Panama, Casco Antiguo
Buying real
estate in Casco Antiguo is a research intensive task. It is about information
(of course) but also about gut feeling. A mix between what you want and what
you can afford plus what is out there that could make a good match.
So, what to look for? Where is the best, less risk investment? Am I looking for
a home, for a retirement or vacation apartment, or for a project? So many
things to consider.
Questions can pour like rain, but focus is your best ally. And always, always,
go back to basics. So here it is, your own guide to get organized and analyze
each opportunity:
1. Home vs Investment?: This is a very important question. Home owners
look at things differently, more detailed. Investors may be focused only on
appreciation and cashflow. So many times it is a combination, where you are
looking for a vacation home that you can rent now and live in later. Having
these scenarios sorted is extremely useful.
2. What is your Wish List? : This will give you a starting point.
Take a piece of paper and write it down, all the things you would like. As you
research, you’ll start cutting things out, it is normal. Especially when it
comes to the financial part of the analysis!
3. Pre Construction or Existing Unit? : it all depends on your personal
needs. An existing unit is great because you can already see it, walk it, rent
it (if it isn’t rented already) and you might get some locations that might be
very difficult otherwise.
However, keep
in mind most early projects (mainly before 2001) in Casco Antiguo had a
different quality than current ones. The market back then was not as
international as it is now, so unless the owner re selling the unit lived in it
and made some important changes most likely you’ll have a closed kitchen, plain
finishes and in some cases your ventilation won’t be as good.
Modern pre
construction designs offer better finishes, beautiful layouts and since they
will be delivered within 2 years, they’ll be worth far more than when
you signed them. Depending on the project you may even have central air
conditioning or central gas, a choice for parking and some might even offer
storage space. Also, developer prices reflect the current market. Owners of existing units tend to price using a different criteria.
4. One or Two Bedrooms, View or no View?= Budget: Now we are getting to an economic issue. Two
bedrooms offer you more flexibility and views definatly add value to your unit
forever. But as these type of apartments come in a truly “Limited Edition” they
tend to be more expensive.
Meditate
about where is your “top case scenario”.
There is always a ceiling for a purchase. Of course it will highly depend
on the unit and your gut feeling, but this is the most defining factor on your
capacity to acquire a unit that has all the items in your wish list. Think
about what is absolutely important for you. Sometimes you can get the view, but
it will be a smaller apartment or maybe more expensive than what you want to
spend. Sometimes you’ll get the space and the parking for the price you want,
but not with plaza or water views. What is really important for you?
Also,
remember financing is always available if your credit is good. Banks in Panama tend to
require a lot of paperwork, but they do provide credit to foreigners!
5. Location? Ten
years ago, when Casco started to develop most buyers wouldn’t look past First
and Second Street.
Today, the strongest area is actually 10th
street. One street per year!.... well… almost! So don’t
worry about being on the “right address”. There is no right address, it is all
Casco Antiguo. It is all protected and will all appreciate. Think more on terms
of how you feel when you walk this or that area. Research about what is going
on around it in terms of projects, future hotels, etc. Open yourself to new
corners, take a fresh look at those
streets that right now look like the movie “Black Hawk Down” but where there
are several projects going on.
6. Final Advice: follow your gut feeling. Walk around. Imagine. Do you like how you
feel about the area right now, before it changes? Then you are ready to make a decision in
Casco Antiguo.