So instead of one long video, we are making 13 short ones.
We are producing the videos in them in alphabetical order, as follows.
(1) Almonds, 2) Bananas, 3) Cashews, 4) Coconuts, 5) Crioyos (native orange) 6) Eucalyptus (rainbow type - yes, not a fruit, but its leaves are useful), 7) Lemons, 8) Mangos, 9) Maracuya (Passion Fruit), 10) Nance, 11) Papaya, 12) Pineapple, and 13) Plantains. There are many more fruits in Panama, but these are the ones that grow in our yard, or right across the street.
In this 1st video, we celebrate the tropical almond.
Transcription of the video appears further down the page.
True Almond trees do not grow in the tropics. Panama's almond tree (Terminalia catappa) is not related to the true almond tree. True almond trees are the ones that produce the almonds we buy at the store.
The tropical almond tree got its name because its seed pods look like large unshelled almonds plus its seeds/kernels resemble almonds. It also goes by many other names: sea-almond, Indian-almond, false-almond, country-almond, and many more.
However, unlike true almonds, the outside of the fruit is also edible. Plus you don't have to cook the seed to eat it. Both the seeds and the fruit of the tropical almond are edible in the uncooked, raw state,
The tropical almond tree grows by the ocean. The tree can grow in sandy soil and is mildly salt tolerant.
This large, fast-growing tree can reach, on average, 30-55 feet tall. It has large bright green leaves that turn red before falling off. The tree also produces many small, white flowers which develop into fruits. The flower's scent is barely noticeable.
The tree will produce fruit and nuts within 3-5 years. Seasonally, you can harvest up to 11 pounds of nuts (shelled) from a tree.
It is a messy tree. Leaves, fruit, and kernels litter the ground underneath it. This can be a problem because the fruit contains high amounts of tannic acid so it will stain any paving, maybe even your car, if they are under the tree too.
Interestingly, the tree does not attract much wildlife. Some tropical ants like it. Fruit bats eat the husk. And bees are attracted to the blossom, but apparently, have a difficult time making honey from them.
It's all edible. (If you know the movie Rocky Balboa, you may recognize that line.)
The fruit has a pleasant aroma, but is not especially tasty, although it is edible. The fruit ripens from green to yellow to red and has very little pulp, but a very large seed kernel. The husk is corky, thin with green flesh inside.
The ripe husks of the fruit can be eaten raw and are best when young and sweet. Although when the fruit is ripe can vary.
The seeds have an almond or hazelnut flavor.
The waterproof nature of the tree’s wood makes its lumber ideal for canoes.
The leaves and bark are sometimes put in fish tanks to increase water acidity and reduce bacterial infections amongst the tank’s inhabitants.
Medicinally, the tree has had a myriad of uses in folk medicine for everything from sickle cell disorders, leprosy, nausea, diarrhea, and as a contraceptive.
However, there is research that suggests it might be useful in treating high blood pressure. Also, leaf extracts have some anti-diabetic and antioxidant properties.
There is much more fruit in Panama than the 13 we are covering in our "Fruit In Our Yard" video series. But only those 13 fruits grow in our yard.
The following Panama fruit do not grow in our yard (although most of them do grow in our neighborhood): Avocados, Breadfruit, Cacao, Grapefruit, Guanábana, Noni, Mangosteens, Momo chinos, Tamarindo, and more.
Up Next: Bananas. Check out the banana video here.
Betsy: Welcome to the first of our series: Fruit in Our Yard.
We're doing it alphabetically.
We're starting with almonds going through coconuts, lemons, nance, papayas, pineapple, and ending at plantains, and lots and between.
Right today, we're starting with Almonds.
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Skylar: Okay. So this may be cheating a little. It's a little out of our yard.
Betsy: It's across the street.
Skylar: It's across the street, but I think it's very interesting. This is an almond tree.
Blaise: It looks basically like a cashew tree, actually.
Skylar: I didn't know where almonds grew before I came to Panama. But given that I was five, it wasn't that unimpressive.
But yeah. So actually, here is one right now.
Blaise: They grow in little pods.
Blaise & Skylar: They look like this. This is a very under-ripe one.
The ripe ones are fuller and more spotted. Ripe ones are larger, yellower, more even, and they have some brown speckling. And as can see here, this has none. Maybe this one, this has one speckle, but it would be all over it and all these ridges would fill out.
But inside here. It's a little meaty on the inside. Then you have the seed, which is the almond.
Betsy: You should know that with the tropical Almond, both the seed pod and the seed are edible, without any cooking. Although it's quite the endeavor, especially to get the seed out, as the girls mention
Skylar & Blaise: It's pretty straightforward. Although, it might be a little more effort than it's worth than buying a bag. You should just buy 'em. Buy em.
The modern world is wonderful. Don't need these [raw seed pods] anymore. It's just a great tree though.
As you see...
Betsy: Join us next time as we explore the bananas in our yard.
Skylar & Blaise: Thanks for watching. Be sure to like comment, share, subscribe, and click the bell icon if you want notifications.
Betsy: For more information about tropical almonds and life in Panama. Click the link below. See you there.
You must carry 1 of these 2 types of identification:
And only those documents are acceptable.
The government wants to make sure you are in Panama legally.
Either of those 2 documents above will allow them to discover that.
Your Costco card or your US Drivers license won't cut it.
If you don't want to carry your passport around, you can carry a copy of your passport.
You only need to copy 2 pages:
The copies can be black and white or color. We think the color copies look better, more official, but we have successfully used black and white copies as well.
Occasionally, a checkpoint official may balk at accepting a copy of your passport. You can be confident that it is legal. If you respond with confidence and possibly talking with a supervisor, you will be fine.
Before we had our residency visas, we carried copies of our passports for years. We only had to resort to talking with a supervisor about the legitimacy of our copies once. The issue was quickly resolved, and we were able to proceed.
Driving in Panama? Carry Your License. While driving a vehicle in Panama, you are required to carry your driver's license. If you are a tourist, you need to have your driver's license from home. If you are a Panama resident, you need to carry your Panamanian driver's license. (Note: the law requires that you obtain your Panamanian driver's license within 90 days from the date your permanent residency visa is approved.) Find out about driving in Panama.
In Panama, the police can stop you at any time, for any reason, and ask you to show your ID. They do not need to prove probable cause or have any cause whatsoever.
If you don't have proper ID on you, you could end up in jail. And a Panamanian jail is really not a place you want to be.
Okay, going to jail is an extreme response. But it could happen. And I know of one case in which it did happen.
Twice an official has asked for my ID, and I had no ID on me.
I did NOT go to jail. Not even close.
Once they simply chided me and allowed me to proceed on my way. The other time I had to turn around and go home. So no big deal.
However, someone I know was sent to jail.
It happened late at night, outside a bar. He had been drinking and, according to others who were there, "acting out". I was also told that he was somewhat obnoxious about being asked for ID.
However, he was allowed to call a friend, who brought his ID to the station. He was promptly released.
(I strongly recommend you resist any temptation you may have to bribe your way out of a situation. That method doesn't lead to anything good in the long-term.)
There has been a growing anti-immigration sentiment in Panama, accompanied by occasionally stricter enforcement at checkpoints.
Keep in mind, the anti-immigration feelings are mostly focussed on Vensulians and other central and South Americans who are here working illegally. Regardless, it is better to be safe than sorry.
Carrying your ID is a pretty easy rule to follow. Plus it makes taking spontaneous road trips possible! ( I love spontaneous trips.)
For instance, a few times we suddenly decided to go to Boquete, unfortunately, we had to turn back because we realized that one or more of us didn't have our ID on us.
We live near Costa Rica, so to go most places we have to pass by a major border crossing - coming and going.
Our nearby Pasa Canoas border area is also a great shopping destination, so the hassle is generally worth it. (FYI - We live in the charming beach town of Puerto Armuelles, Panama.)
Make your time in Panama both legal and filled with potential spontaneous fun. Always carry your ID.
Enjoy monthly info on life in Panama. Sign up for our Living in Panama Newsletter.
Over the past several years, I have noticed a steady stream of expat musicians arriving in Puerto Armuelles. I am not exaggerating when I say that I have met at least 6 new expat musicians who have moved here in the past year or two. No doubt there are others whom I have not met.
One expat musician, as you will see below, is offering to teach adults the recorder.
In the Corazon de Jesus neighborhood, there are 2 really good guitar players who live side-by-side in remodeled Panamanian concrete block houses. This is of particular interest to me since I have taken up the guitar as my “old guy hobby”.
Just this past week, I spoke on the phone with a couple who are curious about venues for performing their music in Puerto. They will be visiting Puerto for the first time soon.
So far, we have not had any sort of “open mic” nights in Puerto like the ones in Volcan or Boquete. However, with the arrival of so many musicians here perhaps a regular open mic event could be organized.
I know that Heavenly’s Hotel (Now Big Daddy’s) did have a few musical performances by local expat musicians. However, such events were not regularly scheduled. I will talk to Dave, one of the owners of Big Daddy’s Hotel, to see if anyone has expressed interest in performing lately. Hopefully, Big Daddy’s would welcome such a regular event. Come to think of it, Dave plays the drums. He doesn’t perform, but he loves music.
In Puerto’s Coronado neighborhood there is a family of musicians, Melinda, Ingrid, and Melinda’s son Ramy. They all play guitar. However, Melinda’s passion is the banjo. Not surprisingly, Melinda, in particular, is very enthusiastic and knowledgeable about bluegrass music.
Some very good news is that Ingrid is offering recorder lessons for interested adults. She is a retired music teacher from Anchorage, Alaska. As I mentioned above, Ingrid also plays guitar.
The recorder is a great instrument for learning the basics of music. And you can take it as far as you want to go. Ingrid has brought a number of alto recorders with her to Puerto so that she can assist those who want to give it a try.
(FYI, a basic recorder is easily purchased in Panama since the recorder is taught to most students sometime during elementary school.)
With luck, maybe she can even get a little recorder ensemble together. That sounds like fun.
If you are interested in lessons, contact Ingrid Lindberg of Puerto Armuelles via Facebook.
I'd be interested in taking up the recorder again. Many years ago, my brother and sister-in-law, both musicians, gave our family an assortment of recorders. We brought them down to Puerto over a decade ago, hoping we would starting playing the recorder. But it never really interested our kids nor my wife. (I had played a recorder for a couple of years as a child. I can’t have forgotten it all, I hope.).
I am going to dig through our various boxes of “stuff” and find those recorders. Then, I am going to get in touch with Ingrid to start re-learning the recorder. My attitude is that it is never too late to start to play music.
If you are a musician, or if you are interested in getting started playing music, please let us know. We'd be happy to steer you to others in Puerto who share your passion.
Thanks for reading, Reyn
Interested in Creating Art?
Check out more happiness-enhancing hobby suggestions
It pleases me to be able to repeat what I said 3 years ago
“No. There are still no hurricanes in Panama”.
In fact, there has never been a recorded landfall of a hurricane on the isthmus of Panama, Central America.
However, back in 1969, Hurricane Martha, with winds up to 90mph, was sighted 100 miles off the Atlantic coast of the Veraguas Province of Panama.
This category 1 (1 is the weakest, 5 is the strongest) hurricane weakened to a “tropical storm” with winds below 50mph before it finally made landfall in a rural part of Veraguas and quickly died out. There was no significant impact on the human population.
That’s about it, as far as hurricane activity in Panama is concerned.
As for more current weather events, on a Tuesday in August of this year (2018), we experienced high winds in Puerto Armuelles. That night wind gusts of 30-35 miles per hour toppled trees around Puerto Armuelles and caused residents to be without electricity. Most areas only lost electricity overnight, a few areas were without power for a day or two, and in the beach neighborhoods of Corazon de Jesus and further out for a few days.
We had to hire a neighbor with a chainsaw for a couple of hours the following day, to remove one fallen tree from the roadway into Corazon de Oro. That was the extent of the damage to our property. This windstorm encouraged me to have some preventative pruning done to other trees, which were overgrown, or posed a risk to power lines or fences.
Some areas of Panama are prone to heavy tropical rains during the rainy season. Generally, these do not affect normal human activities. However, in places like Panama City, where rapid development has outpaced the municipal infrastructure, flooding can be problematic from time to time. We have never seen this first hand, we have only read about it in the paper.
In the Chiriqui Province, there are places with heavy rains, and on rare occasions, there may be a temporary road closure due to flooding. On one particularly stormy November night about 6 years ago, we were driving from David to Panaso Canoas in knee-high in water. The flooding occurred due to the culverts being clogged by a recent mowing of nearby vegetation. That night, soon after we crossed it, a bridge went out. No one was hurt.
One of the most dangerous places on earth for Hurricanes continues to be the southern and eastern coasts of the United States. The “Sunshine State” of Florida is one of the worst for Hurricanes. It is the worst on all counts: frequency, strength, duration, and damage to property.
As I've said, Panama City, Panama (and all of Panama) has never had a Hurricane. Meanwhile, it's namesake, Panama City, Florida, has the nickname "Hurricane City". Panama City, Florida has had a constant barrage of Hurricanes and tropical storms batter its beaches over the years.
In fact, since records of hurricane activity have been kept beginning in 1871, Panama City, Florida has been hit by 60 hurricanes or major tropical storms. That is a major weather event every 2.43 years, with a Hurricane every 8 years. The next predicted hurricane in Panama City, Florida is expected within this very hurricane season, which ends this month. That is too much hurricane activity for me, but I am a bit of a worrier.
If you were to look at a map of major Hurricane activity in this hemisphere, the map would look like a map of the southeastern United States. To be precise, Florida, Louisiana Mississippi, Georgia, Texas, North and South Carolina, Virginia, Maryland, Delaware, New Jersey, New York, etc all the way up to Maine. All of these areas are far more vulnerable to hurricanes than the Republic of Panama.
Thanks for reading.
Reyn
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The Living In Panama House is, in essence, is a big covered porch, wrapped around the bedrooms and the bathrooms. Compare this with a more typical construction of a house with a porch attached.
Depending upon the model you choose, up to 75% of the house is an open-air secured and covered porch.
Our design gives you the same cool feeling as being in the shade under a big mango tree by the beach.
You’re protected from the sun, and there is nothing between you and the refreshing breeze.
Being under a big shady Mango tree at the beach is as cool as it gets here. That is, unless you turn on the air conditioning.
We are positive about this.
There is a big beautiful mango tree on lot 6 of our Corazon de Oro property, where we check the temperature throughout the day. It is the coolest spot around.
Made in the Shade of A Mango Tree
Why is it so cool and comfortable under a big shade tree with a cool breeze blowing?
This seems like a silly question. We all know it’s true.
However, when designing the perfect tropical house, you must ask, “Why is it true?"
1st - Mature Mango trees provide a wide area of dense shade.
The dense shade of the Mango tree protects you from the sun. Not only that, it also shades the ground all around you. This means that the entire area under the tree does not heat up, allowing you to stay cool and comfortable.
2nd - Mango tree branches are high up, so they don't block the ocean breezes.
Because it can easily flow under the Mango tree, the breeze is free to work its evaporative magic upon your skin, keeping you cool.
And, don’t forget about the psychological effect of air movement. Air flowing over our skin, makes us feel cooler, even if the temperature hasn’t changed. This phenomenon is known as the “perceived” cooling effect.
What else can we learn from the Mango tree, so we can build a really great tropical house?
Actually, that’s it. The secret to building a cool tropical house, believe it or not, is not to ruin this simple formula: Provide deep shade and don't obstruct the cooling breeze -- Shade, air movement, evaporation, and perceived cooling.
Most builders botch tropical houses because they build the way they always have. They don't stop to think about context, about what produces a comfortable house in the tropics.
Expats' Thoughts On Their North American Style Homes
From various studies and surveys, and through our own observations, we have learned a lot about expats who live in North American style homes in Panama.
How does the Living in Panama House bring together all the elements necessary to imitate the cool, comfort beneath our big mango tree? Shade, air movement, evaporation, perceived cooling.
The mango tree has these going for it. What about the Living in Panama House?
1st, the Living in Panama House has wide, 5-foot roof overhangs. This means that, just as if you were relaxing in a hammock beneath our big mango tree, you are protected from the sun by this big, sheltering roof. It also means that no part of the Living In Panama House, except the roof, is exposed to sunlight. By keeping the house structure from heating up during the day, you don’t heat up. What’s more, you will stay cool and comfortable all night.
Now, back to our mango tree comparison: The leaves at the top of the Mango tree get very hot, during the day, due to direct contact with the sun’s rays. Since a mango tree has so many layers of leaves, all that heat is trapped; It never gets to you, napping in your hammock down in the shade.
In the case of the Living in Panama House, we actually have the mango tree beat here. The mango’s tree’s thick canopy requires tons of branches and leaves to provide shade down below. Obviously, this is not a good model for building a house; It’s an inefficient use of materials), By contrast, The Living In Panama House has a metal roof, and galvanized steel roof framing.
Metal roofing is the most popular roofing in Panama, so it is readily available.
2nd, our metal roof system is very lightweight, or low in mass, which means that the roof can’t store heat.
3rd, the roof has a dramatically energy-efficient roof color, white. A white roof can reduce surface temperatures by as much as 100 degrees Fahrenheit, compared to a dark roof color. This means those solar rays are reflected right back into space. This is known as the Albedo Effect. The end result: a significantly cooler house. To learn more about why a white roof is the best choice for a cooler house, check out this article on the Texas Smart Roof, here.
4th, the metal roof is strong. It does not rest on top of the walls the way it does in typical house construction. Instead, the Living in Panama House roof is connected to the walls by a series of steel columns. The steel column supports are welded to steel reinforcement poured integrally into the concrete walls. This is the strongest roof design we have seen here.
Our Living In Panama House roof system is special in another way too.
5th, there is ample ventilation space to allow heat to escape and daylight to enter. In our current model home, there is 132 lineal feet of open ventilation between the roof and the top of the walls. At 2.5 feet in height, this ventilation system provides 330 square feet of ventilation, high up where you want it. (By comparison, a big 3’x 5’ double-hung window offers about 9 square feet of ventilation). This is just one of our vent systems.
What’s more, this high vent is not only a perfect way for the house to expel heat, but it is also the ideal location for clerestory lighting. This design, allowing natural daylight to enter the house high up, completely eliminates the dark, cave-like feeling that is found in many expat homes in the tropics.
Our tropical sun here is extremely bright. Without the extra effort to balance the lighting, the contrast between the blinding tropical sunshine and the relative dimness of the indoors gives an impression of gloominess. The interior daylight of most houses here makes you feel a bit as if you were in a basement apartment in the States. I like spaces that are light and cheery, so I find the interior light of theses homes depressing.
6th, There is no space where the heat will get trapped. Beneath the Mango tree, there are no walls (no doors, nor windows either). Nowhere for heat to get trapped. The Living In Panama House is similar, in that there is almost no floor to ceiling walls except in the bathrooms and bedrooms. (However, the bedrooms and bathrooms also have tall windows and doors for light and ventilation). The breeze can circulate freely throughout all of the living spaces, constantly exchanging the interior air for clean, fresh air right off the ocean.
7th, Long and lean design to allow free airflow. Another advantage to our design is that the Living In Panama House is long and lean, so the breeze can easily pass through the entire house.
Wide, fat houses are a mistake here in the tropics. That style of house requires more walls, plus interior hallways to access the spaces deep inside the house.
8th, Gable roof acts as a chimney to release any heat build up. The gable roof of The Living In Panama House is perfect for cross ventilation. Both ends are open. The peak of this beautiful roof is way up there, nearly 19 feet off the ground. There are no drop ceilings (unless you add them). This means there is a vaulted ceiling sloping upward from 13 to 19 feet overhead. We all know that heat rises. Since heat is free to migrate naturally upward and then be whisked away by the breeze, The House stays cooler. You stay cooler.
I have always loved the look of the old Chiquita Banana houses with their half-hipped roofs. You have probably seen them on our website, or maybe you’ve already visited Puerto Armuelles and seen them there. These roofs are a classic. They are part of the historic look of Puerto Armuelles.
When we first arrived in Puerto, I thought I'd like to copy the look of the Chiquita era homes, including the half hip roofs, but with a few design tricks to make them more efficient. To be honest, it took me a few years to finally accept the reality that hip roofs are beautiful and historic, but they don’t work.
Hip roofs, even half hip roofs trap heat. Even when they have those charming little wooden vents on the half gable ends In fact, the attic of our own Chiquita Banana House heats up to over 150 degrees on summer days. Finally, I had to let go of my love affair with the Chiquita Banana half-hipped roof.
9th, the Living in Panama house is designed for big ceiling fans for those days when the wind doesn’t want to blow. Ceiling fans are an attractive and efficient way to move warm air up and out of the house. They are a classic, tropical look that dates back over a hundred years.
10th, the Living in Panama house is A/C ready too. Obviously, not everyone wants to live without air conditioning. Some days, you just feel like going indoors and sitting in the media room, or the office, or taking a nap in a truly “chill” space. For that reason, the bedrooms, office/media room, and the bathroom zones are all designed for air conditioning. The decision to create an air-conditioned “cool zone” is up to you. These zones can be as big, or as small as you wish.
11th, easy to enclose more space over time. With our Living In Panama House design, it’s simple to enclose more space. You could even enclose it all if you really want to A/C the entire house. However, we suggest that you live in your new house for a while to experience what combination of fan vs A/C fits your tropical lifestyle. Then, with our system, it is very easy and fast to add walls, windows, etc, if you decide to adjust the Living In Panama House to your needs.
We think you will enjoy living in a Living in Panama House. If a Living In Panama House fits your needs, please let us know.
We will send you its construction plans. They cost $250 if you are not buying one of our properties. The plans are free if you do buy a property from us.
Don't forget, if you buy one of our properties, we are here to help answer your questions about the LIP House all along the way.
If you have questions, please feel free to contact us.
Explore Corazon de Oro: The most beautiful beach properties in Puerto Armuelles.
We updated & expanded our Places to Eat page to include:
Click to see this expanded Puerto Armuelles restaurant info.
Discover information on more of Puerto Armuelles neighborhoods:
You can now find info on all these neighborhoods:
Plus there are more photos.
I will be adding more photos over the next few weeks too.
To see this expanded neighborhood info, click here.
We hope you find this expanded info helpful.
1. First, before you move, determine if Panama is right for you. To discover that, you should be clear on what you need to have in your life? What are the most important things to you? What will help make for a happy life?
If you go ballistic when the Internet (or electricity) is out and you cannot imagine life without readily available organic food or same day Amazon deliveries, you may need to rethink your desire to move to Panama. Be honest with yourself.
There are many wonderful places you could choose to live. It doesn’t have to be Panama.
Take our "Will Panama Make You Happy?" quiz to get a sense whether Panama is right for you.
2. Are you and your spouse/partner and/or kids on the same page? Your spouse's ideas about what he or she is looking for may surprise you. Your kids will be happier with the move if they feel you really listened to their thoughts and concerns. For a successful move, it is best to quickly get everyone involved in the decision process.
3. Manage your expectations. If you expect a trouble-free paradise, you will surely be disappointed. No place is perfect. No climate is ideal. No place is 100% crime-free.
4. Do you dream of finding a life partner in Panama? You may find one. But keep in mind, if you marry a Panamanian, there will be cultural and language challenges. For instance, when you marry a Panamanian, you are also marrying his or her family. Family is of paramount importance in Panama. Family members typically spend their Sundays together - all day. There is little buffer for cultural differences when you marry into the culture. The differences will be in your face, every day. To be happy, you will need to become accepting and tolerant very quickly.
Also, you should beware the Sugar Daddy/Mommy situation. That arrangement usually never ends well.
Successful Panamanian/Expat marriages can happen. I know a few expats who have been happily married for many years to locals they met after they moved here. But I know even more in which it was a disaster.
Of course, you may also meet a compatriot while in Panama and fall in love. Then you will encounter all the joys, trials, and challenges every relationship offers.
5. Panama is a different culture and lifestyle. The lifestyle issue is especially hard for Americans to come to terms with. The specific lifestyle issue I am taking about is convenience and customer service. If you are from the States, you are used to a level of convenience that no other country on earth offers. For example, many stores in Panama (and in many places in the world) are closed on Sundays. Also, in Panama and many other places, government offices close for lunch and many holidays. The entire country of Panama took the day off when the national team qualified for the 2018 World Cup. You need to get used to stores and offices being closed at inconvenient times.
Panama’s businesses are not set up to make the customer’s life easier and more convenient. It is something you need to get used to and plan for. Along those same lines, keep in mind that in Panama (and other places in Latin America and elsewhere) appointments and schedules are simply a goal, not a firm commitment. Expect to wait - not only to wait, but to wait without being annoyed about waiting.
6. Don’t drink and buy property. It can happen. You arrive in the land of palm trees, hammocks, margaritas, and cheap beer and your common sense tends to drift away. You meet a guy at a hotel bar, he buys you a few drinks. Then he's driving you around showing you property you could buy. “Look at that view”, he’ll urge you. “Feel that breeze. Boy, it doesn't get better than this. And, you know, there are only two lots at this price remaining. A couple of buyers are expected in town tomorrow. I'd hate for you to miss out…”
Would you buy a piece of real estate under those circumstances back home? A piece of property you are seeing for the first time, in a place you have never been to before? You need to do more due diligence when investing in a piece of property in another country - not less.
7. Speaking of buying property, there is no MLS in Panama. (Well, Panama technically has something called an MLS, but since the vast majority of property for sale does not appear on it, it does not function as an MLS as you know it in the States). In fact, only a handful of real estate markets outside the States have effective Multiple Listing Services. This means that your property search will not be very efficient, and that getting reliable information on comparable properties will be impossible.
8. Rent first. Don't buy property until you have made sure Panama is the place for you (and your companions). Even if you decide Panama is the right place for you, you may decide that a different area or neighborhood is a better fit. Renting gives you the time and flexibility to figure that out.
9. Panama might not be as affordable as you’ve heard. Where you live and how you spend will determine how affordable Panama is. For instance, Panama City used to be affordable, but not anymore. Like most major and popular cities in the world, living right on the water or downtown in Panama City can cost a lot. Expect to pay at least $1,200 to rent a decent place in the city (and that’s on the low end). In the high rent areas, your utilities and grocery costs will probably be more than you are used to paying back home, especially for items that need to be imported.
This doesn’t mean you can’t retire to Panama on a shoestring budget. You absolutely can. You just have to know how to do it. In most places in Panama, it is still very possible to rent a place for $200 - $500 a month. You can live well in many places in Panama on only $1200 a month. But you cannot do that in Panama City and it is harder to do in the more popular expat spots as well.
How and what you spend your money on also determines how affordable Panama is for you. See the next tip for more on that.
You can find more information on Cost of Living in Panama in various parts of Panama on my site and other places.
10. To save money you need to buy local brands. You have to learn to shop like a Panamanian. This means buying your fruit and vegetables from street venders. Not only will you save money on your produce, but it will be fresher. If you live in a small town where fishermen bring in their catch each morning, buy your fish off the boat, or at the local fish market. Again it is both cheaper and fresher that way.
Watch our video of buying fish off a boat in Puerto Armuelles.
If you insist on buying all the same food brands as you bought back home, you will pay more. Imported items cost more, more than they cost in their country of origin.
Also, Panama is not like the U.S., there is no Target or a Walmart where you can buy everything you need in one spot. You can do a lot of your shopping in places like City Mall, El Champion, and Discovery Center, where a they sell a wide variety of items. But you pay for that convenience. You may buy some items at PriceSmart (like Costco, but smaller), but other items at your local Romero grocery store, and still others from a street vendor.
If you learn what to do and what not to do, you can live well in Panama on a fairly low budget. Plus, you now have the time to enjoy the shopping experience.
11. Another thing about shopping, buying in bulk often costs more in Panama. In the States, if you buy a case of something, the per unit price will usually be less than if you simply bought one of those items. But not in Panama. (The exception to that rule is PriceSmart, usually, but not always).
I am not sure why. Perhaps the reasoning is that the person who can afford to buy in bulk can also afford to pay more. I know you might be shaking your head at that rationale. But Panamanians think about money and fairness very differently than most westerners. One of the many cultural differences you will get to know and, hopefully, embrace.
12. Your health insurance won't cover you once you leave the U.S. (and most other countries as well). Don't worry, you have options. Go to this link to start reading our series on health insurance in Panama.
13. Learn Spanish. Start now. Most Panamanians do not speak much English, if any. Yes, you can find English speakers at high-end hotels and tourist places, but in general you will not find much English spoken elsewhere. If you don’t speak Spanish, at least some Spanish, you will not only be frustrated, but you won’t be able to engage in the community and make friends with anyone but other English-speaking expats. Panamanian are wonderful people. It is worth the effort to learn to speak their language so they can be part of your life.
I review a few ways to learn Spanish online
14. You will regret your move - temporarily. There will come a time when you will frantically ask yourself, “What have I done! I must have been insane to leave my home and move here.” It happens to 98.7% of people who move overseas. Expect it and prepare for it. Remind yourself that nothing has changed. All the reasons you decided to move are all still true. You simply need to give yourself time to internally adjust to your new world.
15. Hire people to do stuff for you. What a joyful thought. You can now afford to have someone clean your house every week, or even every day. Don’t like yard work? hire a gardener to do it for you. It is pretty affordable. But it does have its challenges.
If you aren’t used to people making your bed and washing your dishes and clothes, it can take some adjustment. You may feel guilty or uncomfortable allowing others to do those things, especially if you are just hanging out while they are working. Think about how you will feel about lifting up your feet for someone to sweep under them while you are hanging out reading or chatting or watching TV. It can take some getting used to.
Then, there is the issue your maid putting your stuff somewhere you would never ever think of putting it. Breathe. It works best to simply learn where has decided your shoes should live. It is best to roll with these quirks of your workers. Focus on the big stuff, like learning about Panama’s employment compensation regulations, including social security payments.
Read more about hiring people in Panama.
16. Loud music is a part of life here. Stores will blast stereos in an attempt to grab your attention. Parties especially have loud music. I have been to a number of parties in Panama where the music was playing so loudly it was impossible to talk to anyone. A general chaos of noise is tolerated here. Once I was in a restaurant where both the stereo and the TV were blaring. I had to ask them to turn off the TV. We were their only patron so it was easily asked and complied with. But in general be prepared for loud music. This is something to keep in mind when deciding where to live. If you choose to live in a dense neighborhood, you may have to deal with loud music, especially if your neighbor decides to throw a party into the wee hours of the morning.
17. You will see lots of litter. It is common in Central America. Many expats visiting Panama will express their astonishment over the amount of garbage strewn on streets and beaches. Personally, I have seen many people simply drop their juice container or plastic bag on the ground when they had finished with them. In some neighborhoods in Panama City, people will pile their garbage in one spot, as if it were a collection spot, but it is not.
The good news is that the anti-litter forces are growing. In general, there has been a gradual change of attitude about littering in Panama. You will find more and more signs posted that admonish people not to litter. And more garbage cans are being installed in public places. Panama City has bought new garbage trucks and is increasing its collection range.
A friend of mine in Puerto Armuelles says that when her local school gave prizes for cleanest yard the whole neighborhood quickly became cleaner. The kids were bringing home the anti-litter lessons from school, and telling their parents. And thankfully, the parents started picking up litter too. And it seems that more and more people are coming together to pick up litter. Maybe you will decide to keep your street or beach clean, and encourage others to do likewise.
There has even been a growing push to recycle. I’ve started to see recycling bins in public places in Panama City, Penonomé, and David.
18. Stay in contact with friends and family back "home". Separation from family and friends is frequently cited as the hardest part of living in another country. Fortunately, technology has made it easy to keep in touch.
One good way to easily keep in contact is to have the important people in your life download at least 2 of the following apps to their smartphone.
Whatsapp is the texting/calling app of choice for almost everyone in Panama. WhatsApp allows you to call and text other people with WhatsApp for free. You do need an internet connection to use it, as you do for all such technology.
For live video communication, Zoom, Google Hangouts or Skype are good options. I especially like Zoom and Google Hang outs. If you are all iPhone users you could simply use FaceTime, which comes preloaded on all iPhones.
I encourage you to figure out how you will keep in touch before you move to Panama. Explore all the apps to discover which works best for you and your friends and family.
Find out more about cell phones in Panama.
19. Religion in schools. Religion is a part of the school system here in Panama - for both public and private schools. So, if you have school-age children, be mentally prepared for this. Whether you think religion in schools is a good idea or a bad idea, there is no escaping it (unless you homeschool).
Read about our experience with Panama schools
20. The customer is NOT right in Panama. You cannot expect to get the same level of customer service in Panama that you are used to back home. Of course, sometimes you will get great service in Panama. But it is best for everyone if you don’t expect it. Customer service is particularly bad at restaurants and retail stores. Service can sometimes be slow and seemingly unfriendly.
I think it is a cultural thing, graciousness is not necessarily emphasized in Panama. It is not that they mean to be rude, it is just that they don’t consider their actions rude. It is only rude through the prism of our culture. Of course, that doesn’t make it any easier or less frustrating to deal with. The real problems begin if you start to make a stink about it. If you thought that you had bad service before, you will most likely get worse service if you insult your server.
Keep in mind, bad service is not limited to restaurants and retail stores, you may also get it from businesses and governmental offices. If the electricity will be turned off because they are working on the lines, don’t expect any notification. They will just turn it off. It is usually only the expats that get up in arms about this behavior. The locals just shrug it off. The same is true of small businesses. For instance, if you hire a contractor they may show up late, or maybe not at all. They will not contact you about this.
You can treat the lack of good customer service as as minor annoyance or let it drive you up the wall. Most people adjust, but if you cannot, maybe Panama is not the right choice for you.
21. Need to make money? Come with a plan. If you are coming to Panama to retire on a fixed income, then this will not apply to you. But if you need to make money in Panama, it’s important to have a good idea of how you will make a living to support your lifestyle in Panama. Coming to Panama without a plan of action often ends in disaster.
There are a lot of money making opportunities for expats in Panama, especially if you are an entrepreneur. Just keep in mind that you must have a work permit, even if you only plan to work in your own business. (Note: If your work is solely online, you do not need a work permit.)
You may want to check out my articles about making money in Panama for more advice.
Think you will find a job here? Then you need to know that local salaries are low. Most jobs pay less than $1000 a month. Is that a workable budget for you? Of course, if you can find a multi-national or US company, with an office in Panama to hire you, you will likely get paid more.
You are unlikely to find a company to hire you and sponsor your work permit, unless you have a valuable skill to offer. Getting you a work permit costs them both time and money. In addition, the number of foreigners a company can hire is limited; most companies can only have 10% of their staff be non-Panamanian.
Also, if you are coming down here on job offer from a company, make sure to do some research first. Make sure that the company is reputable and that other expats have had good experiences working for them. You don't want to move down here, only to find that the job evaporated or the work permit never comes through.
22. Pay attention to your instincts. All your online research and calculations cannot substitute for the your gut reaction to being in a place. It is important to do research, but it won't give you the whole story.
I strongly recommend you visit Panama, especially the parts of Panama that most interest you, sooner rather than later. You will save yourself alot of time and emotional energy that way.
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Sources:
Our experiences, including being reminded of good tips by reviewing similar lists made by Kathleen Peddicord of Live and Invest Overseas and Chris at Panama for Real.
They also sell technology and accessories, such as:
Cell Phones, cases, chargers, power banks, routers, modems, mouse(s) (“Mice?”), all sorts of computer and electronic accessories, as well as watches and sunglasses.
You used to be able to buy clothing and shoes there too, but no more. It is only a cell phone/tech store now.
Repairs Available
They also do repairs on cell phones, computers, and watches. See below for more on the repair crew.
On the main street, 150 meters down from Romero Supermarket, on the same side of the street. (see map)
Open Monday - Saturday: 9am - 7pm. Closed Sundays.
Phone: 770-8024
I asked him how he came to name his business, Genius Place.
Where I come from, this would be an invitation for a lot of sarcastic comments.
Nextali explained that the name was “discovered” during the remodel of the building, before the store had even opened.
Nextali and the guys doing the remodel kept giving one another a hard time. “Oh thank you for passing me the nails…You’re a genius!” or “Hey Genius, can you help me move this scaffolding?” “No, you are the genius; I am but a humble assistant”, etc…
So that is how this useful and conveniently located store got it's name.
In 2003, Chiquita Banana Company closed its operations here in Puerto Armuelles for good. So, what does a company town do after the company has left the town behind?
Many people leave. But the loss of Chiquita Banana also enabled many entrepreneurs to start up businesses at bargain basement prices.
One such businessman is Nextali Montenegro, owner of Genius Place.
Nextali is from Paso Canoas, the town at the Costa Rica–Panama border, about 35 kilometers north of Puerto Armuelles.
Nextali's family has a long history in the retail business, having run successful clothing shops in Paso Canoas for more than a generation. After Nextali finished his university studies in business administration, he wanted to expand the family’s businesses into new markets. When he was 22 years old, Nextali saw Puerto Armuelles as the perfect opportunity to “get in on the ground floor.”
It has worked out well for him. Nextali owns the entire building where his shop is located, including the Uno Express courier service and the beauty supply store. So, as the market improves, Genius Place is poised to expand at their own pace. Genius Place has a second location in Bugaba, near the central park, and they have plans to open a shop in Volcan in the next several months.
Nextali is happy about the arrival of Del Monte in Puerto. Obviously, having so many new jobs in Puerto Armuelles is great for his cell phone business, since the cell phone, more than any other product, after food and shelter, is what working class Panamanians spend their money on. It’s the same all over the world.
Nextali has two employees currently. Joel Aparicio, 29, is a graduate in cellular and computer technology and repair. He can definitely answer any of the usual questions that customers may have.
Joel is always eager to improve his English skills by working with ex-pat customers. However, his English skills are just fine for communicating and assisting with any computer/phone tech questions.
Kevin De Leone is 30. He is also a tech “geek”. Both he and Joel have their own work desks where they solder and repair cell phones, and many other repairs that come through the door. Kevin is not an English speaker. However, his good nature is apparent. There is certainly an air of good will and cooperation in the shop, much of it due to these 2 guys.
To give you an idea of the kinds of products and services that bring me, personally, to Genius Place, here’s an example. The other day, when I went into the shop to do the interview for this article, I realized that I had a couple of cell phone related tasks to accomplish while I was there.
First, I needed a new battery for one of our cell phones. “No Problem”, I was told. Within 5 minutes the new battery was installed.
Then, I remembered that I also needed to buy a power bank for another phone, an old iphone with a battery that barely held a charge anymore. They had several power banks to choose from.
I also needed assistance installing internet data on my cell phone. Nextali took care of this for me.
The final task may amaze some of you, if you are even reasonably tech savy. I had installed Whats App on my phone, but I could not remember how to use all its features. (To be honest, I forgot how to use WhatsApp completely.….I know. My wife Betsy, and especially my two daughters, give me no end of grief for being so technologically hopeless).
“No Problem”, I was told. Nextali explained to me, once again, all the features and how to use them. "Pan Cocido" (A piece of cake). Better yet, if I had asked any of the women in my family for help, they would have given me such a hard time for being such an “old fuddy duddy” that it would not have been worth asking for help. Nextali didn’t tease me once.
Check out Genius Place next time you need help with your technology.
Read my wife's article to get the basics about your cell phone and service options in Panama.
Find out more about life in Puerto Armuelles. Sign up for our monthly Living in Panama Newsletter.
But, yes, there are real estate-related taxes in Panama.
In this post, I cover real estate-related taxes as follows: property, sales, transfer, capital gains, rental income, and gift taxes in Panama.
As you may have heard, Panama has radically revised its property tax system. It goes into effect on January 1, 2019.
Through 2018, if your Panama property is valued at or under $30,000, your property is completely exempt from property tax. In 2019, that exemption surges up to $120,000.
Learn about the current 2018 property tax rates and rules
Since most property in Panama is valued at under $120,000, most real estate in Panama will have zero property tax. Keep in mind, this exemption only applies to your primary residence.
Own 1 Property? If you only own one property in Panama, regardless of anything you own outside of the country or how much time you spend in Panama, Panama views that property as your primary residence.
Own Multiple Properties? If you own more than 1 Panama property, all but your primary residence will be taxed at the investor rate (see below). This rate is still a 50% reduction from the old Panama property tax rate. And even those properties enjoy an exemption on the first $30,000 of value.
Primary Residence Property Tax Rates
A property tax example. Say you buy your house for $350,000. You would pay property tax on $230,000 ($350,000 - $120,000) at a rate of .5%. Which means you would owe $1,150 in property taxes a year.
Investor Property Tax Rates
This "investor" rate applies to secondary residences, commercial and industrial properties.
A property's registered value is the same as the sales price. The registered value will only get updated when you sell the property. Panama has no property assessors.
ANATI is the government department that keeps records of a property's registered value. Keep in mind, only titled property is registered; and therefore, has a registered value.
Right of Possession (ROP) properties do not pay property taxes. And most property in Panama is ROP..
Most people don't title their ROP property because of cost. Not only does it cost money to title, but once you title, you are required to pay property taxes.
Learn more about ROP property.
For many people, especially Panamanians, there is little reason to title their ROP property. Titling means they will have to pay a lawyer and the government a chunk of change. And then property taxes every year after that.
But the Varela government really wants to rid Panama of its informal ROP property system. It wants to modernize its land system to include better centralized tracking and to allow for better protections of property owners.
Enter the new property tax law. The new law slashes property tax rates. Most critically, it exempts properties valued at up to $120,000 from paying any property tax whatsoever. As I've mentioned, the vast majority of real estate in Panama is under $120,000.
The Varela government is doing all it can to get property titled. It has even created mobile ANATI offices to travel around Panama to help ROP property owners to title their property. Time will tell how effective the new property tax law & government efforts are at nudging people to title their ROP homes.
Panama is also under pressure from the World Bank and other lending institutions to do a better job at collecting the millions of dollars of unpaid property taxes.
Given that Panama does a terrible job at collecting property taxes, it won't be hard to show improvement.
Many, maybe most, property owners in Panama don't pay their property taxes until they sell.
That is only time the government tries to collect property taxes - at the point of sale. At that time, the seller not only has to pay all unpaid property taxes, but all the fines accrued for the late payments.
Notification of Taxes Owed
Of course, not paying your property tax in Panama is an easy thing to do. Property owners never receive a bill or reminder to pay the tax. No instructions are given on how to pay property taxes at the time of purchase. So unless you remind yourself, it is easy to forget to pay. (FYI Panama property taxes are due 3 times a year: April, August and December.)
Starting in 2019, Panama will likely try to develop some kind of property tax-notification system. The easiest way, for those with a mortgage loan, is to partner with banks to notify owners.
However, most expats do not have mortgages. And given Panama's lack of a postal system, it is unclear how property owners with no mortgages will be notified of their tax bills. The electric company in my town, slips my power bill into my fence. But that does not seem like a viable option for ANATI. And regardless, it is certainly not a good "system". (Find out how to pay your utilities in Panama)
Panama’s has had a famous tax exoneration law.
In 2008, it allowed for a 20-year tax exoneration for properties which were built prior to January 1, 2012. Then, in 2012, the tax exoneration rules changed. You could get a property tax exoneration for houses or condos built after 2012. But not a 20 years exoneration, depending on the price, the tax exoneration varied from 5 to 15 years.
Panama's tax exoneration program ends on January 1, 2019; the same date the new property tax system comes into play.
However, if you own a property that is currently built and has an exoneration, then you are good.
And if you buy a property that has a tax exoneration, you are good too. The exoneration remains with the building, not the owner. So it can be transferred from one owner to the next.
Keep in mind, the tax exoneration only applies to the improvements or construction. You will still need to pay taxes on the land.
As far as registering improvements, you need to file the value. This is done as part of the construction permit process. That is what constitutes “mejoras,” (improvements). Improvements can still be exonerated from taxes, but the filing must be done before the law changes in 2019.
Remember, after the exoneration law ends, $120,000 of your property's value will be fully exempt from property taxes.
As I mentioned above, the seller must pay any unpaid property taxes upon the sale of the property.
At the time of purchase, the following taxes must also be paid:
The capital gains tax is a little complicated. The seller will initially be charged, and must pay, 3% of the sales price. After this payment, if 10% of the actual gain is less than 3% of the sales price, the seller can then apply to the government for a refund for the difference. However, getting this refund takes time. But I know of people who have been successful.
Technically, you are supposed to include your capital gains as part of your income tax return. But that is not generally done, and you will not be penalized for not doing so.
(FYI Most expats do not file an Panama income return. You are only required to file an income tax return if you earn income in Panama. Keep in mind, income earned online, even while you are in Panama, does not count as income earned in Panama.)
Using A Corporation
If you form a corporation to buy or sell property, you don't pay a title transfer and capital gains tax.
However, you are then required to pay a 5% share transfer tax. Tax-wise it is usually a wash. You effectively pay the same amount of tax. And you lose out on getting a refund if your capital gain is less than 3% of the sales price.
In addition, you also have to pay to create a corporation and then pay an annual fee to keep it current. However, as in every country, you do gain protections from having your property in a corporation's, rather than in your own, name. (Read about the dangers of buying from a corporation)
Purchase The Corporation Instead?
If the property is owned under a corporation and the registered value of the property is significantly lower than your purchase price, you should consider purchasing the corporation. This is because, for tax purposes, the registered values do not update when the shares of the corporation are sold. Of course, this only applies if the corporation only owns the property you are purchasing.
If you rent out your property, you may need to pay tax on the income.
Rental income is taxed at the following progressive rates.
However, if you own a hotel or condo-hotel in one of the special “tourism zones,” you may be exempt from income tax for 15 years.
Deductions. Panama does allow the following deductions when calculating your rental income.
The inheritance tax does not exist in Panama. It has been completely abolished.
However, there is a gift (inter-vivos) tax on properties located in Panama.
The gift tax rate depends on the degree of relationship between the donor and the donee. You should speak with your lawyer for the details. This tax does not apply to gifted property located outside of Panama.
Overall, Panama real estate taxes are low. You can make them lower, if you pay your property taxes on time. Then when you sell your property you can avoid paying late fees. Another tax saving is to pay the whole year's property tax at once. Then Panama will give you a 10% discount.
If you are an American, you can avoid double taxation, use loop-holes and more by reading this article on how buying and selling real estate in Panama can impact your US taxes.
Buying Panama real estate can also help you qualify for one of Panama's best visa programs, the Friendly Nations Visa. This visa program allows you to get your permanent residence quickly, as well as gives you a shot at becoming a Panama citizen in 5 years.
Please note: I am not a tax accountant. While I strive to make sure everything in this article is up-to-date and accurate, you should consult a knowledgable tax accountant when making your tax-related decisions.
