Condominiums in Panama: the best investment plan to obtain high returns

Panama is a beautiful city and is the favorite destination for tourists. However, if you make an effort to book hotel rooms in Panama City, chances are you won’t get a single one! So, new hotel condominiums are being developed here, but the demand rate is even higher. Therefore, condominiums in Panama are a great investment option, since the demand for hotel rooms in Panama is higher and growing, and the available inventory cannot meet the demand for rooms. In recent years, due to the avalanche of tourists, the real estate market in Panama turns red hot. Condominiums in Panama have had a boom in the real estate market. Invest first and then capitalize at least fifteen annual percentage points or even more by investing in condominium units in Panama. Rubén Blades, Minister of Tourism, released a report stating that the city needs a lot of new construction to meet tourist demand, which in turn will attract and grow tourism in the country.

What are condominiums?

Condominiums in Panama are like regular hotels, however, each hotel room, i.e. the condominium unit can be owned by an individual owner, while in traditional hotels there is usually only one keeper of the entire property. building.

Owners of condominium units commonly enter into an agreement with a management company to “operate and manage” the services of the hotel and each of the individual condominium units. This is done on a revenue share basis, with anywhere from one-half to three-quarters of the rental proceeds going to the owners of the individual units. In addition, some Panama condominium management companies also pool the remaining annual net operating profits with an additional percentage that is distributed at the end of the operating year to the owners. So if you plan to vacation in Panama where you own a Panama condo unit, that would be an added bonus.

Through conventional real estate investments, you typically seek to cover your monthly maintenance and mortgage costs if financed and expect to produce positive monthly cash flow and profit from the property’s amplified value over the time you own it. Through Panama condominiums, all these problems are taken away from you. All these everyday problems are taken care of by the competent management company that manages the hotel, and you don’t even have to think about it.