Rent before you commit to buy.

 Think of buying real estate in Panama the same way you would when purchasing jewelry or art.  Years ago a jeweler gave me a very good piece of advise.  While many jewelers will tell you that you are making an investment when you buy gemstones or expensive jewelry, the fact is, that if you decide to sell that investment at some future date, there may not be a market.  He said buy jewelry because you love it, because it is worth the price to you that you have agreed to pay and because you are going to enjoy the purchase.  Do not buy it with the idea of making a killing on the sale at some future date.  I give you the same advise on Panama real estate.  Traditionally, Panama real estate has had no resale value.  Ask any local.  They own the first piece of property they ever purchased and not always because they want to, but because they cannot sell it.  Despite the recent boom in the real estate market, some things remain the same. The same laws that look so friendly going into a purchase, work to your disadvantage when you go to sell.    The major one of these disadvantages is the 20-year tax exemption and another is the preferential mortgage rate for new construction.  Both these laws make selling older properties difficult.  I will not say impossible but definitely difficult.  Further, look around you, especially in the city, new buildings are going up daily and every one of them is competing for the same purchaser. Rent short term, plan to buy long term.