Panama Real Estate Investment – Why Invest in Panama?
There’s a lot more to Panama than the canal. Sometimes called “The Hong Kong Of The West.” this tropical haven, 1100 miles southwest of Miami, has become an investment and retirement powerhouse for Americans looking for value and return. If U.S. stocks and mutual funds have left you out in the cold, the warm, sunny economic environment of Panama offers a strong incentive to return to the traditional safety of real estate. Panama is generally considered the most stable, democratic government in the region and one that is particularly real estate investment-friendly.
The operation of the Panama Canal Zone through most of the 20th century instilled American business practices and values in the country. These have taken deep root and a tradition of free market prosperity is part of the culture. Foreigners have all the rights of native Panamanians in buying and selling real property like Panama luxury apartments or condos for rent in Panama. Additionally, under the Foreign Investor Protection Law, foreign investors are granted a 10-year guarantee that all legal, tax, customs and municipal regulations in place at the time of the investment will be applied to the property for the following decade.
The country’s state-maintained Torrens titling system, a version of which is used in a number of states in the U.S., also provides enhanced security for real estate investors. Most major U.S. title insurance companies write policies in Panama. A safe physical environment, insulated from natural threats, is also a frequent concern when investing in foreign real estate.
Fortunately, Panama’s unique location provides a stunning tropical climate, yet places it south of the Caribbean’s Hurricane belt. Since record-keeping began in 1851, the country has not experienced a single hurricane or tropical storm. The economic climate is equally comforting. The Panamanian economy is based on the U.S. dollar. Your Panama real estate investment made in U.S. dollars stays in U.S. dollars and is not subject to the whims of exchange rates or the massive swings in valuations which have become common in other countries.
Investors don’t have to go it alone when locating and evaluating real estate investments like Panama luxury apartments. Panama City is home to many reputable real brokers with long experience advising Americans — and the references to prove it. Investments in condos for rent are a particularly practical retirement strategy: Rental income pays for the property until the time the investor retires and relocates to Panama. Professionals in the industry can also expose you to local bargains in condos for rent that you just won’t be made aware of by U.S. sources. From the bright lights of bustling Panama City, to the mellow tropical beach resort towns, to the cool mountain air of upscale Boquete, there’s a place for you and your financial plans in Panama real estate investment.