The International Buyer's Guide to Naples Real Estate
A comprehensive playbook for global investors. From currency hedging to FIRPTA tax laws, here is how to safely deploy capital into Florida's Paradise Coast.
Phase 1: Structuring the Deal
Foreign National Mortgages
You do not need a US credit score to buy a home, but the rules are different than for US citizens.
- Down Payment: Expect to put down 30% - 40%.
- Reserves: Lenders require 6-12 months of mortgage payments in a liquid account.
- References: You will typically need "Credit Reference Letters" from your home country's bank or accountant.
Forward Contracts vs. Banks
The Mistake: Wiring millions through a standard commercial bank often results in a 2-4% loss due to poor exchange rates.
The Solution: Use a specialized FX Broker to execute a Forward Contract. This allows you to "lock in" an exchange rate today for a closing that happens 60 days from now, protecting your purchasing power from currency volatility.
⚠️ The $60,000 Estate Tax Trap
This is the most overlooked risk for foreign buyers. While US citizens have a ~$13M estate tax exemption, non-resident aliens typically have an exemption of only $60,000.
This means if you pass away owning a $2M Naples home in your individual name, your estate could be taxed at 40% on the value above $60k.
Strategy: Many investors use specific structures (like Irrevocable Trusts or Foreign Corporations) or purchase cheap Term Life Insurance to cover this potential liability. (We can connect you with international tax attorneys to structure this correctly before you buy.)
Phase 2: The Purchase Process
| Milestone | What to Expect |
|---|---|
| Virtual Tours | We use high-definition video walkthroughs and FaceTime to show you every inch of the property, including "the good, the bad, and the ugly." |
| The Offer | Electronic signatures (DocuSign) are legally binding in Florida. You do not need to be physically present to sign a contract. |
| Inspection Period | Typically 10-15 days. We hire licensed inspectors to check roof, AC, mold, and seawalls. You can cancel and get your deposit back if issues are found. |
| Closing (RON) | Florida allows Remote Online Notarization (RON). You can sign your closing deeds via a secure webcam session from your home country. |
Phase 3: Cost of Ownership
Property Taxes
Rule of Thumb: 1.1% - 1.2% of the purchase price annually.
Note: Foreign buyers generally do not qualify for the "Homestead Exemption" (which caps tax increases), as this is reserved for primary Florida residents.
Home Watch
Cost: $60 - $120 / month.
Service: A licensed professional visits your empty home bi-weekly to flush toilets, check AC humidity levels, and ensure no leaks occur. This is often required by insurance policies if the home is vacant for >30 days.
Insurance
Wind & Flood: Essential in Florida. If financing, these are mandatory. "New Code" homes (post-2015) have significantly cheaper premiums than older properties.
Phase 4: The Exit Strategy (FIRPTA)
When you eventually sell your US property, you will encounter the Foreign Investment in Real Property Tax Act (FIRPTA). This is not necessarily a "tax cost," but a "withholding requirement" to ensure you file your capital gains tax return.
The buyer withholds 15% of the Gross Sales Price at closing and sends it to the IRS.
You file a US tax return to report your actual gain. The IRS refunds the difference between the 15% withheld and what you actually owe.
Don't Navigate This Alone
We have curated a "Dream Team" of International Tax Attorneys, Immigration Lawyers, and Currency Specialists to protect your investment. Let's start the conversation.
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