What is FIRPTA and does it apply to me?

FIRPTA requires buyers to withhold up to 15% of the gross sale price from foreign national sellers and remit it directly to the IRS. It applies to non-US citizens and non-US residents - including Colombian, Argentine, Mexican, Brazilian, and Venezuelan nationals who own property in Florida. It does not apply to US citizens or permanent residents regardless of where they live.

Can I reduce my FIRPTA withholding?

Yes. Foreign sellers can apply for a FIRPTA Withholding Certificate (Form 8288-B) to limit withholding to their actual estimated tax liability on the gain rather than 15% of the gross price. This application must be filed with the IRS before closing and typically takes 90 or more days to process. A qualified FIRPTA specialist is required to navigate this process.

Who pays for title insurance in Miami?

In Miami-Dade County the buyer pays for title insurance by local custom - this is opposite to most US markets and to Broward and Palm Beach counties where the seller pays. On a $1 million transaction title insurance can cost $5,000 to $8,000. Knowing which county your property is in is critical to accurately calculating your net proceeds.

What changed about real estate commissions in 2024?

The NAR Settlement of August 2024 fundamentally changed how real estate commissions work. Sellers are no longer required to pay the buyer's agent commission. The seller now pays only the listing agent fee - typically 2.5% to 3%. The buyer is responsible for their own agent's compensation. Commission is 100% negotiable. Miami Real Group's commission structure is discussed directly with each seller based on their specific property and situation.

What is a documentary stamp tax in Florida?

Florida's documentary stamp tax is a transfer tax applied to all real estate sales. In Miami-Dade the rate is $0.60 per $100 of sale price for single-family homes ($6,000 on a $1 million sale) and $1.05 per $100 for all other property types such as condos, townhomes, multi-family, and commercial ($10,500 on a $1 million sale). In Broward and Palm Beach the rate is $0.70 per $100 ($7,000 on a $1 million sale). This tax is paid by the seller at closing.

What is an HOA estoppel fee?

An estoppel letter is required for any property governed by an HOA or condominium association before it can be sold in Florida. The letter confirms the current status of dues, special assessments, and violations. Florida law caps the fee at $299.50 for standard processing with additional fees for expedited or rush delivery.

How do I calculate my net proceeds from selling my Miami condo?

Use Miami Real Group's Seller's Net Sheet Calculator above. Enter your expected sale price, county, property type, seller residency status, and commission preferences. The calculator will show your estimated net proceeds after all closing costs including documentary stamp taxes, title insurance, commissions, HOA estoppel fees, municipal lien search, and FIRPTA withholding for foreign national sellers.

How much does it cost to sell a home in Miami-Dade County in 2026?

Selling a home in Miami-Dade County in 2026 costs 8-10% of sale price including documentary stamp tax at $0.60 per $100 for single-family homes or $1.05 per $100 for all other property types (condo, townhome, multi-family, commercial), plus real estate commission, buyer-paid title insurance per local custom, lien search of $100-$300, and recording fees. Foreign sellers add FIRPTA withholding at 15% of gross sale price.

How much is documentary stamp tax when selling in Broward County Florida?

Documentary stamp tax on the deed in Broward County Florida is $0.70 per $100 of sale price per Florida Statute 201.02. On a $400,000 sale the doc stamps are $2,800. This is typically paid by the seller at closing.

What is FIRPTA and how does it affect home sellers in Florida?

FIRPTA is the Foreign Investment in Real Property Tax Act. When a foreign national sells US real estate the buyer must withhold 15% of the gross sale price and remit to the IRS. Foreign sellers can apply for IRS Form 8288-B before closing to reduce withholding to actual capital gains tax liability.

Who pays title insurance in Broward County Florida?

In Broward County Florida the seller pays title insurance per local custom. In Miami-Dade the buyer pays. In Palm Beach County the seller pays. Title insurance is negotiable and local custom governs most South Florida transactions.

SELLERS · FINANCIAL INTELLIGENCE

Seller's Net Sheet Calculator - South Florida 2026

The seller's net sheet calculates the exact proceeds a property owner receives after all closing costs, commissions, taxes, and FIRPTA withholding are deducted from the gross sale price in South Florida. Miami Real Group provides this interactive calculator for both domestic and international sellers - including foreign nationals subject to FIRPTA withholding - covering Miami-Dade, Broward, and Palm Beach counties.

15%

FIRPTA Withholding Rate

Foreign National Sellers · Gross Sale Price

$0.70

Doc Stamps Per $100

Broward & Palm Beach

100%

Commission is Negotiable

Post-NAR Settlement 2024

MRG SELLER'S NET SHEET CALCULATOR

Calculate Your Net Proceeds

Enter your property details below. The calculator will generate your estimated net proceeds after all South Florida closing costs - including FIRPTA withholding for foreign national sellers.

01 · PROPERTY DETAILS

EXPECTED SALE PRICE (USD)

COUNTY

PROPERTY TYPE

HOA OR CONDO ASSOCIATION?

CURRENT MORTGAGE BALANCE (USD)

Optional - leave blank if none

02 · SELLER PROFILE

SELLER RESIDENCY STATUS

US Citizen or Green Card HolderNot subject to FIRPTAForeign National - Non-US ResidentSubject to FIRPTA withholdingNot SureWe will explain both scenarios

03 · COMMISSION STRUCTURE

Following the NAR Settlement of August 2024, commissions are 100% negotiable. The seller is no longer required to pay the buyer's agent. Miami Real Group's commission is fully negotiable - contact us to discuss.

LISTING AGENT COMMISSION3%

OFFERING BUYER AGENT COMPENSATION?

BUYER AGENT COMPENSATION2.5%

YOUR ESTIMATED NET SHEET

Gross Sale Price$1,000,000

Listing Commission-$30,000

Buyer Agent Compensation-$25,000

Doc Stamps (Miami-Dade $0.60/$100 single-family)-$6,000

Title Insurance - Paid by Buyer (Miami-Dade Custom)$0

Municipal Lien Search-$150

Pre-Listing Costs (estimate)-$1,000

Inspection, survey, warranty - varies

Estimated Net Proceeds

$937,850

This calculator provides estimates for informational purposes only. Actual closing costs vary based on specific transaction terms, lender requirements, title company fees, and individual tax situations. Miami Real Group recommends consulting a licensed real estate attorney and qualified tax advisor before making financial decisions. FIRPTA calculations require specialized tax counsel.

DISCUSS YOUR NET SHEET WITH MRG

COST INTELLIGENCE

Every Cost a South Florida Seller Must Know in 2026

South Florida sellers in 2026 face a specific set of closing costs that vary significantly by county, property type, and seller residency status. Documentary stamp taxes in Miami-Dade are $0.60 per $100 for single-family homes and $1.05 per $100 for all other property types (condo, townhome, multi-family, commercial). Broward and Palm Beach counties apply a flat $0.70 per $100. Title insurance customs differ by county - buyers pay in Miami-Dade while sellers pay in Broward and Palm Beach. Foreign national sellers face FIRPTA withholding of up to 15% of the gross sale price paid directly to the IRS.

COMMISSION

Real Estate Commission - 100% Negotiable

Following the NAR Settlement of August 2024, the traditional 5.5%-6% commission model has been abolished. Sellers in 2026 are responsible only for the listing agent fee - typically 2.5% to 3%. The buyer is now responsible for their own agent's compensation. Sellers may choose to offer buyer agent compensation as a strategic incentive to attract the widest possible buyer pool - but it is entirely optional and 100% negotiable.

MRG NOTE - Miami Real Group's commission is fully negotiable. Contact us directly to discuss your specific situation and property.

POST-NAR SETTLEMENT 2024

DOCUMENTARY STAMP TAX

Documentary Stamp Tax - Know Your County and Property Type

Florida imposes a documentary stamp tax on all real estate transfers. The rate varies by county, and in Miami-Dade also by property type:

Miami-Dade single-family$0.60 per $100 ($6,000 on $1M sale)

Miami-Dade condo/townhome/multi/commercial$1.05 per $100 ($10,500 on $1M sale)

Broward$0.70 per $100 ($7,000 on $1M sale)

Palm Beach$0.70 per $100 ($7,000 on $1M sale)

In Miami-Dade, single-family homes are taxed at $0.60 per $100 while all other property types (condo, townhome, multi-family, commercial) are taxed at $1.05 per $100. Broward and Palm Beach apply a flat $0.70 per $100 regardless of property type.

TITLE INSURANCE

Title Insurance - Who Pays Depends on Your County

Florida has no statewide rule on who pays for title insurance - it is determined by local custom that varies dramatically by county.

Miami-DadeBUYER pays for title insurance

BrowardSELLER pays for title insurance

Palm BeachSELLER pays for title insurance

For Broward and Palm Beach sellers, title insurance on a $1 million property can cost $5,000 to $8,000. Miami-Dade sellers are relieved of this obligation by local custom.

CRITICAL COUNTY DIFFERENCE

FIRPTA

FIRPTA - What Every Foreign Seller Must Know

The Foreign Investment in Real Property Tax Act requires the buyer to withhold up to 15% of the GROSS sale price - not the profit - from foreign national sellers and remit it directly to the IRS. On a $1 million sale that is $150,000 withheld regardless of what you paid for the property or what your actual gain is.

Under $300K + primary residence0%

$300K-$1M + primary residence10%

All other cases15%

A Withholding Certificate (Form 8288-B) allows foreign sellers to apply for reduced withholding based on actual gain rather than gross price. This must be filed with the IRS before closing - processing takes 90 or more days.

CRITICAL FOR FOREIGN NATIONALS

HOA & ESTOPPEL

HOA Estoppel Fees - Required for All Condo Sales

Any property governed by an HOA or condominium association requires an estoppel letter before closing. This document confirms the current status of dues, assessments, and violations. Florida law caps the fee at $299.50 for standard processing. Expedited processing adds another $299.50. Rush processing adds $179.50 on top of that. Budget accordingly if your closing timeline is compressed.

MUNICIPAL LIEN SEARCH

Municipal Lien Search - Non-Negotiable Before Closing

Every South Florida real estate transaction requires a municipal lien search before closing. This search identifies unpaid code enforcement violations, open building permits, and special assessments that transfer with the property. Costs range from $75 to $200 per municipality. Properties in municipalities with active code enforcement - particularly in Miami Beach and Miami - should budget for potential violation resolution costs that can significantly exceed the search fee itself.

FIRPTA INTELLIGENCE

FIRPTA - The Most Important Thing International Sellers Never Know Until It Is Too Late

FIRPTA requires buyers to withhold 15% of the gross sale price from foreign national sellers and remit it directly to the IRS. On a $2 million property that is $300,000 withheld regardless of your actual profit. Foreign sellers can apply for a FIRPTA Withholding Certificate (Form 8288-B) to reduce withholding to their actual tax liability - but this must be filed before closing and takes 90 or more days to process.

Miami Real Group advises every international client about FIRPTA before they purchase - not when they are trying to sell. The moment a foreign national buys real estate in the United States, the FIRPTA clock starts. Understanding this obligation at the point of purchase allows for proper legal and tax structuring that can dramatically reduce the withholding obligation at the point of sale.

The 15% withholding is calculated on the GROSS sale price - not your profit. A foreign national who purchased a Miami condo for $800,000 and sells it for $1,000,000 faces a $150,000 FIRPTA withholding - even though their gain is only $200,000 and their actual tax liability may be significantly less. The Withholding Certificate process exists precisely to address this disconnect.

SCENARIO A · FIRPTA EXEMPT

No FIRPTA Withholding

✓ Sale price under $300,000 AND

✓ Buyer intends to use as primary residence

Withholding: $0

This exemption is rare in South Florida's luxury market where most transactions exceed $300,000.

SCENARIO B · REDUCED RATE

10% FIRPTA Withholding

✓ Sale price $300,001 - $1,000,000 AND

✓ Buyer intends to use as primary residence

Withholding: 10% of gross price

$500,000 sale = $50,000 withheld

SCENARIO C · STANDARD RATE

15% FIRPTA Withholding

✓ Sale price over $1,000,000 OR

✓ Buyer uses as investment/rental

Withholding: 15% of gross price

$1,000,000 sale = $150,000 withheld · $2,000,000 sale = $300,000 withheld

The Withholding Certificate - Form 8288-B

Foreign sellers can dramatically reduce FIRPTA withholding by filing Form 8288-B with the IRS before closing. This form requests that withholding be limited to the seller's actual tax liability on the gain - rather than 15% of the entire gross sale price.

STEP 1

Engage FIRPTA Specialist

Select a qualified FIRPTA specialist from the MRG directory below.

STEP 2

File Form 8288-B

Your specialist files the application with the IRS before your closing date.

STEP 3

IRS Processing

The IRS typically takes 90+ days to process. Plan your closing timeline accordingly.

STEP 4

Reduced Withholding

If approved, withholding is limited to your actual estimated tax - not 15% of gross price.

STEP 5

Close with Confidence

Your net proceeds are protected. The IRS holds only what you actually owe.

MRG FIRPTA ADVISOR REFERRALS

Vetted FIRPTA Specialists for South Florida Transactions

Miami Real Group works with qualified FIRPTA specialists who serve South Florida's international real estate community. These professionals specialize in foreign national tax compliance, Form 8288-B withholding certificate applications, and IRS representation for real estate transactions. Request a personalized referral matched to your transaction, language, and residency profile.

Miami Real Group recommends consulting multiple advisors before engaging a FIRPTA specialist. Always verify credentials, experience with South Florida transactions, and fee structures before proceeding.

REQUEST A REFERRAL

Get matched with a vetted FIRPTA advisor

Contact Miami Real Group and we will introduce you to a qualified FIRPTA specialist experienced with South Florida transactions and international sellers. Referrals are matched to your county, property type, sale price, and preferred language.

CONTACT MIAMI REAL GROUP invest@miamirealgroup.com

FREQUENTLY ASKED

Questions sellers ask about closing costs and FIRPTA in Miami

Selling a home in Miami-Dade County in 2026 typically costs between 4% and 8% of the gross sale price depending on commission structure, title insurance obligations, documentary stamp taxes, and any FIRPTA withholding for foreign nationals. On a $1 million sale a domestic seller can expect to pay approximately $40,000 to $80,000 in total closing costs before mortgage payoff.

READY TO SELL

Know Your Numbers Before You List.

Miami Real Group reviews your seller's net sheet before you list - not after you accept an offer. Understanding your true net proceeds, your FIRPTA obligations if applicable, and your commission options is the foundation of a successful sale. The diagnosis is free. The intelligence is proprietary. The advisory is private.

REQUEST YOUR NET SHEET REVIEW WHATSAPP US NOW

Closing cost data reflects South Florida market conditions as of Q1 2026. Documentary stamp tax rates sourced from Florida Department of Revenue. FIRPTA withholding rates sourced from IRS Publication 515 and Florida Realtors FIRPTA guidance. Commission data reflects post-NAR Settlement market conditions effective August 2024. Title insurance customs reflect established local practice by county. All figures are estimates - actual costs vary by transaction. Miami Real Group recommends consulting a licensed Florida real estate attorney and qualified tax advisor before making financial decisions. This calculator does not constitute legal or tax advice. Compiled by MRG Intelligence. Updated Q1 2026.

Source: MRG Intelligence - Live Data · Data: Updated Quarterly · Updated by MRG Intelligence

Related MRG Intelligence

How much does it cost to sell a home in South Florida in 2026?

Selling a home in South Florida in 2026 costs approximately 8-10% of sale price including documentary stamp tax on the deed at $0.60 per $100 for Miami-Dade single-family homes and $1.05 per $100 for all other Miami-Dade property types (condo, townhome, multi-family, commercial), and $0.70 per $100 in Broward and Palm Beach County per Florida Statute 201.02, plus real estate commission, title insurance where seller-paid, lien search fees of $100-$300, and recording fees of approximately $27.

What is FIRPTA withholding for foreign national sellers in Florida?

FIRPTA requires the buyer to withhold 15% of the gross sale price from foreign national sellers in Florida and remit to the IRS. On a $500,000 sale FIRPTA withholding is $75,000. Foreign sellers can reduce this by filing IRS Form 8288-B before closing to limit withholding to actual capital gains tax liability per IRS Publication 515.

Are real estate commissions negotiable in Florida after the NAR Settlement in 2024?

Real estate commissions in Florida are fully negotiable following the National Association of Realtors Settlement of August 2024. Sellers pay their listing agent only. Buyers are now responsible for their own agent compensation, though sellers may optionally offer buyer agent co-op to attract the widest possible buyer pool and maximize competition.

¿Cuánto dinero retiene el gobierno cuando un extranjero vende una propiedad en Florida?

Cuando un extranjero vende una propiedad en Florida, el comprador debe retener el 15% del precio bruto de venta bajo la ley FIRPTA y remitirlo al IRS. En una venta de $500,000 la retención es de $75,000. Los vendedores extranjeros pueden reducir esta retención presentando el Formulario IRS 8288-B antes del cierre para limitar la retención al impuesto real sobre las ganancias de capital.

Source: Florida Statute 201.02 · Data: Q2 2026 · Updated by MRG Intelligence

Content reviewed: July 2026 by MRG Intelligence · Andres Vieira · License #3357603