Financial benefits
A Florida rental adds dollar income and a U.S. asset to a peso-based portfolio. South Florida offers Spanish-language services, direct flights to Mexico City, Monterrey, Guadalajara and Cancún, and a rental market with both seasonal and year-round tenants.
Political and practical benefits
Ownership is recorded publicly and insured by title companies, and contracts are enforced by U.S. courts. Remote closings with an apostilled power of attorney are common.
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.
- Income tax treaty: U.S. tax on Florida rental income can generally be credited against Mexican tax on the same income.
- Estate tax: there is no U.S.–Mexico estate tax treaty, so the $60,000 default applies to directly owned U.S. property.
- At home: Mexican residents are taxed on worldwide income and must report foreign assets and income. Your contador should review the structure.
Residency pathways
Owning property doesn’t give residency. Mexican nationals are eligible for the E-2 treaty investor visa when they invest in and actively run a U.S. 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.