Thread: buying big things in Panama

Hello.

I am interested in perhaps buying property in Panama.
Before doing so, I'd like to stay there for 6-12 months in order to determine if it is right for me.
I am a U.S. citizen.

Question:
How am I to make a big ticket purchase? I don't have a Panama bank account. I am not close to retirement age. (I am NOT a drug dealer, either)
I AM afraid to carry more than $10,000 with me, even if it is delcared.

Suggestions?

I would assume that your bank could wire the money to a Panama bank.

I don't have a Panama bank account.

Originally Posted by explorer

I don't have a Panama bank account.

Understood - if you are buying real-estate, transfer the money to the seller's account. Or some escrow account.

Ah. Thank you.

I think your idea of living here for 6-12 months is excellent. It will take at least that long to determine where you want to live. Finding suitable land to purchase is not so easy. If you get lucky enough to find a "perfect" piece of land to buy quickly I would be surprised and I would wonder why you were being so impulsive. It's a step process. You determine where you want to live generally first, then look for the land or home. Once you buy the land you may just be stuck with it for a long time so you cannot afford to make mistakes on your selection. Once you find this "dream" property, figuring out how to pay for it will not be a problem assuming you can afford it.

Yes. Problem is, finding a place to reside in the meantime. Don't know much about reasonably priced short term lodging, or if it is even available, for say a month or two at a time. Maybre I should start another thread.

No one knows where you wish to live so maybe that is a good idea. But, if you don't mind roughing it a bit you can stay in hostels or inexpensive hotels for a month or 2. Restaurants are not expensive either if you can keep it on the simple side.

Just curious... how long might, say, $50,000 last in such an endeavor? Living simply, that is? Like a local.

I know, I know.... it's been asked before. Indulge me... it's Xmas.

Depends on how you wish to live actually. In my area most families only make 3 or 4 hundred dollars a month. Somehow they make it. But, you have to understand that a Panamanian has a family support system to help them out. They may live in an extra house rent free that belongs to the family etc. You might be able to find a room to rent in someones large house etc. By yourself, 1000 dollars a month would be plenty if you lived in the interiour. Since you will not be living here permanently you probably would not wish to make a huge investment in furniture or household goods.

I would personally get a "carta promesa de pago" and pay when I have the title in my name and everything else done.

Transferring the money directly to the seller, not a good idea.

Never heard about escrow accounts in Panama.

Originally Posted by jonr

Understood - if you are buying real-estate, transfer the money to the seller's account. Or some escrow account.

I would listen to Ed and your lawyer (if he/she is good).

Never heard of a carta de... what Ed said. Gues finding a good lawyer should be priority, eh?

https://at03.sbancos.gob.pa/aspec_pr...omesa_Pago.pdf

Probably the banks know what goes into the letter, but for sure you should have an attorney review it.

Thanks.

bring $9999 every time u go.
have somebody send u western union! its pricey, but reliable!
fill up yr credit cards and take it out here.

Question: is it $9999 per person? Say if you have a family of 5 (including minors), can you bring $9999X5 in?

Originally Posted by Liont

Question: is it $9999 per person? Say if you have a family of 5 (including minors), can you bring $9999X5 in?

No u cant. Even if ur with a friend u will need to book seperate and make clear ur not together.

I see, so it is $9999 per party.
What do they do when you bring in more and declare?
Anyoone knows the penalty of not declaring?

I know that U.S. and Canadian customs will seize undeclared amounts of $10000 or more.

Originally Posted by Liont

I see, so it is $9999 per party.
What do they do when you bring in more and declare?
Anyoone knows the penalty of not declaring?

Well when u declare and u have nothing to hide i guess nobody does anything. However,theres rumours that customs pass on the information here to robbers who try to rob u on the way. Clueless if this is true and how common it is tho.

Originally Posted by explorer

I know that U.S. and Canadian customs will seize undeclared amounts of $10000 or more.

Yes same in Panama. at least thats what ive read However, ive had my luggage checked a few times in my life, but have never ever been frisked. Guess chances are pretty slim to get caught with 30-40 1000euro bills in yr little jeans pocket. But still..

Interacting with power hungry stupid government officials is never a good idea.

They can still force you to sit in a room for 3 hours while you explain yourself, and trust me they have ALL THE TIME in the world.

ATM card is the best way to go and depositing US checks to a friend's account (or pay with a credit card when possible).

Originally Posted by Liont

I see, so it is $9999 per party.
What do they do when you bring in more and declare?
Anyoone knows the penalty of not declaring?

I am thinking of kids' school fees and stuff. The usual practice of (international) schools here of charging USD8000-10000 per kid upon entry. I don't think they accept credit cards.

Give them a US check. It clears in 2-3 days on the US side and you can show them the cleared check from online banking.

Originally Posted by Liont

I am thinking of kids' school fees and stuff. The usual practice of (international) schools here of charging USD8000-10000 per kid upon entry. I don't think they accept credit cards.

Thanks Ed, I didnt know they accept US checks. That makes it a lot easier!

Originally Posted by Liont

I am thinking of kids' school fees and stuff. The usual practice of (international) schools here of charging USD8000-10000 per kid upon entry. I don't think they accept credit cards.

Do schools here charge 8-10K per kid?? :S I heard people go to university here for few hundred a year..

Amd why not just open a bank account and wire it?

All banks in Panama accept US checks, 95 % free of charge and when there is a fee it's minimal.

Originally Posted by Liont

Thanks Ed, I didnt know they accept US checks. That makes it a lot easier!

Really, Ed?

Janl, the international schools here do - one time entrance fee of that amount. School fees is separate.
We will open a bank account. Just don't know how soon that can happen.