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Author: Klaus Happ
Corona Virus in Panama / Update 04 October 2021
The corona situation in Panama has strongly improved and is at a stable level. There are almost no more curfews. They now offer Corona vaccination trips to Panama for tourists from neighbouring countries, as they are doing very well with the vaccinations in Panama. There is no mandatory vaccination. Below you will find information around the Corona situation, the vaccination strategy and the impact of the pandemic on life, travel and the economy.
Health (figures as of 03 October 2021)
- There are currently 3.095 active cases.
- The R-value is 0,82
- Panama performs the same number of tests per capita as Germany.
- The percentage of positive tests is currently 2 – 5% daily.
- The intensive care beds have never been fully utilized.
- Corona vaccination (Biontech/Pfizer und AstraZeneca) started in Panama in January. Approximately 70% of the population have received at least one dose of vaccine and 50% are fully vaccinated.
- 75% of those over 12 are fully vaccinated.
- There is no mandatory vaccination.
- So far, 10% of the Panamanian population has been infected with Corona. Taking into account the estimated number of unreported cases, this figure should be about 25%, which is much closer to herd immunity.
- The graph shows the weekly trend (March 20 – Sept 21) of new infections (bars) and the test positive rate (curve / data link).
Economy
- All sectors of the economy are open.
- The support payment for socially weak people is 120 USD per month. As unemployment has skyrocketed, this amount is barely enough for many poorer families.
- Current estimates predict economic growth of +12% in 2021 (2020: -17%).
Life in Panama
- In Panama City and in almost all other regions, there are currently no longer any curfew restrictions. Exceptions are Colón, Panama Oeste and Chiriquí (daily 01.00am – 04.00am).
- There is still a mask requirement, which also applies outdoors. This is to be lifted, but the date has not yet been fixed.
- The government measures the corona risk of the individual regions on the basis of certain indicators (R-value, hospital occupancy rate, etc.) and adopts region-specific measures on the basis of this.
Travel to Panama
- Since 12 October 2020 Panama Citys International Airport is open again.
- Fully vaccinated persons may enter Panama without presenting a Corona test. Current entry regulations can be found in the previous link or on the page of the German Foreign Office.
- Panama offers vaccination trips for tourists to get vaccinated against Corona in Panama from 01 October 2021.
- Departing travelers can take a Corona test at Panama City Airport (if required by their home country).
Klaus Happ’s real estate company “FRAPAN-Invest” advises investors who want to invest in real estate in Panama and also administers these properties. In addition, Klaus supports companies that want to become entrepreneurially active in Panama.
The real estate market in Panama is internationally one of the most interesting locations for real estate investments and we would like to be your local representative and take care of your real estate in Panama on a sustainable basis.
Profitable, safe and beautiful:
Investments in Panama
Corona Virus in Panama / Update 21 July 2021
In recent weeks, there has been a slight increase in Corona numbers in Panama. Numbers have stabilized, progress is being made with vaccination in Panama, and all sectors of the economy are open. Below you will find information around the Corona situation, the vaccination strategy and the impact of the pandemic on life, travel and the economy.
Health (figures as of 20 July 2021)
- There are currently 13.133 active cases.
- The R-value is 0,99
- The mortality rate is 1.6% (global average 2.2%)
- Panama performs the same number of tests per capita as Germany.
- The percentage of positive tests is currently 7 – 10% daily.
- The intensive care beds have never been fully utilized.
- Corona vaccination (Biontech/Pfizer und AstraZeneca) started in Panama in January. Approximately 30% have received at least one dose of vaccine and 16% are fully vaccinated.
- Since Panama has a very young population (Ø 26 years), people aged 60 and over were already vaccinated in phase 1.
- So far, 10% of the Panamanian population has been infected with Corona. Taking into account the estimated number of unreported cases, this figure should be about 25%, which is much closer to herd immunity.
- The graph shows the weekly trend (March 20 – July 21) of new infections (bars) and the test positive rate (curve). The sharp increase in June 2021 began with the economic opening. The increase in November 2021 is due to the holidays in early November (data link).
Economy
- All sectors of the economy are open.
- Restaurants and stores in Panama City (other regions may differ) are allowed to open until 11.00 p.m., although many restaurants, hotels and stores are still closed.
- The support payment for socially weak people is 120 USD per month. As unemployment has skyrocketed, this amount is barely enough for many poorer families.
- Current estimates predict economic growth of +12% in 2021 (2020: -17%).
Life in Panama
- The government measures the corona risk of the individual regions on the basis of certain indicators (R-value, hospital occupancy rate, etc.) and adopts region-specific measures on the basis of this.
- In Panama City there is currently a curfew from 0.00am – 04.00am daily.
Travel to Panama
- Since 12 October 2020 Panama Citys International Airport is open again.
- Current entry regulations (as of 26.07.2021) can be found in the previous link.
- Departing travelers can take a Corona test at Panama City Airport (if required by their home country).
Klaus Happ’s real estate company “FRAPAN-Invest” advises investors who want to invest in real estate in Panama and also administers these properties. In addition, Klaus supports companies that want to become entrepreneurially active in Panama.
The real estate market in Panama is internationally one of the most interesting locations for real estate investments and we would like to be your local representative and take care of your real estate in Panama on a sustainable basis.
Profitable, safe and beautiful:
Investments in Panama
Interview about real estate in Panama City
Klaus Happ speaks in this interview about the current condition of the real estate market in Panama City and the opportunity it offers. He is interviewed by Anthony Robinson from YK Law. Just click on the video BELOW to learn more.
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Klaus Happ’s real estate company “FRAPAN-Invest” advises investors who want to invest in real estate in Panama and also administers these properties. In addition, Klaus supports companies that want to become entrepreneurially active in Panama.
The real estate market in Panama is internationally one of the most interesting locations for real estate investments and we would like to be your local representative and take care of your real estate in Panama on a sustainable basis.
Profitable, safe and beautiful:
Investments in Panama
Where to buy real estate in Panama City?
What are the most interesting districts in Panama City? What are the real estate prices in Panama? Klaus Happ reports in his video about the three most interesting neighborhoods in Panama City. These are the old town Casco Viejo, the modern neighborhoods at the Pacific Promenade and the Ocean Reef Islands. Just click on the video BELOW to learn more.
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Klaus Happ’s real estate company “FRAPAN-Invest” advises investors who want to invest in real estate in Panama and also administers these properties. In addition, Klaus supports companies that want to become entrepreneurially active in Panama.
The real estate market in Panama is internationally one of the most interesting locations for real estate investments and we would like to be your local representative and take care of your real estate in Panama on a sustainable basis.
Profitable, safe and beautiful:
Investments in Panama
Real estate: Prices follow rents
Property prices in Panama City have declined slightly in some districts in recent months, following the trend in rents. With this report we would like to give a short update to our detailed “Real Estate Market Report Panama City 2020 / 2021“.
We exclusively report on high quality properties in prime locations in Panama City, located in the UNESCO Old Town “Casco Viejo”, in the promenade street “Avenida Balboa”, in Punta Pacifica and on Ocean Reef.
With the beginning of the Corona crisis in Panama, the government announced a hard lockdown in March 2020, which was then gradually relaxed from June 2020 and ended in October 2020 with the reopening of the international airport. The aim was to protect the health of the population. But this ultimately led to a hard shutdown of economic activity and a decline in government and private revenues. According to current estimates, Panama’s economy will grow by +9,9% in 2021, but it will take time to make up for the negative GDP growth of -17% in 2020.
Meanwhile, the government is taking a more business-friendly Corona course (Corona update 26 March 2021), but keeping an eye on the health aspects.
During the hard lockdown in 2020, many expats from the large multinationals had temporarily returned to their home countries and property viewings were very difficult due to the exit restrictions. Some property owners also rented at much lower prices than before to generate income. This, combined with smaller budgets due to the tight economy, led to 10-15% lower rents for new rentals.
While in 2020 most owners were not willing to sell at lower prices than before, this has gradually changed in recent months. On Avenida Balboa we see that purchase prices have followed rental prices. Buyers have been able to realise prices about 10-15% lower than before the Corona crisis. The best locations and qualities on Avenida Balboa can therefore currently be bought for between USD 2,000 – 2,500 per sqm and rental yields of approx. 7% p.a. can therefore be achieved again. With the advantage that one can take advantage of lower entry prices and the favourable Euro / USD exchange rate. The decline in prices is also related to the fact that in June 2021 the credit moratorium (as Corona aid) will expire and then loans will have to be paid again, which could put some people under pressure. It should be taken into account here that the credit share is not particularly high.
In the meantime, it seems, rents have found a bottom and are picking up again. This is probably also due to the fact that the rental bargains of unsettled owners have now been absorbed by the market. This should, in consequence, also lead to rising purchase prices again.
Ocean Reef Islands
The price drop mentioned was not observed in our preferred locations in Punta Pacifica. The price decline does not apply to the two artificial islands Ocean Reef either, because here the demand has rather increased due to the Corona crisis. This is due to the special island location and the fact that the very tense economic and social situation in some other Latin American countries is causing very wealthy people from these countries to look for new locations, such as Panama City.
Furthermore, 2-bedroom appartments remain attractive, as it is very convenient to integrate a home office.
The increased demand for beach appartments near Panama City continues (info link).
Casco Viejo Panama
In the UNESCO old town “Casco Viejo” (info link), the purchase prices have remained at about the same level as before Corona and renovation work is in full swing. Unfortunately, many shops and hotels that live off tourism are still closed. Basically, Casco Viejo is a very unique and stable value real estate location, as the approx. 850 buildings on the peninsula in front of the skyline cannot be duplicated.
We are happy to help with our experience in negotiating the purchase price in the current dynamic and exciting market environment.
The real estate market in Panama is internationally one of the most interesting locations for real estate investments and we would like to be your local representative and take care of your real estate in Panama on a sustainable basis.
Profitable, safe and beautiful:
Investments in Panama
Travelling in Panama in Corona Times / March 2021
What is it to travel in Panama in Corona times? What can you do during a long weekend in Panama. Klaus Happ talks about his experiences during his trip in Panama in March 2021 in his video. Just click on the video BELOW to learn more.
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Klaus Happ’s real estate company “FRAPAN-Invest” advises investors who want to invest in real estate in Panama and also administers these properties. In addition, Klaus supports companies that want to become entrepreneurially active in Panama.
The real estate market in Panama is internationally one of the most interesting locations for real estate investments and we would like to be your local representative and take care of your real estate in Panama on a sustainable basis.
Profitable, safe and beautiful:
Investments in Panama
Corona Virus in Panama / Update 26 March 2021
The Corona situation in Panama is currently good, as new infections have been falling steadily in recent weeks and are at a low level. All sectors of the economy are open. Below you will also find more information on Corona vaccination in Panama.
Health (figures as of 25 March 2021)
- There are currently 5.030 active cases.
- The R-value is 0,91
- The mortality rate is 1.7% (global average 2.2%)
- Panama performs the same number of tests per capita as Germany.
- The percentage of positive tests is currently below 5% daily.
- The intensive care beds have never been fully utilized.
- Corona vaccination started in Panama in January.
- The goal is to have 84% of the population vaccinated by the end of the year. The current figure is 8%.
- 5.2 million doses have been ordered (Biontech/Pfizer, AstraZeneca, Jonson & Johnson) and negotiations are underway for an additional 3 million doses of Sputnik V vaccine.
- Since Panama has a very young population (Ø 26 years), people aged 60 and over were already vaccinated in phase 1.
- So far, 8,5% of the Panamanian population has been infected with Corona. Taking into account the estimated number of unreported cases, this figure should be about 20%, which is much closer to herd immunity.
- The graph shows the weekly trend (March 20 – March 21) of new infections (bars) and the test positive rate (curve). The sharp increase in June began with the economic opening. The increase in November is due to the holidays in early November (data link).
Economy
- All sectors of the economy are open.
- Restaurants and stores are allowed to open until 10.00 p.m., although many restaurants, hotels and stores are still closed.
- The support payment for socially weak people is 120 USD per month. As unemployment has skyrocketed, this amount is barely enough for many poorer families.
- Current estimates predict economic growth of +9,9% in 2021 (2020: -17%).
Life in Panama
- The government measures the corona risk of the individual regions on the basis of certain indicators (R-value, hospital occupancy rate, etc.) and adopts region-specific measures on the basis of this.
- Throughout Panama there is currently a curfew from 11.00pm – 04.00am daily and in the greater Panama City area additionally on weekends.
- Beaches are open from 06.00am – 06.00pm.
Travel to Panama
- Since 12 October 2020 Panama Citys International Airport is open again.
- Visitors (regardless of where they come from in the world) must present a Corona negative test (max. 48 hours old) or alternatively take a rapid test at the airport in Panama. If the test is positive, you will be quarantined in Panama.
- Departing travelers can take a Corona test at Panama City Airport (if required by their home country).
Klaus Happ’s real estate company “FRAPAN-Invest” advises investors who want to invest in real estate in Panama and also administers these properties. In addition, Klaus supports companies that want to become entrepreneurially active in Panama.
The real estate market in Panama is internationally one of the most interesting locations for real estate investments and we would like to be your local representative and take care of your real estate in Panama on a sustainable basis.
Profitable, safe and beautiful:
Investments in Panama
“Golden Investor Visa” in Panama
The new “Golden Investor Visa” in Panama allows investors to apply for their second residence from abroad and receive it after just 30 days. This visa type requires an investment e.g. in real estate of at least 300,000 USD (from October 2022 it will be 500,000 USD) and a holding period of at least five years. All existing visa types in Panama will continue to exist and after 5 years you can apply for your Panama passport and citizenship. However, there are plans to make the Friendly Nations visa more difficult. This is the easiest form so far. Click on the link to find our “Visa & Invest Factsheet” with all information.
Klaus Happ’s real estate company “FRAPAN-Invest” advises investors who want to invest in real estate in Panama and also administers these properties. In addition, Klaus supports companies that want to become entrepreneurially active in Panama.
The real estate market in Panama is internationally one of the most interesting locations for real estate investments and we would like to be your local representative and take care of your real estate in Panama on a sustainable basis.
Profitable, safe and beautiful:
Investments in Panama