Panama is one of the most attractive destinations for international real estate investment. Thanks to its dollarized economy, political stability, and steady growth, many foreigners ask: How do I buy property in Panama? Here’s a step-by-step guide.
Can foreigners buy property in Panama?
Yes. In Panama, foreigners have the same property rights as local citizens. You can purchase residential, commercial, or tourism-related properties in most of the country, except in restricted areas such as the 10-kilometer border zones.
Steps to buy property in Panama
- Choose the property – Research your options: luxury apartments, beachfront homes, commercial land, or pre-construction projects. Work with professional advisors to avoid surprises.
- Sign the promise of sale agreement – A legal contract outlining payment terms, timelines, and penalties.
- Open a bank account in Panama – Not mandatory, but it makes transactions and payments easier.
- Legal due diligence – Your attorney will verify the property’s registry history, liens, and tax status.
- Public deed and registration – The final step: sign before a notary and register the property with Panama’s Public Registry.
Estimated costs and timeline
- Transfer tax: 2% of the value
- Legal fees: 1%–2%
- Notary and registry costs: 0.5%–1%
- The process typically takes 30 to 60 days, depending on the case.
Tips for international buyers
- Work with a real estate attorney like us
- Research the location and its potential for appreciation
- Check for tax exemptions on new properties
Buying property in Panama is a clear and secure process with the right guidance. At DOZE & CO Real Estate, we support you every step of the way, offering legal certainty and trusted advice.
