It set back and removed from the main road. Yet it is still close to neighbors.
And best of all, it is only 70 feet from the beach.
Check it out.
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To find out more about this property for sale click here.
You could build whatever you like here. It is level and fully accessible. As the video suggests, you could build 2-3 homes or a hotel. You could also keep the whole thing to yourself.
The property is in the Corazon de Jesus neighborhood of Puerto Armuelles. It is a friendly community right on the beach.
It is an area popular with expats. All the beachfront in the neighborhood has already been bought up by expats.
You can browse more property for sale in Puerto Armuelles here.
Puerto Armuelles is an increasing popular place for both expat retirees and investors. This is due, in part, to the near completion of the new 4 lane highway linking Puerto Armuelles to the Panama's InterAmericana main highway. The improved access has allowed many more people to discover the many charms of this wonderful beach town.
You will be more successful, if you know your goals before you begin
Once you are clear about your investment goals, not only does the whole process get easier, but you are much more likely to achieve your goals.
Which of these goals is yours?
1. Buying for Capital Gain
In the world of emerging markets, intrepid investors seek out not-yet-discovered locations. The idea is to buy in a location BEFORE it is discovered by too many other foreigners.
These investors buy in those emerging locations and wait. They simply wait until the market arrives and prices start rising due to increased demand. Of course, finding these locations is the key. The purchase may be in a remote area. But that is only a good idea if there are clear indications that infrastructure improvements will follow. If such investors are buying within a development, they tend to purchase early in the roll-out of the master-plan, and look to secure ‘founder’ or ‘charter membership’ deals as a result.
These capital growth investors will sell the property when their target resale price is easily achieved. Of course, the next buyer can also still make significant capital gains, but typically less than the pioneers in these not-yet-discovered areas can achieve.
2. Buying for Personal Use
This is usually someone looking for a vacation home. This investor wants a place to recuperate from their daily life. Usually they are looking to buy property in places that enjoy a good climate, access to amenities and where the lifestyle is very different from their life at 'home'.
Sometimes this investor also wants to rent out the property when they aren't using it. However, while they like the idea of a rental covering some of the costs, rental income is not their top priority. This investor type tends to be affluent and own more than one home, often in a different part of the world. Their overseas property(s) may be part of their larger investment plan.
However, if the location is still affordable, people without this kind of wealth can also enjoy 'a second home in the tropics lifestyle'.
3. Buying for Rental Income
These investors are looking to create a cash flow stream through rental income. Vacation rentals usually provide a much greater rental income than other types of rentals.
This investor seeks out locations that attract a sufficient number of potential renters, such as foreign vacationers, travelers, and retirees. Of course, this investor needs to buy property where the return on investment (ROI) pencils out.
Sometimes, people who are retiring overseas, will also invest in a rental property in order to supplement their retirement income. Or they will rent out their property until they are able to retire there full-time.
4. Buying for Retirement Overseas
Investors in this category are typically 5-6 years from retirement. They are looking for property that will provide them their ideal retirement lifestyle - and one they can afford. This means these retirees must be clear on both their retirement budget and their retirement lifestyle goals. Then they can be sure that the property purchase will meet both.
Oversea retirees usually also look for locations that have easy access to health facilities and shopping centers as well as areas that are safe and have low crime.
And like everyone, they also want to buy a property that will appreciate in value.
5. Buying to Transform Your Life Abroad
These are lifestyle investors. They want to start a new life abroad and enjoy a different lifestyle. Some may be downshifting, while others will be embarking on new adventure abroad. Some of these investors need to keep earning money. Some can retire early, especially if they retire some place with a much lower cost of living.
This investor type is a pretty diverse group. A segment of this type of investor might also like to purchase income generating properties such as a B&B, hotels or rentals.
Without a clear understanding of the kind of property that best meets your investment goals, you are in danger of buying the wrong property, but thinking it is the right one.
It could be that you fit into more than one investor type. That is fine. But then you must be clear why you are buying a specific piece of real estate. Which investor hat are you wearing for that particular property?Only then can you adequately evaluate where the purchase will achieve your goal.
Which type of property investor are you?
There is real estate in Puerto Armuelles to meet each of these investors types.
You can start browsing some of the property for sale in Puerto Armuelles.
Before investing in property anywhere, you should read Reyn's article
Know Thy Self - What To Do Before Buying Property In Panama.
The good thing about Babbel is that it works hard to make sure you really learn the vocabulary in each lesson.
It focuses on 7 or 8 new words in each lesson. You hear, say, read, and spell each of those words. Multiple times in multiple ways.
However, I really did not enjoy Babbel.
I took lessons in 2 different Spanish courses: Shopping and Music.
Each lesson has a certain number of steps you need to take to complete it. While you can skip any one screen, you cannot skip around, and you never see a lesson overview.
I felt trapped in the lessons.
It was not dynamic, interactive (in the way I like) or engaging. It felt much more like learning from a book. I was almost immediately dismayed and bored.
Here are what the lessons look like. Click on any to see it larger.
Also, I never got the sense of where the lessons were taking me. Did I really need to know the words they were choosing to teach me?
I did learn how to read and write some words in both categories. But I wasn't learning how to construct sentences. It was unsatisfying.
Also, after using Rocket Language's excellent speaking component, I was very frustrated with Babbel's.
The microphone image in the 1st image above, is your opportunity to speak Spanish. Unfortunately, the method neither works well or is effective.
Babbel's voice-recognition system has issues.
The microphone turns into a green check when you say the word correctly. Or at least when the computer thinks you did. But you never hear the recording yourself. So you never know how you actually said the word.
I found Babbel's voice system of zero value, except as a way for me to practice patience.
It made me value Rocket Language's voice system even more. Rocket Language's excellent pronunciation feedback loop has been invaluable to me.
You can see my Spanish Rocket Language review here.
Check out the screenshots below to see the various Spanish courses that Babbel offers. When you sign up you can choose to do any or all of them. (click on images below to make larger)
You can check out the first lesson in each course for free. And you can do that for any of Babbel's 14 languages. You don't have to limit yourself to Spanish.
The price ranges from $7 - $13 a month. The longer you sign up for, the cheaper it is. $7 a month for 12 months, and $13 for one month.
If you buy the course, you have 20 days to get a full refund.
Yet another reason I like Rocket Language. You pay once, and you get a lifetime membership. Of course, you do have to pay more. But less than a year's membership with Babbel.
Once I review a few more Spanish programs, I will have to do a comparison of them.
If you only need to read or write Spanish, then Babbel could be a good choice for you.
You would have to check it out yourself at this link.
I am still very much liking Rocket Language (as you can tell by my comments).
To check out Rocket Language for free, go to their site here.
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On Monday, February 22, the Panama band, Afrodisiaco, is competing in a 2016 International Song Festival. They will be performing their song, Coming from Panama (Viene de Panamá )
Led by Miroslava Herrera and Tatiana Rios, they will compete in the folklore category, along with
Comes From Panama was selected from more than 500 songs to participate in the competition folkloric Viña del Mar International Song Festival 2016.
Comes From Panama is a new song with the atravesao drum beat from the Azuero region of Panama. The drum has its origin in Africa. It was brought to Panama during the 16th century when there was slave trade from Angola, Cameroon, Guinea, Congo and other territories. European influences that are rooted in the region such as the violin, mejoranera (inspired guitar) are incorporated.
The band members say they chose Aphrodisiac as their name because it evokes the desire for freedom of the black slave in America, says Herrera.
Among long-term goals, the group to record songs representative of the origins of black drum provinces of Colon, Darien and the Azuero region.
I very much enjoyed their song. I hope they do well in the competition.
Viva Panama!
Sources:
PanamaNewsroom.com
Youtube video description of video above
Currently, the only regularly scheduled event is Sunday afternoon horseshoes at the Tsunami Inn.
You don't need to actually play horseshoes to go. Some people, like me, go to socialize. However, players are very welcome.
And other expat get togethers just seem to happen.
For instance, on President's Day, we had a get together in Corazon de Jesus (see photos).
In this case, my husband, Reyn, initiated the get together.
Recently, a number of Americans and Canadians have been renting places in the Corazon de Jesus neighborhood. They said they they were interested in meeting people.
Reyn wanted to help them out.
He asked expats living on the beach there if they'd like to come to a BBQ potluck.
Most people loved the idea.
Lauren and Janet even volunteered the beach front house they are renting.
Thru word of mouth and emails, what was talked about on Friday, quickly became reality on Monday.
A potluck BBQ was born.
All sorts of folks came, both visitors and resident expats. It was a fun event.
In fact, I keep hearing from people up and down the beach who say, they wished they could have made it.
I didn't think to take any photos until we were leaving. It was getting dark then, so the photos aren't the best.
I know quite a few people here who would come to regularly scheduled events. We only need someone to organize more of them.
Perhaps a Wednesday lunch or dinner at Milton's Heavenly Hotel? It has A/C!
All it takes is for someone to post it to the forum and/or email the first few times, and then it would take off.
Who is up for it?
To help celebrate I made this very brief (22 secs) video of some Cherrie's Tanagers.
All sorts of Tanagers are very common in our yard.
These Cherrie's Tanagers were in the palm tree next to my office window.
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I get constant delight out of the bird life in Panama.
And so many other birds. I live much closer to nature here than I did in the States.
It isn't just birds. I watch iguanas from my living room, I see numerous toads, and a wide array of interesting looking caterpillars, butterflies, moths, and more.
Of and I cannot forget to mention geckos. They are nature in your house! I love watching them - plus they eat insects. I will have to do a video on them in the future.
I love living in nature here in Panama.
Do you have any thoughts to add on this topic?
There are 3 property tax exemptions available for titled property in Panama.
FYI: Property taxes are only levied on titled land in Panama. Right of possession (ROP) property is not taxed.
Under the new tax law, as of January 1, 2019, Panama offers full property tax exemption as follows:
Therefore, if the total value of your primary property (land and improvements) is under $120,000, it is fully exempt from property taxes.
Here is an example of how Panama's graduated property tax system works.
Scroll down to find out how property value is determined in Panama.
Find out more about Panama's 2019 property tax reform.
This exemption applies to farmland that meets both of the criteria below.
This means that if you live at your farm, you may want to subdivide so that your home is on a separate lot from the farm. That way, your farm would be used exclusively for farming and may qualify for the exemption. Also, you may have to reapply for the agricultural exemption every 5 years.
This exemption applies only to new construction, not to the land.
If the building permit was issued after July 2009, the following new construction property tax exemptions apply.
Remember, to get the exemption, you must register the property with the Exonerations Department at the Ministry of Economy.
From 1990 - 2009, Panama had a very popular 20-year property tax exemption for new construction of houses and condos. Actually, you can still benefit from it if you buy a home that is still within its 20-year tax exemption time frame.
However, you will have to pay property taxes on its increase in value. For instance, if the home was valued at $200,000 when it was registered for the exemption, that is the value that the property tax exemption covers.
If you then buy that property for $250,000, you will need to pay taxes on the difference, its increase in value of $50,000. Although, you can re-register the property in order to get the exemption to cover the new, higher value. Keep in mind the re-registering process takes at least 6 months and you will need to hire a lawyer to do the process for you.
The new construction tax exemption belongs to the property, not the owner. That means the exemption transfers to all subsequent buyers during the exemption time frame.
This property tax exemption is on new construction only. The land itself is not exempted. You must pay property tax on the land if its value is more than the exemption threshold.
See the "property tax rate" section below for more information.
Keep in mind, to receive the exemption, you must register your property with the Exonerations Department at the Ministry of Economy.
Ideally, you should do that immediately after you notify the public registry that you are the new owner of the property.
No one is going to come out and assess the value of your property for tax purposes. The Panamanian government does not employ assessors. It is assumed that the sales price is the same as the property's value.
In Panama, a property's sales price also determines how much tax you will pay. Which is one reason that sometimes the sales price that appears in the purchase contract is less than the actual sales price of the land. That way, both the new and old owner's tax bill is lower for Panama's various real estate taxes: property, capital gains, transfer, and more.
There is no need to look for a property tax exemption for Rights of Possession (ROP) property. You don't need one. ROP Property is excluded from property taxes. It is simply never levied.
In fact, ROP property is excluded from all land transaction taxes (capital gains, transfer fee, as well as property taxes). Learn more about ROP property in Panama.
The property tax you pay depends upon the value of the property as follows:
Primary Residence
$0 – $120,000 = Exempt
$120,001 – $700,000 = 0.5% tax
$700,000+ = 0.7% tax
Secondary Residence, Commercial Properties, Industrial properties
$0 – $30,000 = Exempt
$30,001 – $250,000 = 0.6% tax
$250,001 – $500,000 = 0.8% tax
$500,000+ = 1.0% tax
Prior to 2019, the property tax exemptions were as follows: 1st $30K of value - exempt, $30 - $50K - 1.75%, $50 - $75K - 1.95%, $75K+ - 2.1%. Condos were taxes at slightly different rates: 1st $30K of value - exempt, $30 - $100K - 0.75%, $100K + - 1.0%>
Panama's property tax is a graduated tax. That means that the property tax on your $250,000 house is NOT $1200 (i.e., 0.5% of $250,000). The correct yearly property tax bill would be $650.
Using the rates above, here are the tax calculations for a primary residence purchased for $250,000:
This adds up to a yearly tax bill of $650 for a $250K house.
Of course, if you have a new construction tax exemption, you would subtract that first before you started calculating your tax.
You will never get a property tax bill - ever.
If you forget to pay your bill, your 1st, last, and only reminder will be when you sell the property. Then you will get a big bill that includes all your past taxes due, plus a hefty fine.
Actually, it's more of a lien than a bill. You will not be able to transfer the title to the new owner until you pay that bill.
Find out more about taxes required when a Panama property is bought and sold on this page of our site.
Looking to buy Panama real estate, check out our property for sale in Puerto Armuelles.
Disclaimer: I am not a tax expert. Please consult with a Panama real estate lawyer for more information.
Last year, my 8 year old was NOT thrilled. My 13 year old enjoyed it. My husband (the guy in the photo) liked it alot. And I loved it!
I had the best time dancing to amazing blues music.
Read about our experience at last year's Boquete Jazz & Blues Festival.
It is less than 2 weeks away!
Here's a video preview of this year's Festival
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While the event is fabulous, the festival's website (here) is terrible. It is hard to find information on it.
I couldn't find links to their most important pages, like the festival line up page and ticket purchase page. But I persevered and uncovered those links eventually. I'll put them below.
On Thursday, Feb 25th at noon, the Festival kicks off with a New Orleans style street parade followed by a free concert at the town's central park.
The Festival really kicks into gear on Saturday and Sunday.
Here is the schedule and line up. For updates to the line up and program, visit the Festival's program page here. Acts are added often, especially on the 1st 2 days of the Festival.
If you don't book ahead, it can be hard to get a hotel room in Boquete. Last year, we went on Sunday and then stayed at Ciudad de David hotel (in David) that night. (FYI - David is 30 minutes from Boquete. Puerto Armuelles, our town, is 1 hour and 15 minutes from David.)
We are going to do something similar this year. We could drive home directly from Boquete, but it makes it more of an event if we stay the night. Plus we usually have something we can accomplish in David.
Also, its a good idea to buy your tickets ahead of time. They sell out.
To find out more about your ticket options and costs go to their website here.
To buy them online use this link here.
As you can see, the tickets aren't cheap. For me its a bonus that kids 12 and under are free.
The festival has a facebook page where they share videos and updates.
While I didn't find the official website super helpful, this site has lots of great information about the festival and related info. You might want to check it out.
If you are coming from another country or from Panama City, there are some good things to know about.
Festival goers can get a 15% discount on Copa airlines flights to either Panama City or to David. It is only for economy seats from February 20th - March 4th, 2016. Book your flight on Copa here. Use coupon code C6705.
This is especially good because Copa is now offering connecting flights from Panama City’s Tocumen airport to David's Enrique Malek Airport. International travelers used to have take a taxi from Tocumen to the Albrook airport to catch a flight from Panama City to David.
This development is wonderful, and so much cheaper for travelers. Used to be, if you flew into Panama City and wanted to catch a flight to David, given schedules and time needed to get to Albrook, you often had to spend the night in Panama City. So you had to pay for more taxis and a hotel room, etc. Even if you could catch a flight that day, you had the cost of the taxi ride to Albrook.
With Copa's flight to David you get to skip the taxi ride to Albrook and you are much more likely to be able to catch a connecting flight that day. Plus Copa's flight to David is cheaper than Air Panama's out of Albrook airport.
We love Copa! It is our family's favorite airline.
Technically, you can only fly from Tocumen to David's airport if you are connecting from an international flight. However, I have taken that flight without having arrived on an international flight. But I wouldn't count on being able to do that.
Not flying internationally? Take Air Panama's flight out of Panama City's Albrook airport to David's Airport. There is no festival discount available for that flight.
You can also take a bus from Panama City with other festival goers.
The details are on the flyer for the Blues Bus to Boquete.
I smile just thinking about going. It is my birthday gift to myself.
Maybe I'll see you there. Please come and say "hi" if you see us.
We will be the only family with both a young Chinese daughter and a blondish teenage daughter.
I'll most likely be dancing in front of the stage. 🙂
"When are going to put your Corazon de Oro properties on the market?"
The answer is very soon. In a matter of a few months.
Currently we are building an entry way to the property.
To give you a preview, I put together a short video on one of the beachfront lots.
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Walking out there, I am reminded just how beautiful a spot it is in.
I'll let you know when you can actually buy one. It will be fairly soon.
We are currently building an entry gate.
Find out more about these 19 lots, 9 of which are beach front, here.
