International Living Panama Insider April Edition

PANAMA INSIDER ! What You Need to Know About Living in Panama (FOR SUBSCRIBERS ONLY)

Life is Good in the "Hamptons of Panama"

Jessica Ramesch

Editor, Panama Insider

Why Everyone Loves Coronado…and You Will, Too

April 2009 Panama City, Panama Dear Panama Insider, When I first moved back to Panama as a teenager, I loved being invited to Coronado. It was the best place to see and be seen. All the cutest boys had houses there. Our parents let us run around unchaperoned, because it was safe, and quiet, and so small that some neighbor would snitch on us if we did anything wrong. Today, Coronado is still the place to be, but it's taking on new life as the community grows and becomes more international. I went back for a visit and could not believe my eyes. A shining new McDonald's at the entrance seems to say: "get ready for real growth." New restaurants are actually full of people…speaking in all types of different accents. And yet the tranquil, beachside feel I remember is still very much there. For expats living in Coronado today, these are the golden years—that magical in-between time before growth really takes off. It's no longer dead on weekdays but the holiday crowd is far from teeming. And though there are no massive malls or cineplexes in sight, I was amazed at how active the community had become. There are mahjong clubs, karaoke bars, charities, art classes, yoga studios, golf tournaments…so much more than you'll find in any other beach community this close to Panama City. Can you make a life here? Read on and you'll see the answer is "yes." Also this month, you'll hear from two expats who live and do business in Coronado. Sarah Booth, profiled in our feature article, discovered International Living by chance on a trip to Singapore. She lazily picked up a copy for something to do. Next thing she knew, a world of possibilities opened up before her eyes…one that would take her to Mexico and then to Panama. Find out how she makes a living on the road and why, after eight years of traveling, she decided to call Coronado home. And in Coronado: Fertile Ground for Growing a Business, Jamuna Burry talks about starting a business in Coronado. You'll find yourself wishing you could follow in her footsteps…not a problem, since Jamuna tells us exactly what types of businesses she thinks are needed here. Read on for more about the many, many possibilities for life in Coronado. Thanks for reading, Panas. Best regards,

Jessica Ramesch Editor, Panama Insider [email protected]

P.S. Do not forget: I look forward to seeing you all in Panama this August 6-8 for the Live & Invest in Panama Seminar. If you've been wondering whether Panama is right for you, it's time to take that next step. Join me, along with the rest of International Living's Panama experts. The current world climate makes this a perfect time to consider Panama. Find out why, and much more, right here. Remember, as a Panama Insider, you are entitled to a special discount. Act soon and you can get in on an early bird discount, too.

© www.PanamaInsider.com – April 2009 1

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Volume IV, Issue 8 April 2009 Panama's Best Beach Community: Coronado................................................................................. 3

The Four Major Pros.................................................................................................................. 4 My Perfect Life in Coronado ...................................................................................................... 5 Finding the Perfect Property ...................................................................................................... 7 Where to Go For Fun and More............................................................................................... 10

Coronado: Fertile Ground for Growing a Business ..................................................................... 11 Panamanian Banks Were Something of a Challenge ............................................................. 11 You Can Do It, Too .................................................................................................................. 12

Email of the Month: Getting a license in Panama.............................................................................. 13

Maps courtesy Google Maps and Coronado Golf & Beach Resort

Coronado is less than an hour and a half by car from Panama City, between the beach communities of Gorgona and San Carlos.


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Panama's Best Beach Community:

Coronado

By Jessica Ramesch

The sun sets on another tranquil day on the beach in Coronado…

The sun is shining as we drive around Coronado, taking in the town. The houses are impressive, and it seems all of them—from the mansions to the sweet beach cottages—are surrounded by exotic red palms and delightfully bright flowers. We roll by someone in a golf cart and he gives us a friendly nod. There are couples holding hands, kids on bicycles, even joggers with their designer dogs trotting alongside them. The overall impression is one of a sleepy resort town that's awakening, a place where a world of possibilities is open to the potential expat or entrepreneur. It all began more than 60 years ago, when the family run development of Coronado Es Vida began selling beach property to Panama's elite. Slowly it grew from a village to a town and, in the 1980s and '90s, this was the place to see and be seen on weekends or summer break. But outside of summer and holidays, it was very quiet, with caretakers and other household employees making up the bulk of the resident population. Now that's all beginning to change. Over the past decade, Panama has gained popularity as a foreign relocation destination. Many expats moved here in search of beach property and realized that Coronado was the best option. After all, Coronado has the area's best infrastructure and it's under an hour and a half by car from Panama City. Best of all, the beach—a mix of bright white and glittering black volcanic sand—goes on for miles. Most of the time, you‘ll have big stretches of it all to yourself.

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The Four Major Pros Why does Coronado draw more expats than any other beach community? " The "Arco Seco" gets less rain: The Coronado area and its beaches are collectively

known as the Arco Seco or "dry arch." The name came about because the region, which arcs over the Pacific, gets less rain than other areas of the country. Locals have a saying: "if you don’t like the weather, just wait five minutes." That's because when it does rain, it's usually only an hour or so until the sun comes back out.

New clinic yet another draw for

potential expats

Photo courtesy San Fernando Hospital Residents visit the new clinic on inauguration day Coronado has always been a popular beach destination, but the long-awaited San Fernando Clinic has really sealed the deal. The 24-hour clinic opened its doors in October of 2008, and is equipped to offer a wide range of services. Its modern medical equipment allows X-rays, CAT scans, Ultra Sounds, lab tests, and even cosmetic surgery (all of which used to require a trip to Panama City). A full time dentist and ophthalmologist also work out of the clinic, which has English-speaking doctors on staff.

" The community keeps getting better: Expat and local residents will tell you: it's striking just how much the community has developed over the past five years. It's getting more international and every new transplant brings ideas for fun activities or new businesses to serve residents' needs. There are opportunities for community service and social outings, and activities ranging from tennis to Mahjong to golf (and the golf club here features a championship course designed by Tom Fazio). There's even an Olympic pool and an Equestrian Club.

" The business opportunities are endless:

Where there is a growing expat community, there are opportunities for business. Visit and you'll begin having ideas, too. You'll meet many expats who have successfully started businesses and are happy to share what they learned along the way. Take for example Starr McCamant, a seasoned expat who created Finca La Maya Center for the Arts, where she holds events, workshops, courses…any gathering you can imagine. And then there's Sarah Booth, who started a short-term rental company and Jamuna Burry, who created a community website. All these entrepreneurs have been very successful.

" The cost of living is low: At little beach

shacks like La Posada you can still have a meal for $5 or less…camarones al ajillo is shrimp smothered in butter and garlic, and served with a side of fried plantains for $4.95. A burger is $1, a steaming bowl of traditional sancocho, a chunky chicken soup, is $2. At the newest Mexican restaurant, Cholo's, warm freshly made nachos are under $2 and local beers are just $1 each. At the local San Fernando Clinic, a consult with an English speaking doctor is $35…that's 50% what you'll pay in Panama City.



My Perfect Life in Coronado

Sarah (above left) enjoys margaritas with a friend at Cholo's restaurant.

Sarah Booth is a successful rental manager and a seasoned expat. She says she is thrilled, after eight years of moving around, to finally have found home. We sat down to talk to her about her life in Coronado: Describe a day in your life in Coronado. For me a perfect day here starts with a cappuccino at Barry and Louise's. (That's not a café, it's my next-door neighbors' place!) After that we might all have a swim and I may even stay for lunch…sometimes we cannot stop talking. After lunch I slip into meditation mode and take a walk on the beach, and then go home to work. During the day I take breaks to chat with my caretakers, feed my parrot, and maybe even take another swim. I often receive surprise visitors—contractors, friends, clients from my rentals in the city—they all tend to stop by as my door is always open. At the end of the day, I look forward to seeing my wonderful masseuse, who makes house calls for $25. After an hour-long massage, it's either popcorn in bed or an evening with friends. Be it an impromptu barbecue or a big pig roast, it seems there is always something going on... What made you choose to live in Coronado? I am from Canada, and I had a great life there. I learned a lot about rental management back home and I wanted to travel and use my business skills in other countries. First I lived in Mexico, which I loved, but then I settled on Panama because here I feel like a pioneer. The short-term or vacation rental industry is a fairly new segment in Panama. There is a shortage of hotel space and still, so many people come here on business or to invest or retire. I enjoy having an interesting portfolio of clients and being busy. It doesn’t hurt that Coronado has a full service medical clinic with 24/7 emergency services and qualified medical personnel. Plus it is a very safe, gated community…but not a stuffy one. I also like that it's a mixed population—there are expats and locals, so it doesn’t feel like "gringolandia” Finally, I love to travel and Panama is a very convenient hub. From Panama City, I can be in Ecuador or Nicaragua in under two hours. How do you keep busy? For my business I put in eight-hour days. For fun I play golf (I am participating in a tournament in a few days) and I am learning to surf. My neighbors have a huge patio/dance floor, stereo system, flashing lights, disco balls and a vanilla flavored fog machine, so I go dancing a lot, too! The great thing about rental management is that my work is flexible, and I can put the computer away whenever a friend shows up at my door.



During the day I love to make early morning trips to the beach and buy fresh fish and seafood straight from the fishermen. If I am not in the mood to cook, it doesn’t matter because there are lots of great restaurants. Most of us expats are very involved, and so we always have activities to look forward to…charity events, dinners, tournaments, etc. What is the best thing about living in Coronado? Definitely the friendships…with Panamanians and expats alike. I wasn’t planning to live in Panama—I purchased an apartment here for my rental business and broke my foot while visiting. You could say that everything happens for a reason. With my foot out of commission, I had to stay for a while. My Panamanian neighbors brought me groceries, dim sum for breakfast, even a plastic chair so I could shower. The support and friendship was overwhelming. When I was finally okay to travel, it was too late—I was hooked on Panama. I also find the expat community much more interesting than other foreign countries I’ve lived in. Everyone has a story and is doing something proactive---be it running a business or volunteering. The expat community is also growing in nearby beach towns such as San Carlos and mountain areas like Altos Del Maria. Coronado feels like it’s right in the middle of the action. Finally, business has been good here. With a little perseverance, I was able to find great apartments. I knocked on doors, talked to security guards, and bought directly from owners. I bought mainly older apartments that required refurbishing and now I have two apartments in Coronado and five rentals in Panama City, plus two units that I manage for friends. I have completed three renovations and six furnishing packages. What a learning experience! Tell us about the cost of living…what did you spend the last time you bought groceries? Well I don’t spend much on fruit as I get most of mine for free, from my garden or from friends and neighbors. Right now it is mango season, and you can literally take your backpack with you when you go out and find them everywhere. And I nick limes from my neighbor's tree all the time (I hope he doesn't read this). Today I spent $40 on groceries, and that included: 4 packs of cigarettes 2 bottles of Australian wine 1 bottle of champagne An extra-large bag of carrots Cream cheese Eggs A 1/4 chicken Plus, I got jumbo shrimp from the local fishermen for $5 a pound, and $5 worth of fresh tuna (which was enough to feed seven people for dinner). The corvina or sea bass is just $1.75 per pound. Even the fresh calamari is cheap. And there are road-side stands where I buy coconut when my tree is depleted. They are just $0.50 each, so today I bought six. My caretaker Luis got out his machete and cracked them open so we could fill a big jug with the cool water. Are there any challenges expats should be aware of? Beware—you will forget how to iron clothes and wash your own dishes (I have). On a serious note, the only thing that comes to mind is the traffic in Panama City. I find driving there a challenge and emissions controls are not enforced as well as I’d like. What advice would you give to others who want to move here? Do it. If you need to work, use the skills you already have. I learned that buying, renovating and renting properties here isn't too different from doing it back home. Sure, the language and culture are different, but if you have the skills and a positive attitude, you can go far. To contact Sarah about her rentals in Coronado or Panama City, or to see photos of her properties, visit www.panamaholidayhomes.com.




Finding the Perfect Property

While in Coronado we met Kaye Ashbridge and Jody Hessler of Concept Panama. These expat entrepreneurs are relocation advisors. Together with their partner Jorge Roldan, a licensed realtor, they have helped many expats through the relocation and property purchase process. They have a network of contacts they recommend to ease the transition, whether you need an experienced builder to build your dream house or just the 411 on who makes the best margarita in town. Kaye explained that much of Coronado lies within a large gated area dominated by the Coronado Es Vida development. New property purchases here (non-resales) come with a lifetime membership to the Coronado Golf Country Club. There is an activation fee plus $200 per month dues. That gets you unlimited greens fees, access to beach club and all activities, as well as access to the hotel restaurants and bars, tennis courts, gymnasium, and spa. If you pay your bill on time (within 30 days) you are also entitled to a 20% discount on all food, retail, and beach rentals.

We stopped at the immaculate club/resort to have cool drinks at the poolside bar and check out the modern gym and spa. Then we set out to see some of the many properties available. Some of the more inexpensive ones include a single family home on a quiet street for $185,000. It features three bedrooms, two baths and a large front porch. It also comes with air conditioning units, a fountain, a barbecue, and landscaped gardens. In a building called Coronado Bay, an oceanview condo will be

completed in October 2009. The one-bedroom unit, on offer for $189,000, is a spacious 1,000 square feet. With two baths, walk-in closet, and a balcony with panoramic views of the Pacific Ocean and mountains, the condo has much to offer. The building does, too…it features a social area, sauna, gym, pool, and lounge area on the garden rooftop. It also comes with four levels of covered owner and visitor parking, 24-hour security, private beach access, and optional property management services. .


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political leaders, writers, entertainers, and businessmen from Panama and around the world. Visit and you can't help but be overwhelmed by the natural wonders of this magical place as you swim, go fishing, snorkel, or explore the island’s 13 beaches.

Villa 14 at Contadora represents a unique opportunity. Enjoy excellent year-round weather, unspoiled natural beauty, privacy, safety…and your own turnkey villa…for only $225,000. Play, relax, unwind, recharge…in your own tropical paradise. Contact: [email protected].

This home features a large porch and carefully

landscaped grounds.

Condo for sale in Coronado: Enjoy this view for just $189,000

A two-bedroom duplex is also for sale in the Equestrian section of the Coronado Es Vida development. The 1,700-square-foot, two-story duplex is on a quiet gravel street close to the Equestrian Club. It is a three-bedroom, two-bath home but also features separate maid's quarters with bath. Each Equestrian duplex shares a backyard pool with one other duplex. Asking price: $198,000. Need a bit more room to spread out? A newly constructed home just four blocks from the beach sits on a quarter-acre lot and is approximately 2,900 square feet. It features three bedrooms, three baths, and a large open kitchen that's tiled in a bright apple green. The large terrace is accessible from the living room and guest room. Sit here and enjoy the backyard and pool, or cross over to a hammock on the bohio, where you'll find an additional bathroom. Lighting, fans, and air conditioning are included. Also comes with laundry and maid's quarters with separate bath. Asking price: $295,000.

This bright, spacious home comes with a large terrace (above left), and bohio

and pool (above right), and is just five minutes walking distance from the beach.



Coronado will impress you with the amount of mansion-like homes available for purchase. One of these offers especially good value in the luxury bracket. It's a three-year-old home that comes with a $624,000 price tag…and luxury furniture, appliances, and finishes. The five-bedroom, four-bath home is a two-story structure, with master bedroom and private balcony on the top level. It has a pool with swim-up bar and outdoor shower, a barbecue area, and an enclosed garage. It even comes with a detached casita (can be used as an office or staff or guest house). A long list of extras come with the purchase—stainless steel appliances, flat-screen televisions, and imported furniture, including high-end outdoor furniture. Membership to the Coronado Golf & Beach Resort and Coronado Equestrian Club is also included.

This home comes with a hefty price tag, but high-end furnishings and

a country club membership make it a good value.

There is also plenty of land available in Coronado. In the Coronado Es Vida Equestrian sector, lots start at $66,000 for about 6,500 square feet. Another plus: the Coronado Es Vida group offers 20-year financing—good news now that banks all over the world are tightening requirements for home loans.

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The Best New Find in Panama

Today, this place is known by a small section of Panama’s elite, who keep weekend retreats here, and kite surfers who gather for a competition once a year. The elite don’t want the road to come. They want to keep this place all to themselves. But work on the new road is slated for completion this year. Once complete, you will be able to drive to Punta Chame from Panama City in an hour... and the frenzy of construction that has taken place on every other stretch of Pacific coast close to Panama City will begin here. Be a part of it. Contact [email protected].

For information on these properties contact Kaye and Jody: Panama Cel: +507-6679-1663 or +507-6694-3331 U.S. Direct-dial tel: 786-507-8192 Email: [email protected] Email: [email protected] Web: www.conceptpanama.com Within a 30-minute drive of the Coronado town center, there are smaller beach towns where you can find excellent bargains. Two beach areas that are particularly worth visiting are Las Lajas de Coronado and Gorgona, both just a short drive from all the amenities Coronado has to offer.



Take for example this $70,000 home just three minutes by car from Gorgona beach. The eight-year home is just over 1,000 square feet and sits on a lot of about 6,500 square feet. Features include a covered carpark and terrace.

If you prefer to not be in the town center, this home may be for you.

Where to Go For Fun and More

There are many restaurants in Coronado, including Cholo's, a Mexican restaurant. Here prices range from $1.75 for home-made tortilla chips and salsa to $4-$7 for tacos, burritos or fajitas. Margaritas are just $3 and national cerveza is just $1 a pop. Carlitos is an Argentine restaurant featuring empanadas and a large variety of thin crust pizzas. You can also choose your own toppings and get whole wheat crust instead of white. Perhaps the most expensive is Luna Rossa, an authentic Italian restaurant where entrees range from $7-$12 (the pizzas are a local favorite). Activities in Coronado aren't limited to eating and drinking, though. There is the expat-owned El Sueno Art & Wellness Gallery where you can view exhibits, learn about art, consult a specialist on holistic healing, or just attend a yoga class. Coronado residents are looking forward to a new mall that should be completed this year. The Coronado Mall will be located at the entrance to Coronado and will feature everything from banks to dental offices to supermarkets.

And while expats in more remote areas of Panama have had to home-school their children, Gorgona resident Kathy Kress decided Coronado needed a bilingual school. Kathy had worked on a new international school project before and decided to use her knowledge in Coronado. Her facility is located just 15 minutes outside Coronado in a neighborhood called Nuevo Gorgona. The school, dubbed Panama Coast International School, has just 18 students, but Kathy has plans to make it grow. For information about these activities, Coronado news and more, visit www.PlayaCommunity.com. Of course there are many beach and water activities like surfing and fishing, and much more, including karaoke, expat association activities, races and horse shows…the list goes on and on. And there are many nearby beach towns that offer fun activities and ritzy resorts. If you're in the mood for a change of pace, though, make the drive to El Valle. A crater-town, Ell Valle is just under an hour by car from Coronado and has a great deal to offer. Enjoy the cool valley weather, natural pools and waterfalls, artisan markets, hiking trails, canopy tours, and much more…you can even see a rare species of golden frog that is only found in Panama. Stop for lunch at the most famous restaurant/hotel, La Casa de Lourdes. Nearly everyone you ask will recommend this spot for gourmet food and tasteful Tuscan décor.


Take over this business: If you'd like to have your own business in Panama, here's an option: A popular Coronado restaurant is for sale for $480,000. The land is over a quarter acre and the restaurant comes with a two-bedroom, one-bath home with living room and kitchen. The dining area for customers comfortably fits 54 people, plus a large bohio outdoors easily accommodates an additional 32. For information contact: Phone: 6679-1663 or 6694-3331 US Direct 786-507-8192 [email protected] [email protected] www.conceptpanama.com


Coronado: Fertile Ground for Growing a Business

By Jamuna Burry Jamuna Burry owns www.PlayaCommunity.com, an English-language website popular with expats in Coronado. We asked her to discuss the potential for new business in the fast-growing expat market.

When I moved here from Canada, like many other expats, I wanted to continue working. I noticed that Coronado was undergoing a change. For many years, Coronado has been known as the Hamptons of Panama, so to speak—a place where the Panamanian elite comes to vacation. But, as more expats continued to move here, the community was becoming more active. I realized that we needed a news and information portal to help keep people in the loop. That's when I set about creating www.PlayaCommunity.com.

Photo property of www.PlayaCommunity.com From jewelry studios to yoga institutes: Business is

booming in Coronado. Starting a business here begins

with a visit to a lawyer. It cost me around $1200 to get a corporation set up and my annual corporate fees are around $500. When doing business in Panama, a good legal firm is your strongest ally. Your lawyer will help you keep up-to-date with employee deductions and sales taxes, and can often recommend other professionals, such as bookkeepers to keep track of your sales. Legal Corp (www.legalcorppanama.com) is the legal firm that helped me stay on the right side of Panamanian law. My representative there, Jose Alejandro, speaks fluent English and has been helpful to me in a number of matters.

Panamanian Banks Were Something of a Challenge Opening a business account takes a little elbow grease, as Panamanian banks are very meticulous. They require new clients to have paper work in perfect order and this includes good references from your home bank. I did learn that it was easier to set up my business account with the same bank that handled my personal one, and that it helped to have my lawyer guide me through the process. My business is internet-based and I do the majority of the work myself, with the help of a bilingual assistant. There are many well educated, English-speaking Panamanians looking for work. I found I could hire professional help for my website for between $400 and $600 a month. In addition to legal and labor expenses, my other major expenses turned out to be server fees, off shore programmers, and advertising. This can run me anywhere from $600 to $1500 a month. My server is hosted with a U.S. company, and when I need additional help, I hire programmers or designers through a freelance site, www.elance.com. Here I can post a job and receive bids from workers around the world. Payment is placed in escrow and paid out on completion of milestones and deadlines.



Luckily for me, many of the Coronado expats are willing to work on a freelance basis in order to keep retired life interesting. By interacting with them and the community, I am able to keep the site updated. I attend community meetings and make sure I know about residents' concerns. Over the past couple years I have made connections with many interesting people who do business here and been the first to learn about new businesses and services. Now I spend most of my working time outside on the patio with my laptop. Looking up at lush, tropical garden rejuvenates me. For a break, I take a dip in the pool or walk my dogs on my favorite stretch of beach. I save on office expenses and live in shorts and sandals year-round.

You Can Do It, Too People here are always excited when a new business or service opens in Coronado. New businesses mean more choices for the full-time community and less trips to Panama City. The increase in activity is highly visible. Three new commercial plazas began construction last year, a number of stores have announced they are opening branches, and a new McDonald's opened in January. New services that have set up shop include an international school, a yoga institute, an art gallery and school, jewelry studios, inns, restaurants, and a Mail Boxes, Etc. store.

But still, there is room to grow and there are many niches that have yet to be filled. Here are a few ideas for you to consider: " People like clean clothes: Long- and short-term visitors are always asking where they can

do laundry. Even full time residents like me would use a Laundromat or wash-and-fold service. Along those same lines, there is not a single dry cleaner here. We take bed linens, curtains, and fancy dress items to Panama City.

" Movies are always in demand: There are many informal movie exchanges here but there's

no actual video rental store. Rather than buy movies from Amazon.com, residents would like to be able to rent videos they can watch on their big-screen televisions.

" Give us a place to hang: A new sports bar with pool and darts would go over well. People

here could use a "hang-out" bar where they can shoot pool, eat chicken wings and watch football games on nice big-screen televisions.

" Everyone likes a bit of variety: Although there are a few Italian and Mexican restaurants,

we could certainly use a greater variety. Greek, Indian, Thai…anything that offers a variation would be welcome, as most of the restaurants here serve different versions of the same thing.

" Even small towns need delivery: Although there are some good pizza places here, none of

them deliver. I am certain there are expats who'd be thrilled to have a delivery service. " Think about the future: Coronado will need special services for its aging population. There

are many baby boomers moving here and that translates to a growing need for everything from in-home care to shopping services.

A final tip: Whether you come to Coronado to work or play, the fastest way to integrate is to get out there and meet people. You can do this by consulting the events calendar at www.PlayaCommunity.com to find out what’s happening. Attend any of the many events and you'll find yourself building a network of contacts almost instantly. While Coronado possesses a fertile business environment, there is much more than profit to be found here. When my husband and I moved in, I felt like I could finally breathe. Life is still lived at an easy pace, the community is close, and the climate is perfect. To quote a local developer: Coronado Es Vida…"Coronado is the life."



Email of the Month: Getting a license in Panama

Live & Invest in Panama Panama City, August 6 - 8, 2009

You can live on $1,500 per month…retire with the world’s best retiree benefit program…or invest in one of Latin America’s most lucrative property markets. At the 2009 Live and Invest in Panama seminar, International Living will show you the broadest spectrum of lifestyle and property options you've ever seen. Don't miss this opportunity to attend our only Panama event of the year at a discounted rate…read more and sign up here.

For more information on these or any International Living Event, e-mail [email protected] or call 1-866-381-8446 or 1-877-291-0246 (Toll-free in the US and Canada). Don’t forget that as a Panama Insider, you are eligible for discounts on these events…and if you sign up quickly, you can get an Early Bird discount, too.

Dear Panama Insider, We're trying to get some basic information about the rental market for three-bedroom apartment in Panama City. It's our understanding that rentals are in short supply and great demand. Because our apartment is in the financial district, we hoped to rent it out on a long-term basis. But the management company we contacted expects us to furnish and equip the condo to the finest detail (including upscale furniture, dishes and silverware). We believe this will cost us an extra $30,000 or so. We didn’t budget for this as in the States we usually equip an apartment with white line and leave the rest to the tenants. What is the normal arrangement for long-term rentals in Panama? Thank you for your help, Frank and Linda

D

ear Frank and Linda,

Long-term rentals vary greatly in Panama and the law gives very few guidelines or limitations, basically allowing owners and tenants to work out the details as they see fit. For example, my apartment came with nothing...no a/c units, ceiling fans, hot water heater, curtains or blinds, appliances, shelves…you get the picture. I accepted this because the apartment was very spacious and the rent was very low ($500/month when I moved in for four bedrooms). Most apartments for rent include at least partial white line and/ or water heater, plus air conditioning units and/or ceiling fans.

How much do you hope to charge? Expat and head of Pathfinder International Margaret Summerfield advises: "The price on long-term rentals varies depending on how furnished the unit is. I have been quoted three different prices for the same apartment; $850 a month with nothing; $1000 a month with white line; and $1250 fully furnished. If you want to rent to expats long-term, most are looking for fully-furnished. Panamanians are more flexible and happier to rent completely unfurnished. Check today's prices for long-term rentals on www.encuentra24.com.

"Long-term rentals will give you less income than short-term rentals, which are doing particularly well...90% occupancy on average (with a good rental manager) in the last year/eighteen months. Check out Panama Casa www.panamacasa.com for prices on short-term rental, it is one of the most successful rental managers." Another thing: even though long-term rentals are very much in demand, there are many apartments available for $1500 and up per month. You will have some competition if you plan to charge in that bracket. Best regards, Jessica Ramesch Editor, Panama Insider



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