Panama Property to Benefit from Sustained Growth

The Panama government has just extended its tax-exemption law for retirees, which were due to expire next year. Panama is currently the foremost destination for American retirees, and the Panama government is, understandably keen to ensure this continues. Panama is regarded as being the American version of what popular parts of Spain -- i.e. the Costas -- are to Britons.

In other words Panama is an incredibly popular tourism destination with Americans, and increasingly, those from around the world, not least those in search of bargain cosmetic surgery. This means, that, given the size of America's population compared to that of Britain; the potential profit to be made from Panama property in the coming years is absolutely huge.

Rental yields on prime Panama property are already huge, holiday apartments are readily fetching yields of not less than 10%, and even up to 18% is possible on the smaller units in the best areas.

Speaking of smaller units in the best areas; studio apartments on David Stanley Redfern's Bala Beach development are currently available from £43,000. The Bala Beach development consists of 850 units covering some 20 acres of gorgeous Panama coastline. 1 and 2 bedroom apartments are also available.

Panama exploded onto the international property investment scene when the canal expansion plan was announced in 2005. The Panama Canal is central to the Panama economy, as is the Colon Free Trade Zone. The Canal has gone over its capacity, and over the capacity given by previous minor expansion attempts, and has become too small for many of today's larger ships.

The major expansion, due to be completed in 2014, will not only double its capacity, but triple or even quadruple its revenues, as it allows bigger ships and more cargo to pass through it.

Panama's economic growth is already strong, and the completion of the Canal expansion will give Panama's economy a new lease of life, and will likely turn it into one of the largest economies in South America, if not the world.

Find out more about Off Plan Property and Emerging Property Markets.

About DSR Asset Management Ltd

DSR is an overseas property investment specialist, working directly with developers in more than forty countries. All properties are exclusive to DSR , giving an unparalleled selection of resale and new builds.

Please direct all media queries, requests for press information and editorial details, to media@davidstanleyredfern.com

David Redfern is the director of DSR Asset Management Ltd an overseas property investment specialist. David works closely with developers in more than forty countries and oversees the DSR education programme which lectures individuals and organisations on property investment. Advertise Your Private Overseas Property

FootPrints SEO is search engine marketing and online marketing agency based in the UK.
© 2009 Footprints-SEO.com

Panama’s Bala Beach Apartments Selling Fast

Only a few studios remain in David Stanley Redfern’s Bala Beach development in Panama and apartment units are selling fast.

Set on more than 20 acres of picturesque Caribbean coast, Bala Beach is one hours drive from Panama City, and just minutes away from some of the most interesting landmarks in Panama.

Nearby, historic 16th century forts, coral reef communities, and coastal forests dot the landscape of the 34,846 hectare national park. While inside Bala Beach, tennis courts, swimming pools and Jacuzzis are just some of the many free amenities that make up the resort.

Prices start as low as £40,000 and as Panama is America’s number one holiday destination, rental yields upwards of 10 percent can be expected, in some cases rising as high as 18 percent. Property prices have already increased by 50 percent in the last two years.

Bolstered by this solid growth in real estate, as well as growth in construction, banking and shipping sectors, the economy grew by more than 10 percent in 2007 – one of the fastest economic growth rates in Latin America over the past three years.

Panama currently has the highest GDP per capita in South America, yet its huge economic growth is likely to continue for at least ten years. The country has been largely driven by its inter-oceanic canal, and with the expansion due to be completed in 2014, Panama’s GDP growth is expected to double or even triple.

Add to this the likely September signing of a free trade agreement with the U.S and the future looks bright. In 2007 alone, Panama and the United States exchanged more than $4 billion worth of goods – nearly twice as much as just four years ago. The free trade agreement will build on this vibrant trade relationship by immediately eliminating tariffs.

All the above makes Panama an excellent place to invest in property, for short-term gains and/or long term security.

Find out more about Off Plan Property and Emerging Property Markets.

About DSR Asset Management Ltd

DSR is an overseas property investment specialist, working directly with developers in more than forty countries. All properties are exclusive to DSR , giving an unparalleled selection of resale and new builds.

Please direct all media queries, requests for press information and editorial details, to media@davidstanleyredfern.com

David Redfern is the director of DSR Asset Management Ltd an overseas property investment specialist. David works closely with developers in more than forty countries and oversees the DSR education programme which lectures individuals and organisations on property investment. Advertise Your Private Overseas Property

FootPrints SEO is search engine marketing and online marketing agency based in the UK.
© 2009 Footprints-SEO.com

Panama’s Bala Beach Apartments Selling Fast

Only a few studios remain in David Stanley Redfern’s Bala Beach development in Panama and apartment units are selling fast.

Set on more than 20 acres of picturesque Caribbean coast, Bala Beach is one hours drive from Panama City, and just minutes away from some of the most interesting landmarks in Panama.

Nearby, historic 16th century forts, coral reef communities, and coastal forests dot the landscape of the 34,846 hectare national park. While inside Bala Beach, tennis courts, swimming pools and Jacuzzis are just some of the many free amenities that make up the resort.

Prices start as low as £40,000 and as Panama is America’s number one holiday destination, rental yields upwards of 10 percent can be expected, in some cases rising as high as 18 percent. Property prices have already increased by 50 percent in the last two years.

Bolstered by this solid growth in real estate, as well as growth in construction, banking and shipping sectors, the economy grew by more than 10 percent in 2007 – one of the fastest economic growth rates in Latin America over the past three years.

Panama currently has the highest GDP per capita in South America, yet its huge economic growth is likely to continue for at least ten years. The country has been largely driven by its inter-oceanic canal, and with the expansion due to be completed in 2014, Panama’s GDP growth is expected to double or even triple.

Add to this the likely September signing of a free trade agreement with the U.S and the future looks bright. In 2007 alone, Panama and the United States exchanged more than $4 billion worth of goods – nearly twice as much as just four years ago. The free trade agreement will build on this vibrant trade relationship by immediately eliminating tariffs.

All the above makes Panama an excellent place to invest in property, for short-term gains and/or long term security.

Find out more about Off Plan Property and Emerging Property Markets.

About DSR Asset Management Ltd

DSR is an overseas property investment specialist, working directly with developers in more than forty countries. All properties are exclusive to DSR , giving an unparalleled selection of resale and new builds.

Please direct all media queries, requests for press information and editorial details, to media@davidstanleyredfern.com

David Redfern is the director of DSR Asset Management Ltd an overseas property investment specialist. David works closely with developers in more than forty countries and oversees the DSR education programme which lectures individuals and organisations on property investment. Advertise Your Private Overseas Property

FootPrints SEO is search engine marketing and online marketing agency based in the UK.
© 2009 Footprints-SEO.com

Strong Growth in Panama Property Market

According to David Stanley Redfern research, property prices in Panama City have been growing at an average 25% per year for the last two years. This is based on the fact that prices in the Global Property Guide for early 2006 were $1700 per sqm, the average price of a Panama City property is now $2910, an appreciation of fifty percent in two years.

This is a good sign for the City of David, which is currently seeing a lot of development, and similar potential for growth as Panama City. Development's here are all very new and it is very early on the growth cycle, so prices are still low, but likely to grow at the same rate Panama City has enjoyed for the next few years.

David Stanley Redfern's Panama property The Best Western Condo Hotel and Casino is in the City of David, and priced at just £32000 for a 1 bedroom fully serviced apartment. The Hotel has replaced the Panama Rey Hotel one of the swankiest in Panama, rates of £40 per night. Because of its location, Panama's growing tourism and the hotel's reputation, David Stanley Redfern expect rental yields of at least 10%, but yields could potentially reach as high as 18%.

Rental income in Panama is taxed at 15%, plus an education tax of 2.75%, sellers can choose how they are charged capital gains tax from two different schemes:
1) 5% of the sum of the: the property’s cadastral value + improvement costs + 10% of the property’s cadastral value for each year of owning the property.

Under this scheme capital gains tax and transfer tax are consolidated, so there is no further tax to be paid on capital gains.

2) 2% of the higher either: the sales price OR the sum of the property’s cadastral value at the time of acquisition + improvement costs accrued during ownership + 5% of the property's cadastral value (including the improvement costs) for each year of ownership -- whichever is higher.

The second option incurs a further tax on the capital gain. The taxable gain is the selling or transfer price less the acquisition cost or the cadastral value + transfer costs + 10% of the acquisition cost for each year of ownership. The final gain is calculated by dividing the above by the number of years the property was held and is taxed at the standard income tax rates.

The second option is subject to the 2% initial tax on the selling price, but this can be credited as real estate transfer tax, and as such deducted from the sale price. Total transaction costs in Panama are 7 to 10% and the 7 processes can be completed in around 44 days.

Find out more about Off Plan Property and Emerging Property Markets.

About DSR Asset Management Ltd

DSR is an overseas property investment specialist, working directly with developers in more than forty countries. All properties are exclusive to DSR , giving an unparalleled selection of resale and new builds.

Please direct all media queries, requests for press information and editorial details, to media@davidstanleyredfern.com

David Redfern is the director of DSR Asset Management Ltd an overseas property investment specialist. David works closely with developers in more than forty countries and oversees the DSR education programme which lectures individuals and organisations on property investment. Advertise Your Private Overseas Property

FootPrints SEO is search engine marketing and online marketing agency based in the UK.
© 2009 Footprints-SEO.com