For International Buyers of Florida Property, the most important factor is to decide whether you are buying for your own personal use, as an investment with no intention of personal use or somewhere in the middle (holiday property).
Personal Use– In the States this would be considered a second home. Financing opportunities for second homes typically have more favorable down payment and interest rate options. When buying a second home your possibilities are an almost limitless number of properties; a beautiful villa with a private pool or an apartment with all the amenities of a five star hotel on the ocean or within a few minutes drive of the theme parks. As a second home owner you only intend to occupy the property to the maximum number of days every year that is allowed by your visitor status with the United States.
Holiday Property– A holiday property is for those owners who want to occupy the property for a small amount of time every year with the expectations of rental income from others when the owner is not using the property. Because of local zoning laws the locations for these properties are more limited with some areas not allowing them at all. If buying a holiday property it is important to have your property agent determine if the zoning will allow for this before making an offer on a property. If you are interested in holiday properties please read our “Guide to Buying Holiday Property” for more details.
Investment Only-International buyers of investment only properties do not intend to occupy the property at all. They are strictly interested in purchasing a property with the intent to flip the property after some or little if any rehab or to find a tenant to lease the property until they are ready to cash out.
As always, for more specific tax and legal consequences of buying US property as an International buyer we recommend you seek the advice of the appropriate tax and legal specialists which we can refer upon request.
If you have any further questions related to buying US property as an International buyer feel free to contact us.