A Look at the Panama Real Estate Market Today

April 30, 2009 - PRLog -- Interesting times for the Panama Real Estate market and also much confusion
There has been talk recently by agents and the myriad of Real Estate experts that Panama seems to be blessed with concerning the health of the Panama Real Estate market......

A Person would be looked upon as the "Village Idiot " to say everything in the Garden is rosy but the market in Panama has changed and so too the agents that will be selling property for the forceable future.


The Pre construction market is all but redundant and this is the reason that we are hearing the overtures of doom and gloom from Brokers in Panama, lets face it the majority of agents came to Panama looking for easy picking selling Pre Construction property. There were plenty of buyers and lots of nice renderings available to entice buyers to sign contracts and write checks with the promise of huge profit increases and the ability to sell prior to closing or "Flip". Finding punters was not a challenge and those offices with good cash flow could spend money on brochures and "Pay Per Click" advertising to find them.


However the market has changed and it is acknowledged that we have entered a new realm of selling Real Estate in Panama, those nice renderings have now turned into concrete towers and the wonderful drawing of Master Bedrooms adorned with fine furnishings have now become a condo with white walls, no furniture or even drapes.


Panama has finally entered into the secondary market, possibly sooner that expected but this is partly due to the ability to sell an contact inside a corporation prior to the completion of the building. This however also complicates sales figures and records because a corporation sale does not show on public record that a property has actually sold and for what amount. How can anyone really know what is being sold and at what frequency if there are no tangible records to prove this. This is a big factor when we look at sales figures in Panama, it is common knowledge that sales have slowed down but the numbers reported cannot be accurate.


With a lack of a true MLS in Panama the skill  to market and sell resale property is much harder to achieve than selling Pre Construction. How does one get a price comparison between to buildings? How do you find out the true selling price of units in the building?


These are all problems that agents and buyers encounter when looking at property in a re sale market. A common remark that can be heard from buyers is that a certain building is selling for $1,500 a sq meter so why should I pay $1,600 for this building. A good question but you must not compare "Apples with Oranges"


Agents and buyers must have an understanding of what they are buying and be able to do a comparison based on other available units. Question like quality of workmanship, appliances, A/C, warranties, HOA Fees, Amenities all need to be considered when calculating the price of the property.


Brokers and sellers attitudes will need to change, no longer can property be sold on the fact of a huge gain in the price of the condo.

Geoff Sinker from GLS Properties Services S.A. say" I am enjoying this market, as a small sized company in Panama is no longer have to compete with the bigger agencies here in Panama, this is now about expertise and experience in the Real Estate market. Its hard work but the rewards to me are much better"


It has also noted that certain developers have now adjusted there sales force to focus on selling resale property in Panama.


Panama is still a viable country for Real Estate, the occupancy level might go down slightly but when that level was at nearly 87% even a 10% drop means a very high occupancy level. If new buildings are cancelled as reported then there is less competition out there so the level of available condos remains the same.


Agents and sellers face a difficult time, but so do buyers when they try to ascertain the correct price they should be paying for a condo in Panama. The good news in all this being that there are still buyers out there.


For more details on Panama Real estate and resale property please visit http://www.afloridarealtor.com/

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Real Estate Properties in Panama including Pre Construction and Resale in Panama City and the surrounding areas