Panama’s Property Market suffers due to Economic Global Downturn
Panama’s real estate market relies heavily on foreign real estate investors. However, because of the nationwide corruption and the global economic downturn across the globe, foreign investors are refraining themselves from investing on the real estate markets the country has. The real estate market is experiencing lack of buyers or clients. Not only that but property developers and construction firms are hit hard by the unaffordable raw materials so much so that they had to either tone down on their projects or worse, stop these ongoing projects altogether. One of the proposed solutions to counter or at least alleviate these problems of Panama’s real estate market is the crackdown of corruption all over the nation. This is heavily supported by the nationals, government-affiliated or not. If there is less or no more corruption, the foreign investors would most likely be attracted once again to the real estate market in the country. Gabriel Diez, Panama’s housing minister, has made mention on his recent report that the condominium market, a part of the real estate market, is heavily affected by this economic global downturn. This is because this part of the real estate market in Panama heavily depends upon the influx of foreign real estate investors and not so much on the other parts of the real estate sector. One of his suggestions to lighten the effects of the economic global downturn in Panama’s real estate market is for the developers and construction firms to switch from using high cost housing materials to the low cost ones. This way, they can lessen their expenditures. If this happens, then Panama will not at all be hit heavily by the economic crisis that currently is making other countries suffer. Included in his report is pleasant news that Panama’s government is finding ways to clean up the process of buying property in the country. This will most likely build up the confidence of many who are into marketing real estates. A lot of foreign investors complain on construction firms and develops being late on finishing projects. Most of them do not follow deadlines and would even keep hold of properties if real estate buyers pay later than the set deadline. The beefing up of the Consumer Protection Authority ACODECO (Autoridad para la Proteccion al COnsumidor y Defensa de la Competencia) will be put into effect soon enough to clean up the messy real estate buying process. Lastly, operations to crackdown corruption will also be enacted. Altogether all these will lighten the supposedly heavy effects of the global downturn many countries’ economies experience, especially that of Panama’s.
Panama's Real Estate Market 
