Tuesday, May 8, 2007

Planning to Buy Panama Property

By James Quinn

Watch TV about Panama and Panama Real Estate from your Internet now!

Panama is a proud country that has a wealth of beautiful scenery, wildlife, culture and history. The thing that more people are discovering is that Panama property is extremely attractive to investors and those looking to relocate. The prices are very low, the laws make purchasing Panama property simple, there are tax benefits and there is an abundance of available property in the country.

Panama property taxes

The property taxes in Panama are based on a sliding scale with lower-cost properties paying less and more expensive properties shouldering a heavier burden. Panama Properties that have a registered value of $30,000 or less don't pay property tax. Panama Properties are taxed 1.75% between $30,000 and $50,000; a tax of 1.95% is levied for property values between $50,000 and $75,000; and 2.1% is charged for any property value above $75,000.

For construction permits issued after Sept. 1, 2006 these exemptions apply:

o Value up to $100,000: 15-year exemption
o Value from $100,000 to $250,000: 10-year exemption
o Value over $250,000: five-year exemption

Basic Real Estate Laws and How They Affect Buyers

There are several steps to purchasing Panama real estate; after finding a property the first step is making a down payment. The down payment shows that the buyer is earnest in his or her attempt to purchase Panama property. This down payment is normally 10% and becomes the property of the seller when the transaction is competed or if the buyer backs out of the deal. If the seller backs out of the deal, the buyer is entitled to double the down payment as a penalty; this penalty is meant to encourage the seller to honor his agreement to sell.

The Promise to Purchase agreement is critical to the entire process. This contract includes the legal description of both the transaction being executed and the parties involved. All necessary information is included in this document including the property description, the terms of the deal and the legal identification of both the buyer and seller. This document is later conveyed to the escrow company and both the information for the title the names for the disbursements are taken from its pages.

Types of properties

Panama property is broken down into two different types: titled land and "right to possess". Understanding these two types of property are critical to understanding exactly what you are buying.

Titled land

Titled land is the term for all properties that are recorded in the Public Registry. A formal history of ownership is available and any liens or other claims against the property are included. Like properties in the US, Panama property that is titled cannot be sold without a clear title, making the title search an important step in the process. It is wise to note that you can purchase title insurance and it is as strongly suggested for real estate in Panama as it is for real estate in the United States.

"Right to possess" property was established by the Panamanian government in 1971 to encourage inhabitation of unclaimed, untitled land. While "squatter's rights" haven't been used in the US for quite some time, it is still valid in Panama. For "right to possess" Panama property, it is very important to have a good attorney as legal issues could arise if proper procedures have not been followed by the previous owners. While this is concept is somewhat strange to Americans, don't be scared away if the property you want is 'right to possess". It is important that you and your attorney follow proper procedure and you can still securely get a great deal on your new real estate.


Panama property is an excellent value and the process to purchase it is actually quite simple. Make sure that you have a good attorney that can explain the process step by step and help you monitor the process. If you stay aware of the process, buying Panama property can be a very profitable and easy transaction.

Panama Real Estate Search - A site dedicated to information about Panama and Panama Real Estate.

Article Source


Patrick said...

Good post. It’s amazing how many realtors post complete junk. Some people spend zero time and effort on even the basic stuff like photography. Thanks for this amazing real estate blog.

Click here for : Homes Aventura For Sale

Anonymous said...

We're a bunch of volunteers and opening a brand new scheme in our community. Your site offered us with helpful info to work on. You've performed
an impressive process and our whole group will probably be thankful to you.

My web blog ... Social Justice Cooperative :: Viewing profile

Anonymous said...

May I just say what a comfort to discover somebody who actually understands what they're discussing on the net. You definitely understand how to bring an issue to light and make it important. More people have to look at this and understand this side of the story. I was surprised you aren't more popular since you definitely have the gift.

Feel free to visit my web site :: learnmorewith.us

Anonymous said...

Pretty nice post. I just stumbled upon your weblog and wished to
say that I've truly enjoyed surfing around your blog posts. In any case I'll be subscribing
to your rss feed and I hope you write again very soon!

My homepage: letting agents

Anonymous said...

Wonderful work! That is the kind of info that are supposed
to be shared around the web. Disgrace on Google for not positioning this put up higher!
Come on over and visit my site . Thanks =)

Feel free to surf to my page: Trimextrin Reviews

Anonymous said...

Do you have a spam issue on this site; I also am a
blogger, and I was wanting to know your situation; many of us have developed some nice procedures and we are looking to exchange strategies with other folks,
be sure to shoot me an e-mail if interested.

Also visit my weblog; Wegith Loss Products

Anonymous said...

Thanks for one's marvelous posting! I quite enjoyed reading it, you will be a great author. I will be sure to bookmark your blog and will come back from now on. I want to encourage that you continue your great work, have a nice weekend!

Stop by my blog - http://slimlipoplusdiet.com

Anonymous said...

Just wish to say your article is as astonishing.

The clarity in your post is just excellent and i could assume you're an expert on this subject. Well with your permission let me to grab your RSS feed to keep up to date with forthcoming post. Thanks a million and please carry on the rewarding work.

Here is my blog: http://www.realestatearticle.com/1indexubt/user_detail.php?u=effiesope

Anonymous said...

Hi colleagues, its enormous piece of writing on the topic of
educationand fully explained, keep it up all the time.

my page: http://trimextrindiet.com

Anonymous said...

If you would like to grow your experience simply keep visiting this
web page and be updated with the latest news update posted here.

Take a look at my web site section 21 notice template free

Anonymous said...

When I originally commented I clicked the "Notify me when new comments are added" checkbox and now each time a
comment is added I get four e-mails with the same comment.
Is there any way you can remove me from that service? Thanks a lot!

Here is my web-site; This Post

Anonymous said...

If some one wants to be updated with latest technologies therefore he must be pay a quick
visit this site and be up to date everyday.

my blog ... Learn More

Anonymous said...

In fact, in case you're armed with a generous serving to
of our Deer Hunter 2014 hack
and DEER HUNTER 2014 cheats will probably be clean crusing all the way.
When taking part in with our DEER HUNTER 2014 hack
and DEER HUNTER 2014 cheats you'll faucet into this resource extra
shortly too.

usman sadiq said...

Salman Developers Lahore offers Real Estate Management services from 5 decades in Lahore, also offering the highest levels of service to property buyers, sellers and landlords.
For Best: Salman developers Lahore

usman sadiq said...

Salman Developers Lahore offers Real Estate Management services from 5 decades in Lahore, also offering the highest levels of service to property buyers, sellers and landlords.
For Best: Top 10 Commercial Real Estate projects in Lahore

imran shabbir said...

Find Flats and Apartments for sale in Defence View Society Lahore, Pakistan's leading property portal.
For best: Defence View Apartments