brazilians, but it requires a qualifying investment that creates U.S. jobs, not a home purchase.
Next steps
Irina helps international investors choose the right Florida market and property, coordinates with your tax advisor and lawyer, and manages the purchase remotely if you can’t travel. Read the buying guide for foreign nationals, see financing options for non-residents, or run the rental numbers.
Not legal or tax advice. This article is general information, not legal, tax or immigration advice. Tax rules, treaties and exchange rates change. Before you buy, talk to a cross-border tax advisor and a lawyer licensed in the relevant countries. Irina Manets is a licensed real estate sales associate with CENTURY 21 Stein Posner and does not provide tax or legal advice.