Thanks to Panama’s flourishing business scene coupled with its appealing economic steadiness, a significant number of entrepreneurs have shown a newfound interest in the real estate sector in recent years. The diverse range of properties available, along with the lucrative opportunities they present, make real estate a particularly appealing venture for an entrepreneur in United States.
Nevertheless, staying updated on the latest developments in Panama’s property market is the wisest course of action if you’re aiming to become a real estate worker and achieve success in this field.
Understanding the Role of a Real Estate Agent
A real estate agent is a skilled specialist in the property market, tasked with facilitating the buying, selling, and leasing of properties. Their primary role is to bridge the gap between buyers and sellers, offering tailored guidance and handling all the legal and administrative processes associated with property transactions.
Indispensable requirements to become a real estate agent in Panama for United States citizens
Like any job in the financial and real estate sector, to work as a real estate agent in Panama, it is necessary to present a series of documents and comply with the legal process. The requirements are:
- Complete courses and pass a written test conducted by the Real Estate Technical Board.
- Secure a bond valued at ten thousand (USD 10,000) US dollars to address claims of negligence and potential government penalties.
- Submit a power of attorney and a legal request through a lawyer, properly authenticated by a notary, along with an official form.
- Provide evidence of Panamanian citizenship or, for foreigners, proof of at least five years of residency.
- Pay an annual fee of twenty-five (USD 25) U.S. dollars for Stamp Taxes.
- Submit a certificate indicating no criminal history.
Becoming a Real Estate Agent in Panama: Uncover the Advantages
Working as a real estate agent within the expansive real estate market in Panama involves staying dynamic and continuously gathering information on potential property transactions and negotiations with clients. Additionally, there are several advantages to consider while preparing to become a real estate agent in Panamanian territory. These include:
- Strategic location: Panama is a country located in Central America, which gives it an advantageous position to attract international investors and buyers. As a real estate agent, you can have access to an international client base and help facilitate cross-border transactions.
- Tax reduction: this benefit is one of the favorites due to the financial relief it means for the agent. For example, if you buy a property with a cadastral value below $120,000, you will not have to pay taxes on that property under Law 66 of 2017. In turn, properties with a cadastral value up to $120,000 are exempt from real estate taxes, while properties with a cadastral value between $120,001 and $700,000 are taxed at 0.5% of the cadastral value. And if the cadastral value is higher than $700,000, then the corresponding tax is 0.7% of the cadastral value.
- Developing real estate market: it is a fact that the real estate market has continued to grow like foam over the last few years, allowing you to move up as an agent in this field very quickly.
- Possibility of residency permit as an investor: another benefit that is being taken advantage of by real estate investors is the real estate investment visa program. This is based on the fact that by making a real estate investment that complies with the legal requirements established in the country, investors can apply for and obtain residency.
Legal Solutions Panama: Specialists in Legal Guidance for Establishing Your Business as a Real Estate Agent
To make a remarkable entrance into the real estate market, it’s crucial to have a company set up for this specific purpose. Therefore, if you’re in the initial stages of a project and are eager to launch in the real estate arena, the wisest choice is to seek expert assistance for establishing your business. Similarly, Legal Solutions Panama specializes in setting up companies in Panama.
With their vast expertise, the Legal Solutions team is well-equipped to guide you through the process of incorporating your company. Their seasoned experience ensures that all procedures are executed smoothly, without any unexpected issues, guaranteeing a successful launch.
To find out more about their offerings, feel free to visit their site, where you can enjoy a complimentary thirty-minute consultation with one of their experts.
