Buying Guides · June 25, 2026
Buying a Condo in Miami: Cash Requirements, Financing, and What to Expect in 2026
How much cash do you actually need to buy a Miami condo? We break down deposit structures, financing options, closing costs, and the real numbers for pre-construction vs. resale purchases.
By Condo Invest Miami Research · Editorial & market research · 8 min read
Buying a Condo in Miami: Cash Requirements, Financing, and What to Expect in 2026
"How much cash do I need to buy a condo in Miami?" dominates search queries across South Florida real estate. The answer varies sharply based on pre-construction versus resale status, cash versus financing, and the specific building you target.
This guide breaks down the actual numbers for 2026.
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Cash Requirements: Pre-Construction vs. Resale
Pre-Construction Condos: Deposit Structure
Pre-construction deals require staged deposits during the build. Expect a typical schedule like this:
Milestone · Deposit Amount · Example ($1M condo)
--- · --- · ---
Contract signing · 10–20% · $100K–$200K
Groundbreaking · 10% · $100K
Top-off (structure complete) · 10% · $100K
Closing (delivery) · Remaining balance · $600K–$700K
Total cash required before closing: 30–40% of purchase price At closing: Remaining balance (cash or mortgage)
Developers of ultra-luxury product sometimes demand larger up-front capital:
- Aman Miami Beach: 50% deposit before closing
- 888 Brickell by Dolce & Gabbana: 40% in installments
- Waldorf Astoria Residences: 30% in installments
Resale Condos: Standard Purchase
For resale units using conventional financing, your cash stack usually looks like this:
Item · Typical Amount · Example ($800K condo)
--- · --- · ---
Down payment (20%) · 20% · $160K
Closing costs (2–5%) · 2–5% · $16K–$40K
Reserve fund contribution · 2–3 months HOA · $1,500–$4,500
Inspection & appraisal · $500–$1,500 · $1,000
Total cash needed · ~25% · ~$200K
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Financing Options for Miami Condos
Conventional Mortgage
Conventional loans cover most resale condos and a minority of pre-construction deals. Typical underwriting requirements include:
- Minimum 20% down payment (25% for investment properties)
- Credit score 680+
- Debt-to-income ratio under 45%
- Building must be Fannie Mae/Freddie Mac approved
Important: Many Miami luxury buildings are NOT Fannie Mae approved due to high investor concentration or pending litigation. This limits financing options and can affect resale value.
Jumbo Loans
Buy above $766,550 (2026 conforming loan limit) and you’ll need a jumbo:
- Down payment: 20–30%
- Credit score: 720+
- Reserves: 12–18 months PITI required
- Lenders: private banks and portfolio lenders
Foreign National Loans
International buyers have dedicated programs:
- Down payment: 30–40%
- Interest rates: 1–2% above conventional rates
- Lenders: Citibank, HSBC, and specialized lenders
Cash Purchases
Roughly 60% of Miami luxury condo transactions ($1M+) close in cash. Cash buyers enjoy clear advantages:
- 5–10% negotiating edge on price
- Faster closings (30 days vs. 60–90 days)
- No financing contingency exposure
- Preferred by developers on pre-construction deals
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Closing Costs in Miami: The Full Breakdown
Florida has no state income tax, but closing costs still add up:
Cost · Amount · Who Pays
--- · --- · ---
Documentary stamp tax · 0.70% of purchase price · Buyer
Intangible tax (mortgage) · 0.20% of loan amount · Buyer
Title insurance · 0.50–1% of purchase price · Buyer (typically)
Title search · $200–$500 · Buyer
Recording fees · $50–$200 · Buyer
HOA transfer fee · $100–$500 · Buyer
HOA application fee · $100–$500 · Buyer
Attorney fee · $1,500–$3,000 · Buyer
Lender fees (if financing) · 0.5–1% of loan · Buyer
Total closing costs · 2–4% of purchase price ·
Example: $1M condo purchase = $20,000–$40,000 in closing costs
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Pre-Construction: Additional Considerations
Deposits go into escrow — Florida law requires developer deposits be placed in escrow, so your funds sit under protection if the developer runs into trouble.
Escrow accounts earn interest that credits to the buyer at closing.
You get a 15-day rescission window after signing a pre-construction contract. Cancel within 15 days for a full refund.
Currency risk matters for international buyers. Exchange-rate swings over a 3–5 year construction timeline can materially change your effective price. Hedge accordingly.
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How Much Cash Do You Really Need?
- For a $500K pre-construction condo: $150K–$200K in deposits + $300K+ at closing (or mortgage)
- For a $1M pre-construction condo: $300K–$400K in deposits + $600K+ at closing (or mortgage)
- For a $3M ultra-luxury condo: $900K–$1.5M in deposits + $1.5M+ at closing (typically cash)
- For a $500K resale condo (financed): $100K–$125K total (down payment + closing costs)
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Frequently Asked Questions
Q: Can I buy a Miami condo with 10% down? A: Pre-construction often begins with a 10–20% first deposit, but more installments follow. For resale, 10% down is possible in rare cases; most lenders want 20% for investment properties.
Q: Do I need to be a U.S. citizen to buy a condo in Miami? A: No. Foreign nationals can buy without restriction. You will need a U.S. ITIN (Individual Taxpayer Identification Number) for the transaction. Financing is available, but expect 30–40% down for many programs.
Q: Are there property taxes on Miami condos? A: Yes. Florida property taxes average 1.0–1.5% of assessed value annually. For a $1M condo, budget $10,000–$15,000/year. Homestead exemption can reduce assessed value by $50,000 for primary residences.
Q: What is the HOA fee for Miami luxury condos? A: Expect HOA fees from $1,000 to $5,000+ per month in luxury buildings. Ultra-luxury properties (Aman, Waldorf, Four Seasons) can exceed $5,000/month. Always include HOA in your cash-flow math.
Q: Can I get a mortgage for a pre-construction condo in Miami? A: Yes, but with caveats. Lenders can issue commitment letters during construction, but funds disburse at closing. Some banks offer pre-construction programs. Verify building Fannie Mae approval before you commit.
Q: What happens to my deposit if the developer goes bankrupt? A: Florida law mandates pre-construction deposits be held in escrow. If the developer fails to complete, buyers get a full refund of deposits plus accrued interest. That protection ranks among the strongest in the U.S.
Frequently Asked Questions
Can I buy a Miami condo with 10% down?
For pre-construction, the first deposit is typically 10–20%. However, you'll need additional funds for subsequent deposit installments. For resale condos with conventional financing, 10% down is possible but uncommon — most lenders require 20% for investment properties.
Do I need to be a U.S. citizen to buy a condo in Miami?
No. Foreign nationals can purchase Miami condos with no restrictions. You'll need a U.S. ITIN for the transaction. Financing is available but requires larger down payments (30–40%).
What are the property taxes on Miami condos?
Florida property taxes average 1.0–1.5% of assessed value annually. For a $1M condo, expect $10,000–$15,000/year. Homestead exemption for primary residences can reduce this by $50,000 of assessed value.
What happens to my deposit if the developer goes bankrupt?
Florida law requires all pre-construction deposits to be held in escrow. If the developer fails to complete the project, buyers are entitled to a full refund of their deposits plus accrued interest. This protection is one of the strongest in the U.S.