Every foreigner can buy a property in Panama or set up a real estate business. Foreigners have the same rights and duties as Panamanians to acquire property in Panama. According to Panamanian law, foreigners are on an equal rights as the local buyer. This guarantees the investment of those who want to buy a property in Panama.
5 Steps to Buy a Property in Panama:
- Start the selection of the property of your choice and negotiate the price, conditions and terms of the sale with the developer of the property.
- Hire a Panamanian lawyer who will perform the procedures that have to do with the transfer of property in Panama.
- When an agreement is reached between the purchaser and the developer, a Purchase Pledge letter will be required that can be drawn up by your lawyer.
- The percentage of the subscription can be determined by the parties (there is no legal limitation), however the usual is 10% of the sale price. With the prepayment, the seller makes the sales tax payments to the Panamanian state that add up to 5% of the previous sale. In effect, taxes are paid before the transaction ends.
- When the seller makes the tax payments and places the property in good standing, a final purchase and sale contract is signed. The same, then the property is inscribed in the public registry.
When we think about buying property in Panama you need the help of a person who knows how the process of buying and selling a property. At TDI Real Estate we are experts in buying and selling property in Panama, and we can help you find the right property for you.