Panamá Guide: Everything Expats Need to Know.

01 – Who We Are

We – Globalution Consulting – are among the few serious experts when it comes to emigrating to Panamá, residence in Panamá, real estate in Panamá, business activities in Panamá, or living in Panamá. What distinguishes Globalution Consulting from other providers or business consultants? Read more about this

We favor Panamá and can only give residents of dictatorial, bureaucratic, crisis-ridden or war-torn systems one piece of advice: Break out. Or as the Town Musicians of Bremen like to say: "We can find something better than death anywhere." Contact us and let us prepare the adventure of your life together. We accompany you and your family from the initial desire to emigrate to your dream residence. If needed, we set up your multinational business: +1 (505) 373 2327 (please use WhatsApp, no fees for you) or via new@globalution.net, https://www.globalution.net

02 – Introduction

Panamá is exactly the right country for all freedom-loving people, influencers, entrepreneurs, and HNWIs. 365 days of perfect weather, no climate change, no natural disasters, a solid legal system, an unprecedented strike culture, a democracy intact compared to Europe, a stable economy, an advantageous tax system, the most delicious (sea)food and a multicultural, open and lovable population make Panamá our absolute favorite in Latin America. There are many reasons why the country is the #1 and #2 retirement destination in the world for several consecutive years. But also for non-retirees, entrepreneurs and influencers who want to escape cold expropriation, intrusive states, bureaucracy, crises and war, Panamá is the non-plus-ultra: Here you are in the right place at the right time. People who settle here often regret one thing: That they didn't discover Panamá earlier.

Panamá – the freedom-loving paradise that connects North and South America – was founded in 1903 as a special economic zone when the USA pushed forward the construction of the Panama Canal. The USA supported an independence movement that contributed to the secession of the region (today's Panama) from Colombia: The usual geopolitical approach of the imperial power. To this day, the USA claims a massive say in the presented state.

03 – First Things First

Retirees with USD 1,000 or more in pension can enjoy a residence permit in Panamá. For everyone else, permission to stay permanently in Panamá cannot be obtained without investment: You normally have to invest between USD 200,000 (Friendly Nations Visa - open to citizens of 50 countries)and USD 300,000 (Golden Visa) to obtain a permanent residence permit. We know ways to save you a lot of money. To learn more: Contact us: +1 (505) 373 2327 (please use WhatsApp, no fees for you) or via new@globalution.net, https://www.globalution.net

04 – Geography and Infrastructure – Morning in the Caribbean, Evening at the Pacific

Panamá connects North America with South America and forms the hub for international flights. One of the most modern airports in Latin America, Tocumen, is located about 20 minutes from the capital and offers direct connections to 38 countries. A weekend trip to New York, Miami, Mexico, Medellín, Lima, Rio or Santiago de Chile, to the beaches of Costa Rica or the Bahamas? Why not? Although Panamá itself offers everything that a perfect vacation destination, which receives about 2.5 million tourists per year, should offer you. Those who live in Panamá are on vacation 365 days a year. Traveling is possible, but not necessary.

In the south of Panamá is the Pacific Ocean, in the north the Atlantic or the Caribbean. If you know the right paths, you can drive to the Caribbean on a Sunday morning and enjoy a cocktail in a rooftop bar on the Pacific the same evening. Because from Panamá's capital, built in the jungle and located on the Pacific, the Caribbean is only about 60-90 minutes away by car. Those who want to reach the beach faster take the ferry to Taboga Island, located in front of the capital, and enjoy a Piña Colada – prepared directly from the pineapple with the best rum in the world: Abuelo, a product of Panamá. Panamá's western neighbor is Costa Rica – the country that Europeans are supposed to be distracted from Panamá with. In the east, Panamá borders one of the densest jungles in the world, Darién, which connects Panamá with Colombia.

05 – Panamá: A Freedom-Loving Melting Pot and Resource-Rich Hotspot

Panamá, with its multicultural clientele, is the wealthiest country in Latin America. Panamá is one of the most important geopolitical hot spots. Not only significant copper and gold resources, but above all the Panamá Canal make the country one of the hubs of world trade. What many don't know: Frozen shrimp, Chiquita bananas, pineapples, melons, the most expensive coffee in the world, cocoa and sugar are among the main export goods that can be enjoyed fresh in the country itself (alongside many other exotic delicacies).

Here, Latin Americans, US Americans, Europeans, Jews, Muslims and Chinese live peacefully side by side in a true melting pot. The slightly more than four million inhabitants (that's not a typo! The Panamá praised by the WEF as a model country has a population size that is politically and economically rather of subordinate importance to the rest of the world) are proud of their stable economy, the dollar and probably the most reliable banking infrastructure in the region (with over 69 internationally significant banks). Heineken, Lufthansa, Kühne & Nagel, Microsoft: You name it. Everyone who is someone lives in Panamá or has regional headquarters here. Bill Gates occasionally lies with his luxury yacht off Boca Chica in the Pacific and Mark Zuckerberg celebrated his 40th birthday on his luxury yacht off Bocas del Toro: This is characteristic of Panamá, which also attracts such people.

06 – Autarky: Panamá! What Do You Care About the Rest of the World?

Panamá has no shortage of perfect temperatures, nature, beaches and sun (whose capital, as mentioned, is located directly on the sea but has no swimming beach). An independent water supply (via five strategic reservoirs), 78% independent power supply (which Central European countries can only dream of) and a principally independent agriculture make this country relatively autarkic from external influences. If the Panamá Canal fails for ideological reasons (alleged "drought" that doesn't exist), you may have to temporarily do without your imported Twix, your imported detergent or your Chanel perfume, but not without electricity; water; internet; fruits; vegetables; rice; fish; seafood; beef, pork or chicken. Occasional shortages (which can last several weeks – such as a potato or banana shortage) indicate at most internal strikes, which politics grants a generous framework: In a Latin American democracy like Panamá, extensive strikes are allowed as long as the public welfare is not considered endangered. In this respect, too, paradise differs from European countries: In Panamá, dissenting thoughts are not preventively beaten down: They are tolerated to a certain degree (greetings to Germany, where the opposition is illegally persecuted).

07 – Language in Panamá

Many websites pretend that you don't need Spanish in Panamá. A sure sign that the authors have never traveled to Panamá. Spanish is the national language and English is not taught in many schools. Only 5% of the population speaks English: foreigners and Panamanians who received their education at private schools. And that's okay: Because it's not the country that has to adapt to you, but you to the country. Anyone considering settling in a Spanish-speaking country cannot expect the population to learn a foreign language so that you can spare yourself learning the local official language. Please pack a small dictionary with needed phrases and at least be open to learning the beautiful Spanish language: Then you open up completely new horizons for yourself, because Spanish is one of the most widely spoken languages in the world.

08 – Panamá – Urban Characteristics

Europeans and US Americans are often used to having one city center or two city centers (old town and new town) in a city. This is different in Panamá and many Latin American countries: The capital Panamá itself has 26 districts with a total of about 100 "zones." Each district or even each "zone" has its own center. Exploring the city on foot is simply not possible in Panamá. You have to drive to the respective district and then experience the respective advantages and disadvantages firsthand. We recommend visits to Amador, Casco Viejo, Avenida Balboa, Marbella, Calle 50, Punta Pacifica, Punta Paitilla, San Francisco, Costa del Este.

We advise against visits to San Miguelito, El Chorrillo, Curundú, Calidonia, Juan Díaz & Pacora for safety reasons. Just as every US American and European metropolis has its problem districts, Latin American cities also have districts that should be avoided.

Recommended Districts

Districts to Avoid

09 – Restaurants and Nightlife

Panamá is – as mentioned – a melting pot. What would you like to eat? Fusion? Japanese? Chinese? Italian? French? Mexican? In the capital alone there are around 1,100 restaurants: You will search for your favorite restaurant. And you will find it.

In addition, Panamá has a fascinating rooftop bar culture (40-50 rooftop bars). Enjoy your after-work beer with your friends in a tropical setting on the rooftops of the city. At night, many rooftop bars transform into pulsating clubs with Latin American live rhythms and dancing until the early morning hours. Wednesdays the weekend begins! Out on the town!

10 – Panamá: Endless Boom

Those who want to understand what a masterpiece has been accomplished in Panamá and continues to be accomplished should watch some films AFTER their initial visit or DURING their stay:

🎬 The Tailor of Panama (2000)

A film ruined by Pierce Brosnan, which we only recommend for the scenery

🎬 Syriana (2005)

A film with Matt Damon, where Panamá served as location for other Latin American settings

🎬 James Bond – Quantum of Solace (2008)

Daniel Craig as James Bond, Panamá also representing other locations

In these films you see Panamá 20-30 years ago: These films show you slums and jungle where today the magnificent, restored old town and the most modern and tallest skyscrapers in Latin America stand. While Germany needs 14 years to build an airport and 18 years to build a train station, Panamá has been transformed in the last 40 years from a jungle with few luxury hotels into one of the most modern and stable countries in the region: An achievement that is no longer possible in countries like Germany. Currently, many major projects such as train lines, bridges and entire colonial-style neighborhoods are under construction. Panamá: From our perspective, that translates to "Future."

11 – Entrepreneurship in Panamá, Trading in Panamá

We specialize in optimal multinational corporate structures. A residence in Panamá is an excellent starting point for starting, expanding and optimizing all entrepreneurial activities. Panamá also offers an excellent base for traders. However, as an entrepreneur and trader, you need professional advice to avoid or limit costly legal missteps. Those who choose the wrong setup quickly lose their assets. Since every company and every trader has very specific requirements, we will not elaborate further on this section and ask you to contact us personally. We find a solution for every individual context: +1 (505) 373 2327 (please use WhatsApp, no fees for you) or via new@globalution.net, https://www.globalution.net

12 – Cost of Living

If you're a backpacker living in a tent: Then you can live cheaply in Panamá. Don't fall for the illusion that Panamá is a "third-world country" where accommodation and food are practically free. Calculate with the following costs and prices in the capital (rural regions partly cheaper):

* Electricity in Panamá - with its near energy self-sufficiency - is relatively cheap and a private household rarely pays more than USD 15-30 per month for electricity ("Luz"). But air conditioners are real power guzzlers: They can quickly drive up the bill. Our tip: Allow yourself open windows and enjoy the perfect temperatures of the country. The unnecessary habit of constantly running air conditioners comes from the Americans who love the artificial, and is misunderstood as "luxury" in Panamá. Additionally, the population and expats have been told that air conditioners prevent mold. The opposite is the case.

13 – Transportation: Car, Bus, Taxi, Uber

Outside the city, you need your own car: SUVs and pick-ups are recommended due to road conditions. Many roads are modern and well-maintained. However, due to wear and weather, large potholes can appear within 24 hours - you don't want to cross these with a sports car (although Porsche, Ferrari, and Jaguar have their own dealerships on site). There's a very affordable public bus network that not only works in the capital but branches into all parts of the country. The capital has a highly modern and affordable metro. Taxis are widespread (though taxi drivers often try to overcharge expats).

Uber and Indrive are safe, price-transparent, and our favorite in the capital: You pay between USD 3-6 per ride during normal hours and a maximum of up to USD 12 during rush hour: This also saves you the hassle of searching for parking.

14 – Family and Partnership

Panamá is so family-friendly that it welcomes not just you, but your entire family: This includes, upon request (for a small additional fee), not only your wife/husband and children, but also the parents of the main applicant.

For those arriving without a partner or family, please note that while Panamá and its residents are very family-oriented, relationships in countries where the population is relatively less wealthy can develop quickly and are often (not always) motivated by monetary reasons. Don't turn off your brain. The most stable relationships in Latin America usually develop between (a) expats and locals who have a similar educational and family background or (b) between expats who share a common understanding of a relationship as a life concept and don't see a relationship as a source of income. The most serious and modern dating app focused on stable relationships in Panamá is AmourFou™. You can find the app here: www.AmourFouApp.com

15 – Where Do You Live in Panamá? In Houses or PHs!

In Panamá, outside the capital – in quieter areas and sometimes in outright ghost towns – there are also houses. In the city itself, houses are often scarce (apart from some villa districts and the old town). In Panamá, you usually live in a PH (Propiedad Horizontal, horizontal property), in English you would say "skyscraper" or "high-rise." The typical high-rise building offers apartments and common areas.

Typical PH Amenities

Each PH usually has a fitness studio, an outdoor pool and a children's playground. Some offer their tenants and owners additional soccer and tennis courts or billiards and poker rooms.

16 – The Step to Panamá: You Need Housing

Don't let shady dealers seduce you into emotional purchases with big return promises and guaranteed rentability. Be careful when offered the "last apartment in building XY." Panamá has indeed been experiencing a building boom for decades. And at every free corner the next ultra-modern skyscraper is being built. But the real estate market in Panamá: This is the exciting "Wild, Wild West." With our own license, we stand by your side to help avoid expensive mistakes.

Peculiarities of the Real Estate Market

Europeans and US Americans often come from regions with chronic housing shortages. With this mindset, they begin their property search – and quickly become victims of this conditioning. In Latin America, everything is different. In the capital of Panamá, the permanent vacancy is about 12,000 apartments. Many buildings have 70%-80% vacancy – although some apartments are not available on the market because they serve other purposes and are deliberately kept unoccupied. In many gated communities outside the capital, you encounter very beautiful but virtually uninhabited ghost towns.

There is a massive oversupply in Panamá, which primarily affects apartments in the luxury segment. Small, cozy apartments that could theoretically also serve as Airbnb (only conditionally legal in Panamá) sell well. Larger – more European or US American apartments – usually stand empty for years. There is only a limited market for luxury apartments in Panamá: The locals often simply cannot afford luxurious apartments and the foreigners who migrate to Panamá rarely bring their entire household, which would require a certain floor space. Even wealthy Europeans or US Americans tend to rent or buy smaller, already furnished apartments if their own furniture is not imported.

What Must I Pay Attention to on the Real Estate Market in Panamá?

With us by your side, we take care of all potential problem areas for you.

People ruthlessly exploit the inexperience and naivety of European and American immigrants in Panamá. Foreigners in Panamá tend to overlook that square meters in Latin America are basically pure fiction; that the laws in Panamá are completely different from those in their home country, and that investing in the latest project, which may never be built, is suboptimal. The subsequent self-deception of the victims is the most tragic thing about it. We have often met people standing in their 75m² apartment who firmly claim it is 110 m² because 110m² was purchased and 110m² is stated in the contract.

"Last apartments," "high returns," guaranteed "rentability" are offered. People talk about the "booming market." This booming market only exists on the developer side, not on the rental or sales side.

The Project Caveat – Don't Invest in Hot Air!

What applies to Bitcoin naturally applies even more to the real estate market in Panamá: Don't invest in hot air and empty promises. The Latin American real estate market lives on future promises. The usual scheme: They present the latest project with the most beautiful apartments and offer you the opportunity to become an owner of a unit even before construction starts. Verbally, this is linked to the information that you are investing in a booming market and that your property will be rentable or sellable after completion of the building with a 10% annual return increase (= 10% annual rent increase). Wow!

If you're lucky, the building will actually be built. And then your apartment stands – empty (unless you move in yourself). The construction business in Latin America is doing excellently! They collect money from investors abroad and build projects: That's the "boom" and it works. What happens afterwards with the project or the apartments only marginally interests the developer who has earned a lot of money from you. The rental or sale is now up to you. After a few years, you will notice that you are operating in a market with an excess of housing supply ("boom projects") and a lack of demand. Your apartment is in most cases unrentable and unsellable under the presented conditions.

A gross error – not only with regard to new projects: Many foreigners buy apartments from abroad that they have never personally seen: Trusting that "everything will be fine." This already borders on criminal negligence in Europe and the USA.

The Chance for Bargains – Debunked

Now you're thinking: A market with oversupply and lack of demand? There must be excellent bargains to be made!? The simple answer: No, you can't. In over 90% of cases, the owners – regardless of their origin – lack the mathematical education. In addition, owners are often so wealthy that they simply sit out anything that contradicts their fantasy.

An example: An owner wants to sell his apartment and offers it in the first year for USD 500,000. But the owner finds no buyer. Commercial logic would now dictate a reduction in price, say to about USD 450,000: Because ultimately the price regulates demand and the market. Unfortunately, logical-mathematical relations are completely unknown in Panamá. Those who don't sell the apartment in the first year for USD 500,000 will increase the price in the second year to USD 550,000. In the following year, you will encounter the same apartment again: For USD 600,000. The fools are the potential buyers who don't bite and don't understand what they're missing. Any offer that points towards USD 500,000 at this point marks you as out of touch with reality: You apparently don't recognize the owner's status as king and final authority of price setting. They will break off contact with you. Negotiations? Not in Panamá. Panamá has its own rules and its own illogic. Here applies "If you like the apartment, you have to pay the price of the apartment. And the price is dictated by the owner: He is the ruler of the apartment." Market awareness doesn't exist.

What Do We Advise on the Real Estate Market?

Contact us and let us professionally accompany your search on the real estate market. We understand your wishes and requirements. We know the traps and the deception maneuvers. +1 (505) 373 2327 (please use WhatsApp, no fees for you) or via new@globalution.net, https://www.globalution.net

17 – Panamá: In the Clutches of International Institutions?

Many aspiring emigrants stand in their own way with thoughts like "But Panamá is also on this planet." That's right: Panamá is on this planet. But Panamá is a different world. Panamá is a member of the UN. Panamá is a member of the WHO. Panamá is a member of the WEF. Like most other countries in the world. But in European and US American countries, anti-human projects are implemented with military precision against their own populations. In Latin America, everything runs a bit more relaxed. It doesn't correspond – especially in Panamá – to the mentality to force anything on people. In case of doubt, the love of freedom of the ideology-free people usually wins in Latin America, who have learned over the decades – similar to Africans – what to think of central projects of world leaders.

18 – Our Services

We stand for Capital Relocation™: We help optimize your private life and your business – complemented by asset protection concepts. For all our services: Choose the services you need and skip those you're not interested in. Our services (learn more on our website):

• Consultation in your native language
• Travel planning (including private jets)
• Airport pickup
• On-site assistance and tips
• Residency programs (residence permits)
• Citizenship by Investment (citizenships)
• Business consulting and optimization
• Company formation (national or multinational)
• Tax optimization (private and business)
• Asset protection
• Real estate (private, commercial, investment)
• Bank accounts
• Education (such as university studies in Spain for your children)