Foreign national mortgages for Miami property in 2026

Last updated: July 2026

A foreign national mortgage is a portfolio loan product for a borrower who is buying U.S. property without U.S. residency, a Social Security number, or a domestic credit file. In Miami, a foreign national mortgage lets a buyer finance a purchase using income and assets documented abroad rather than a U.S. credit score. The underwriting trades the missing domestic credit history for a larger down payment, verifiable reserves, and documentation of income earned outside the country. Because the file cannot meet the standardized criteria that Fannie Mae and Freddie Mac require, the loan is written as a non-qualified mortgage and held on a lender's own books rather than sold into the conforming secondary market [1]. That distinction drives how the loan is priced, documented, and closed. This guide covers the typical underwriting, how the product differs from a conforming loan, closing mechanics, and how the financing interacts with FIRPTA when the property is later sold [2].

What a foreign national mortgage actually is

The label describes an underwriting category, not a borrower's background. A conforming loan runs through automated underwriting against a fixed rulebook: a qualifying U.S. credit score, a debt-to-income ceiling, and documentation formats that Fannie Mae and Freddie Mac will accept. A file without a U.S. credit history cannot clear that automated path, so it moves to a portfolio or non-QM lender that keeps the loan and sets its own guidelines.

The Consumer Financial Protection Bureau defines a qualified mortgage by the features it must avoid and the ability-to-repay standard it must meet. A non-QM loan is one that falls outside those bright-line QM categories, while the lender still has to make a reasonable, good-faith determination that the borrower can repay [1]. Foreign national programs live in that non-QM space. The ability-to-repay analysis still applies; it is documented differently.

Typical underwriting

Underwriting standards vary by lender, but the structure is consistent across programs.

Down payment and loan-to-value

Because the file lacks a U.S. credit score, lenders offset the unknown with equity. Foreign national programs generally call for a larger down payment than a conforming loan, with loan-to-value set well below the conforming range. The stronger the documented reserves and income, the closer to the lower end of the down payment range a file tends to land. Treat any single figure advertised online as a starting point rather than a rule, since the number moves with property type, occupancy, and the strength of the file.

Income and asset documentation

Instead of U.S. tax transcripts and a domestic credit report, lenders accept documentation prepared abroad: employer or accountant letters, foreign bank statements, and international credit references where they exist. Reserves, meaning liquid funds left after closing, are central to the file. Programs commonly ask for several months to a year of principal, interest, taxes, insurance, and any association dues held in verifiable accounts, which may sit in a foreign bank. Documents in another language typically need a certified translation, and funds are traced to a legitimate source.

No U.S. credit required

The defining feature is that a U.S. credit score is not required. That is the reason the loan exists as its own category. In its place the lender relies on the down payment, the reserves, and the income record to satisfy the ability-to-repay standard [1].

How it differs from a conforming loan

The 2026 baseline conforming loan limit for a one-unit property is $832,750, rising to $1,249,125 in designated high-cost areas [3]. A loan that fits within those limits and meets agency rules can be sold to Fannie Mae or Freddie Mac. A foreign national loan usually cannot, for two reasons: the documentation does not fit the agency template, and many Miami purchases in this category sit above the limit anyway.

Holding the loan in portfolio changes the economics. The lender carries the risk, so it sets the rate, the reserve requirement, and the down payment to compensate. Expect pricing above conforming terms, a manual underwriting process rather than an automated approval, and more exchange over documents. The trade is access: financing that a conforming lender cannot write at all.

Closing considerations

An ITIN or other taxpayer identification number is generally needed to close and to hold title, so buyers should build in time to obtain one. Cross-border wire transfers move the down payment and reserves, which means source-of-funds documentation should be assembled early rather than at the closing table. Many buyers close through an entity such as an LLC for liability and estate reasons; that choice interacts with lender guidelines and with tax treatment, so it belongs in a conversation with a tax advisor and a closing attorney before an offer goes out. Title insurance, survey, and Florida-specific items such as property insurance and any condominium association approval run on the same timeline as any other Miami purchase.

If Brickell is on your list, the Brickell neighborhood overview covers the condo-heavy inventory where a lot of this financing shows up. When you are ready to map a purchase to a specific budget and loan structure, a buyer consultation is the place to start.

FIRPTA at resale

Financing is only half the arithmetic. When a foreign person later sells U.S. real property, the Foreign Investment in Real Property Tax Act (FIRPTA) requires the buyer to withhold a share of the gross sale price and remit it to the IRS. The general withholding rate is 15% of the amount realized [2]. Reduced treatment can apply on lower-priced homes the buyer intends to occupy: withholding drops to 10% on amounts between $300,001 and $1,000,000, and to zero at or below $300,000, when the buyer meets the residence-use test [2].

Withholding is not the final tax. It is a deposit against the seller's actual U.S. tax on any gain, and a seller who is over-withheld files to recover the difference. A withholding certificate can reduce the amount held at closing in some cases. The practical point for a buyer taking a foreign national mortgage today is that the exit carries its own tax mechanics, so the resale is worth planning with a cross-border tax advisor rather than at listing time.

Frequently asked questions

Do I need a U.S. credit score for a foreign national mortgage?

No. The absence of a U.S. credit file is the reason the product exists. Lenders substitute a larger down payment, documented reserves, and income records prepared abroad to meet the ability-to-repay standard [1].

Is a foreign national mortgage the same as a conforming loan?

No. A conforming loan is written to Fannie Mae and Freddie Mac rules and can be sold on the secondary market. A foreign national loan is a non-QM, portfolio product the lender keeps on its own books, which is why the terms differ [1][3].

How much down payment should I expect?

More than on a conforming loan. Programs set loan-to-value conservatively because there is no U.S. credit history to price against. The exact figure depends on the property, the occupancy, and the strength of your reserves and income documentation, so confirm it with the specific lender.

What is FIRPTA and when does it apply?

FIRPTA is the withholding regime that applies when a foreign person sells U.S. real property. The buyer generally withholds 15% of the sale price and remits it to the IRS, with reduced rates on lower-priced homes the buyer will occupy [2]. It affects your resale, not your purchase.

Can I buy through an LLC?

Often, yes, and many buyers do for liability and estate planning. Entity structure interacts with both lender guidelines and tax treatment, so settle it with a tax advisor and closing attorney before writing an offer.

For general questions on the process, the FAQ is a good next stop.

Gabriel

Sources

[1] Ability-to-Repay/Qualified Mortgage Rule (Consumer Financial Protection Bureau)

[2] FIRPTA withholding (Internal Revenue Service)

[3] FHFA Announces Conforming Loan Limit Values for 2026 (Federal Housing Finance Agency)

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Gabriel A. Moyers, PA. eXp Realty. Florida License #3407280. Equal Housing Opportunity. This article is general information as of July 2026 and is not legal, tax, or financial advice. Verify current figures against authoritative sources before acting.