Financial benefits
Florida property gives Colombian families dollar-denominated rent and a hard asset outside the peso. Miami, Doral, Weston and Fort Lauderdale have deep Colombian communities, Spanish-language services and steady rental demand.
Political and practical benefits
U.S. property law, title insurance and regulated escrow make ownership predictable. Many Colombian buyers close remotely using an apostilled power of attorney.
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: Colombia taxes residents on worldwide income. Colombian law generally allows a credit for foreign income tax paid, subject to limits.
- Wealth tax: Colombia’s wealth tax counts foreign assets for residents above the threshold, so a Florida property may increase that bill.
- Estate tax: no estate tax treaty, so the $60,000 U.S. default applies to directly held property. Plan the ownership structure in advance.
Residency pathways
A property purchase alone doesn’t give residency. Colombians are eligible for the E-2 treaty investor visa when they invest in and actively run a U.S. business. Some investors pair a business with a Florida property, but the visa depends on the business.
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.