It’s no surprise people are contemplating next steps to protect their assets and quality of life – it is why so many are looking across borders for a new lifestyle match that will be safe, more affordable and promises a peaceful, yet diverse culture that welcomes foreign investors…..it’s a great time to consider Panama for all of these reasons and more.

Benefits to consider:

• The cost of living is affordable. Outside Panama City, it remains downright cheap.
• The U.S. dollar is the local currency
• Proximity to the U.S. and over 80 direct flights to global markets from the international airport
• While some Spanish is recommended, many live happily without learning the language. English is spoken widely in Panama City, especially among professionals (doctors, lawyers, etc.)
• Health care in Panama is of an international standard, and the cost of medical care is a bargain – a doctor’s visit costs US$50 or less
• Economic stability – supported by revenue from the Panama Canal, high GDP and its global banking center
• Panama’s pensionado program of special benefits and discounts for VISA holders is the current gold standard. You can save as much as 25-40% on everything from restaurant meals to airfares to medical care and prescription medicines
• Last, but not least – the sun shines year-round, even during rainy months!

Here are some compelling highlights that make considering Panama a must:

Infrastructure

According to the World Bank, Panama has been ranked highly in international comparisons: it is one of the most competitive countries in the region on infrastructure developments. A national development plan for 2015-2019 exceeds US$20 billion focused on key aspects that will benefit residents and investors.

Panama City will have completed a total face lift over the next three years.  New green spaces, improved pedestrian infrastructure, a new convention center, a vibrant colonial center that is being updated, and a massive new cruise ship terminal — these are all projects that have already started and are guaranteed funding through completion.

One of the most exciting improvements to locals is that transportation and road expansions are underway that will connect core parts of the country with improved highways, and a new bridge from Panama City to the rest of the country. Ultimately a new train system is planned that will transform accessibility from the city to the beaches and other popular interior destinations.

Lifestyle Choices

Panama is a nature-lover’s paradise, boasting some of the world’s best surfing, snorkeling, diving, sport fishing, birding, hiking, golfing and adventure-travel opportunities anywhere on earth.

In the last 10 plus years of booming growth and real estate development, super interesting and diverse options for living, playing and investing in Panama have emerged across the country – on the beaches of both coasts, in the cooler highlands, in agricultural and horse country, in dry arc areas with less rain, and of course, in the world-class Panama City.

Today, it is easy to find lifestyle focused communities that offer shared on-site amenities and social areas like restaurants, movie theatres, play areas for kids, spas, and gorgeous swimming pools and beach clubs and bars – all at reasonable prices compared to rest of world. Those who prefer more luxurious living and stunning views will find a multitude of options across the country – in golf communities, on islands, high-end beach front resorts and “designer” developments.

Want to build the home of your dreams? No problem! There is a lot of land and amazing values for developers or single-home builders in the cooler highlands and beach communities.
Even real estate marketing has matured, as well, as buyers have been more discerning about their investments. Lifestyle Estate Portfolios, mansions that can be transformed into joint retirement homes, revenue generating options like B&B’s and agricultural investments, rental and property management options and more are available for the asking.

Real Estate

Expats are afforded the same rights as citizens when purchasing and owning property in Panama. The re-sale market is strong and the skyline is dotted by cranes with the building of new towers and developments across the country. There are three key updates that make now the time to make your move:

Buyers’ Market: It’s currently a buyers’ market, but the Panama City real estate market may have finally taken a turn in 2018 following more than three years of very little price appreciation – sales figures are higher this year than 2016 and 2017 which reflects the continually growing interest in this stable and also growing country.

Real Estate Lending: News that banks have opened up lending to non-resident foreigners again is likely to bring a very important segment, sidelined for nearly four years, back to the market.

Real Estate Taxes: While historically many developments offered tax exoneration for up to 20 years, many condos and homes will become taxable soon. The single biggest reform to Panama’s Property Tax laws in 40 years has been signed into effect under the current president. The new law becomes effective January 1, 2019 and modifies the tax rate levied on properties, promising serious savings for homeowners — regardless of citizenship. The law increased the 100% exemption to properties valued at $120,000 (up from $30,000) for primary residences, meaning properties under that threshold will be fully exempt starting January 1, 2019. More valuable properties also benefit based on the laddered tax formula that has been discounted at every level.

If you’re not convinced now is a great time to consider Panama, just ask expats you meet in Panama who aren’t losing sleep over their futures – they’re embracing them! There’s never been a better time in history to diversify and protect what’s yours – and Panama offers great solutions for living, playing and investing!

Walzer Photography

Sandie Davis, Panama Real Estate and Relocation Consultant