Who buys and where
- Buyer mix: snowbird second homes (winter use) plus year-round rental investors.
- Florida’s Gulf Coast (Naples, Fort Myers, Sarasota) and Southeast (Fort Lauderdale, Boca Raton) are the traditional corridors.
- Many buyers are mortgage-free in Canada and choose strategically whether to finance in USD.
- Estate planning is a bigger deal for Canadians than most nationalities, US estate tax exposure is real.
Financing without US credit
Foreign national loans are built for exactly this: 25–30% down is typical, with qualification on passport, visa status, and documented reserves instead of a US credit score. See foreign national loan requirements › Investors buying rentals can also use DSCR loans, which qualify on the property’s rental income.
ITIN
Most financed purchases and US tax filings require an Individual Taxpayer Identification Number. File Form W-7 with the IRS (passport required); many buyers complete it alongside the purchase with help from the title company or a CPA.
FIRPTA withholding on sale
When a foreign person sells US real property, the buyer must withhold 15% of the gross sale price and remit it to the IRS. This is a withholding, not the final tax. File a US tax return to compute the actual gain and claim any refund. Plan for it in your exit math from day one.
Moving money from Canada
CAD→USD transfers are straightforward through Canadian banks or FX specialists, and the rate spread matters enormously on large transfers, so compare providers. The strategic question is timing: loonie weakness against the dollar raises your effective purchase price, and many Canadian buyers stage transfers or use limit orders rather than converting everything at once. US lenders want the funds seasoned in a US account with documented source (Canadian property sale, savings, investments). Keep the FX confirmations for the file.
Remote closings & power of attorney
You do not need to be in the US to close. The standard structure: a US bank account for wires, a power of attorney authorizing your representative, and a mail-away/remote closing coordinated by the title company. Lenders and title companies handle foreign-buyer remote closings routinely.
Managing from abroad
A Florida property manager handles leasing, maintenance, rent collection, and bill payment; you oversee from monthly statements. Interview 2–3 managers, verify their foreign-owner experience, and confirm how they handle security deposits and tax documents (1099-MISC / 1042-S).
Tax overview
The Canada-US tax treaty shapes everything: rental income is taxable in the US first with Canadian foreign tax credits; capital gains interact with both systems; and US estate tax can hit Canadians on US property above the exemption, proper cross-border estate planning (often involving a Canadian corporation or trust structure) is essential. Get a Canada-US specialist, not a generalist.
Tax notes on this page are general information, not tax advice. Cross-border taxation is complex, consult a CPA or tax attorney licensed in the relevant jurisdictions before structuring your purchase.
Popular areas
- Naples, The snowbird capital, condos and single-family for winter residents.
- Fort Lauderdale, Broward County beaches with a deep Canadian seasonal community.
- Tampa, Year-round investor market beyond the snowbird corridors.
FAQ
Can Canadians get a US mortgage?
Yes, foreign national loans (25–30% down typical) or, for US tax residents, standard programs. Many Canadians also finance in Canada against Canadian assets; compare both.
Do I need a US Social Security number?
No, an ITIN covers tax filings and most financed purchases.
How does the 183-day rule affect me?
The US substantial presence test can make you a US tax resident, with worldwide taxation. Snowbirds counting days need to understand the closer-connection exception and treaty tie-breakers.
What about US estate tax on my Florida condo?
Nonresident Canadians face US estate tax on US-situs assets above a modest exemption, this is the #1 reason Canadians need cross-border estate planning before buying.