The Quick Read: Usually about 0.55% of the new loan, or roughly $5.50 per $1,000. That is 35 cents per $100 in documentary stamp tax plus a 2-mill nonrecurring intangible tax. Both are charged on the entire new loan, not just the cash you pull out. A $500,000 cash-out carries about $2,750 in state taxes, and a $1,000,000 loan carries about $5,500.
How Much Do Florida Doc Stamps Add to a DSCR Cash-Out?
Florida taxes a recorded mortgage twice, and both taxes scale with the loan amount. The Florida Department of Revenue says documentary stamp tax on a mortgage runs 35 cents per $100 of the full debt secured. The nonrecurring intangible tax adds $2 per $1,000 on top of that.
DSCR Cash-Out Calculator
Run the cash-out numbers in Florida
Rate source: Freddie Mac 30-yr average via FRED® — Federal Reserve Bank of St. Louis · effective Oct 8, 2026
Prefilled with starting assumptions — enter your property’s value, balance, taxes, and insurance for a more accurate picture.
Program parameters update from Lendmire’s centralized guideline source. Taxes and insurance are editable estimates.
As of Oct 8, 2026 · General Freddie Mac market benchmark, not a Lendmire loan offer. Property value, balance, taxes, and insurance are editable estimates. Maximum loan-to-value varies by lender, program, property type, and seasoning. Not a Loan Estimate, approval, or commitment to lend. Program availability and eligibility are subject to lender guidelines, credit approval, property review, and underwriting.
Here is the lookup table. These figures are straight arithmetic from the two statutory levies, on loan amounts that fall on even $100 units.
| New loan amount | Doc stamps | Intangible tax | Combined |
|---|---|---|---|
| $150,000 | $525 | $300 | $825 |
| $250,000 | $875 | $500 | $1,375 |
| $300,000 | $1,050 | $600 | $1,650 |
| $400,000 | $1,400 | $800 | $2,200 |
| $500,000 | $1,750 | $1,000 | $2,750 |
| $750,000 | $2,625 | $1,500 | $4,125 |
| $1,000,000 | $3,500 | $2,000 | $5,500 |
| $1,500,000 | $5,250 | $3,000 | $8,250 |
| $2,000,000 | $7,000 | $4,000 | $11,000 |
| $3,000,000 | $10,500 | $6,000 | $16,500 |
A published cross-check lines up. Atlantic Title works a $400,000 refinance at $1,400 in doc stamps plus $800 in intangible tax, for $2,200.
The top of the table matches where the network’s standard programs top out. Across the wholesale network, standard DSCR programs reach $3,000,000. Smaller balances route through select lenders in the network, so a modest loan still has a path.
What Are the Two Taxes, and What Do They Attach To?
Both taxes attach to the new note and mortgage, not to the property’s value. They do not attach to the equity you extract either.
Documentary stamp tax is the 35-cents-per-$100 levy. Under Florida Statutes § 201.08, it applies to mortgages and other evidences of debt recorded in Florida. If a note and a mortgage both exist, the tax gets paid on the mortgage at recording.
Nonrecurring intangible tax is 2 mills per dollar on debt secured by Florida real property. The Department of Revenue’s intangible tax page says you multiply the secured obligation by 0.002. The lender is the legal taxpayer, but the cost commonly passes to the borrower.
Rounding matters at odd loan sizes. Doc stamps round up to each $100 or fraction. Intangible tax is plain multiplication with no rounding.
Run the numbers on a $412,350 new loan:
- Doc stamps: 4,124 units of $100 at 35 cents, which is $1,443.40.
- Intangible tax: $412,350 times 0.002, which is $824.70.
- Combined: $2,268.10.
Those two lines are the whole formula. Everything else here is about which loan amount goes into it.
Why Is the Whole Loan Taxed, Not Just the Cash Out?
A cash-out refinance is a new loan, so the new note and mortgage get taxed in full. Think of it as a brand-new mortgage that happens to pay off an old one and hand you a check. The state does not care how the proceeds split.
That produces a lopsided effect on thin cash-outs. Say you take a new $400,000 loan that mostly pays off an existing balance and puts a modest check in your hand. You pay tax on $400,000. The $2,200 from the table lands against a small cash draw, so it feels heavy compared with the headline levy.
A refinance has no sale, so no deed stamps apply. That is the good news. The seller’s customary deed-stamp bill belongs to purchases, and a refinance never triggers one.
Lender type does not change this. The levy runs on the instrument and the Florida collateral, not on who signs. Investors vesting title in an LLC should expect the same tax on the new note, subject to lender program eligibility on the entity itself. Your title agent runs the final figure.
Does the $2,450 Cap Apply to a Recorded Mortgage?
No. The $2,450 cap is the single most common estimation mistake on Florida cash-outs.
The cap sits in the statute’s paragraph on notes and other written promises to pay. Mortgages and liens are taxed on the full indebtedness secured. The math shows the gap: $700,000 times 0.35% equals exactly $2,450. Above $700,000, a recorded mortgage keeps climbing. A $1,000,000 mortgage carries $3,500 in doc stamps, well over the cap.
Lawmakers have amended § 201.08 in recent sessions. Have the title agent confirm the current text before you lock in a budget. The cap is still a note rule, not a mortgage rule.
When Does a Refinance Get an Exemption?
A narrow set of refinances owe tax only on new money. A DSCR cash-out almost never fits it.
The exemptions work like this. A new loan that qualifies as a renewal can escape doc stamps on the old balance. A new loan that refinances the old loan with the same lender can escape intangible tax on the old balance. Both breaks stop at the old balance, so tax still applies to every new dollar. A Florida appeals court said so in a First District Court of Appeal opinion, which KPMG also summarized. The lender had to prove the old obligation continued.
The renewal-note rules add conditions. The same original borrower must be on the note, the debt cannot be enlarged, and the original note must be attached with a notation.
Here is the catch for DSCR investors. Most cash-outs pay off a loan held by a different, unrelated lender. That is a fresh origination, taxed on the full new loan. Some lawyers describe “buy and amend” structures where a new lender purchases the existing note. Whether any lender in a given network will do that is a separate question, and it should never be assumed. Budget for the full tax.
Three more edge cases, briefly:
- Out-of-state note, Florida collateral. Both taxes still apply once the mortgage records in Florida.
- Maximum-lien mortgage. If the mortgage limits recovery below the note’s face amount, tax runs on that maximum lien.
- Multi-state collateral. Intangible tax applies only to the extent the debt is secured by Florida real property.
Miami-Dade has its own deed-stamp variations. Those touch deeds only, so they do not matter on a refinance.
Key Terms Defined
Documentary stamp tax (doc stamps): A state tax on recorded mortgages and notes, charged per $100 of debt.
Nonrecurring intangible tax: A one-time state tax on debt secured by Florida real property, charged at 2 mills per dollar.
Cash-out refinance: A new loan that pays off the old one and returns the extra as cash to you.
LTV (loan-to-value): The new loan divided by the property’s value.
Seasoning: The ownership time a lender wants before it allows a cash-out, measured from title recording.
PITIA: The monthly principal, interest, taxes, insurance, and any association dues on the property.
DSCR (debt service coverage ratio): Qualifying monthly rent divided by PITIA.
How Do the Taxes Change Your Net Cash?
They come straight out of what you walk away with, unless you finance them. The tax is a cost of the loan size, not of the cash size.
Compare three borrowers on the same $500,000 new loan, which carries $2,750 in state taxes. One takes a large check. One takes a small check. One takes none, in a rate-and-term refinance. All three pay the same $2,750. Only the first borrower can shrug it off.
That is why Lendmire’s piece on how much cash an investor cash-out refinance releases after costs treats these taxes as a line item rather than an afterthought. Add the state taxes to title, appraisal, and lender charges before you decide a cash-out is worth doing.
Two sizing choices follow.
Pay it or finance it? If you roll the taxes into the note, the note grows, and the larger note is taxed too. The bump is small, but it consumes leverage. Cash-out tops out around 75% LTV on standard rentals across most of the network, so every financed dollar uses room you may want for cash. Short-term-rental collateral is tighter, with a 70% cash-out ceiling. Terms vary by lender guidelines, property type, leverage, credit profile, and full file review.
Would a second lien be cheaper? A second lien or line of credit is taxed only on its own amount. For a small draw, that can cost less in state taxes. But investment-property HELOC lines cap at $500,000 total, and a second lien will not replace a first-lien cash-out on a larger need. It is a different tool, not a trick for dodging the levy.
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 Do the Taxes Do to Your DSCR?
Almost nothing directly. DSCR compares rent to PITIA only. A one-time state tax at closing is not part of PITIA, so it does not enter the ratio.
The indirect link is the note size. A bigger loan means a bigger monthly obligation, which pulls coverage down. 1.00 is where many select programs start, and stronger ratios open better pricing and leverage. A separate select-lender path takes coverage below 1.00, with leverage and terms adjusted.
Clearing 1.00 does not mean the property cash flows. Repairs, vacancy, management, utilities, and capex sit outside the calculation. Neither does the ratio say anything about how much cash you have after the taxes.
The doc stamps and intangible tax sit in your closing-cost and break-even math instead. They also compete with reserves. Most programs want about 6 months of PITIA in reserves. Loans above $1,500,000 typically step up to about 9 months. Conservative rate-and-term files at modest leverage under $1,500,000 can see reserves waived. Reserves vary by lender, leverage, loan size, and transaction type.
Here is a practitioner observation. On Florida files, the tax line is rarely the thing that breaks a cash-out. It tends to show up late, on out-of-state investors who built their spreadsheet from a non-Florida closing-cost template. Add it to the budget before you apply, not after the payoff statement arrives.
What Does a Cash-Out Need Besides Cheap Taxes?
The taxes are only the cost side. To get a cash-out at all, you need the file to clear both tests: enough equity and enough rental coverage.
Across the wholesale network, the typical shape looks like this:
- Cash-out LTV tops out around 75% on standard rentals.
- Seasoning is about 6 months of ownership, measured from title recording.
- Credit starts at a 620 floor in parts of the network. Most programs want around 660, and 700 or higher unlocks the strongest leverage.
- Coverage starts at 1.00 for select programs, with the sub-1.00 path noted above.
- Net equity depends on rent used for lender review, PITIA, reserves, and the leverage ceiling. It is never a guaranteed cash figure.
DSCR loans are designed for non-owner-occupied investment properties. Because they are business-purpose investor loans, they are reviewed differently from a standard owner-occupied mortgage. Property types such as manufactured homes, log homes, and barndominiums are not offered in the network’s DSCR programs.
Tax treatment can depend on how the funds are used and how the property is held; investors should keep clear records and speak with a qualified tax professional before relying on any deduction. Details on structure sit in Lendmire’s complete DSCR loans guide.
Four Estimation Mistakes to Avoid
Most bad Florida cash-out budgets come from one of these:
1. Forgetting the intangible tax. Doc stamps alone understate the bill by more than a third.
2. Applying the $2,450 cap. The cap belongs to notes, not recorded mortgages.
3. Using the payoff or purchase price. The tax runs on the new note amount, not on either of those.
4. Using the cash-out amount. A $75,000 cash draw does not mean tax on $75,000. The whole new loan counts.
A fifth mistake sits on the calculator side. One online tool lists the intangible levy as $0.002 per $100, which would give about $8 on a $400,000 loan. The statute says $0.002 per $1. When a tool’s number looks tiny, check it against the table above.
Estimate Your Own Number
You can do this on a napkin.
1. Take the new loan amount from the payoff and cash-out plan. 2. Divide by 100, round up to a whole number, and multiply by 0.35. That is doc stamps. 3. Multiply the new loan amount by 0.002. That is intangible tax. 4. Add the two. As a shortcut, multiply the loan by 0.0055. 5. Ask your title agent whether any renewal or same-lender exemption applies, and whether the mortgage states a maximum lien. 6. Subtract the total from the cash you expect, then decide whether you finance it or pay it.
The site’s illustrative calculator can help you test loan sizes, but any estimate is a starting point, not a quote. Title and closing agents compute the final tax from the signed note and mortgage.
Frequently Asked Questions
Do I owe Florida doc stamps again on a cash-out if I paid them on my last loan?
Yes, usually. A new-lender cash-out is a new note and mortgage, so tax applies to the full new loan. A narrow break exists for same-lender renewals and refinances, and it covers only the old balance. Even then, new money is taxed in full.
Is there a cap on doc stamps for a large cash-out?
No cap applies to a recorded mortgage. The $2,450 figure is a note cap, and it does not carry over. A $1,000,000 mortgage carries $3,500 in doc stamps. Your title agent can confirm the current statute text.
Do the taxes change my DSCR coverage?
Not directly. Coverage compares rent to PITIA, and a one-time closing tax is not part of PITIA. The indirect effect is the loan size: a bigger note can lower coverage. Programs and floors vary by lender, so qualification stays subject to lender guidelines.
Can I roll the doc stamps into the loan?
Often, yes, but it grows the note, and the larger note gets taxed too. It also uses up leverage under the 75% ceiling on standard rentals. Whether it works depends on the program, the property, and your reserves.
Does a Florida cash-out owe deed stamps?
No. A refinance has no sale and no new deed. Only the note and mortgage taxes apply. Miami-Dade’s deed-stamp variations do not change that.
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. Its DSCR investor programs span 41 markets, including Washington, D.C., arranged through select lenders in its wholesale network. Quotes are not a commitment to lend. You can reach the team at 828-256-2183 or request a quote.
Run the 0.55% shortcut on every Florida loan size you are considering, because the tax scales in a straight line and never takes a break at $700,000.
About Lendmire
Lendmire (NMLS# 2371349) is a DSCR-focused mortgage broker that helps arrange investor financing across 41 markets, including Washington, D.C., through wholesale and investor-lending channels. DSCR eligibility is generally reviewed by the lender around the property’s rental income rather than personal income documentation, subject to lender guidelines. That works for self-employed investors, LLC operators, and portfolios above four financed properties. Scotsman Guide named Lendmire a Top Mortgage Workplace in both 2025 and 2026.
Investors weighing their equity options can start with Lendmire’s guide to cash-out refinance on an investment property.
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Informational only. Not a Loan Estimate, approval, or commitment to lend. Program availability and eligibility are subject to lender guidelines, credit approval, property review, and underwriting.
References
1. Florida Department of Revenue: Documentary Stamp Tax
2. Atlantic Title: Florida doc stamp calculator
4. Florida Department of Revenue: Nonrecurring Intangible Tax
5. Florida 1st DCA opinion (Bank of America case)
6. KPMG: Florida renewal and same-lender refinance exemption summary
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 to Decide a Rental Cash-Out on Payment Math Not Market Timing · How to Apply for a DSCR Second Lien When Banks Won’t Do Second Position · Can You Get a Second Lien on a Rental Using Only Cash Flow?
Guides: Investment Property Cash-Out Refinance in Florida
Brandon Miller
Founder & CEO, Mortgage Loan Originator, Lendmire LLC
- Mortgage Loan Originator · NMLS# 1129696 · Verify on NMLS Consumer Access
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- Lendmire LLC · Firm NMLS# 2371349 · Verify firm licensure
Required disclosures. Lendmire (NMLS# 2371349) operates as a licensed mortgage broker, not a direct lender or depository. The discussion in this article is general in nature and should not be relied upon as financial, legal, or tax advice — every investment scenario is unique and should be reviewed by a qualified professional. Any loan inquiry is subject to lender underwriting, and this article is not a commitment to lend or a guarantee of approval. Mortgage rates, loan terms, and program guidelines vary by borrower, property, and state, and may change without notice. Equal Housing Opportunity. Verify licensure at NMLS Consumer Access.