Panama Retirement Home Ownership
The laws of real estate vary from one nation to the next. It is always important to acquaint yourself with these rules prior to shopping for a new home or you might end up buying something you don’t end up owning.
In Panama, there are actually two different kinds of property ownership. The first is one that U.S., Canadian, and most European buyers will be familiar with.
Called “Titled Property” or “Propiedad Titulada”, this form of ownership works as the name implies. The owner of a property is recorded on a title and this is filed in the Panamanian Public Registry Office. This agency maintains all property records for the nine provinces of Panama.
Purchasing Titled Property should be accomplished in steps. The first of these is the completion of a Promise to Purchase Agreement. This step allows time for the buyer to work through their due diligence on the property. When pursuing this step, make sure to retain professionals and remember that title insurances is always cheap no matter what the cost.
When you have done your homework, you will enter into a Purchase and Sale Agreement. Unlike many other countries, your payment for the property will generally be held in escrow until the Public Deed reflecting your ownership is filed at the Public Registry.
Another common form of real estate ownership in Panama is called “Rights of Possession” or “Derechos Posesorios”. You will run across quite a lot this in Panama’s more rural areas. A Rights of Possession property is actually owned by the local or national government. You don’t actually buy this land, you essentially lease the it under a defined set of parameters for a fixed period of time. When dealing with this form of ownership, you will want to perform an extraordinary level of due diligence to insure that the term of your plans, and every aspect of your intended use are within the guidelines of your land use agreement.
If you are thinking about retiring in Panama or just visiting to develop an asset protection, business, banking, or investment strategy, make sure to begin by building a strong relationship with a local attorney. There are many third party sources able to help you select the best one for your needs. These groups provide unbiased reviews of providers in Panama’s professional community speeding you to a successful pairing.
For more information on retirement, banking, estate management, taxation, employment, forming a Panamanian foundation or corporation, real estate, trade policy, local economics, vessel registration, obtaining legal counsel, or any other topic related to doing business in Panama visit our other pages.