Costs of Property Management in Panama
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Property management is an important consideration and a key factor in the success of an investment in Panama. Bad property managers will cost you money in the form of lost tenants from unresponsiveness and general negligence, so it is important to have a trusted partner for property management services, especially if you do not live in Panama. The cost of property management in Panama is generally 10% of the gross rental income, and most property managers will cap that amount after a certain level.
The costs of Property Management in Panama
There are different levels of services provided by different property management agencies. For the purpose of this article, we will only refer to property managers on long term rental properties (more than six months).
The property manager will generally act as the owners representative in Panama, meaning they will be responsible for collecting the rent, paying the building association fees, handling routine and emergency maintenance issues, and dispersing funds to the owners. We do not advise owners to act as property managers if they are not in Panama, as this may have an adverse effect on response times for major issues that need to be addressed immediately.
Costs for long term property management generally range from 8% – 12% of the gross monthly rent
Kent Davis, founder of Panama Equity Real Estate, is a leading expert in Panama’s competitive real estate market. Originally from Honolulu, Hawaii, he holds a Marketing Information Systems degree from James Madison University. After a successful corporate career managing multimillion-dollar inventories at Hajoca Corporation, Kent pursued his dream of living abroad, moving to Panama in 2007.
Driven by an entrepreneurial spirit, he established Panama Equity to connect buyers, sellers, and investors with Panama’s top properties. Known for his transparency, expertise, and market insights, Kent has helped hundreds navigate Panama’s real estate landscape. Fluent in Spanish, he frequently publishes market reports to empower clients with informed decisions.
Beyond real estate, Kent is passionate about Panama’s culture, landscapes, and surf-friendly beaches. He lives in Panama with his wife and three sons, embracing the vibrant lifestyle the country offers.
