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Sending Money from Colombia to Buy Property in the USA

Sending money from Colombia to the United States for a property purchase is well-established and fully legal. The process requires proper declaration to Colombian authorities and documentation of the funds’ source. Done correctly, with all declarations filed and source of funds documented, the transfer proceeds without delay. The COP/USD rate at the time of transfer determines how many Colombian Pesos the purchase actually costs — making timing and currency broker selection as important as it is for buyers from any floating-rate currency country.

The Colombian Transfer Process

(1) Banco de la República declaration: Colombian law requires declaration of significant international capital outflows. For property purchases, the buyer declares the transfer through their Colombian bank using the appropriate form (Formulario de Movimiento de Capital). The bank facilitates this alongside the SWIFT wire. (2) DIAN source of funds: the DIAN may request documentation of the source of the funds being transferred. Common documentation: business income tax returns (declaración de renta), sale proceeds from Colombian property, investment account statements, or inheritance documentation. Having this organized before initiating the transfer avoids delays. (3) SWIFT wire to US escrow: the Colombian bank initiates an international wire to the US title company or escrow account. Standard SWIFT wire: 2–5 business days. Include all required reference information: property address, file number, buyer’s name. (4) US bank account: many Colombian buyers open a US non-resident bank account before the purchase to centralize funds. Major US banks with Latin American client service: Bank of America, Chase, Citibank, City National Bank of Florida.

COP/USD Rate and Currency Strategy

The COP has weakened against the USD over time, which is itself one of the primary reasons Colombians buy in Miami — they are converting depreciating COP into appreciating USD assets. However, tactical timing of the transfer can still produce meaningful savings: (1) Compare Colombian bank vs currency broker: major Colombian banks (Bancolombia, Banco de Bogotá, Davivienda) typically apply a 2–4% spread above the interbank COP/USD rate. Specialist currency services offer rates much closer to interbank. On a $300,000 USD transfer, a 2% rate difference saves approximately $6,000 USD. (2) Forward contracts: available from specialist FX providers. Lock today’s COP/USD rate for a future closing date transfer. (3) Multiple transfers: some buyers transfer funds in stages as they accumulate USD holdings, averaging their COP/USD cost basis over time.

Guides: Sending Money from Colombia — FIRPTA Guide — Find an Agent

Frequently Asked Questions

How do Colombians send money to the USA to buy property?

SWIFT wire from Colombian bank to US escrow or title company. Must declare to Banco de la República above thresholds. DIAN may require source of funds documentation.

Do I need to declare the property purchase to DIAN?

Yes. Colombian tax residents must declare foreign assets (including US property) on their annual declaración de renta. The DIAN may also request source of funds documentation for large international transfers.

How does COP/USD rate affect Colombian buyers of US property?

It determines how many COP the USD purchase costs. Use a currency broker (2-4% better than Colombian banks) and consider forward contracts to lock a favorable rate between offer and closing.

Can Colombians open a US bank account to receive funds?

Yes. Bank of America, Chase, Citibank, and City National Bank of Florida all serve non-resident buyers. A US account helps centralize funds before closing.