Should You Invest in Panama?
Posted on 25. Mar, 2010 in Beach Real Estate
Panama is a truly amazing piece of paradise. Panama was has been recently discovered by many foreign retirees and vacationers. Panama offers many advantages as a country. It has a low cost of living compared to other countries. The political environment is always stable. The country offers an amazing beach, mountain and city life environment. More and more foreigners, celebrities, and retirees are visiting Panama. They are realizing that staying only for a vacation isn’t enough.
Real estate in Panama is very unstable. Prices for properties used to be between $900.00 and $1,000.00 per square meter. Now the same properties are between $2,500.00 and $3,000.00 per square meter. The prices for real estate in Panama sky rocketed because the real estate speculators are practicing a marketing strategy called “flipping”. They buy properties with intent to resell them as quickly as possible, often before construction has been completed.
Retirees used to consider retiring in Panama a true haven,. Retired civilians started to invest in Panama’s real estate before the real estate explosion in Panama started. Retirees started investing when the real estate properties in Panama where between $900 and $1000 per square meter, but now that the same properties are between $2500 and $3000 retiring in Panama is not very attractive. As the real estate properties go up, the cast other services goes up too. When the businesses and merchants realized how much the tourist population had expanded, they increased the prices for their services up to 15%.
Panama is still an awesome place to invest, but as the millions, or billions, start to infuse into this tiny country, the prices and the cost of living will increase.
Contact one of our Panama real estate professionals today for more information.
To see what is available in Panama properties send us an email today at Panama Real Estate.com.