Buying Property in Florida as a Canadian: Complete Guide for 2026

Florida is the top US destination for Canadian property buyers. The combination of guaranteed sunshine, no state income tax, relatively affordable prices compared to Toronto or Vancouver, and the USD/CAD exchange rate dynamic (Canadians buy when the loonie is strong) makes it a perennial favourite.

But the process has meaningful differences from buying in Canada. Missing one of them — like FIRPTA withholding at closing — can cost you tens of thousands of dollars or delay your closing by weeks.

Here's what you actually need to know.

Can Canadians Buy Property in Florida?

Yes. There are no restrictions on foreign nationals purchasing real estate in the United States. You do not need a US visa, green card, or residency to own property. You can own a home in Florida as a Canadian citizen, and you can rent it out if you choose.

What you cannot do without the right visa: spend more than 182 days per year in the US without risking your tax status. More on that below.

Step 1: Get Your ITIN Before You Start

An Individual Taxpayer Identification Number (ITIN) is the IRS's identification number for non-US citizens. You need one to:

Complete closing paperwork
File any US tax returns (required if you rent the property)
Receive any tax withholding refunds under FIRPTA

Apply using Form W-7 at any IRS Taxpayer Assistance Center, or through a Certified Acceptance Agent (CAA). Processing takes 7–11 weeks, so start this before you even begin home shopping.

Step 2: Understand FIRPTA — The Rule That Surprises Most Canadians

FIRPTA (Foreign Investment in Real Property Tax Act) is a US federal law that requires buyers to withhold a percentage of the purchase price when buying from a foreign seller. This matters to you in two ways:

When you buy: If you ever resell the property, the buyer must withhold 15% of the sale price (not profit — the entire sale price) and remit it to the IRS. This is withheld pending your US tax return that shows your actual capital gain.

When you rent: If you rent your Florida property to tenants, you're subject to US income tax on that rental income. Your tenant or property manager must withhold 30% of gross rents unless you've made the right tax elections.

The fix: File a Form W-8ECI with your property manager to elect "effectively connected income" treatment, which taxes you only on net rental income (after expenses) at graduated US tax rates. Combined with the Canada-US Tax Treaty, this typically reduces your effective US tax rate substantially.

Work with a cross-border tax accountant — ideally before closing, not after.

Step 3: Financing — Your Options as a Canadian

All-Cash (Most Common)

Most Canadian buyers pay cash, at least initially. It removes financing contingencies and makes your offer more competitive. In a market like Orlando where US buyers are competing with conventional loans, a cash offer from a Canadian is a significant advantage.

US Bank Foreign National Loan

Several US banks offer mortgage products for foreign nationals. Expect:

30–40% down payment
Higher interest rates (0.5–1.5% above conventional)
Two years of tax returns (Canadian)
Six months of bank statements
Asset verification

Lenders who specialize in this include HSBC Private Bank, TD Bank (US division), and several Florida-based community banks.

Canadian Bank (Home Equity)

If you have significant equity in a Canadian home, some Canadian banks (RBC, TD) offer secured lines of credit you can draw to fund a US purchase. This can give you better rates than a US foreign national loan, but you're borrowing in CAD against Canadian collateral to own USD-denominated property — there's currency exposure.

DSCR / Investor Loans

If you're buying primarily as a rental investment, some US lenders offer debt-service coverage ratio loans that qualify based on rental income potential rather than your personal income. These are increasingly popular for foreign nationals with strong rental properties.

Step 4: Currency Exchange — Timing Matters

The CAD/USD exchange rate is a major factor in total cost. At 0.72 (1 CAD = 0.72 USD), a $500,000 USD home costs roughly $694,000 CAD. At 0.78, that same home costs $641,000 CAD — a $53,000 CAD difference.

Strategies Canadian buyers use:

Lock in an exchange rate via a forward contract with a currency specialist (e.g., Wise, OFX, RBC currency services). You agree to exchange at a fixed rate for a date up to 12 months out.
Time purchases to coincide with loonie strength
Keep USD proceeds from future rental income in a USD account to avoid round-trip exchange fees

Step 5: The Florida Buying Process

The mechanics are broadly similar to Canada, with some key differences:

Pre-approval (if financing): Get your financing sorted before making offers. Cash buyers should have a bank statement or proof of funds letter ready.

Making an offer: Florida uses a standard FAR-BAR contract. Typical contingencies: inspection (10 days), financing (if applicable), appraisal.

Inspection: Critical in Florida. Hire inspectors who specifically check for:

Roof condition and age — insurance companies often won't cover roofs older than 15 years
Wind mitigation features — these reduce your insurance premiums meaningfully
4-point inspection (roof, HVAC, plumbing, electrical) — required by many Florida insurers
Mold — Florida humidity makes this more common than in Canada
Sinkhole risk — varies by county (higher in Hillsborough/Pasco, lower in Orange County)

Title insurance: Both buyer and seller typically purchase their own title policies in Florida. Costs roughly 0.5% of the purchase price.

Closing: Florida closings typically use a title company (not a lawyer, as in some Canadian provinces). Your ITIN is required at closing.

Step 6: Ongoing Costs Canadian Buyers Underestimate

Property insurance: This is the big one. Florida home insurance has increased dramatically due to hurricane risk and insurer exits from the market. Budget:

$4,000–$8,000/year for a $500K home in Orlando (inland)
$8,000–$18,000/year for coastal/waterfront properties
Windstorm, flood (if in a flood zone), and standard homeowners are often separate policies

Property taxes: Florida has no state income tax, but property taxes average about 1.1–1.4% of assessed value annually. If you're not a Florida resident (homestead exemption requires primary residence), you don't qualify for the $50,000 homestead deduction or the Save Our Homes 3% annual cap.

HOA and CDD fees: Many Orlando communities have HOA fees ($150–$600/month) and/or CDD (Community Development District) bonds ($100–$500+/month) on top of your mortgage.

Property management (if renting): Expect 8–12% of gross monthly rent for a full-service property manager. Essential if you're managing from Canada.

Step 7: 183-Day Rule — Visas and Immigration

As a Canadian citizen, you enter the US on the Visa Waiver Program (or via a B-2 tourist visa). You're allowed up to 6 months (182 days) per rolling 12-month period without a visa.

If you intend to spend significant time in Florida, track your days carefully. Staying past 182 days can trigger US tax residency (the "substantial presence test"), which means filing US taxes as a resident on worldwide income.

For Canadians who want to spend more time, the TN visa (for specific professional occupations under CUSMA/USMCA) or EB-5 investor visa may be options — consult an immigration attorney.

Best Orlando Neighborhoods for Canadian Buyers

Based on what Canadian clients typically want — gated security, good rental income potential if they're not there, easy maintenance, and proximity to amenities:

Windermere / Dr. Phillips: The most popular choice for luxury Canadian buyers. Guard-gated communities like Keene's Pointe, Isleworth, Bay Hill, and Orange Tree. Butler Chain of Lakes access. $600K–$4M+.

Celebration: Disney-built master-planned community with an HOA that handles maintenance. Walk to everything, short-term rental opportunities, international community. $400K–$1.5M.

Lake Nona: Master-planned, newer construction, medical city employment anchor. Popular with buyers who want low-maintenance modern construction. $500K–$1.5M.

MetroWest: Central Orlando, golf-community feel, lower price point ($280K–$600K). Good rental demand from Universal Studios area workers.

Viera (Space Coast): Retirement-friendly, lower prices, active community. Strong for Canadians looking for a retirement property at a lower entry point. $350K–$700K.

Common Mistakes Canadian Buyers Make

Not getting an ITIN before searching — creates closing delays
Ignoring FIRPTA — discovering the 15% withholding rule at resale is a nasty surprise
Underestimating insurance costs — use actual insurance quotes, not estimates
Forgetting about CDD bonds — a $300/month CDD bond is a permanent cost that doesn't disappear
Not verifying HOA rental restrictions — some communities restrict rentals to protect owner-occupant character
Currency risk — holding a USD-denominated asset creates ongoing exchange rate exposure

Working with a Realtor as a Canadian Buyer

Working with a realtor who has experience with international and Canadian buyers matters. The paperwork requirements, ITIN coordination, title company communication, and insurance sourcing all require someone who has navigated these before.

I've worked with Canadian buyers across multiple price points and helped them avoid the common FIRPTA, insurance, and HOA pitfalls. If you're considering a Florida purchase, call or email me before you fly down — the best time to ask questions is before you're standing in a home you love.

Ryan Solberg | MaxLife Realty
📞 321-373-3536 | ryan@maxliferealty.com

Quick Reference Checklist for Canadian Buyers

Apply for ITIN (Form W-7) — allow 7–11 weeks
Get cross-border tax advice on FIRPTA and rental income treatment
Secure financing proof / proof of funds
Review Canada-US tax treaty implications
Set up currency exchange strategy (forward contract?)
Get insurance quotes before making offers
Verify HOA rental restrictions before buying
Track US days per year (stay under 183)
Hire a property manager if renting while abroad