It’s a good time for Panama. According to World Property Channel, Panama has the highest real GDP growth in Latin America right now, and it’s expected to remain strong as a result of investment in public infrastructure. The country has also recently received an upgrade in its currency credit rating, with SandP lifting it from a BBB- to BBB in 2013.
It’s not surprising that the time to invest in Panama City, Panama is now. The market is currently ripe — several years ago, the bottom fell out from the housing market, and international buyers were weary to invest. Today, though, prices are on a steady upswing, and buying luxury real estate can be a sound investment for the future. What should interested buyers know about Panama City real estate? Here are three things to keep in mind.
1. Business Growth is Contributing to a Demand for Panama City Condos
Many companies from around the globe are looking to position themselves better for the Latin American emerging markets. Many of these companies are opening up offices in Panama, thanks to its proximity to other Latin countries, tax incentives for relocating multinationals, and because it has a stable economy and government. Panama’s pro-business approach helps ensure stability for the future housing market.
2. Don’t Trust That Cheap Luxury Property is Good Luxury Property
It’s no secret that some individuals selling luxury real estate aren’t looking to make an honest sale — they’re looking to take advantage of a trusting international buyer. Take E. Ninth St., for example. For years, it was plagued by insects and rodents as the result of towering trash mounds at a nearby disposal facility. The government finally cleaned the area up for $50,000. You can imagine, though, the mixed feelings a buyer would have had after purchasing any of those nearby homes for a “low price” during its vermin-infested period. Find a trustworthy real estate agent that can advise you on the long term value of your potential property.
3. New Subway Service
Convenience is everything, and the new $2 billion subway system in Panama City began operation just this April. There are a total of 12 underground and aboveground stations. If other cities are any model, then property located near the subway system entrances will become valuable, and city road congestion will be improved over the next few months.
Have you heard from property owners selling luxury real estate in Panama City? Let us know in the comments. Find more on this topic here.