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Single Best Piece of Panama Real Estate Advice

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Written by Matt   
Tuesday, 20 May 2008 10:33
Avenida Balboa Panama There are many advantages in arriving to a new real estate market before the proverbial hoards. The following though, clinic is the best one piece of advice we can give to people looking to invest in Panama and strike it rich. Like just about any other good, real estate prices are derived from supply and demand. It is for this reason that in the early days of the Panama City boom, buyers could flip their condos (before the building was even built) for double the money: purely because there was a demand for condos in the burgeoning Panama City and the supply for said condos was significantly less.

Back in this Panama City boom period, buyers were snatching up anything and everything they could. These lucky (smart) buyers owned properties that were unique, inimitable, and truly one of a kind: and more importantly, ones that were very easy to sell to similarly grabby investors.

But now, as supply has vastly increased, new buyers are being more patient and searching for the real estate that's 100% right for them, meaning today's sellers are getting antsy and frustrated. All sellers have a very generous idea of what they can get for their real estate, but a saturated market quickly slaps them in the face.

Unless you're looking to spend the rest of your days living in/on your investment, we always advise investors to only buy something that they would feel confident putting on the market. This may apply to commercial space, farm land, condos, or historic real estate: only purchase real estate that, when ready to sell, will be unique and stand apart from the rest.
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Buy on the basis of a definite and impending increase in demand. Further, ensure that this increase in demand will far surpass supply. Considering these two factors will ensure that prices rise and you enjoy a lucrative investment.

Supply and demand in Panama real estate can be difficult to balance, seeing as though real estate is a manufactured and finite commodity meaning it takes time to produce and once it is produced, it's (generally) stuck where you produce it. Unlike toys for toddlers or steel for construction, you cannot move real estate to where the buyers are. Which means that in order to guarantee our advice, considering or predicting the future is imperative.

Analyzing the future supply is relatively simple: look at the amount of projects in an area both just getting started, near completion, and currently inhabited. This ratio should show you the direction in which a regions real estate supply is heading to determine whether or not new projects will continue to surface.

Analyzing the future demand is a bit more soothsayer-ish. A great way to gauge where demand for real estate in Panama is heading, is by looking at the local economy seeing as though a strong economy leads to more jobs which lead to higher demand for real estate. Both experts and statistics agree that in Panama the economy is surging ahead, meaning demand for real estate will be on the rise as well. With the Canal expansion, various oil refineries, and mining projects, demand is sure to increase: it just depends at what rate.

The good news for real estate in Panama is that the Panamanian economy is just starting to truly flourish. But lastly, you must use some common sense to balance your statistical prediction out. If a region appears to be blossoming, use your gut instinct and apply this advice. If a region appears to be down and out, except for some overly optimistic developers or promoters, take heed. Panama has so many niche markets and regions that are just begging for investor interest so don't be drawn only to the famous areas.

When the time is right, exercise this calculated risk and be one of the first to buy in a condo project or mountain development or beach retreat. That way, whether you end up liking your investment or not, you'll be in a terrific position to sell your property for significantly more than you paid.

And that's how it's done.

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written by julian restrepo , May 25, 2008
the articles hits it perfect when it comes to flipping for profit . i bought a fantastic proyect and very happy with it but i an hoping that all the proyects dont turn into ghost building with all the units for sale and the whole building empty .

that happened alot in miami with a proyect i also bought . 90 % of the building units were for sale after the building was completed, so the building never had the fell of being occupied and all the social areas just never got used and it turned into
a building where there was more renter then owners .
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Investor
written by Lazaro Sopena , July 30, 2008
I believe the thing to do in Panama at this point is invest in the beaches, so many projects in the city but so little supply in the beaches... and the bottom line is you want to visit Panama and have a nice beach condo hotel unit or Managed condominium you can stay in or rent when not being used, try these projects by well seasoned Panama developers that have 455 of the real estate market shares in Panama... these guys will build while others will stay as a nice glossy brochure. www.lighthousepanama.com or check www.411onpanama.com
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Investor
written by John Doe , August 02, 2008
Smoetimes the best thing to do is nothing at all. The real estate market in Panama is not the place to invest your money. Hold your money close and protect your principal. Everyday you meet many opportunities to separate you from your cash but pass on all of them until you see the BLOOD running in the streets of Panama then invest. At least the blood won't be yours.

All we have seen are speculators and investors but not the users that live in the high end apartments !! Where are they ??
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Panama is not Panama City
written by Canuck , August 04, 2008
Serious investors have the guts to go where other will go. Investing "ahead of the curve" has been the motto of every true investor. Panama City is becoming saturated. Triple and quadruple flipping, infrastructure nightmares, rising crime, rising cost of living..... One must look at Panama's interior. There are tons of opportunities out there and better quality of life. Te questions then is: Do you follow or do you master the smarts and the guts to carve your own investing path? There are many opportunities waiting outside of Panama City and now is the time
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Observer
written by Boris Altshole , September 06, 2008
The Lighthouse is an ugly looking slab of concrete but as it is probably a Homes International Realty project it will thankfully never get beyond a glossy brochure.
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Lighthouse Panama
written by Lazaro Sopena , September 29, 2008
Lighthouse Panama is a project developed by Grupo Shahani, it has nothing to do with Homes or does it have a glossy brochure. This project is being sold and built by Grupo Shahani, 25 years building in Panama and counting. www.gruposhahani.com
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Lord
written by Juan Diego Michailov , October 06, 2008
Avoid Real Estate companies with International' in their title, the scammers tend to use it to imply legitimacy. 'International Real Estate Connection' etc.
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written by Lazaro Sopena , October 14, 2008
Mario Garcia... is it? let me know at what number you will like me to reach you so that you can discuss with me the accusations you speak about here. I do not know anyone by the name of Mario Garcia and it this is not your real name then maybe the issues start there. My personal cell number is in 1000 places in the web under fake name, please call me as well if you have something to say to me, only a liar hides behind a fake name on a serious business blog site.

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written by Lazaro Sopema , October 17, 2008
I don't like that deal, I was involved 2 years ago and sold out to an investor whom is now having a hard time building it.
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written by Parallax , October 25, 2008
I guess if Homes owned the lot it would be easier to build on.
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Homes
written by Ableman , March 10, 2009
Why would Homes (if they still exist) build The Plaza Costa del Este? They have never built any of their previous 'projects' They are merely slick salesmen selling glossy brochures and collecting non-refundable deposits to invest in Pyramid schemes.
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Pyramid is where
written by Serge , March 12, 2009
Ableman, please tell me where the Pyramid is as this is information of the like worth knowing for all. Is of the kind of aztex in Mexico? Google no is much of the helping.
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Re Serge
written by Ableman , March 14, 2009
Hope that thees is helping you knowing where the money disappears.

http://www.semana.com/noticias-print-edition/the-reinvention-of-colombias-pyramid-scheme/119710.aspx
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Lazaro is Ventura's partner in the Florida branch of the scam
written by Jenkins , April 10, 2009
And I expect that he has given up plugging it now the DEA are on the case.

Meanwile Boris Michailov is fronting The New World Realty Group.

http://www.elsiglo.com/siglov2/Opinion.php?idsec=3&fechaz=10-02-2009&idnews=93755
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Homes Realty
written by Lazaro Sopena , April 14, 2009
Jenkins, Not that I care what you say or who you are but my affiliation with Homes was terminated last year, 3 months after I signed up to sell their projects in Florida. It did not take long for me to realize they were not serious about developing. Instead I represent real developers all over the world, in Panama I represent The Shahani Group. Let me know if you are interested in investing on a real project that will be built regardless of the world crisis.
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written by Jenkins , April 27, 2009
July 13th 2007, Homes USA registered in Florida by Ventura and Sopena.

http://www.corporationwiki.com/Florida/Miami/homes-realty-usa-llc-6288623.aspx
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Best places to invest in Panama's interior
written by Lena , November 17, 2009
I have just started looking into Panama and plan to travel there in the next 6 months. Can anyone give me any ideas of good places outside of Panama city to invest?
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Last Updated on Sunday, 24 August 2008 18:18
 
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