Can foreigners buy property in the USA?

Yes. The United States places no restrictions on foreign nationals purchasing real estate. You can buy property on a tourist visa or without entering the country. No visa, green card, or citizenship is required. All 50 states are available to foreign investors.

What is FIRPTA withholding on foreign real estate sales?

FIRPTA requires the buyer to withhold 15% of the gross sale price when a foreign seller sells US real estate. Exemptions: 0% if buyer will use as residence and price is $300K or less; 10% if buyer residence and price is $300K-$1M. You can file Form 8288-B to reduce withholding to actual tax liability.

Should foreigners hold US property in an LLC?

For most foreign investors, LLC ownership is recommended. Benefits include liability protection, privacy (LLC name on deed instead of personal name), avoidance of US probate, and easier US banking. Formation costs are $500-$2,000 with annual fees of $100-$800.

Can Foreigners Buy Property in USA? Yes - Complete 2026 Guide

Key Takeaway

Foreigners can buy any type of US property with no restrictions — no visa, no green card, no citizenship required. The main tax consideration is FIRPTA: the IRS withholds 15% of the sale price when you sell. Use the FIRPTA Calculator to estimate your withholding.

$59B

Foreign Purchases

Annual volume 2024

15%

FIRPTA Withholding

On property sales

Visa Required

To buy property

States

Available to invest

Can Foreigners Buy US Real Estate?

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Yes - No Visa or Citizenship Required. The United States places no restrictions on foreign nationals purchasing real estate. You can purchase property as a tourist on a B-1/B-2 visa or even without entering the country at all.

Property Types Available

Single-family homes and condos
Multi-family rental properties
Commercial real estate
Raw land (some restrictions)
Agricultural land (AFIDA reporting)

No Restrictions From

Any country of citizenship
Any visa status (or none)
Any residency status
First-time or repeat buyers

Agricultural land (10+ acres) requires AFIDA reporting to USDA. Some states restrict foreign farmland ownership.

State-by-State Investment Guides

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Based on NAR data, these states attract the most international property investors.

#1 State - 23% of foreign purchases

Florida

No state income tax, strong vacation rental market, Latin American buyer preference.

Florida Guide →

#2 State - 12% of foreign purchases

California

Highest average price ($1M+), Chinese investor presence, tech worker demand.

California Guide →

#3 State - 10% of foreign purchases

Texas

No state income tax, growing tech hubs (Austin), Mexican and Asian buyers.

Texas Guide →

Major Market

New York

NYC condos, EB-5 projects, highest prices but strong safe haven appeal.

New York Guide →

No State Income Tax

Nevada

Las Vegas properties, strong LLC protections, California exodus beneficiary.

Nevada Guide →

Retirement Destination

Arizona

Scottsdale, Phoenix, snowbird properties, 55+ communities.

Arizona Guide →

The 15% Tax You Must Plan For

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When you sell, 15% of gross price is withheld and sent to IRS

FIRPTA (Foreign Investment in Real Property Tax Act) requires buyers to withhold 15% of the gross purchase price when a foreign person sells US real estate.

Sale Price	Buyer Use	Withholding
$300,000 or less	Primary residence	0% (exempt)
$300,001 - $1,000,000	Primary residence	10%
Over $1,000,000	Any use	15%
Any price	Investment	15%

File Form 8288-B before closing to reduce withholding to actual tax liability. Processing takes 90+ days.

Read the complete FIRPTA Guide →

Should You Hold Property in an LLC?

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For most foreign investors, LLC ownership is recommended

LLC Benefits

Liability protection
Privacy (name not on deed)
Avoid US probate
Easier US banking
Professional image

Considerations

Formation: $500-$2,000
Annual fees: $100-$800
Harder to get mortgages
Additional tax filings

Factor	Personal	LLC
Liability Protection	None	Strong
Privacy	Name on deed	LLC name only
Estate Planning	US probate	Avoid probate
Setup Cost	$0	$500-$2,000

Read the LLC Ownership Guide →

Financing Options for Foreign Buyers

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42% of foreign buyers purchase all-cash, but financing is available for those who want it.

Foreign National Mortgages

30-40% down payment required
12-24 months reserves
Rates 1-2% above conventional
Income proof from home country

All-Cash Benefits

Faster closing (2-3 weeks)
Stronger negotiating position
No mortgage qualification
No interest costs

Opening a US bank account as a non-resident can be challenging. I can help connect you with banks that welcome foreign investors.

Read the Financing Guide →

Tax Obligations for Foreign Owners

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Rental Income Options

Option 1: 30% gross withholding
Option 2: Net income election (usually better)
File W-8ECI for net treatment
Deduct expenses and depreciation

Annual Filing Requirements

Form 1040-NR (US tax return)
State tax returns (most states)
FBAR if US accounts exceed $10K
Form 8938 (FATCA) if applicable

All US property owners pay local property taxes, typically 1-2% of assessed value annually. Foreign owners are treated the same as US citizens.

Can I buy remotely without visiting?

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Yes. You can sign documents electronically or through power of attorney. Have a trusted agent conduct inspections on your behalf.

Does owning property help get a US visa?

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No. Real estate ownership provides no immigration benefit. However, starting a business using your property (like short-term rentals) might qualify for an E-2 investor visa.

What happens to my property if I die?

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Without proper planning, property goes through US probate court - expensive and slow for foreign heirs. Holding property in an LLC with proper operating agreement avoids this.

Do I need a US Social Security Number?

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No, but you need an Individual Taxpayer Identification Number (ITIN) for tax purposes. I can help you apply as part of your purchase process.