by Astrid Chang 
Through Executive Decree No. 722 of October 15, 2020, the Permanent Resident Permit was created as a Qualified Investor for real estate investment in Panama (with extension until October 16, 2022).
This permanent resident permit for reasons of economic solvency for real estate investment applies to any foreigner who invests a minimum amount of US$300,000 in real estate and proves that the funds proceed from abroad, according to the National Migration Service (SNM).
In the case of the permanent resident permit for reasons of economic solvency for opening a fixed-term deposit. This permit applies to any foreigner who invests the minimum amount of $300,000 dollars in fixed-term deposit assets and who proves that the funds proceed from abroad.
In both cases this permit will be for a term of two (2) years, after this period the applicant will be able to opt for permanent residence. If you wish to include dependents you must add to the investment made the sum of $2,000 for each dependent, which can be justified by local bank reference.
What are the requirements?
The Ministry of Commerce and Industry (MICI), from the National Directorate for the Promotion of Investments, in a press release states that the requirements for real estate investment consist in presenting a certification from the Public Registry of Panama that proves the property ownership, a certification from the National Land Titling Authority that proves the property value.
For real estate investment by means of a promise of sale contract, an authenticated copy of the promise of sale contract of the real estate property (s) duly registered in the Public Registry is required. At the same time, the original document or authenticated copy of the trust contract must be provided, in which it must be established that the totality of the amount given in trust will be disbursed in partial payments related to the payment of the obligations assumed by the trustor by reason of the promise of purchase and sale celebrated with the real estate company.
In the case of reason of investments made through a Securities House with an approved license by the Superintendence of the Securities Market of Panama, a certification issued by the Securities House with a license approved by the Superintendence of the Securities Market of Panama is required, stating the name of the investor, amount of the investment, the detail of the securities held, as well as the entity that holds the securities. Also an authenticated copy of the resolution that grants the entity, license of the Securities House, issued by the Superintendence of the Securities Market of Panama, where the applicant’s investment account is maintained. Certification issued by the Superintendence of the Securities Market of Panama in relation to the registration of the securities corresponding to such investment.
For investment in a Fixed Term Deposit in the Banking Sector, a copy authenticated by the issuing bank of the fixed term deposit certificate is required, indicating the holder, value and term of the document; certification from the bank stating the existence of the deposit, its holder, value, term, that it is free of encumbrances and that the funds come from foreign sources.
And for proof that the funds used for the investment come from abroad, a letter from a foreign or local bank certifying the remittance of funds is required. If the document is issued abroad, it must be legalized by a Panamanian consulate or by apostille. In this sense, the statement of account of the foreign bank, duly stamped and legalized, a notarized letter issued by the recipient of the funds, or original bank certification confirming the deposit or transfer and that the funds come from a foreign source, must be attached.
Advice for your investment
We are Activentas, your real estate ally with a solid track record of over 40 years in Panama. Our team of professionals have extensive knowledge of the real estate market and will provide you with the advice you need to find the best option for the purchase of properties with a view to acquiring your permanent residence for real estate investment in the isthmus.
We have allies in the legal field that will support you in your permanent residency process with the National Immigration Service (SNM).
Contact us at (+507) 213-7777 or (+507) 6616-7776 / or at ventas@activentas.com.
