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 Canada to specialize in real estate.
However, the most advisable thing to do is to be informed about the latest news in Panama properties, if you are interested in becoming a real estate agent and consolidating your success along the way.
Understanding the Role of a Real Estate Agent
A real estate agent is an expert focusing on the real estate industry, responsible for facilitating the buying, selling, and leasing of properties. Their primary role is to link buyers with sellers, offering tailored guidance and overseeing the various legal and administrative processes involved in real estate transactions.
Essential criteria for Canada citizens to qualify as a real estate agent in Panama
As with any profession in the financial and real estate industries, working as a real estate agent in Panama entails submitting various documents and adhering to the legal procedures. The necessary requirements include:
- Complete courses and successfully pass a written test conducted by the Real Estate Technical Board.
- Secure a bond of ten thousand (USD 10,000) US dollars to cover any claims of negligence and government penalties.
- Provide a power of attorney and a request for legal documentation, submitted through a lawyer and properly notarized, along with a legal form attachment.
- Provide proof of Panamanian citizenship or, if a foreign national, evidence of at least 5 years of residency.
- Make an annual payment of twenty-five (USD 25) US dollars for Stamp Taxes.
- Submit proof of a clean criminal record.
Exploring the Advantages of Being a Real Estate Agent in Panama
Being a real estate agent and working in the wide real estate market in Panama means being in constant movement and informing yourself about all possible property transactions and deals with buyers. Likewise, there are some benefits that you can take into account in your preparation as a real estate agent in Panamanian territory. These are:
- Strategic location: Positioned in Central America, Panama enjoys a favorable location, drawing international investors and buyers. As a real estate agent here, you’ll have access to a global client base, aiding in cross-border transactions.
- Tax reduction: This is often a preferred advantage for agents due to the financial relief it provides. For instance, purchasing property with a cadastral value under $120,000 exempts you from paying property taxes, as per Law 66 of 2017. Moreover, properties appraised up to $120,000 are not subject to real estate taxes, those valued between $120,001 and $700,000 incur a tax rate of 0.5%, and properties surpassing $700,000 are taxed at a rate of 0.7% of their cadastral value.
- Expanding real estate market: The real estate market has experienced significant growth in recent years, providing agents with opportunities to advance rapidly within the industry.
- Residency permit opportunity as an investor: Real estate investors can benefit from the real estate investment visa program. By making a qualifying real estate investment that adheres to national legal standards, investors may apply for and secure residency.
Legal Solutions Panama: Specialists in Legal Guidance for Establishing Your Real Estate Agency
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.
Owing to its vast expertise, the Legal Solutions team is well-equipped to guide you through incorporating your company. Their proficiency ensures that you navigate all procedures seamlessly, avoiding unexpected issues, and paving the way for a successful launch.
To learn more about the services they offer, you can visit here and receive a complimentary thirty-minute consultation with one of their experts.
