Can Foreigners Buy Property In Panama?

Buying Property in Panama: A Guide for Foreigners

Ever dreamt of owning a slice of paradise in Panama? 🌴 Well, you’re not alone. As a real estate expert, I’ve seen a surge in interest from foreigners looking to invest in Panama’s property market.

But the question that often pops up is, “Can foreigners buy property in Panama?”

The short answer is, yes!

But, as with any real estate investment, there are a few things you need to know.

So, let’s dive in and explore the ins and outs of buying property in Panama as a foreigner.

Understanding Panama’s Property Laws

First things first, let’s talk about Panama’s property laws. Unlike some countries that place restrictions on foreign property ownership, Panama is pretty welcoming. The country’s constitution provides the same rights to foreigners as it does to Panamanian citizens when it comes to owning property. In fact, the only exception is within 10 kilometers of the border, where property ownership is restricted to Panamanian citizens.

Types of Property Ownership in Panama

There are two main types of property ownership in Panama: Rights of Possession (ROP) and Titled Property. ROP is a form of property ownership where the land is owned by the government, but individuals have the right to possess and use the land. On the other hand, Titled Property is similar to property ownership in the US, where the owner holds a registered title deed.

  • ROP: While ROP properties can be cheaper, they come with a higher risk. There’s no title deed, and disputes over ownership can be tricky to resolve.
  • Titled Property: This is the safer option for foreigners. You’ll have a title deed registered in the Public Registry, providing legal proof of ownership.

Steps to Buying Property in Panama

So, you’ve decided to take the plunge and buy property in Panama. Great! Here are the steps you’ll need to follow:

  1. Find a Property: This might seem obvious, but it’s the first step. You can use local real estate agents, online listings, or even word of mouth to find your dream property.
  2. Engage a Lawyer: It’s crucial to hire a reputable Panamanian lawyer to guide you through the process and ensure everything is above board.
  3. Make an Offer: Once you’ve found a property, you’ll need to make an offer. If it’s accepted, a Promise to Buy-Sell Contract is drawn up.
  4. Due Diligence: Your lawyer will conduct due diligence, checking the title deed, ensuring there are no liens on the property, and confirming the seller’s right to sell.
  5. Finalize the Sale: If everything checks out, the final contract is signed, the property is registered in your name, and the balance of the purchase price is paid.


1. Can foreigners get a mortgage in Panama?

Yes, foreigners can get a mortgage in Panama. However, the process can be more complicated than in the US, and you’ll likely need a larger down payment.

2. Do I need to be a resident to buy property in Panama?

No, you don’t need to be a resident to buy property in Panama. However, owning property in Panama can help if you decide to apply for residency later on.

3. Are there property taxes in Panama?

Yes, there are property taxes in Panama. However, new properties are often exempt from property taxes for up to 20 years.


So, can foreigners buy property in Panama? Absolutely! Panama’s welcoming property laws, combined with its stunning landscapes and vibrant culture, make it an attractive option for foreign investors. However, as with any real estate investment, it’s crucial to do your homework and engage a reputable lawyer to guide you through the process. With the right preparation, buying property in Panama can be a rewarding and profitable venture. 🏡

Kurby Team

The Kurby Content Team is a diverse group of seasoned real estate experts dedicated to providing insightful, reliable information for homebuyers, real estate investors, and real estate agents. With backgrounds ranging from real estate brokerage, property investment, and residential home buying, our team combines decades of experience with a passion for demystifying the real estate world. We at Kurby are committed to helping you make informed, successful real estate decisions. Whether you're a first-time homebuyer, a seasoned investor, or a real estate professional, count on the Kurby Content Team to deliver the most relevant, actionable real estate content you need.