Buying property in Panama as a foreigner: what to check first
Foreigners can generally own real estate in Panama with the same rights as Panamanians. The difference between a good purchase and a costly one is usually in the checking done before any money moves. Here is a plain-language guide, written October 28, 2026.
Know what kind of ownership you are buying
Titled property
Recorded in the Public Registry (Registro Público). This is the clearest form of ownership and the usual choice for foreign buyers and for bank financing.
Right of possession
A claim to occupy and use land that is not fully titled. It is not recorded the same way, and some possession rights can be titled later through a government process. It carries more risk and needs extra checks on occupation, neighbors and local rules.
Concession
A government-granted, often time-limited right to use land. It is a right of use, not ownership.
Check the registry yourself
Official, online, in Spanish.
The Registro Público de Panamá has an online folio search where you can look up a property and see the recorded owners, the active and inactive entries, the entry history and linked documents you can view or download. Its virtual office also lets you request a certificate for a folio and pay by Visa or MasterCard. Confirm the owner of record matches the person selling, and read the entries for mortgages, court orders or other claims. Your attorney should review them with you.
Property tax is a separate check. The tax authority (DGI) publishes the payment dates and rates for the annual property tax, and you can ask for a statement of account to see whether the seller owes anything. The DGI page also notes that cadastral values should be up to date with ANATI, the national land authority.
A sensible order of steps
- Assemble your team. A licensed Panama real estate attorney, a broker if you want one, and a licensed surveyor if you are buying land.
- Confirm the type of ownership and the seller's authority to sell before any deposit becomes non-refundable.
- Negotiate the key terms: the due diligence period, and what happens if defects are found.
- Sign a preliminary purchase agreement with due diligence protections, and use escrow so funds are released only when the deed and registration conditions are met.
- Sign the final deed before the proper authorities and have it registered. Ownership is generally perfected through registration in the Public Registry.
Other points buyers often miss
Land and surveys
Ask for a survey and agree a price per square meter, so the price can adjust if the measured area differs from the paperwork. Check access, easements and boundaries.
Condos
Ask about monthly fees, special assessments and whether the building follows its condominium rules.
Restricted areas
Panama restricts private ownership of certain land near international borders. Your attorney should confirm there is no restriction on the specific parcel.
Financing
Banks commonly ask foreign applicants for a larger down payment and more documents. Talk to a bank early.
Residency
Owning property does not by itself grant residency. Some residency options consider real estate investment, so compare them before you decide how much to buy.
Costs
Expect legal, notary, registry, escrow and survey costs, and taxes at purchase, during ownership and at sale. Rates and exemptions change, so get a written estimate from your attorney.
Where we fit in
Talk it through first
A discovery call helps you sort out what you want to buy, where, and in what order to do things. We are not a law firm: contracts and registry work are done by your own licensed attorney.
This article is general information, not legal, tax or investment advice. Requirements, fees and taxes change, so confirm current details with the relevant authority and a licensed Panama attorney before you act. Sources: Registro Público de Panamá, property folio search manual; Registro Público, certificate request manual; Dirección General de Ingresos, property tax; Relofirm, Buying Property in Panama.