If you’re a Canadian thinking of purchasing property in Florida, there are a few things you should know. Here’s a brief guide to help you get started:
The process of buying property in Florida is different than in Canada. In Florida, buyers typically work with a real estate agent to find and purchase a home, whereas in Canada, buyers typically work with a real estate lawyer.
Canadians buying property in Florida will also need to obtain a mortgage from a Canadian bank or financial institution.
Canadians who want to escape the winters in Canada often purchase property in the United States’ Sunbelt, which they use as a winter getaway. Perhaps you’re retired or semi-retired and want to try out the snowbird lifestyle of living in Florida for part of the year. Or maybe you simply desire a peaceful retreat for family weekends and a vacation.
Whatever your reasons, if you’re thinking of buying a property in Florida, here are a few things to keep in mind.
The first thing to consider is whether you want to buy a pre-existing home or build a new one. If you’re interested in purchasing an existing home, you’ll need to find a real estate agent who specializes in Canadian buyers. The real estate agent will be able to help you find a suitable property and navigate the Florida real estate market.
If you’re interested in building a new home, you’ll need to find a builder who is familiar with Canadian building codes and standards. You’ll also need to obtain a construction loan from a Canadian bank or financial institution.
Another important consideration is whether you want to purchase a property in cash or finance it with a mortgage. If you’re planning on financing the purchase with a mortgage, you’ll need to obtain a mortgage from a Canadian bank or financial institution.
When purchasing property in Florida, Canadians will also need to pay closing costs, which are typically 2-5% of the purchase price. These costs include the real estate agent’s commission, title insurance, and loan origination fees.
Finally, it’s important to be aware of the different tax implications of owning property in Florida. For example, Florida has no state income tax, but there is a state sales tax of 6%. Additionally, property taxes in Florida are relatively high, averaging 1.2% of a home’s value.
By keeping these things in mind, you’ll be well on your way to purchasing property in Florida as a Canadian.