
What follows in this 2024 Panama real estate market forecast are the trends and issues my real estate agents and I are watching. Some of the trends we are following will conclude this year (presidential elections in both the US and Panama). Others will most likely not play out for another 5 years or more (what is to be seen of Panama’s nascent convention center business, how the mining stoppage will affect us, etc). But all of the trends are likely to influence Panama’s real estate market for better or worse.
The Top 5 Panama real estate trends we are following in 2024 are:
1. The Economy
2. The Elections
3. Property Rental Prices
4. Hot and Cold Property Markets
5. The Panama Luxury Real Estate Market
It’s the Economy. But Not The Panamanian Economy
For the longest time, it was always said that “when the US sneezes, Panama catches a cold.” The US is, of course, one of Panama’s closest allies. We expect this relationship to remain strong in 2024, although former president Varela and current president Nito Cortizo have both played the China card to try and gain some leverage on the US. To no avail.
The US-Panama relationship has always meant tourism, foreign direct investment, and a general good feeling by Panamanians towards Americans.
That’s not likely to change, regardless of the upcoming 2024 elections in both countries.
At the start of 2024, things are looking pretty rosy for the US. The stock market is on another bull run, real estate values are still near historic highs, and unemployment in the US is low.
But inflation, consumer debt, the cost of healthcare, and a widening partisan divide are starting to stifle the American Dream.
1,000’s of Americans have already left and we believe there are tens of thousands planning on leaving.
The main Reasons Expats are Considering Panama Include:
- Healthcare Costs
- Politics
- Housing Costs
- Crime
Similar issues are playing out in Canada. Namely, an unsustainable cost of living and unaffordable housing.
From neighboring Colombia, we are seeing record visa applications in 2023 on the heels of an election that brought Gustavo Petro to power.
Crime, poverty, and economic stagnation have marked Petro’s time in power, and many Colombians have brought their families, their businesses, and their capital to Panama.Even expats from countries such as Chile and as far south as Argentina are going to be considering a move to Panama in 2024.
Local Trends To Pay Attention To In Panama
2024 is an election year in Panama. As has been the case for the last 20+ years, all of the candidates are fairly moderate and stay pretty close to the center. The left-leaning Suntracs (workers syndicate) candidate always runs, but never receives much attention.
The incumbent party has never won an election, and 2024 is not likely to be a repeat for the PRD. We are watching the Lombana/Chen ticket which features an Independent for President and a 3rd generation Chinese-Panamanian. That combo could stage an upset against the current front runners of (former president) Martin Torrijos and (2nd place finisher in 2019) Romulo Roux.
2024 Panama Presidential Candidates

Former President Ricardo Martinelli faces challenges to get on the ballot due to a checkered past and ongoing lawsuits.
If Lombana wins, it could be disruptive, serving as either a political disaster or a groundbreaking victory for anti-corruption efforts.
Sadly, corruption is so baked into the political system in Panama that few wheels move without the greasing of bribes, and it’s not likely that 5 years will change anything in the long run.
But we march on!
Unemployment leading into the last quarter of 2023 was hovering around healthy levels (4-6%). We are hearing that 2024 is going to be a tough year for the labor market though.
What Could Happen to Rent Prices in Panama City, Panama in 2024?
Many expats from the US, Canada, and Europe end up making their way to Panama. The vast majority rent first.
Rental prices in Panama City have been on the rise since January 2023, particularly in Costa del Este, Santa Maria, Punta Pacifica, and Balboa Avenue.
Costa del Este has seen a slight uptick in rent prices in 2023. Costa del Este, of course, is Panama’s corporate center and home to dozens of multinational corporations.
Hiring has been on the rise in 2023 and employee relocation is approaching pre-pandemic levels, meaning Costa del Este and Santa Maria are both likely to benefit from families moving closer to work or relocating to Panama from abroad.
Graph of Rent Prices in Costa del Este, Panama

Less than 100 new condos will be delivered in Costa del Este, Panama in 2024. This is a drastic reduction compared to the last 3 years when over 1,000 new condos hit the market.
Assuming demand stays the same and because new supply is down, we expect rental prices to increase between 5% – 10% in 2024 in this neighborhood.
That bump could bring up property yields on investment properties in Costa del Este.
Airbnb In Panama
December to May is Panama’s high season for tourism, and short-term rental demand has seen a huge jump compared to last year. In 2024, we believe the best way to maximize return on an investment property in the mountains or on the beach in Panama is to let it out short term.
According to AirDnA, there are approximately 850 total properties listed on Airbnb in Panama.

That said, beach rents declined in 2023 by around 5%. We expect similar declines in rental prices in 2024 due to the mining situation (more on that later), oversupply, and the continued inconvenience of traffic congestion between Panama City and Coronado.
Property Prices in Panama City, Panama
Galeria Inmobiliaria’s December 2023 report on homes and condos for sale in Panama City, Panama showed some positive numbers.
Completed inventory came down 32% compared to the same period last year. This means that developers have been able to sell their properties at a faster rate than the year prior and we expect that trend to continue.
Graph of Homes and Condos for Sale in Panama 2023

In addition, the total number of new projects is down by 20%, meaning less future inventory.
We expect a continued reduction of inventory (fewer projects) and strong sales to continue in Panama City and the beach market in Panama in 2024.
Property price appreciation is likely to keep up with inflation condos for sale in the city. Investor-geared condos may also see a bump in rising rents, however, oversupply in the condo market will continue to keep prices relatively flat in 2024.
Areas and Neighborhoods to Watch
In 2024 we are very bullish on Casco Viejo and Costa del Este in Panama City as well as El Valle in the mountains.
Casco Viejo has been slowly developing since 2008 when the first intrepid investors began to move to the neighborhood. At the same time, several hotels started to establish a presence for the first time.
2023 was the year that both La Compania Hotel and the Sofitel hit their stride, and Marriott has also announced the construction of a 300-room hotel in Casco.
Our Top Neighborhoods for 2024 Include:
- Casco Viejo
- Costa del Este
- El Valle
2024 is likely to be a banner year for hotels in Casco Viejo, Panama. New hotels and the thousands of new cruise ship passengers unloading daily have created a buzz for this section of the city.
We believe that this momentum will translate into property appreciation for several reasons and in a few key areas.
Several large redevelopment projects such as Santa Familia and Casco View are both hitting the market in early 2024, with some residents already moving in early to Santa Familia.
Casco View on 16th Street is considered a “path of progress” project, and stability may take another year or two. Property rents and appreciation in the “Manzana” area and sections between 12th and 15th Street may rise if the new Mayor prioritizes patrolling these zones. Although not currently a 24-hour tourist-friendly area, there is potential for growth.
We predict rents to increase in Casco Viejo by 10% in 2024, based on Airbnb activity and the corresponding squeeze on the availability of long-term rentals.
We are also bullish on Costa del Este due to declining new inventory, increased corporate relocation, as well as a sharply reduced supply of new condos over the next 5 years. Some of this is a residual effect from the pandemic when many construction projects were scrapped.
Costa del Este has experienced a massive real estate facelift over the last 5 years in the form of a new shopping mall, a new hospital, as well as dozens of new businesses and supporting infrastructure from neighboring Santa Maria.
While condos for sale in Santa Maria may put some pressure on property prices in Costa del Este, we believe that the expansion of the multinational footprint in Panama will propel the real market forward in Costa del Este.
Real Estate At The Beach
Residential new construction has slowed down from Coronado to Buenaventura, and few major projects are anticipated to commence in 2024.
We are still seeing an oversupply of single-family homes for sale in areas such as VistaMar. Condos for sale in Royal Palm are also selling slower than anticipated and there is a lot of new construction in Playa Blanca. Real estate in these particular Panama Beach communities is taking at least 300 days to sell. As a result, prices have come down this year.
We see this trend continuing in 2024 and expect real estate prices at the beach to be at least 5% lower by the end of 2024.
Beach Real Estate Trends Include:
- Oversupply may keep Panama Beach prices down in 2024.
- Mining exodus is hurting prices.
- Watch for a jump in 2025 with road completion.
Demand has also taken a hit in the last quarter of 2023. Mining employees have broken their leases due to the embargo passed in December. We’ve also seen several expats either canceling or postponing their Panama plans as a result of the road stoppages.
This vacancy has created a temporary oversupply, some of which has been absorbed by seasonal tenants. While beneficial in the short term, beach rental properties are expected to flood the market in April as temperatures warm up around the region.

Right now, traffic is terrible because of all of the construction between Panama City and La Chorrera.
Unpredictable travel times have also deterred buyers looking for beach properties. The construction at La Espiga in La Chorrera and Loma Coba is set to be 100% completed in 2024, with the entire project delivered in 2025.
Once the new road is complete, the drive time will go from 2 hours or more to under 45 minutes. Long term, we still love Panama Beach’s real estate and see tons of potential for increased viability.

Communities and Businesses Near Coronado, Panama
Despite the traffic woes that started pre-pandemic, the beach communities in and around Coronado, Panama are flourishing.
In 2023, new businesses catering to full-time beach residents opened to fill several gaps in the current offering which include:
- A New Jiu Jitsu academy in Coronado.
- A new dance studio in the same area.
- Crossfit and Coffee in Gorgona.
- And for families, a new Montessori daycare center.
Additionally, several existing businesses including Riba Smith and El Rey expanded operations.
This commercial development is great for residents long term because it makes the community more livable.
While new businesses will not immediately impact real estate prices near Coronado, we believe that long term, they have the potential to help future residents decide to purchase when they otherwise would have not.
2024 Panama Luxury Real Estate Outlook
We are seeing an opportunistic pricing environment on luxury real estate for sale in Panama. This is mainly due to the oversupply of completed inventory in the $800,000 and above segment of Panama’s property market.
Currently, there are a total of 352 brand-new, unsold luxury condos for sale at various stages of construction. Of that total, there are 293 already built.
Graph of Panama Luxury Real Estate 2024

This number represents over 80% of the total inventory of luxury condos for sale in Panama City, Panama. That means developers in Panama in 2024 will be facing bank pressure to sell.
Long term, Panama’s luxury real estate market remains attractive because of the significant reduction in new projects getting started.
Opportunities for distressed inventory generally come through an assignment of rights contracts or identifying developers looking to liquidate units.
Luxury inventory is predominantly in Santa Maria, Punta Pacifica, Balboa Avenue, and to a lesser extent, Casco Viejo, Panama.
Other Factors That Will Affect Panama Real Estate Prices in 2024
We do not believe that the Panama Convention business will have much impact on real estate prices this year.
We do not believe that the stoppage of the mining industry is permanent in Panama. However, the loss of production from the mine closures will affect Panama’s GDP for at least the next 24-36 months.
This reduction is likely to slow down infrastructure projects and social welfare initiatives. Pensioners, teachers, and medical professionals are the most exposed groups. They are also the most likely to take to the streets again.
2024 Opportunities in Panama’s Real Estate Market
For a buyer looking for a deal on a property in Panama in 2024, look to the 3 D’s of Real Estate: Death, Divorce, and Distress.
Distressed real estate in Panama represents the most accessible opportunity.
In January 2023, banks in Panama began to foreclose on bad loans after the Covid moratorium expired. That has created opportunities to purchase distressed property. This year, banks such as Banco General and Banistmo have started to offer foreclosure properties online. Foreclosure property is anticipated to rise in 2024, however, the slow pace of banks to liquidate and infrequent price reductions may limit their impact on the market.
While most expat-owned properties for sale in Panama are mortgage-free, there are still sellers trying to get out from underwater mortgages and we expect that trend to increase in 2024.
Hot Areas For Real Estate Outside of Panama City
We’ve seen several success stories in Panama’s mountain communities. Investors are primarily focusing on Airbnb and short-term vacation rentals.
The sweet spot on Panama Mountain real estate for investment is generally a 3-bedroom home with a pool for under $300,000 in a community like El Valle or Altos del Maria.
The owner of La Compania has reportedly acquired a hotel in El Valle. This would be great exposure for the growing tourism market in the mountains.
Conclusion
In Panama City, watch for increasing rents and a gradual reduction of completed and planned inventory.
From Coronado to Buenaventura, we expect prices to remain the same until the road project is completed in 2025.
We are also keeping a close eye on hotel occupancy, unemployment, new construction, and newly announced infrastructure projects.
Overall, Panama remains a safe and politically stable destination. Historically, real estate prices in Panama have been more affected by events outside of Panama than within.
Despite modest appreciation, Panama remains highly appealing to foreigners relocating in 2024.
Click here to watch our Youtube Video where Kent Davis discusses the 2024 Panama Real Estate Market Forecast!
Ian Maged
on said
I want to read this report — can you please send as pdf?
Pete Fischer
on said
Good article Kent! We have relocated again to Panama and have been living at La Reserva for the past year. We are finally, after many years, beginning to develop our project. A lot of what your article related has created the interest of serious investment monies for La Reserva. Being on Lake Gatun, having a paved road to and past our properties, the development of many amenities in Costa Verde, which is now only 45 minutes away and the overall location of our project that represents the green theme has brought a lot of interest our way! Would like to have you visit us after all these years! You can swim ACROSS THE LAKE AGAIN BEING THE GOOD SWIMMER YOU ARE!! Hope to see you soon! Pete & Ana
Stanley wanless
on said
I wish u would include a map so I could see where these places are located
Matt Maxsom
on said
Thank you very much for this report.
I am looking to be in the market to purchase in late summer.
Antoinette Watson
on said
Excellent article with good statistics to back up your conclusions. Appreciate the news as we own a 1-bedroom at PH Bahia, Playa Serena, Nueva Gorgona. Luckily, we have a renter and don’t plan on vacationing in Panama until the road is finished in 2025. Thanks! Watsons, Georgetown TX USA