Here are the withholding requirements when a seller is NOT a U.S. Citizen or U.S. Resident.
If buyer does NOT plan to use property purchased for their rsidence: Buyer is required to withhold 15%
If buyer DOES plan to use the property for their residence then:
- If Sale price $300,000 or less, complete $300,000 residence exemption form
- If Sale $300,000 to $1M, buyer to withhold 10%
- If Sale ore than $1M, need to withold 15%