Real Estate in Panama

OK, here goes . . . and by the time I’m done there may be a lynching party of local “real estate sales people” and wantabes at my door.  When we first came to Boquete there was one real estate agency, a year later there were two, now they are multiplying faster than rabbits!  There must be two dozen real estate offices in town, if there is one.  And two more popped up while I was away!  So, you see, there could be a lot of folks in the lynching party!

What stimulated this post was that someone sent me a link to a site called Panama Vultures by a guy named Scott Taylor, a/k/a “Mr Vulture” – look that’s what he calls himself – who came to Panama City from Carlsbad, California, and found an opportunity in real estate.  The site appears to me to be a jumble of ads, but it does have a few gems, and this is one . . .

Real estate agencies in Panama are a nightmare!

If you haven’t experienced them yet, consider yourself lucky…very lucky!

Here are just a few reasons why dealing with agencies in Panama can be one of the all-time worst experiences of your life (no kidding!):

There is no MLS, so you have to go to every individual agency to list your one property.

Language is always a barrier.

No calls are ever returned. No emails are responded to.

Sellers have to beg and plead with each agency, one by one, to get their properties listed.

Sellers are responsible for doing all the work (pictures, ads, making copies of keys, etc.) and delivering everything to the agency on a silver platter.

If you’re lucky enough to convince an agency to list your property – which is a small miracle in itself – and then it actually sells…you have to pay the agency 5-10% sales commission even if YOU did all the work!

So Scott’s answer is yet another real estate in Panama Web site, except he has chateaus popping up in Europe on his . . . go figure. But, since I’m working to sell my house, I’m working with local real estate agents and I couldn’t agree with Scott more! I sold real estate – I was a REALTOR, the real thing – in Ventura, California. If need be I would camp out overnight on someones front lawn to get a listing, feed the dog, water the plants – whatever it took! But then again I actually SOLD real estate and didn’t just go through the motions.

So what’s it like to find and buy property in Panama? It can be very chaotic and confusing!

Everybody and his brother, and sister, are selling real estate and, compared to the US, there is little regulation.

“Gringo Bingo” is in full swing! Prices are soaring.

Because there is no MLS there is no reliable way to evaluate the fair price of property by looking at comparable sales.

Not all property is titled! In addition to titled property Panamá has property “ownership” through “rights of possession”, so it is important to understand if you are buying title to a property or just the “right to pick fruit”.

Spanish: you are dealing with real estate law which is unfamiliar and signing documents in what for many is a “foreign” language.

Finally, the “dirty little secret” about land in Panama: there are often “Panamanian” and “Gringo” prices, particularly in less developed areas.

Just to be nice I’ve published the chapter from my ESCAPE TO PARADISE on real estate here on my blog.  Just click above on “Real Estate.”

And, by the way, since we are building a new house on our coffee farm, the house in which we are now living – in Valle Escondido, overlooking the Valley, the stream, and the 9th hole of the golf course – is for sale!

And let me add emphatically, certainly this does not apply to every real estate salesperson or company in Boquete! I have found a few who are professional, who are trying to change things, and who are willing to do some work.
* * * * *

Catching up . . .

Peter wanted to know how I find time to do this blog.

Well, when you start a blog you have no idea how much time it takes!  If you want to have a daily post – and why would folks come and visit every day if there wasn’t new content? – it takes a whole lot of work and creativity.  I try and do it early in the morning when things are quiet and the dogs are asleep . . . and I could be asleep if it weren’t for the bloggy thingy.

* * * * *
Panama is more “tranquil” than the US, but, hey, we know that!

According to a “Global Peace Index” released by Britain’s Economist Intelligence Unit the US ranks number 97, behind Kuwait, Nicaragua and Libya. The index ranks 140 different countries according to factors such as military spending and respect for human rights. Iceland and Denmark took top spots, with, as you might expect, Sudan, Somalia and Iraq at the bottom. Panama ranked 48 just ahead of the United Kingdom. Panama’s higher ranking likely reflects the small nations relatively low crime rate and lack of a military force.

* * * * *

My new photography blog – www.BeautifulPanama.wordpress.com

I am a very amateur photographer, but I enjoy taking pictures.  WordPress has come up with a new blog format and design which is very condusive to displaying photographs, so I have decided to use it as a vehicle to share some of my favorite shots of Panama, as well as some of my travels.  Check it out!