The Quick Read: Florida taxes the new mortgage when it is recorded, and the tax grows with the loan amount. Documentary stamp tax is 35 cents per $100 of the new loan. A separate intangible tax adds a second charge on the same loan. The mortgage tax has no cap, so a larger jumbo cash-out costs more. The one real exception is a same-lender renewal, where only the new money may be taxed.
Key Takeaways
- A jumbo loan does not change the Florida tax formula. It changes the size of the bill, because the tax scales with the balance.
- The $2,450 cap applies to a note by itself. It does not apply to a mortgage recorded in Florida.
- Documentary stamp tax and the nonrecurring intangible tax are two separate taxes. Both appear as closing-cost lines.
- A new lender usually means tax on the whole new loan. A same-lender renewal may mean tax only on the increase.
- Financed taxes raise your balance and your loan-to-value ratio, which can trim your usable cash-out.
Key Terms Defined
Documentary stamp tax: A Florida tax on written debt. It is 35 cents per $100 of the loan, rounded up to the next $100.
Nonrecurring intangible tax: A separate Florida tax on debt secured by Florida real property. Law-firm commentary puts it at two mills per dollar, or 0.2%.
New money: The part of a refinance that exceeds the balance you already owed. In a cash-out, it is the cash you take plus any financed costs.
Renewal: A refinance that only extends the same debt. A true renewal may be taxed only on the increase.
Maximum lien: A cap written into the mortgage that limits what the lender can recover. It can lower the amount that gets taxed.
Jumbo loan: A loan that starts one dollar above the county’s conforming limit. The limit is set by county, so the same loan can be jumbo in one county and conforming in the next.
Loan-to-value (LTV): Your loan balance divided by your home’s appraised value.
What Triggers the Tax on a Jumbo Cash-Out?
Two documents do the work on a refinance: the promissory note and the recorded mortgage. A deed never enters the picture, because ownership does not change. The tax follows the debt, and the mortgage is where Florida collects.
| Document | Florida tax on a refinance? | Key point |
|---|---|---|
| Deed | None | Same owner, no transfer |
| Promissory note | Doc stamp, with a cap | The cap applies to the note alone |
| Recorded mortgage | Doc stamp and intangible tax | No cap, scales with the loan |
The Florida Department of Revenue says a mortgage filed or recorded in Florida is taxed on the full amount of the obligation, with no cap. It also says all parties to a taxable document are liable, whatever the contract says about who pays. On a refinance, the borrower usually pays.
Where you sign does not matter. If the loan is secured by Florida real property and the mortgage is recorded in Florida, Starfield & Smith notes that both taxes are due even when the note is signed elsewhere.
How the Math Works
The formula is short. Take the new loan amount, divide by 100, round up, and multiply by 35 cents.
Florida Statutes §201.08 sets the rate at 35 cents per $100. It also caps the tax on a note at $2,450. That second number causes most of the confusion. Many borrowers hear “capped at $2,450” and assume it covers their whole refinance. It does not. The Department of Revenue’s guidance says the cap does not reach a mortgage recorded in Florida.
The intangible tax runs on the same loan amount at a much lower rate. Stack the two statutory rates and you get a combined state charge of about 0.55% of the loan, or 55 cents per $100. That is a rule of thumb, not a quote. Rounding, structure and the exemptions below can all move the real number.
Two details matter on a cash-out:
- The base is the face amount. It includes any closing costs you roll into the loan.
- Cash-out grows the base. The new loan equals your old payoff plus the cash you take. Every extra dollar you borrow is taxed at the full rate.
Doc stamps are paid before the mortgage is recorded. They appear in the closing-cost section of your Closing Disclosure, usually on separate lines from the intangible tax.
Does Jumbo Change Anything?
Not in the statute. Nothing in Florida law turns on whether a loan is jumbo. The tax is linear and uncapped, so a loan twice as large pays twice the tax.
That is why jumbo borrowers feel it more. A conforming-size loan produces a modest state tax line. A balance near the top of the jumbo range produces a much larger one. The jumbo cash-out refinance program Lendmire arranges through wholesale lenders reaches loans up to $5,000,000 on the largest lanes. At that size, the uncapped mortgage tax becomes a real budget item, not a rounding error.
Occupancy does not change the tax either. It changes leverage: primary, second-home and investment occupancy are underwritten at different limits on each lane.
If your balance sits in the highest tier, the structure of the whole file gets more detailed. Lendmire’s walkthrough of cash-out refinancing a super jumbo home as a private bank client covers that end of the market.
How the Loan Is Underwritten, Step by Step
The tax is a closing cost. The underwriting decides how big the loan can be, and the loan size drives the tax. Here is the order of operations across the wholesale jumbo programs Lendmire places files with.
1. Appraisal sets the value. Value drives LTV, and LTV drives the maximum loan. Above a lane’s threshold amount, two appraisals are required.
2. Leverage is applied. Across the wholesale jumbo lanes, leverage reaches 90% on the strongest purchase files, and several lanes reach 89.99% combined LTV. The other lanes stop at 80%. Cash-out is capped lower than purchase, and the largest lanes add a cap on the cash you can take.
3. Credit and ratios are checked. The headline lane works from a 660 decision score. Fixed lanes allow a 50% debt-to-income ratio. Adjustable lanes allow 45%, and interest-only lanes allow 43%.
4. Reserves are sized. Lenders count reserves in months of the full payment, and the months rise with the loan amount.
5. Closing costs are added. If you finance the state taxes, the balance rises and so does your LTV. That can reduce the cash you actually receive.
Every figure here is subject to lender guidelines and full file review, and none is a commitment to lend. Agency guides work differently. The Fannie Mae eligibility matrix caps cash-out leverage by occupancy and unit count. Jumbo lanes set their own limits instead.
Structure matters too. Fixed, adjustable and interest-only jumbo loans all exist. An adjustable loan can change the tax math, as covered below.
Full Loan or New Money? A Four-Step Test
This is the question that trips up borrowers and online calculators alike. Some pages say the whole new loan is taxed. Others say only the new money is taxed. Both can be right, depending on structure.
Run these four checks:
1. Is the lender the same? A same-lender refinance is the setup where renewal treatment is most likely to apply.
2. Is it the same debt, extended? Chapter 201 of the Florida Statutes exempts a true renewal. If the balance goes up, the tax applies to the increase.
3. Did the borrowers or the payee change? Adding or removing a borrower, consolidating debts, or swapping the lender is generally not a renewal.
4. Does the paperwork support it? Department of Revenue guidance says an exempt renewal needs the original note attached, with proof the tax was paid.
Here is the honest read for most homeowners. If you move to a new lender, plan on tax on the whole new loan. The renewal exemption is applied by the lender and the title agent, not claimed by the borrower. Whether a same-lender file qualifies depends on how the lender structures it and how the title agent reads the rules. Do not count on a saving until the closing agent confirms it in writing.
Worked Examples (Percentages, Not Dollars)
These are modeled scenarios, not quotes. Each is expressed as a share of your home’s appraised value, so you can scale it to your own house. Doc stamp is 0.35% of the taxable base.
| Scenario | Taxable base | Doc stamp |
|---|---|---|
| New lender, no cash taken, loan at 60% of value | 60% of value | 0.21% of value |
| New lender, cash-out, old balance 50%, new loan 70% | 70% of value | 0.245% of value |
| Same-lender renewal, same 50% to 70% move | 20% of value | 0.07% of value |
| New lender, larger jumbo at 85% of value | 85% of value | 0.2975% of value |
Three lessons come out of the table.
A cash-out is taxed like any new loan. In the second row, the loan grew by 20 points of value, but a new lender taxes all 70 points. A no-cash-out refinance at 60% still pays tax on all 60.
The renewal row shows the upside, and the limit. Only the 20-point increase is taxed. That result depends on the exemption conditions being met, and many files do not meet them.
The intangible tax rides on top. On the second row, a 0.2% intangible tax on a 70%-of-value loan adds about 0.14% of value. Whether the renewal treatment affects that tax is a question for your title agent.
Run your own version this way: take your planned loan as a share of value, multiply by 0.55%, and add any renewal adjustment your closing agent confirms.
Where the General Rule Breaks
A few edge cases move the number.
Maximum-lien mortgages. If the mortgage limits what the lender can recover to less than the note’s face amount, tax may be paid on that lower maximum. This is a lender and title-agent structure, not a planning move for you.
Adjustable-rate loans. Under §201.08, interest on an adjustable-rate note is taxed as a future advance only to the extent it is a computable sum certain at signing. Most borrowers just see the loan amount taxed.
Changed borrowers. Adding a spouse, removing a co-borrower or consolidating debts generally ends renewal treatment.
Multiple mortgages for one note. If more than one mortgage secures the same primary note, tax is paid once on that note.
Second liens. A standalone second mortgage is taxed on its own amount. A cash-out refinance replaces the first mortgage, so the tax lands on the whole replacement loan.
Common Mistakes
- Trusting the $2,450 cap. It protects a note, not your recorded mortgage.
- Merging the two taxes. They sit side by side on the Closing Disclosure, but they come from different statutes.
- Using a generic calculator. Many mix deed-side and note-side taxes. A refinance has no deed.
- Assuming a refinance is exempt. Only a qualifying renewal is. A new lender usually isn’t one.
- Forgetting financed costs. Rolling the taxes into the loan raises the base the tax is figured on.
- Ignoring the cash-out risk. Borrowing against your home to pay other debts raises the stakes if payments become hard to sustain.
How to Verify and Budget
Ask for the number early, in writing. Request the Florida tax figures from your loan officer and your title agent before you commit to a cash-out amount. Then check three things:
1. The taxable base. Confirm whether it is the full new loan or only the increase.
2. Two separate lines. You should see doc stamps and intangible tax listed separately.
3. The rounding. The base should round up to the next $100.
Treat the state taxes as a financing cost you recover over time. Divide the total tax and other closing costs by the monthly savings or benefit the new loan creates. The result is your break-even, measured in months. If you plan to keep the loan for less time than that, the cash-out may not pay for itself.
Tax treatment can depend on your situation; borrowers should speak with a qualified tax professional before relying on any deduction or credit.
Deciding in Practice
Your choice usually comes down to two questions. First, how much cash do you actually need? Because every added dollar is taxed again, a smaller cash-out trims the bill. Second, can a same-lender renewal work for you? If it can, the tax base may shrink. If it cannot, a new lender with better terms may still win, as long as you price in the full state tax.
If you are weighing a cash-out refinance against keeping the loan you have, Lendmire can help you compare the programs and the equity each one reaches.
Frequently Asked Questions
Does Florida charge doc stamps again when I refinance?
Yes, on the new loan. A refinance creates a new note and mortgage, and the tax attaches to them. The only common relief is a same-lender renewal, where the tax may apply only to the increase.
Is the $2,450 cap real?
It is real, but it covers a note, not a mortgage recorded in Florida. On a jumbo cash-out the mortgage is recorded, so the tax keeps scaling with the loan amount.
Do I pay both doc stamps and intangible tax?
Generally yes. They are separate taxes under separate statutes. Both are due when the mortgage is recorded, and they usually appear as separate lines at closing.
Does a trust or an LLC change the tax?
The tax follows the debt, not the owner type. A change in the borrower can end renewal treatment, though. Vesting also affects whether a loan program fits, so raise it early with your loan officer.
Is a home equity line taxed the same way?
It is taxed on its own amount as a second lien. A cash-out refinance replaces your first mortgage, so the tax applies to the whole replacement loan. Rules can change, so confirm current text with your title agent.
For your own numbers, request a scenario review with Lendmire.
About Lendmire
Lendmire — NMLS# 2371349 — is a mortgage broker that arranges FHA, VA, conventional and jumbo home purchase and refinance financing in 16 states through wholesale lenders. Every option is subject to the lender’s guidelines and full underwriting. Scotsman Guide named Lendmire a Top Mortgage Workplace in both 2025 and 2026.
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References
1. Florida Department of Revenue, Documentary Stamp Tax
2. Starfield & Smith, Florida documentary stamp and nonrecurring intangible tax refresher
4. Fannie Mae eligibility matrix
5. Florida Statutes Chapter 201
This article is part of Lendmire’s Jumbo Loans series — every loan program’s qualification details, guidelines, and scenarios live on the loan options page.
Related reading: How Much a Jumbo Cash-Out Releases for a Renovation After Payoff · Jumbo Cash-Out vs High-Balance for a Homeowner Near the Limit · How to Sequence a Jumbo Cash-Out and a Second-Home Purchase
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
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Compliance and disclosures. Lendmire (NMLS# 2371349) is a licensed mortgage broker and is not a direct lender, depository institution, financial advisor, or tax professional. Content in this article is general market analysis and educational information — not financial, legal, or tax advice for any specific situation. Lendmire does not guarantee loan approval; every transaction is subject to underwriting by the funding lender. Mortgage pricing and loan program guidelines are subject to change at any time without notice and vary by borrower characteristics, property type, and state regulations. Lendmire complies with Equal Housing Opportunity. Licensure verification: NMLS Consumer Access.