But Are There Still Deals to Be Had on Panama Real Estate?
As Business Week magazine reported not long ago, “a luxe beachfront manse can be had for the same price as a dump in Daytona.”
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Not Ready to Buy? Rent! Panama City offers a multitude of choices for people in the market for a good rental. If you plan to spend $600 per month in rent, you’ll have lots of options for quality living…probably with a bit left over! At the upcoming International Living Fast-Track Panama: Lifestyle and Opportunity Conference, we’ll tell you exactly where and how to find the country’s best rental bargains. |
In that same Business Week article, International Living reader Jon Nickel was quoted. “We would have been looking at $3 million in Miami,” he says of his 3,000-square-foot oceanfront penthouse in Panama City. But Jon and his wife, Gretchen, bought their home in late 2005 for $250,000, right after Jon retired from his corporate law job in Portland, Oregon.
The sprawling, sparkling condo in Panama City’s upscale Punta Paitilla neighborhood has a birds-eye view of the equally sparkling Bay of Panama from the floor to ceiling windows. They have a doorman who screens visitors and helps carry packages, daily household help for cleaning. And they enjoy a luxurious lifestyle that they couldn’t have afforded in the U.S.
In fact, by moving to Panama, Jon was able to retire earlier than he had originally planned – at age 58.
And remember, Panama offers a big buyer’s incentive in its tax-exemption program. Buy new construction and you are exempt from paying any property taxes for up to 20 years!
Check out these bargains that I found just today:
- In Panama City’s convenient Parque Lefevre neighborhood, where many Panamanian professionals make their homes, a small (just 800 sq. ft.) two-bedroom condo is on sale for just $45,000. It even has a maid’s room with its own bathroom, and it comes with one parking spot…and monthly condo fees are just $25!
- In the elite Punta Paitilla neighborhood (where Jon and Gretchen Nickel live), you’ll find a luxurious 1300-sq.ft. three-bedroom, two-bath condo with delightful ocean breezes and a sparkling ocean view. The building has a large swimming pool and exercise room, too. Price: just $185,000.
- In the established El Cangrejo neighborhood (very popular with expats) near Plaza Edison – close to shopping and nightlife — you can pick up a penthouse apartment with a rooftop swimming pool and social area for just $99,000.
What the experts say…
Ronan McMahon, executive director of Pathfinder Real Estate has logged hundreds of thousands of travel miles in pursuit of the world’s best real estate bargains. Here’s what he says about today’s Panama real estate market:
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Anything goes and everything can be found in Panama City… |
“The past six years has seen an unprecedented boom in Panama as the skyline has been transformed with cranes and new construction. As condo buildings complete, some buyers (mostly from the U.S. who had planned on raising funds from lines of credit at home) find themselves unable to close. They need to sell—or they will lose their deposit, and maybe more. They are joining the growing ranks of motivated sellers.
A motivated seller will sell for much less than the “official” price per square meter. With the right contacts and information, you can buy a quality condo for $1,500 per square meter—more than 40% less than that ‘official’ price.”
Pathfinder’s managing director, Margaret Summerfield, has this to say:
“There is over-supply in the city, but Panama still makes sense as a second-home or retirement destination. Just look for a fire sale. You’ll see these from owners (usually foreigners) who bought pre-construction a few years back, and now can’t afford to close. I’ve seen properties selling today for less than the owner contracted to pay four to five years ago for pre-construction… yet their units are now finished and ready to move into.”
Point is: There are ‘distress-sale’ opportunities out there if you know where to look.
At the International Living Fast-Track Panama: Lifestyle and Opportunity Conference this April, we’ll tell you exactly where to look to find the best real estate bargains.
Prefer to live outside Panama City? That’s where the real values can be found. Like:
- A pretty two-bedroom home on a pine-studded lot of nearly 1/3 acre in the cool mountain town of Cerro Azul, just 30 minutes from Panama City. It has a large covered terrace and gazebo. Price? An unbelievably low $72,500.
- Just outside Boquete, the boutique mountain town in the Chiriqui province that’s become somewhat of an expat enclave (although it certainly retains its Panamanian flavor) you can buy a recently renovated two-storey home with three bedrooms and two-and-a-half bathrooms. It’s being sold with all furniture and appliances in place, including a large flat-screen TV with satellite and DVD player, washer/dryer, etc. There’s even an Olympic-sized swimming pool surrounded by mature gardens, with outside shower and half bath. Price? A remarkably low $110,000! (And for just $40,000 more, the owner will throw in a half-acre waterfront lot on a nearby island!)
Beach living more your style? You, too, will be happy in Panama:
- Right on the beach, in classy Gorgona, a fully furnished two-bedroom cottage with a covered porch…and a big, beautiful infinity pool lists for just $115,000…
- Also in Gorgona – which is a convenient one-hour drive from Panama City and just five minutes from the shopping amenities of Coronado — a brand-new three-bedroom, two-bath apartment with a full view of the ocean and the swimming pool is offered for just $139,000. It, too, is fully furnished, including appliances.
When you join us this coming April for the International Living Fast-Track Panama: Lifestyle and Opportunity Conference, you’ll hear from all our Panama experts…attorneys, doctors, insurance professionals, construction and real estate experts…who can help you better understand the many benefits and options Panama offers. And who will share their insider insights and explain where to go to find the best quality, the best deals and values…on everything from real estate to moving companies to doctors, spas, restaurants, and more.
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Your Panama playground— |
You’ll also hear firsthand from others who’ve done what you’re contemplating… expats like Stephen Johnson, Doug and Linda Mannell, Al Fine, and Jon Nickel. Smart people. They say that the decision to move to Panama was one of the best they’ve ever made.
You see, despite what’s going on in the rest of the world, Panama’s economy is steadily chugging along, growing almost 7% in 2010.
In fact, while many Latin American economies have been in recession in recent years, Panama’s economy has grown. Popular President Ricardo Martinelli (whose administration has backed many future-forward infrastructure improvements) has contributed to the country’s economic success.
Currently, the country’s unemployment rate is at its the lowest level ever, approaching 6%. (And lower unemployment tends to lead to happier people and less crime.) In fact, economic activity has expanded 150% over the course of the last 15 years. Panama’s annual GDP is now $26.7 billion.
According to the Latin Business Chronicle, Panama will grow more than any other country in Latin America over the 2011- 2015 period. With a projected average growth of 6.6% over five years, Panama will likely beat the Latin America average of 4%. Forecasters say Panama’s GDP should grow approximately 6.2% in 2011, rising to 6.7% in 2012.