2019 | REASONS TO START THE YEAR BY SELLING YOUR PROPERTY
A new fiscal year begins and you are thinking about that property you want to sell, but perhaps due to the lack of knowledge regarding the process of buying or selling real estate in Panama, you have not yet been encouraged to take that leap. However, you know that this 2019 is a good year to jump into the real estate market in Panama and you are looking for more information on how to sell.
That is why in the following note we will show you some specific features that go into the process of buying/selling real estate. Let's see:
3 Basic aspects to consider when selling real estate.
Taxes
It is one of the aspects little contemplated by most of the people who have decided to sell a property here in Panama, but not for that reason of minor importance. In the case of the Panamanian legislation regarding the sale of real estate, the calculation of the tax for such concept will vary.
Thus, if the sale of a property is attributed to both a legal entity and a non-legal entity, in any of the cases, 5% of the total amount of the sale must be assigned for taxes. However, if the case is not a sale but a transfer of property, then, two types of taxes would apply, namely, one weighted at 2% to the transfer and the other, which would be 3%, according to the total profits obtained; the latter tax applies even if there are no such capital gains.
The issue of commissions
Regarding commissions, in the Panamanian case, there is a stipulated 5% real estate commission on the sale price. However, it is not surprising that the amount changes in those cases that involve long distances to show the property to be sold. It should be clear that it is always the seller who must pay these commissions, as stipulated in the local ordinances.
APPRAISAL AND VALUATION OF THE PROPERTY
It is never too much that the person interested in selling his property requires and, therefore, requests the services of professionals that evaluate his property in a transparent and efficient way. And it is from this service or, better, from this part of the process of buying and selling property that you will obtain an appraisal according to your needs but, in addition, that the bank will accept without problems.
