Helping Americans
Discover Their Dream
Home
in Panama
Welcome, Americans
Panama is warm twelve months a year, runs on the US dollar, sits three hours from Miami, and keeps the same clock as the East Coast all year. Americans have been buying here for decades, and the practical friction is lower than almost anywhere else you could move to.
The friction that remains is mostly the IRS, and most Panama websites won't discuss it. Panama Properties is a licensed Panamanian brokerage that represents buyers. We'll show you what your money actually buys, tell you when a property is wrong for you, and point you at the professionals who handle the parts we don't.
Why Panama is Ideal for American Buyers
For Americans considering a move or investment abroad, Panama offers a compelling combination of financial advantages, convenient access, and a high quality of life. From favorable tax treatment and direct flights to quality healthcare, private education, and a lower cost of living, Panama continues to attract Americans looking for new opportunities in a tropical setting.
Tax Free
Panama does not tax foreign-source income, making it an attractive destination for American investors, retirees, and individuals seeking a more tax-efficient lifestyle
Easy Access
With direct flights from The U.S.A., Panama is easy to reach, making it ideal for frequent visits, extended stays, or permanent relocation.
Life Quality
Panama combines quality healthcare, strong private education options, and a lower overall cost of living than many parts of The United States
FEATURED LISTINGS
Top-quality Panama real estate.
On Wishlist
Chitre
Coastal Corner Lot with Water and Power Near Playa Los Guayaberos LOS SANTOS 5135
$85,000 USD
Size:
1,290 M2
Rooms
0
Bathrooms
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0
Floors
0
Real Estate Buying Process For Americans in Panama
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A CALL FIRST
Before any property tour, we talk about what you actually want and whether Panama delivers it. Some conversations end here, and that is a good outcome.
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A SEASON, NOT A WEEKEND
We would rather you pick your area of Panama 1st then we help you find a property in that area, too many buyers pick a beautiful home and quickly discovery the community that home is located in is not for them.
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INDEPENDENT REPRESENTATION
We represent you, not the developer. That includes telling you when a project's numbers do not work, when an ROI projection is fiction, and when the title on a beautiful lot is a right of possession rather than a registered title.
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THE RIGHT PROFESSIONALS
Panamanian attorney for title and closing. Immigration attorney for residency. American cross-border accountant for the IRS. We introduce, we do not pretend to be all three.
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AFTER CLOSING
Property management, rental setup, contractor introductions, utilities. The part where most brokerages stop answering the phone.
Direct words from our Clients
If you're looking for a realtor who is trustworthy, responsive, and genuinely cares about delivering excellent results, I highly recommend Ken Norton. His expertise and customer service are second to none. Thank you, Ken, for going above and beyond! Nestor and Monica.
- Nestor Sadler
We tried to contact several realtors in Panama. Ken was the only one that answered back. On top of that he is very knowledgeable and helpful. From helping us find an immigration lawyer, to advice on what vehicle to purchase and everything in between. We are excited to move into our new home later this month!
- Lacey
We had an exceptional experience working with Ken Norton of Panama-Properties. His deep knowledge and thoughtful advice helped us find the perfect piece of land and move confidently into building our retirement home. His knowledge of the area, professionalism and primary values of working with integrity and transparency made the buying process feel easy and stress-free.
He also has an impressive network of contacts—everything from lawyers, to licenses, shippers , and more, that he so graciously shared with us.
What truly sets Ken apart is his continued support—he is not just a realtor to us, but a trusted partner in building our retirement home.
Thanks to Ken, we’re watching our dream home come to life with confidence and excitement. We couldn’t recommend Panama Properties more highly!
- Michel
PANAMA VISA & RESIDENCY OPTIONS FOR AMERICANS
RESIDENCY OPTIONS FOR AMERICANS
The United States Of America is on Panama's Friendly Nations list. Your visa application belongs with a licensed Panamanian immigration attorney — we work alongside several and can introduce you. Here is the honest landscape as of today.
FRIENDLY NATIONS VISA
Since the 2021 reform, the old low-cost bank account route is gone. You qualify through titled real estate with a registered value of at least $200,000, a $200,000 fixed-term deposit, or a Panamanian employment contract. You receive two years of provisional residency first, then apply separately for permanent residency. The qualifying property must be held throughout the provisional period.
PENSIONADO (RETIREE) VISA
For those with a verifiable lifetime pension of at least $1,000 per month. United States government and corporate pensions generally qualify with the right documentation. It carries a well-known package of discounts on flights, medical care, restaurants and utilities, and it does not require a property purchase.
QUALIFIED INVESTOR VISA
Immediate permanent residency, with no provisional stage, in exchange for a qualifying investment held five years. The real estate threshold is $300,000 through October 15, 2026, rising to $500,000 after that date. With the deadline now weeks away, this route is only realistic if you already have a specific closing-ready property identified. If you are starting your search now, plan around the $500,000 figure and treat anything faster as a bonus.
WHERE AMERICANS ARE BUYING
PEDASÍ AND THE AZUERO PENINSULA
A working Panamanian town on the Pacific with an established foreign community, not a resort development. Surf breaks, sportfishing, and a pace that suits people leaving an American city rather than recreating one. Our home base.
Learn more about Pedasi
BOQUETE
Highland town in Chiriquí, spring-like year-round in the mid-teens to low twenties Celsius, with the longest-standing North American retiree community in the country. The obvious choice for Americans who want warmth without tropical heat.
Lean more about Boquete
PANAMA CITY AND CASCO VIEJO
A real capital with a real skyline, first-rate private hospitals, international schools and direct flights everywhere. Casco Viejo is the restored colonial quarter, where the inventory is character property rather than tower condos.
Learn more about Panama CIty
CORONADO
Pacific beach corridor about ninety minutes from the city, with the country's deepest concentration of services aimed at foreign residents. Convenient, established, and the easiest place to land softly.
Learn more about Coronado
BOCAS DEL TORO
Caribbean archipelago, water-access properties, strong short-term rental demand and correspondingly higher due diligence requirements. Rewarding when done carefully.
Learn more about Bocas Del Toro
WHY PANAMA IS THE EASIEST MOVE AN AMERICAN CAN MAKE
THE DOLLAR IS THE DOLLAR
Panama uses the US dollar as legal tender alongside the balboa, fixed one-to-one. Your purchase price, your property tax, your maintenance fees and your eventual sale proceeds are all in the currency you already earn and think in. There is no conversion, no exchange rate exposure, no timing the transfer. Among international property markets, this is close to unique, and it removes the single largest variable most Americans face buying abroad.
THE FLIGHT IS SHORT
Copa's Hub of the Americas at Tocumen connects nonstop to a dozen-plus US cities. Miami is roughly three hours. Houston, Atlanta, New York, Los Angeles, Chicago, Orlando, Dallas and Denver all have direct service. Regional flights from Panama City reach Pedasí, David for Boquete, and Bocas del Toro.
THE CLOCK NEVER MOVES
Panama runs on UTC-5 year-round with no daylight saving. From November to March you're on the same clock as New York and Miami. From March to November you're on the same clock as Chicago. If you're still working, running a business, or keeping up with family, this matters more than you'd expect.
THE INFRASTRUCTURE IS FAMILIAR
110-volt power and US-standard plugs. US-style appliances. Chain retailers and American brands in the city. Panama City has first-rate private hospitals with US-trained, English-speaking physicians. A century of American presence around the Canal left a country that is genuinely easy for Americans to operate in.
FOREIGNERS OWN OUTRIGHT
Americans hold titled Panamanian property on the same legal footing as Panamanian citizens, registered in the Public Registry. There is no foreign buyer tax, no vacancy tax, and no residency requirement attached to ownership. The narrow exception is land within ten kilometres of an international border.
TERRITORIAL TAXATION
Panama taxes Panama-sourced income only. Your US pension, Social Security, investment income and remote work for US clients are not taxed by Panama. That's genuinely favourable, and it's also where Americans get the worst advice — because it says nothing whatsoever about what the IRS will do.
FAQ For Americans Looking at Panama
Can an American legally own property in Panama?
Yes, outright and in your own name. Foreigners hold titled property on the same legal footing as Panamanian citizens, registered in the Public Registry. No foreign buyer tax, no vacancy tax, no residency requirement. The main restriction is land within ten kilometres of an international border.
What's the difference between titled property and rights of possession?
Titled property is registered in the Public Registry with a clear ownership chain. Rights of possession, or derecho posesorio, is an occupancy claim over untitled land — common in rural and coastal areas, cheaper, and carrying real risk. Conversion to title is possible but slow and not guaranteed. If a broker doesn't volunteer that distinction, find another broker.
What should make me walk away from a deal?
Unclear title, a seller who cannot produce a current paz y salvo tax clearance, pressure to wire funds before your attorney has completed due diligence, guaranteed return projections in writing, and any request to under-declare the purchase price on the deed.
What happens tax-wise when I sell?
Sellers generally face a transfer tax and an advance capital gains payment, with a mechanism to claim a refund if the actual gain was lower than the advance. Foreign sellers who have never been resident may need a non-resident taxpayer number. Build this into your return expectations from the start.
Do I have exchange rate risk?
No. This is the standout advantage of Panama for Americans. The country uses the US dollar, so there's no conversion, no spread, and no currency exposure anywhere in the transaction or in ongoing ownership.
Do I still file a US tax return living in Panama?
Yes, every year, on worldwide income. US taxation follows citizenship, not residence. Panamanian residency changes nothing about that obligation. Expats get an automatic extension to June 15, with a further extension available to October 15.
Do I need residency or a visa to buy?
No. Ownership and immigration status are completely separate. Many Americans own here for years while entering on a tourist stamp.
Is title insurance available in Panama?
Yes, through international underwriters, and for a significant purchase it is usually worth the cost. A proper title search by your own attorney is the non-negotiable part. Title insurance is the backstop, not the substitute.
Is there an escrow system like in the States?
Not in the form you're used to. Funds are typically held by a law firm's escrow account or through an international escrow service. Structure this properly in the purchase agreement — it's one of the places where American expectations and Panamanian practice diverge most.
Is there a reliable MLS in Panama?
There is an MLS, but coverage is incomplete and listing data quality varies widely. A meaningful share of good inventory never appears online at all. This is one of the real arguments for working with a brokerage that is physically present in the market you are shopping.
Can I open a Panamanian bank account?
Yes, though it takes work. Panamanian banks apply thorough know-your-customer requirements, typically wanting bank references, a professional reference, proof of income, and an in-person interview. Having residency makes it substantially easier. Budget several weeks and expect to provide more documentation than you would at home.
Do I have to report my Panama property to the IRS?
Foreign real estate held directly in your own name is not a specified foreign financial asset — it doesn't go on Form 8938 or an FBAR. What does trigger reporting: Panamanian bank accounts above $10,000 aggregate at any point in the year, and any interest in a Panamanian corporation, partnership or trust holding the property.
Should I buy in my own name or through a Panamanian corporation?
This is the single most consequential structural decision an American makes here, and local advice often doesn't account for the US side. Direct ownership keeps the property off your FBAR and Form 8938 entirely. Corporate ownership makes your interest in the corporation reportable, typically on Form 5471, with penalties starting at $10,000 for a missed filing, plus annual franchise tax and registered agent fees. There are legitimate reasons to use a corporation. Make the call with your US CPA before you close.
What are typical closing costs for a buyer?
Budget roughly three to five percent of the purchase price, covering legal fees, notary, registration, and incidental costs. The transfer tax and advance capital gains payment fall on the seller in a standard Panamanian transaction, though everything is negotiable.
Do I have to be in Panama to close?
Not necessarily. A properly drafted power of attorney allows your attorney to sign on your behalf, which is how many Americans handle closings around work schedules. That said, we strongly prefer you have seen the property in person, whatever the closing logistics.
Can I get a mortgage in Panama as an American?
Panamanian banks do lend to non-residents, at higher rates and lower loan-to-value ratios than you're used to, with a months-long document-heavy process. Most American buyers pay cash or finance in the States against existing assets.
Does owning property make me a Panamanian tax resident?
No. Ownership alone doesn't create tax residency, and Panama doesn't tax foreign-source income regardless
Do I report Panamanian rental income?
Yes, on Schedule E, even if it's a few hundred dollars and even if Panama taxed it. A foreign tax credit may offset the Panamanian tax paid. Keep clean records on both sides from day one.
WHAT AMERICANS NEED TO KNOW THAT THE BROCHURES SKIP
We're a brokerage, not a tax or immigration firm. This is context so you know what to bring to a cross-border CPA, and we'll introduce you to one.
YOUR FILING OBLIGATION FOLLOWS YOUR PASSPORT
The United States taxes its citizens on worldwide income regardless of where they live. Panamanian residency does not change that. You will file a US return every year you live here, whether or not you owe anything. Anyone implying that Panama residency makes you tax-free is either careless or selling.
THERE IS NO US-PANAMA TAX TREATY
Panama and the US have a tax information exchange agreement and a FATCA arrangement, but no income tax treaty and no totalization agreement. In practice this matters less than it sounds for retirees, because Panama doesn't tax your foreign income in the first place, so there's rarely anything to double-tax. It matters a great deal if you work for yourself here — without a totalization agreement you can face US self-employment tax and Panamanian social security on the same earnings.
THE FEIE PROBABLY DOESN'T HELP YOU
The Foreign Earned Income Exclusion lets qualifying taxpayers exclude up to $132,900 of foreign earned income for 2026. Note the word earned. It does nothing for Social Security, pensions, rental income, dividends or capital gains — which is most retiree income. Many Americans move here expecting the FEIE to solve a problem it was never designed to address.
HOW YOU HOLD THE PROPERTY CHANGES YOUR FILING BURDEN
Foreign real estate held directly in your own name is not a specified foreign financial asset. It doesn't go on an FBAR or on Form 8938. Hold that same property through a Panamanian corporation and your interest in that corporation becomes reportable, typically on Form 5471, where the penalty for a missed filing starts at $10,000. Panamanian professionals routinely recommend corporate ownership because it's standard practice here. For an American it's a decision with real IRS consequences, and it should be made with your CPA before closing, not after.
FBAR CATCHES MORE PEOPLE THAN EXPECTED
If your Panamanian bank accounts total more than $10,000 at any point in the year, you file an FBAR with FinCEN. Wiring purchase funds through a Panamanian account, even briefly, can trigger it. It's a simple filing with unpleasant penalties for skipping it.
MEDICARE DOES NOT TRAVEL
This is the one that catches retirees. Original Medicare generally pays nothing for care received outside the United States, with a handful of narrow exceptions. You'll need international or local private coverage, and you'll face a genuine decision about whether to keep paying Part B premiums for coverage you can't use here — because dropping it and re-enrolling later carries permanent penalties. Work this out before you move, not after.
YOUR STATE MAY NOT LET GO QUIETLY
Leaving the country doesn't automatically end state tax residency. Some states are straightforward about it. Others — California and New York in particular — apply domicile tests that can follow you abroad for years if you keep a house, a driver's licence, or voter registration behind. If you're leaving an aggressive state, plan the exit deliberately.
YOUR ENTRY STAMP: 180 DAYS
American passport holders are typically admitted for up to 180 days, double what most visa-exempt nationalities get. Always check what the officer writes in your stamp, because the stamp governs.
Practically, this means you can spend a full season here before committing to anything. We encourage it. The Americans who regret a Panama purchase are almost always the ones who bought on a four-day trip.
Are You An American Ready to Start The Buying Process In Panama?
Most Americans who end up owning here started the same way: a conversation, months before they were ready to buy anything. That's the right order. Before you look at a single listing, it's worth working out what you actually want from Panama, which part of the country delivers it, and whether the numbers hold up against your situation at home. Some of those conversations end with us telling you Panama isn't the right fit. That's a good outcome too, and it costs you nothing but an hour.
If you're further along, we'll move at your pace. We'll show you what your budget genuinely buys in Pedasí, Boquete, Panama City, Coronado or Bocas, tell you plainly where we think a property is overpriced, and connect you with the Panamanian attorney, the immigration lawyer and the American cross-border accountant you'll need. We represent you, not the developer, and we're on the ground in the markets we sell in.
Click Here to fill out our client information form and start your Panama adventure