Investing in property as asset protection can bring you a significant additional effect: while your money remains in the property and the property outfaces the inflation, you can in parallel let work your property for you renting it out. In this case, you do not only protect the invested value, but you get also some immediate return on investment.
The ROI from Panamanian properties can easily go up to 5% and above. At the same time, the Panamanian legislation is very property protective. “Burden share” (Lastenausgleich), which is currently in hot discussions in Germany, is absolutely unknown in Panama.
As everywhere in the world, the most important point to care of is the location. And Panama offers multiple very promising sweet spots in Panama City and outside, like
- Costa del Este – the center of all wealthy Panamanians and the place of headquarters of many multinational companies with executives renting apartments in a walkable distance to their offices. Costa del Este contains a full infrastructure required for living and working and is conveniently located within 10 minutes from the international airport Tocumen connecting Panama with the whole Americas, the Caribbeans, and Europe. It is a newly planned area with all the lines and pipes put underground, broad sidewalks, green parks, huge shopping malls and very emerging.
- El Cangrejo – a downtown area attracting many pensioners from North America who wishes to spend their calm days in warm Panama. There are less new developments than in Costa del Este, but there are still very nice opportunities with good ROI
- Avenida Balboa is the part of the Interamericana and one of the main traffic arteria of Panama City. When you approach Panama City on the plane, at the left-hand side you can see the skyline of Panama City. The big portion of it is located exactly at Avenida Balboa. The area directly at the Pacific coast is already strongly developed, there is not much space for new developments. But the available apartments are highly demanded, have lower maintenance costs and a very attractive ROI.
- Coronado is an area outside of Panama City (around 1,5h drive) and is a highly demanded area for locals (Panamanians like to spend their weekends and public holidays at the beaches of Coronado) and also for many North Americans. The small airport of Penonomé situated around 50 km away from Coronado has even regular flights of two different Canadian charter airlines. The area and the connection to Panama City are being strongly developed and it can be expected, that – once this developing is finished in the next time – the prices for real estate in the Coronado area might rocket up.
Singabiz cooperates with one of the oldest, reliable, professional, and best experienced realtors in the country to ensure that our customers get the best-of-the-art support in the venture of investing in Panamanian properties. Just write us – we shall be glad to evaluate your needs and to connect you with our local partners. A sidenote: holding a property with a value of 300.000 USD or above in Panama can open you the way for a permanent residence in Panama (which can also be arranged via our local lawyer partners).