Due to the boom and multiplicity of businesses in Panama, in addition to its attractive economic stability, numerous entrepreneurs have become interested in the real estate market in recent years. The variety of properties and the benefits of their transactions in terms of profits are some of the most attractive points for an entrepreneur in United States to specialize in real estate.
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.
What does a real estate agent do?
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 successfully pass a written exam conducted by the Real Estate Technical Board.
- Secure a bond worth ten thousand (USD 10,000) US dollars to address negligence claims and government penalties.
- Submit a power of attorney and a legal request through an attorney, duly authenticated by a notary public, and include a legal form.
- Provide evidence of Panamanian citizenship or, if you are a foreign national, demonstrate a minimum of 5 years of residency.
- Pay an annual fee of twenty-five (USD 25) U.S. dollars for Stamp Taxes.
- Show evidence of a clean criminal record.
Advantages of Being a Real Estate Agent in Panama: Explore the Benefits
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: Positioned in Central America, Panama offers a prime location for attracting global investors and buyers. As a real estate agent, you can tap into an international client base and assist in cross-border transactions.
- Tax reduction: This advantage is highly favored due to the financial ease it provides the agent. For instance, purchasing a property with a cadastral value below $120,000 exempts you from taxes on that property under Law 66 of 2017. Properties valued up to $120,000 are free from real estate taxes, whereas those valued between $120,001 and $700,000 incur a tax rate of 0.5% of the cadastral value, and for values exceeding $700,000, the tax is 0.7%.
- Developing real estate market: The real estate sector has consistently expanded in recent years, offering agents rapid advancement opportunities in this field.
- Possibility of residency permit as an investor: A significant benefit for real estate investors is the real estate investment visa program. By undertaking an investment that meets the country’s legal criteria, investors are eligible to 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 entry into the real estate market, it’s crucial to have a company set up specifically for this purpose. If you have a budding project and wish to thrive in the real estate field, seeking the assistance of experts can be a strategic move in establishing your business. In this regard, Legal Solutions Panama is a renowned firm that specializes in launching businesses in Panama.
With their wealth of experience, the Legal Solutions team is well-equipped to guide you through the process of incorporating your company. Their expertise ensures that all procedures are handled correctly, minimizing surprises and paving the way for a successful launch.
For more information on their services, feel free to visit their webpage and take advantage of a complimentary thirty-minute consultation with one of their experts.
