Are residential property prices erratic in Panama?

Panama's residential property price movements remain erratic, amidst increasing demand but weakening residential construction activity in the country. Table of Contents

What are the rental yields in Panama?

In Panama City, apartments offer rental yields ranging from 4.83% to 8.87%, with a city average of 6.78% in Q2 2024. In Panama Oeste, one can get rental yields from apartments between 5.41% and 6.71%, with a city average of 6.13%. In Coclé, apartments offer gross rental yields from 6.26% to 6.42%, with a city average of 6.34%.

Are Panama's rental yields still good?

Panama's gross rental yields are still good, despite having declined over the past few years. The average gross rental yield in the country stood at 6.42% in Q2 2024, not substantially different from 6.52% in Q1 2023, according to recent research conducted by the Global Property Guide.

How much does the Panama Canal expansion cost?

The US$5.25 billion expansion of the Panama Canal, which began in 2007, has experienced cost overruns amounting to US$1.6 billion. But the expansion, which started operations in June 2016, has doubled the Panama Canal's capacity, with wider and deeper lanes and locks, and a new lane of traffic allowing more and larger ships.

How much does an apartment cost in Panama?

In El Cangrejo, known for its vibrant nightlife, hip bars, restaurants and cafes, and busy casinos, prices currently range from US$1,500 to US$2,800 per sqm. In Cinta Costera, a 26-hectare land reclamation project in Panama City, apartment prices vary from US$2,000 to US$3,200 per sqm.

What happened to Panama's economy in 2020?

During 2020, Panama experienced a deep economic recession, with real GDP contracting by a huge 17.7% - the first decline since 1988 and the country's worst economic performance in recent history. Despite the pandemic-induced recession, trade wars, and the suspension of the cruise industry, transits through the Canal remained more or less steady.