The Quick Read: No. Miami-Dade adds nothing extra to the tax on the new note and mortgage, because Florida taxes those the same way in every county. The county’s special surtax applies to deeds, which a plain refinance does not record. That holds whether the collateral is a single-family house, a condo, or a multifamily building. Here is what you will actually pay.
- The state charges 35 cents per $100 of the full new loan amount (rounded up), plus an intangible tax of 2 mills, which is $0.002 per dollar of the new loan.
- Both taxes apply to the whole new loan, not just the cash you pull out.
- Both apply to any Florida mortgage, so a DSCR loan costs the same as any other loan in this respect. DSCR means debt service coverage ratio, a test of whether the rent covers the property’s monthly obligation.
- Miami-Dade’s deed-side rules only matter if you record a deed, for example when moving the property into an LLC around the refinance.
What Could “Extra” Possibly Mean?
Investors usually ask this question because they suspect one of three things is raising the bill: the cash-out, the county, or the DSCR loan itself. None of the three adds a tax. Each one can still change the size of your bill, so it helps to separate them.
DSCR Cash-Out Calculator
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| Possible source of “extra” | Verdict | Why |
|---|---|---|
| The cash-out portion | No extra tax | The whole new loan is taxed, cash-out or not |
| Miami-Dade County | No extra on the note | Its special rules sit on deeds |
| DSCR or an LLC borrower | No extra tax | The tax follows the loan and the collateral |
The cash-out does raise your bill in one indirect way. A cash-out loan is usually larger than a rate-and-term refinance on the same property, and a bigger loan means bigger taxes. That is arithmetic, not a surcharge.
Key Terms Defined
Documentary stamp tax (doc stamps): A Florida excise tax charged when certain documents are recorded. On a mortgage, it is based on the amount the mortgage secures.
Nonrecurring intangible tax: A one-time Florida tax on the amount a recorded mortgage secures. It is set by §199.133 of the Florida Statutes.
Surtax: An added county-level charge on top of the state tax. Miami-Dade’s surtax applies to deeds and similar transfer documents.
Consideration: What is given in exchange for a property transfer, which can include an existing mortgage balance the buyer takes on.
Cash-out refinance: A new loan that pays off the old one and returns the leftover cash to you.
LTV (loan-to-value): The loan balance divided by the property’s value.
Seasoning: The ownership time a lender wants before it will lend against a property’s equity.
How Florida Taxes a Cash-Out Refinance
Florida taxes the new note and the new mortgage. The Florida Department of Revenue says the tax on a mortgage is due when it is recorded. It is 35 cents per $100, or any portion of $100, of the full amount secured. The governing law is Chapter 201 of the Florida Statutes.
The same page lists no Miami-Dade variation for notes or mortgages. A loan secured by a Miami-Dade single-family rental or condo pays the same 35-cent figure as a loan secured by a Tampa fourplex.
Here is the sequence on a typical DSCR cash-out where the LLC already owns the property:
1. The LLC signs a new note and a new recorded mortgage. 2. The new loan pays off the old lien. 3. Doc stamps are calculated as the loan amount divided by 100, times 0.35, rounded up. 4. The intangible tax is the loan amount times 0.002. 5. The title or closing agent collects both at closing and remits them.
No deed is recorded at any step, because the owner has not changed. A title company’s Florida doc stamp explainer puts it plainly: a refinance needs no new deed, so there is no deed stamp, but the new note and mortgage are still taxed.
The whole loan is taxed, not just the cash
This is the point investors most often miss. Say you owe a balance on the property and refinance into a loan that is 20% larger. The tax applies to the entire new loan. It does not apply to only the extra 20%. The payoff portion and the cash-out portion are taxed together.
A Florida attorney’s intangible tax explainer adds that a refinance gets no credit for intangible tax paid on the old mortgage. Every refinance pays on the full new balance, including a rate-and-term refinance with no cash back.
What it looks like in dollars
Per $100,000 of new loan, the stamps come to $350 and the intangible tax to $200, or $550 combined. One title company’s doc stamp calculator shows the same math on a hypothetical $400,000 loan: $1,400 in mortgage stamps and $800 in intangible tax, for $2,200. It also notes the figures are the same in Miami-Dade and Broward. Only the loan amount changes the result.
Treat those numbers as an illustration of the formula, not a quote for your file. Your closing agent calculates the actual amounts.
Does Miami-Dade Change Any of This?
Miami-Dade changes the deed side of Florida’s tax, not the note side. That is the source of the confusion. The county’s special rules are real, but they apply to a different document.
| Document | Most Florida counties | Miami-Dade |
|---|---|---|
| Note and mortgage | 35¢ per $100 | 35¢ per $100 |
| Deed | 70¢ per $100 | 60¢ per $100 |
| Surtax on deeds | None | 45¢ per $100 |
| Intangible tax | 2 mills | 2 mills |
The Department of Revenue page confirms the deed figures. It also says the surtax is not due on a document that transfers only a single-family dwelling.
The state oversight office OPPAGA describes the surtax as applying to deeds and other documents related to the transfer of real property. It says Miami-Dade is the only county that levies it and that the county charges the maximum 45 cents. It also says a condo unit counts as a single-family residence for this purpose.
Two things follow for an investor:
- On a single-family or condo deed, Miami-Dade is cheaper than the rest of the state, at 60 cents against 70.
- On a deed for a duplex, fourplex, or other multifamily building, the combined figure is $1.05 per $100, which is the 60-cent deed rate plus the 45-cent surtax.
A straight refinance records neither, whatever the property type.
When Miami-Dade’s Deed Rules Can Reach You
The trap is moving title around the time of the refinance. If you deed a Miami-Dade rental into a new LLC before or at the refinance, you have created a deed, and deed tax enters the picture.
The answer depends on whether the property carries a mortgage. The Department of Revenue says the balance of an existing mortgage counts as consideration for the transfer, which makes the deed taxable. In Miami-Dade, the 60-cent rate applies, and the 45-cent surtax applies if the property is not single-family. A multifamily owner is exposed to the full $1.05 per $100 on the mortgage balance.
A free-and-clear transfer to a wholly owned entity can be treated differently. A Department of Revenue technical advisement applies a Florida Supreme Court ruling, Crescent Miami Center. Under that ruling, a transfer between a grantor and its wholly owned grantee with no exchange of value is without consideration and is not taxed. The same material says the analysis changes if the property is mortgaged or the transfer runs between entities. An older advisement on deeds between entities makes the core point that a deed between artificial entities is taxed on total consideration.
A Florida law firm’s guide to moving real estate into an LLC calls this one of the most overlooked costs of putting mortgaged property into an LLC. Its example is a $200,000 balance producing $1,400 in doc stamps, before any county surtax.
The practical rules are simple:
- Keep the LLC on title if it is already there. A cash-out where title does not move avoids the deed tax issue entirely.
- Ask a Florida title attorney before recording any deed near a refinance.
- Remember that a lender’s own title-vesting and seasoning rules can also be affected by a new deed. Across the wholesale network, a typical cash-out expects about 6 months of ownership measured from title recording.
Lending to an LLC borrower is available subject to lender program eligibility, and the vesting question should be settled before you apply.
The Cap Question
Some investors hope a cap will limit the tax on a big loan. Do not plan around one. Descriptions of how a cap works vary by source: one law-firm explainer ties a cap to unsecured notes or loans with no Florida collateral, while a title company says there is no cap on a mortgage recorded against Florida property.
Either way, a cap does not normally reduce the tax on a mortgage secured by Florida real estate. Budget on the full formula, and treat any cap a closing agent offers as something to confirm in writing.
A related rule helps in rare cases. If a mortgage limits what the lender can recover to less than the note’s face amount, the tax is paid on that maximum lien, according to a Florida law firm’s refresher on doc stamp and intangible tax. Standard DSCR mortgages are written to secure the full loan, so this seldom changes the math.
Other Edge Cases
Cross-collateral and blanket loans. Loans secured by several properties can have unusual calculations. Lines of credit often use the maximum line amount, and special rules exist for future advances and assumptions. No clear authority covers DSCR blanket loans specifically, so have the title company run the numbers before you commit to a structure.
Out-of-state collateral. The statewide taxes apply to mortgages secured by Florida real property. A Florida law firm explains that a loan signed in Florida but secured only by out-of-state property owes doc stamps but not intangible tax. A Florida rental refinance owes both.
Assignment structures. Florida law has structures in which an existing note and mortgage are assigned to a new lender instead of being paid off, so tax falls only on new money. These structures come with strict conditions, and they add legal cost. They rarely fit a standard DSCR cash-out, in which a new lender pays off the old loan and writes a fresh note. Ask a Florida attorney before assuming one will work.
Recording fees. The county clerk charges separate recording fees. They are small next to the two taxes, and your closing agent will list them.
DSCR vs. conventional financing
There are two common ways to finance an investment property, and they qualify you differently — here’s how investors weigh them.
Why investors choose it
- Qualifies on the property’s rental income — no personal tax returns, W-2s, or pay stubs needed to document income.
- No personal debt-to-income ceiling to clear, so existing mortgages and obligations don’t cap your borrowing the same way.
- Can be closed in an LLC, keeping the property inside a business entity.
- Built for scaling — not held to the limit on number of financed properties that conventional financing applies.
- Underwriting centers on the deal: generally qualifies when the rent covers the payment, a 1.00x coverage ratio being a common baseline (confirmed in underwriting).
- Designed specifically for investment property, including long-term and, where the program allows, short-term rentals.
Where it’s strong
- Often the lowest ongoing financing cost for a buyer who fully qualifies on personal income — a fit for a first property or a cost-first purchase.
Trade-offs for investors
- Requires full personal income documentation and must fit within a debt-to-income limit — salary, existing debts, and other mortgages all count.
- Typically held in your personal name rather than a business entity.
- Caps how many financed properties you can carry, which can become a ceiling as a portfolio grows.
- Evaluates you as a borrower as much as the property, which usually means more paperwork.
How investors usually choose: a first or single property often optimizes for the lowest financing cost; portfolio builders often optimize for leverage, vesting in an LLC, and scaling past conventional caps. The right answer depends on your goals, the property, and current guidelines — both paths run through select lenders in Lendmire’s wholesale network, with eligibility and terms confirmed in underwriting.
What This Does to Your Net Cash-Out
The taxes come out of your closing funds, so they reduce the check you receive. Plan on them as a cash cost at closing.
Because the tax follows the whole loan, a larger payoff plus a larger cash-out raises the bill. That affects two decisions:
- How much to pull. Each extra $100,000 borrowed adds about $550 in these two taxes. Pulling cash you do not need makes little sense when the tax and the monthly obligation both rise.
- Whether to refinance now or wait. Every refinance repays the intangible tax on the full balance, so a second refinance in a short span repeats the cost. Compare the benefit against that repeat bill.
The cash you can pull is a separate question. Across the network, a cash-out on a standard rental typically tops out around 75% LTV on an investment property, after about 6 months of ownership. Equity available also depends on the rent used for lender review, the full monthly obligation, and reserves. Reserves commonly run around 6 months of PITIA (principal, interest, taxes, insurance, and any association dues) and can step up to about 9 months on loans above $1,500,000. Reserves vary by lender, leverage, and loan size, so none of these is a guaranteed figure.
On coverage, 1.00 is where many select programs start. A separate select-lender path goes below 1.00, with leverage and terms adjusted. Stronger ratios usually open better pricing and leverage. Credit matters too: a 620 floor exists in parts of the network, most programs want around 660, and 700 or higher unlocks the strongest leverage tiers. All of this is subject to lender guidelines. Lendmire’s complete DSCR loans guide walks through how those pieces fit together.
One more distinction protects your expectations. DSCR compares rent to the monthly obligation. Clearing 1.00 does not mean the property produces positive cash flow, because repairs, vacancy, management, and utilities sit outside the ratio.
How to Check Your Closing Numbers
DSCR loans are business-purpose investor loans, so the paperwork you receive may look different from a consumer mortgage. Ask for the tax lines in writing, then verify them with this short checklist:
1. Confirm the loan amount the title company used. It should be the full new loan. 2. Divide that amount by 100, multiply by 0.35, and round up. Compare the result with the doc stamp line. 3. Multiply the loan amount by 0.002. Compare the result with the intangible tax line. 4. Look for any deed stamp. If title is not moving, there should be none. 5. Ask whether any surtax is charged. On a note and mortgage, there should not be. 6. Ask who is collecting the intangible tax. The lender is legally responsible, but closing agents almost always pass the cost to the borrower.
If any line does not match the formula, ask the closing agent to explain it before signing.
Common Misconceptions
“Miami-Dade’s surtax applies to my refinance.” It applies to deeds and transfer documents, not to a note or mortgage.
“There is no doc stamp on a refinance.” There is no deed stamp, but the new note and mortgage are taxed.
“I get credit for the intangible tax I paid before.” A refinance gets no offset for tax paid on the replaced mortgage.
“It is a DSCR fee.” It is a Florida tax on the instrument and the collateral. It applies the same way to any loan secured by Florida property.
“Miami-Dade is the expensive county on everything.” On a single-family deed, it is cheaper than the rest of the state.
“Moving the property into my LLC is free.” It can be free when the property is unencumbered and the LLC is wholly owned. When a mortgage sits on the property, the balance is consideration and can trigger deed tax.
Tax treatment varies by how the property is held and how the funds are used; consult a qualified professional, including a Florida title attorney, before relying on any of this for your own file.
Frequently Asked Questions
Do I pay doc stamps again when I refinance a Florida rental?
Yes. A refinance records a new note and mortgage, and Florida taxes both at 35 cents per $100 of the full new loan. A refinance does not record a new deed, so no deed stamp is due unless you also transfer title.
Is the intangible tax different in Miami-Dade?
No. The nonrecurring intangible tax is 2 mills, or $0.002 per dollar, of the secured amount in every Florida county. A refinance owes it on the full new mortgage with no credit for tax paid on the old one.
Can I roll the taxes into the loan?
Plan on paying them as part of closing costs, which reduces your net cash-out. Whether the funds are netted from proceeds depends on how the closing agent and lender structure the settlement. Ask for the settlement statement before you sign.
Does this differ for an LLC borrower?
Not on the note side. The tax follows the loan and the collateral location, so an LLC pays what an individual would. The difference shows up only if the LLC receives a deed, in which case the deed rules above apply. Eligibility for LLC borrowers is subject to program terms.
Does a cash-out pay more tax than a rate-and-term refinance?
Only because the loan is usually larger. The formula is identical, and both are taxed on the whole new balance. A cash-out of a given size owes more than a no-cash-back refinance of a smaller one.
Next Step
If you are buying or refinancing a rental property and want to see how the numbers work, Lendmire can help you compare DSCR loan options based on the property income, credit profile, leverage, and investor goals.
About Lendmire
Lendmire, NMLS# 2371349, is a non-QM mortgage broker serving real estate investors in 41 markets, including Washington, D.C., through DSCR investor loan programs. Qualification is generally reviewed around the subject property’s rental income, not the borrower’s W-2 history, a practical fit for LLC-titled portfolios and self-employed investors. All scenarios remain subject to lender review and program guidelines. Two consecutive Scotsman Guide Top Mortgage Workplace recognitions (2025, 2026).
For how equity extraction works on an investment property, see Lendmire’s guide to cash-out refinance on an investment property.
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References
1. Florida Department of Revenue, Documentary Stamp Tax
2. Florida doc stamp explainer
3. Oldham Law, Florida intangible tax
4. Bayit Title, doc stamp calculator
5. OPPAGA
6. Florida Department of Revenue, TAA 25D1-001
8. Van Eden Law, LLC transfer guide
9. Starfield & Smith, Best Practices refresher on documentary stamp and intangible tax
10. Starfield & Smith, 2020 post
This article is part of Lendmire’s investment property cash-out refinance program — full qualification details, guidelines, and scenarios live on the program page.
Related reading: How a Super Jumbo DSCR Cash-Out Refinance Works From Appraisal to Proceeds · Can You Cash Out a Vacant DSCR Rental on a Two-to-Four Unit? · How to Clear a Private Loan With a DSCR Cash-Out Refinance on a BRRRR
Guides: Investment Property Cash-Out Refinance in Miami, FL · Investment Property Cash-Out Refinance in Florida
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
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Disclosures. The information presented in this article is general market commentary, not financial, legal, or tax advice. Lendmire is a mortgage brokerage (NMLS# 2371349) — not a direct lender or depository institution — and loan placement is subject to lender underwriting. Nothing in this content represents a commitment to lend. Loan terms, pricing, and program availability vary based on borrower qualifications, property characteristics, and state of subject property, and are subject to change at any time. Lendmire complies with Equal Housing Opportunity requirements. Consumer access: nmlsconsumeraccess.org.