Thanks to Panama’s economic surge and diverse array of businesses coupled with its appealing fiscal stability, many entrepreneurs have turned their attention to the real estate sector over the past few years. The wide selection of properties available and the lucrative advantages derived from these transactions make the real estate market particularly enticing for an entrepreneur from Canada seeking to specialize in this field.
Yet, for those aspiring to become a property agent and achieve success in this field, staying updated with the latest developments in the property market in Panama is highly recommended.
Understanding the Role of a Real Estate Agent
A real estate agent is a professional specializing in the real estate sector who is in charge of intermediating in the purchase, sale, and rental of properties. Its main function is to connect buyers and sellers, providing personalized advice and managing all the legal and bureaucratic procedures involved in a real estate transaction.
Essential criteria for Canada citizens to qualify as a real estate agent in Panama
As with any position in the financial and real estate industries, becoming a real estate agent in Panama requires submitting a variety of documents and adhering to the legal steps. The necessary qualifications include:
- Complete required 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 potential negligence claims and governmental penalties.
- Submit a power of attorney and legal request via a lawyer, duly notarized, along with a legal form.
- Provide proof of Panamanian citizenship, or if foreign, evidence of at least 5 years of residency.
- Make an annual payment of twenty-five (USD 25) U.S. dollars for Stamp Taxes.
- Submit documentation certifying no criminal record.
Being a real estate agent in Panama: discover some of its benefits
Working as a real estate agent within the expansive real estate market in Panama involves staying dynamic and keeping well-informed about all potential property transactions and negotiations with clients. Additionally, there are various advantages to consider as you prepare to become a real estate agent in Panamanian territory. These benefits include:
- Strategic Location: Situated in Central America, Panama boasts a prime position to attract international investors and buyers. As a real estate agent, you’ll gain access to a global client base and assist in facilitating cross-border transactions.
- Tax Reduction: This perk is highly favored due to the financial relief it offers agents. For instance, if you purchase a property valued at less than $120,000, you won’t need to pay taxes on it under Law 66 of 2017. Properties valued up to $120,000 are exempt from real estate taxes, while those valued between $120,001 and $700,000 incur a 0.5% tax on the cadastral value. Properties valued above $700,000 are taxed at 0.7% of the cadastral value.
- Expanding Real Estate Market: The real estate sector has been experiencing steady and rapid growth in recent years, offering agents ample opportunities to advance swiftly in this industry.
- Residency Permit Opportunity for Investors: Real estate investors can benefit from the real estate investment visa program. By making an investment that aligns with the nation’s legal criteria, investors are eligible to apply for and obtain residency.
Legal Solutions Panama: Specialists in Guiding Your Company’s Incorporation as a Real Estate Agent
To make a significant impact in the real estate market, it’s crucial to have a dedicated company in place. If you are in the early stages of your project and eager to excel in the real estate market, seeking assistance from specialists can be your best move. Legal Solutions Panama is an expert firm in establishing companies in Panama, poised to support your business setup.
Thanks to its extensive experience, the Legal Solutions team can advise you on the incorporation of your company. Their experience will help you to carry out all the procedures correctly, without unforeseen events, and with the certainty of a successful opening.
If you would like to know more about their services, you can visit their website and get a free thirty-minute consultation with one of their professionals.
