Buying Property in Panama: Understanding the Legal Process

After hearing that Panama grants foreigners the same legal rights as its citizens when it comes to buying property in Panama, you’re probably intrigued. However, just like it is important to know the immigration requirements before moving to a new country, understanding Panama's legal process for purchasing real estate is equally important.

In this blog, we will break down what you need to do so that proper guidance will always be at your fingertips.

Step 1: Choose an area or town in Panama.

Panama has so much to offer when it comes to real estate options. Whether you are looking for a bustling city, a beach retreat, or a mountain hideaway, Panama has it all.

Before starting your search for the perfect property, narrow down your options by choosing an area or town in Panama that best suits your needs and lifestyle.

Step 2: Partner with a reliable real estate agency.

The next thing to do is to find a good real estate agency. They will help you find properties that meet your needs, explain the market in that area, and assist you through the buying process. Choose an agency known for success and transparency.

Some things to consider when selecting your agency:

●     How many years have they operated?

●     Do their listings truly match what you need?

●     Are the website listings current?

●     Do they aid in drafting the sale agreement?

●     Are their property listings under official agreements or just verbal deals?

●     Do they offer various types of properties or only specialize in a few?

Step 3: Understand the different types of ownership.

There are two main ways of buying property in Panama: Title and Rights of Possession (RoP). For title, you receive a formal document from the government, leaving no doubt about property ownership.

Then, there's the Rights of Possession” (RoP). Panama's distinctive rule allows people to take control of government land to improve it. Foreigners can purchase RoPs from both locals and other foreigners. RoPs also have a process for converting into a titled property by petitioning the government, which involves buying the land, receiving a deed, and registering it.

If buying property in Panama sounds overwhelming, contact Panama Realtor at +507 63412000 for assistance. Their team of experienced professionals can guide you through the legal process and help make your dream property in Panama a reality.

About the Author:       

Based out of Panama City, Panama Realtor is a duly licensed real estate company in the Republic of Panama. The firm represents properties throughout the ten provinces of the Republic and is committed to deliver a professional real estate experience to all of its clients.