Real estate in Panama - Diversification in uncertain times
The mix of international metropolis, Latin American flair and beautiful nature makes Panama an exceptional and attractive country. Combined with the USD as the national currency and a modern infrastructure, Panama is today one of the countries with the highest economic growth rates in the world.
After having advised clients in the capital for 23 years, I started my own real estate company in 2017 in Panama, my wife's home country. Since then, we have been supporting investors to invest in real estate in Panama in order to diversify their assets and to have another asset location.
Why Panama?
According to „Forbes“ Panama City is the real estate market on the American continent where an investment will pay off fastest after the Corona crisis. This is due to the fact that the metropolis is the regional headquarters for hundreds of multinational companies and a true business and financial center. In addition, Panama's economy is supported by the Panama Canal. Here you find the full „Forbes” report“.
The main reason for our investors is “diversification outside the euro zone”. Most people only know the Panama Canal and the Panama Papers. But Panama is so important for the world’s economy and has so much to offer for investors. Please find here some of the reasons why our investors invest in Panama ́s real estate market.
Diversification
My wealth management experience taught me that diversification is one of the key factors for investment success. The USD serves as a "safe haven" especially in politically and economically uncertain times. In combination with the asset class "real estate", it brings stability to your portfolio. A real estate investment in Panama combines these two factors. Panama is considered a legally and politically safe country and has been growing economically at an average of 7-8% p.a. since 2002. These facts form a good and solid basis for an investment.
"The only investor who shouldn't diversify is the one who's always 100% right." (John M. Templeton)
Rental yields, prices and opportunities
In Panama City, gross rental yields in prime locations are around 6-7% p.a.
Modern apartments in prime locations in Panama City directly on the Pacific Ocean cost approx. 2,500 USD per square meter and are rented at approx. 14-15 USD per square meter. The high rental income results from the demand for rent from multinational companies, NGOs, international business, etc.
Europeans, Asians and Arabs have hardly discovered Panama for themselves. Therefore, the prices are still attractive.
No matter if you are interested in buying top location residential property, in the restoration of historic UNESCO colonial buildings or in an island investment, Panama offers a wide range of investment opportunities.
By clicking on the link you will find the investment opportunities in Panama.
We really look forward to seeing you in Panama. With more than 80 direct connections Panama Citys airport is the best connected in whole Latin-American. That makes your travel convenient.
If you want to get an impression of the country just click on this video link.
Profitable, safe and beautiful: Investments in Panama
Klaus Happ
FRAPAN-Invest, Corp
+49 173 9928802
klaus.happ@frapan-invest.com
www.frapan-invest.com