If you’ve been thinking about leaving home to live abroad as an expatriate, now is a great time to make your move. While you want to have a few ducks in a row, you can’t wait until the moon and the stars align in some cosmically perfect configuration. Sometimes you have to look at the overall global conditions for emigration and if they’re good enough, just jump. Here’s our list of eight reasons why being an expat escape artist rocks and why that’s true today in particular.
Ostrosky
You Will Gain Valuable Language Skills
While there are a few countries outside of the U.S. and the U.K. where English is the official language, most countries speak something else. Even if you don’t take formal language lessons, you will learn the native language where you live because it will make escape artist living so much easier. Unless you want to take your chances with cryptic menu items when you dine out or drink household cleaner thinking it’s fruit juice, you will learn at least some rudimentary vocabulary.
If you hang out with locals, you’ll learn a whole lot more. Immersion is the easiest and most natural way to learn a language, so living abroad puts you head and shoulders above learning a language in school only. That competency or even fluency will be a huge advantage at work, socializing, or just watching foreign films.
Don’t worry about being fluent in any language before departing. Do what you can to learn the basics, and know that you’ll pick up more as you go.
You Can Advance Your Career
In addition to language skills, being culturally adept can land you job promotions or freelance work you never dreamed of before. Even if you return to the U.S., you’ll have the knowledge you gained living overseas to apply to any number of fields. Some common areas where language and foreign etiquette come in particularly handy include
- logistics, transportation, and shipping
- food and wine
- teaching
- health and medicine
- fine and performing arts
- writing and publishing
Many U.S.-based companies are currently adding more jobs abroad than they are at home. And while you still have to pay the IRS even if you work from a foreign country, the reverse is true as well; they have to pay you any refunds you’re entitled to.
Panama ATP
Entrepreneurial Opportunities Abound for the Escape Artist
If you’ve contemplated changing careers or better yet, starting your own business, there are plenty of opportunities overseas. Moving out of the country is a completely legitimate and organic way to reinvent yourself, especially career-wise. This is a perfect time to try something you’ve always wanted to do but couldn’t when you were tied to the working-to-live mentality (versus living to work, which is so much more fun).
No matter what kind of business you intend to run in your new locale, it’s best to have some kind of income source in place before you leave. Living in a foreign country can be challenging enough without having to worry about money too. Some popular ways expats fund their lives abroad include
- sale of property in the U.S.
- investment property purchase in their new location (rental units, B & B, etc.)
- savings
- working remotely (practicing law, writing, etc.)
- passive income (investments, book sales, etc.)
- grants and stipends
- funding from an existing business to open a new branch or satellite
Many countries make obtaining a visa easier if you are opening a business there that benefits the local citizens, such as recycling, retail of indigenous arts and crafts, or education. Some require a certain amount of money be available to invest in the business, so be sure to check out the rules wherever you are headed.
Eskimo Jo
You Can Leave Stress Behind
Until you spend a certain amount of time living outside the U.S., you probably won’t realize how aggressive, competitive, and stressful American life has become. Many cultures, especially those of Latin America, take a much more relaxed approach to life. While they may drive with the speed of nuclear missiles, everything else moves a lot slower. Food and conversation are savored, and there is less time spent in front of the television.
The downside of this is that it’s generally harder to get things done. Lines at government offices can snake for blocks, and seemingly simple things like paying bills or getting your tires rotated can take the better part of a day. The plumber who says he’ll be there at 10 may come at noon – or he might not show up until two days later. Waiting for cable or Internet service can seem interminable.
This is all part of the balance of being an escape artist. Relax, take a deep breath, and trust that everything will get done eventually. And take comfort in the fact that a lot of stressful stuff from the States, like maintaining your lawn or cleaning your house, can be eliminated or done cheaply by paid help in your new country.
Your Resourcefulness Will Increase Exponentially
There will be times when you have challenges that seem overwhelming. This is actually a good thing, because it will push your resourcefulness in new directions. Once you have made it through to the other side, you will have a new level of self-confidence and know you can get through anything. Whether it’s dealing with roadside breakdowns, water shortages, banking failures, or medical emergencies, you will figure it out – because you have to.
WFT.Travel
You Will Learn to Love Your Own Company
Unless you live alone on your own island and never leave, you’ll make friends and acquaintances in your new overseas home. But until that happens, you may be on your own for a while. Even once you meet people you want to hang out with, you’ll still have times when your own company is all you’ve got.
Being comfortable with solitude is definitely a helpful trait if you want to be an expat, and if you don’t start off knowing how to be okay with being alone, you will probably end up there. For women especially, this can be disconcerting.
Of course you need to be safe going out alone, but dining or attending events solo can give you new self-assuredness, and you may make some friends in the process. Some seasoned expats suggest getting used to being alone first at home before trying it abroad.
You Will Feel Rejuvenated
There’s nothing like moving to a new place to feel both physically and psychologically rejuvenated. You’ll be in new surroundings (often with better weather), and you’ll have the opportunity to take up an alternative career to start different hobbies. If you’re single, there’s a whole new dating pool to sample too.
Because diets in most parts of the world are healthier than in the U.S., and in many countries you’ll be walking or bike riding more, it’s easier to get the diet and exercise you need. Plus, giving up the stress that comes with living in the U.S. can make anyone look and feel younger.
Barbara Eckstein
You Will Never Be Bored or Boring
There’s one thing for sure about living overseas as an expat escape artist: it’s never boring. Between the natural beauty of a new location, a different culture to appreciate, and a widening circle of friends and colleagues, your mind will be kept occupied all day, every day. You’ll never be boring either. Once you’ve lived abroad you’ll have enough cocktail party chatter and writing material for the rest of your life.
Like most people who take up the expat lifestyle, you may like it so much, you’ll never go home again. If the expat way of living even remotely intrigues you, be sure to check out our article links here, then head to our home page to start learning more about where you might like to escape to – in a year or maybe even a month or a week, your whole life could change in amazing ways.
Viva Tropical Radio
Scott Nichols joins the podcast to discuss his trials and tribulations of building a house in Central America. He is currently in the middle of a building project and took the time to stop and share with us his progress and knowledge about all things building in Latin America.
He and Josh tackle the topics of:
- How to find a builder
- What to know before you design a house
- Why certain materials are more expensive
This episode is a must-listen for anyone who is considering building a house in the Latin Tropics for living or investment.
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As the number of individuals without dental insurance increases, there is an increased interest in finding quality care that is also affordable. Dental care in Ecuador is providing a viable alternative that is drawing expats from all over.
It is easier than you might imagine finding a dentist whose experiences, education, and certifications are the equal to any of his or her stateside counterparts. State-of-the-art equipment and modern offices can provide additional comfort for those who view the trip to the dentist as a kind of medieval torture session.
US Navy
Where to Find Dental Care in Ecuador
Top notch dentistry can be found in a variety of locations in Ecuador. As the interest in dental tourism grows, an ever increasing number of specialists including orthodontists and oral surgeons are establishing offices around the country.
Cities like Quito, Ibarra, Cuenca, and Guayaquil have a large number of dentists to choose from. Even smaller towns, such as Cotacachi, have professionals whose standards and qualifications are comparable to those in the U.S.
The best way to find a dentist that can meet your needs is to ask locals who they use. Word of mouth, particularly from other expats, can save a lot of footwork and provide the kind of information that will enable you to be an informed patient.
What Kinds of Dental Procedures are Done in Ecuador
Expats will discover that most of the common procedures done by dentists in their home countries can be taken care of in Ecuador. Examinations, fillings, gum care, and crowns are all offered by skilled and licensed practitioners. This also includes root therapy and root canals as well.
Even more complex matters, such as orthodontic and cosmetic measures (braces, straightening, and whitening), implants, and bridges are part of Ecuadorian dentistry. Alternative dental approaches, such as veneers, inlays, and onlays (as opposed to fillings) can be found here as well.
Oral and maxillofacial surgeries are conducted in modern, state-of-the-art facilities such as the Dental Quito Clinic. In every way, the practice of dentistry in Ecuador is on the same level as that found in the U.S. and other countries.
Tiffany Turkington
The Dentists in Ecuador
One concern that many expats have when they have relocated to Ecuador is whether the medical practitioners will be of the same caliber as those at home. This is probably even more of a concern where dentistry and dental-related medicine is involved.
Dentistry in Ecuador is controlled and such items as X-ray machines are inspected and monitored twice a year. If the machine is not calibrated properly or is otherwise faulty, the inspecting body can revoke the dentist’s license to practice.
Many dentists have been educated in the U.S. and are board certified. Additionally, practitioners and their staff frequently will take ongoing training and continuing education courses to stay current with the latest trends.
The Bottom Line – A Price Comparison between Dental Care in Ecuador and the U.S.
Cost is the single most attractive feature for expats considering having dental work in Ecuador. By some estimates, fees charged for dentistry in this Latin American country are only a tenth to a quarter of what the same services would cost in the U.S.
Even if you are fortunate enough to have some type of dental insurance, often the co-pays will still be higher than the total cost in Ecuador. Keep in mind that the cost of the insurance itself is also a factor.
Below is a chart showing a comparison of sample prices for several common dental services in both the U.S. and Ecuador.
| Procedure | Ecuador | USA |
| Root Canal | $125 | $585-$1400 |
| Crown (Metal/Porcelain/Ceramic) | $300 | $775-$1500 |
| Implant with Base | $1,000 | $2,200 |
| Implant Crown | $300 | $1,100 |
| Cleaning | $30-$45 | $80-$175 |
| Complete Set of Dentures | $900 | $1,100-$2100 |
| Teeth Whitening | $25 | $400-$900 |
| Fillings | $20-$35 | $105-$353 |
| Traditional Braces | $700-$1500 | $4,000-$7,000 |
| Tooth Extraction | $30-$45 | $102-$353 |
Even when factoring in the costs of travel, including accommodations and other expenses, it is readily apparent why having dental work done in Ecuador has become so popular. Expats, particularly those who have a fixed income, can take comfort that caring for their teeth and gums will not break the bank and ruin their dream of a tropical escape.
M. Gambini
Dental Tourism – A New Approach to Oral Care
Medical tourism has been growing throughout Latin America in recent years. There are even companies that specialize in packages that combine medical treatments with a vacation-like atmosphere. In the last few years, dental tourism has become part of this trend.
Given the increasingly high costs of dental procedures in the U.S., Europe and Canada, the “dental tourist” is usually focused on one thing: inexpensive services that are still high quality in nature. Ecuador’s dentists have placed themselves in the forefront of this surge by offering the same kind of treatment options found in larger countries at a fraction of the price.
Ecuador also attracts the “spontaneous patient”; visitors to places like Quito or Cuenca who decide to have dental work done while they are on vacation. Enjoying the Ecuadorian culture while taking care of your teeth and gums is certainly a great way to maximize your time while lessening the drain on your wallet.
The Future of Dental Care in Ecuador
As word of mouth spreads in the expat community as to the affordability and the quality of the practice of dentistry in Ecuador, the demand for more dental offices will continue to grow. It can be expected that growing expat communities will also become hubs for these new offices and will be a real drawing card for medical tourism as well.
As many of these modern dental centers continue to expand their online presence, being able to research and do price comparison will also become easier. Many of the sites also have forms that you can use to make inquiries and set up appointments.
This growth will also help reduce the language issue that may exist in some smaller locations. You may need to have the help of an interpreter unless you are conversant in Spanish. This is also changing as having access to an English speaker is becoming as important as buying a state-of-the-art piece of equipment to the growing expat clientele in many parts of Ecuador.
Whether you’re looking for an inexpensive alternative for a pricey cosmetic procedure, or just end up needing a root canal on your next trip to South America, there’s no need to dread going to the dentist in Ecuador!
Panama is starting to come into its own as a prime expat destination. For those seeking to truly become part of the Panamanian lifestyle, Santa Fe, Panama can be your bridge to traditional village living with stunning natural surroundings.
Santa Fe Bridge
With increasingly favorable changes in residency and investment laws, the government is actively courting expats seeking new opportunities. Whether your ideal escape is a rustic retreat in the jungle or a place by the ocean, it can be found here in beautiful Panama.
Santa Fe, Panama Combines Shades of the Past with Potential of the Future
The Santa Fe region has, literally and figuratively, been a gold mine since the Spanish under Captain Francisco Vázquez conquered the area in 1557 in order to search for the yellow metal. In fact, gold is still mined in the area today.
During the 1557-1559 period, Vázquez founded several towns including Santa Fe, the oldest settlement. In the early 1600s, settlers from Santa Fe and Montijo established Santiago as a kind of communication outpost; ironically, today Santiago has surpassed the community that originated it in size.
Largely unknown outside of the country until the late 1960s, Santa Fe became a focal point of a peasant’s revolt led by a priest, Jesús Héctor Gallego Herrera. The ultimate result was that Santa Fe was finally connected by paved road to Santiago and the Pan American Highway, making access to the world at large available.
Today, Santa Fe still retains all the best elements of rustic life in Panama. With a population of roughly 3200, the natural beauty and abundant flora and fauna are a magnet for expats needing a more basic and relaxed lifestyle.
Falls
Experiencing What Santa Fe Offers
Nature lovers have found that this unsullied village is the perfect gateway to the Panamanian highlands. The national park surrounds Santa Fe in three directions covering nearly 320 square miles. Nature hikes and tours can delight expats who want to experience the over 300 varieties of birds along with other creatures of the region.
There are a number of waterfalls nearby that can be explored. For the more adventurous at heart, the fabled Mosquito Coast of the Caribbean is only 60 km distant.
There is also a well-known and loved organic farm that gives the concept of sustainable living a fresh meaning. Chong and Maria’s family farm is a favorite among locals and expats alike and provides the opportunity to see how organic farming works.
Café Tute is a local coffee roaster that is run by the town’s farming cooperative. Tours of coffee plantations and the factory are a great way to gain appreciation for the ubiquitous breakfast beverage.
Flower Power
Santa Fe is known throughout Panama for the beauty of its over 300 varieties of orchids. Each August, expats can see the best of these stunning flowers at the Exposición de Orquídeas held at the Feria (Farmer’s Market) of Santa Fe.
Why You Should Consider Santa Fe As Your Expat Destination
There are many reasons to explore Santa Fe as a possible location for retirement or investment. Some of the more compelling ones are listed below:
Affordable Cost of Living
Perhaps one of the most attractive aspects of living in Panama is the cost of living. Smaller communities, like Santa Fe, are extremely affordable; particularly when compared to larger cities, such as Panama City.
Rents, even in the center of town run under $1,000 per month. Similarly, utilities for basic services such as electricity, water, heat, and garbage may be as little as $50 to $100 per month. Importantly, because of its location in the mountains (500 meters-1640 feet ) cooler temperatures translate into less use of air conditioning, keeping electric costs down.
With more expats arriving all the time, the infrastructure is also improving. Internet access and cable television are now available (and reasonably priced) along with improved telephone and cellular services.
There are also a number of discounts offered to holders of the pensionado (retirement) residency. Everything from travel, entertainment and even medical expenses are reduced for expat retirees, making life even more affordable.
Buying or Building
The area in and around Santa Fe is seeing a dramatic increase in real estate activity similar to that of its neighbor to the west, Boquete. At present, there are not a lot of developers in the area but, given the popularity Santa Fe is gaining, that may not be the status quo for long.
As might be expected, prices for lots and existing structures are still on the low end. The promise of increased tourism to the region certainly makes the idea of investing, either in a purely commercial venture or as a rental part time, very attractive.
Money Does Talk, and It Speaks American
Although the Balboa is the official currency, the U.S. Dollar is the only paper money in Panama (Balboas are coins only). Since the dollar is freely used in daily transactions, expats don’t have to worry about exchanges or calculating prices.
Santa Fe, Panama May Not Be Perfect for Everyone
Understanding some of the challenges of living in a small Panamanian town is important before making that leap. Expat life can be rewarding but not without some “speedbumps” along the way.
The language issue is always an important factor to examine. Like other smaller communities throughout Central America, English speakers may not be as common as in major centers. This may pose a problem for some expats seeking to become part of village life.
Finding modern items, such as electronics and appliances may involve a trip to one of the larger cities. If having the kind of shopping access that is found in the U.S. is necessary, giving serious thought to relocating to Santa Fe is strongly recommended.
Lastly, since there is no airport in Santa Fe, the closest connection by air can be found in David, some 130 miles west. David does have regular flights on Air Panama to and from Panama City. As a consequence, a lengthy drive will be involved even before making the flight.
Alternatively, there are buses, private shuttles, and rental cars that can get you from Panama City to this mountain location. If a long ride doesn’t fit your tropical dream, this may be a stumbling block as well.
Go There
Sometimes there is only one way to know if the expat “shoe” is going to fit. Visit Santa Fe and try traditional Panamanian living on for size.
Map of Santa Fe, Panama
Santa Fe, Panama Fast Facts
- Population: About 3200
- Typical temperature: Average temperature is 85°F
- Nearest airport with U.S. flights: U.S. bound flights leave daily from Tocumen Airport.
- Nearest U.S. consulate: Panama City
One of the biggest considerations for expats seeking to buy their retirement or getaway home in Latin America is the taxes on real estate. Comparing property taxes of the most popular destinations for expats is an important step to deciding the best location for your tropical retreat.
Once the decision is made to become an expat, finding a home in paradise will involve some research. Looking at the unique qualities of each country and the properties available is a great way to begin your journey.
Tropical House in Paradise
Comparing Property Taxes in Latin America Country by Country
Countries in Latin America have widely different approaches as to what real property should be taxed and when. Similarly, the calculations of property taxes can be confusing for expats trying to choose which location might be a good fit for their budget.
What follows is a brief overview, by country, of the tax structure for real property. This comparison will also include any taxes imposed at the time of sale or transfer of title as well as when payment of these assessments are due.
Anoldent
Belize
Belize has a fairly straightforward approach to property taxes. For residential property, the tax rate will be between 1% and 1.5% of the value as set by the Department of Natural Resources. These are payable each year by April 1st at any Lands Department office. When looking for your Belizean retreat, making this calculation is easy.
Residents in Belize City can take advantage of a 10% discount if taxes are paid by March 31st. There is a 25% discount on property taxes for Senior Citizens (over 65) that certainly is a great incentive for expat retirees.
Investors and developers of large plots of undeveloped land (parcels over 300 acres) are subject to a Speculation Tax. This tax is computed based on 5% of the undeveloped value of the property.
When a title is transferred, a transfer tax is collected as part of the buying process. There is no tax for values under $10,000; for values in excess of that amount, the tax is a flat 5%.
Didier Baertschiger
Costa Rica
For all of the attention and growth that Costa Rica has experienced in the last decade, property taxes still remain as some of the lowest anywhere, including the U.S. The tax rate is 0.25% of the registered property valued as determined by the local governments or municipalities.
Some of the very large and high-end properties have been subject to a luxury tax based on such items as size, custom furnishings, and fixtures. These rates are still surprisingly low; in 2013 it was estimated that that this tax was in the range of 0.1% to .25% of property value.
Changes to the transfer tax of 1.5% may impact some buyers. While the percentage has stayed the same, the basis for the calculation (property value) cannot be less than the highest recorded fiscal value. Fortunately, this amount will usually be less than the market price of the parcel. With low tax rates, finding your home in the land of Pura Vida is still a great option.
Casey
Ecuador
Ecuador has some of the lowest property taxes in Latin America. The tax rates are progressive from 0.025% to 0.5% of the value as assessed by municipal officials.
These values are considerably lower than the purchase price – often by as much as 25% to 75%. As a result, it is rare to pay over $400 in annual taxes.
There are also deductions and discounts that can appeal to expats. Homeowners over the age of 65 only have to pay half the amount of the tax assessed.
Additionally, deductions for mortgages to purchase or improve the property are possible. Ranging between 20% and 40%, these must be requested and cannot exceed 50% of the value of the property. Ecuadorian real estate may provide some of the most affordable options in the region.
Waterways
El Salvador
El Salvador is unique in that there is no property tax assessed for owning real estate. Although there is no annual assessment, when property is transferred, a transfer tax is triggered.
The tax, paid as part of the buying and selling process, equals 3% of the value over $28,571.43 of the purchase price. Non-residents also are subject to a 25% capital gains tax when selling property unless the sale occurs within three years of taking possession of the property.
The El Salvadoran government is considering a tax reform package that would include a tax on property that does not have any productive function except for private leisure or recreation. This “luxury tax” would be assessed at the rate of 1% of the value over $350,000 even if the property has not been developed.
Whether or not this tax will be enacted is uncertain. Regardless, the great majority of expats will not be impacted because of the high dollar threshold of the assessment. Low prices enhance the attractiveness of the selection of properties available.
Stefano Ravalli
Guatemala
Guatemala uses the cadastral value of real property to calculate the tax owed. The word “cadastral” refers to the extent, value of, or ownership of real property and is used widely throughout Central America.
Taxes are calculated in local currency (the Guatemalan quetzal) by local authorities. When converted to U.S. dollars, it becomes apparent that these are quite reasonable for the great majority of expat residents. Below is a chart showing the tax rates:
PROPERTY TAX |
|
| TAX BASE, GTQ (US$) | TAX RATE |
| Up to 2 million (US$255,428) | 0% |
| 2 million – 20 million (US$2,554,278) | 0.20% |
| 20 million – 70 million (US$8,939,975) | 0.60% |
| Over 70 million (US$8,939,975) | 0.90% |
| Source: Global Property Guide | |
As can be seen, there is no property tax owed on properties valued under $255,428. The taxes are due annually and are paid to local municipalities where the property is located. Searching for properties under this dollar amount may be easier than you might imagine.
Chamo Estudio
Honduras
Honduras has one of the few property tax laws that permit 12 monthly payments instead of just a single annual amount. The tax rate itself is based on value assessed by the municipality and can be calculated at $3.50 per every $1,000 of assessed value.
For example, a property value at $100,000 would have a yearly tax of $350.00. Spread out over twelve monthly payments, each installment would be for $29.16. Buying property in Honduras with the ability to spread out yearly taxes is an attractive prospect.
As a result of new tax reforms that went into effect on January 1, 2014, property transfers carried out by nonresidents are now subject to an increased 4% (previously 2%) withholding tax over the transfer value to be withheld by the acquiring party.
One important feature of the Honduras tax scheme is the incentive program for projects or plans that would increase tourism to Roatan. Under this program, property taxes may be given a 20 year exemption. This is a powerful incentive for investors looking for a location to develop and build.
Chris Goldberg
Mexico
Mexico was the first Latin American country to attract expats. The older expat enclaves, such as Puerto Vallarta, have demonstrated the potential for living and investing in Central and South America. Mexico still has a great selection of properties and lots to interest expat buyers.
Property taxes in Mexico vary from state to state. Each state’s tax department sets the assessed value and the tax rate can range from 0.05% to 1.2%, depending on the property location. Other variables such as whether the lot is improved, if there is poor access, and if it is only used seasonally also factor into the assessment.
The assessment itself is done at the time of sale or transfer and will remain the same until the property is sold again. The taxes are due at the beginning of the year although the tax amounts are not available until mid-January of the year they are due. Since tax bills are not sent out, it is up to the property owner to go to the tax office with a previous bill to obtain the current one.
Payments can be made in six installments during the first ten days of every second month; ( i.e. January, March, May, July, September, and November). Failure to pay the taxes when due can result in steep penalties; in some cases as high as 3% for every month the payment is past due.
Mexico also charges an acquisition tax on every transfer of real property regardless of whether it is through a sale, donation, trust, or other method. The rates can range from 2% to 3.3%, again varying by state and is owed as part of the transfer process.
Daniel Fajardo Valenti
Nicaragua
Nicaragua has, perhaps, the easiest property tax scheme in Latin America. The tax is a flat 1% and are calculated at 80% of the cadastral value of the property (land, buildings, and permanent improvements) as assessed by the local office.
In the city of Managua, the calculation is slightly different. There the figure is based on 80% of the cadastral value LESS 40,000 Nicaraguan Cordobas (NIO); roughly equaling $1,624 in U.S. dollars.
Since there is no up-to-date national registry for property values, property taxes are less important than in other locations. With a lack of proper records, many small communities do not even collect the taxes which has led some to view paying them as a voluntary, rather than mandatory, act. Many of these smaller towns and villages have attractive and unique properties that are worth a look.
There is a 30% capital gains tax assessed on property sales. Again, this is based on the land value and not the sale price.
Bocas Del Toro
Panama
Panama is unique among the countries in the region in that the property taxes are national and are collected by the Ministry of Economics and Finance. The tax rate is a maximum 2.1% and is based on the assessed value – usually the declared value in the original sale documents. Expats are increasingly interested in the homes and lots available here and the possibilities that Panama offers new arrivals.
The calculation is based on the value of the land plus the declared value of any improvements made. If a transaction is made for an amount in excess of this amount, that will automatically increase the value of the property for tax purposes. Payments can be made in three installments: April 30th, August 31st, and December 31st.
Property taxes are graduated depending on the assessed value. Below is a chart showing this breakdown: Value of the property Property Tax Rate US$ 0.00 up to US$ 30K (exempted) 0% US$ 30K up to US$ 50K 1.75% US$ 50K up to US$ 75K 1.95% US$ 75K and above 2.10%
Condominiums, however, use a slightly different formula:
Property Tax Rate for Condos:
Value of the property Property Tax Rate US$ 0.00 up to US$ 30K (exempted) 0% US$ 30K up to US$ 100K 0.75% US$ 100K and above 1.0%
The 20 year exemption on property taxes that was so attractive to investors ended in 2009. That program has been replaced by a revised set of exemptions:
- 15 years Up to US$ 100,000.00
- 10 years From US$ 100,000.00 to US$ 250,000.00
- 5 years Above US$ 250,000.00
- Commercial Use/Non-residential improvements have 10 year exoneration regardless of the property value
Lastly, Panama does have a transfer that is the greater of a) 2% of the total sale price or; b) the declared value of the parcel plus the value of improvements plus 5% for each year the property was owned.
A Brief Note on U.S. Property Taxes – Paradise Is Cheaper!!
While the various property tax schemes throughout these tropical locations may seem confusing, there is one important element to keep in mind: U.S. property taxes are higher!!!
22 of the 50 states have median property taxes in excess of 1%. New Jersey is the highest at 1.89%. When combined with other property-related taxes and fees, the overall cost of property ownership far outstrips most of the Central and South American locations expats desire. In a very real sense, paradise is cheaper and living there is easier now than ever before.
There are special places whose essence is not driven by modern amenities or convenience but, rather, a more primal and rustic style of living. Santa Teresa, Costa Rica – with its ample beaches and fishing village aura – has become one such location for expats seeking a more naturally connected existence.
From high-end developments to rustic beach towns, Costa Rica has a vast selection of real estate options. Places like Santa Teresa, in the southern Nicoya Peninsula, call to those who truly are seeking to embody a “Robinson Crusoe” spirit to find their own secluded ocean hideaway.
Santa Teresa Beach
Santa Teresa, Costa Rica Is an Understated Gem
Santa Teresa, like most of the small fishing villages in the southern part of the Nicoya Peninsula has not yet been caught up in the surge of development and modernization that had predominated much of Costa Rica’s Pacific coast. Linked by a single, unpaved road to Playa del Carmen and terminating at the hamlet of Mal Pais, this region is only now beginning to see signs of expat investment and construction.
From a population of a few hundred, the Santa Teresa-Mal Pais area has grown to a surf-bohemian magnet of 2,000-3,000 full time residents. Some “A “ list personalities, like Mel Gibson and Gisele Bündchen have purchased lots and built homes there; fortunately, the location is still largely pristine and not turned into a high-end tourist mecca.
The entire location is collectively known to locals as “Mal Pais” or “bad country.” The origin for this nickname is not the unpaved conditions of the roads but due to the rivers and streams going dry during the summer months making this a “bad country” for the farmers and ranchers who still live and work in the region.
Ironically, the conditions of the road have become a source of controversy among the residents here. While there are those who think paving would be beneficial in terms of reducing the amount of dust in the village, others are concerned that making access easier could lead to the kind of over-development that has dominated other communities such as Tamarindo.
Much to See and Even More to Experience
There are many opportunities for exploration and recreation in and around Santa Teresa. Whether your tastes are centered around the beach, the ocean or inland, the choices are both plentiful and exciting.
Surfing is, as might be expected, one of the principal activities along the southern Nicoya Peninsula coast. With consistent wave conditions year round, wave riders have made their pilgrimage to Santa Teresa for many years.
There are many surf camps and shops specializing in surfing supplies and board repair in the area. Two of the surf camps – Chica Surf Adventures and Pura Vida Adventures – are for women only; certainly a unique aspect to the traditional surfing lifestyle that expats can immerse themselves in.
In a kind of spiritual contrast to the adrenaline-fueled experience of challenging the surf breaks along Santa Teresa’s beaches, a growing number of yoga retreats have also sprung up. With the natural serenity and unspoiled beauty of the surrounding area, expats seeking the inner peace of quiet meditation can find a most conducive environment here.
Expats can also enjoy the many snorkeling and fishing opportunities found offshore from the village. There are a number of inshore fishing charters that can provide both beginning and veteran anglers the opportunity to land mahi-mahi, dorado, and other denizens of the deep.
Santa Teresa Is Proof that “Life Is a Beach”
The coastline running from Santa Teresa southward to Mal Pais was recently identified by Forbes Magazine as one of the ten most beautiful beaches in the world. With this kind of recommendation, there is little wonder that a growing number of sun and sand aficionados have made the trek to this remote Nicoya Peninsula location to experience the stunning vistas first hand.
Stephanie Rogers
Natural Wonders and Other Land Activities
Not all of Santa Teresa’s attractions are centered around the ocean. The first national park in Costa Rica, Cabo Blanco Absolute Nature Reserve is just a short distance from both Santa Teresa and Mal Pais.
Founded in 1963, in large part due to the efforts of Olaf Wessberg and his wife Karen Mogensen, the reserve has become known for its wide variety of flora, fauna, and over 150 avian species as well.
Another nature park, the Curu Wildlife Refuge, provides a special opportunity to experience a great selection of eco-diversity in a single location. With five distinct eco-systems within the park’s borders, there is a tremendous opportunity to see a wide collection of mammals, birds, reptiles, and amphibian species during a single visit.
Celebrations and Culture
Like so much of Costa Rica, Santa Teresa has a distinct culture and flavor over and beyond that which expats have introduced. One of the charms of the area is being able to immerse oneself in the daily lifestyle of the region and its people.
The sabaneros (Costa Rican cowboys) represent a lifestyle that has been an important part of the Nicoya Peninsula culture. Each February, this lifestyle is celebrated with the arrival of the Fiestas Civicas de Cobano.
This two week event honors the culture and traditions of cattle ranching and the sabaneros who are a part of it. In addition to food, contests, and musical concerts, the major event is the rodeo.
Just like their counterparts in the U.S., the sabaneros compete at various skills like roping and bull riding to demonstrate their prowess. The most unique event, however, is the “rodeo for everyone” that allows anyone who wants to participate to run with the bulls in the ring. This certainly elevates the traditional concept of a rodeo to a new level of spectator sport.
Contemporary Living Is Starting to Arrive in Santa Teresa
While locals and many of the early expats are not happy about it, progress is starting to make inroads in the Santa Teresa-Mal Pais locality. The last decade of increased tourist activity has spawned a number of new development projects and resorts.
Luxury resort type hotels and gourmet restaurants are beginning to appear side by side with yoga retreats and surf camps. Along with this tourist-driven growth, a number of residential projects ranging from single family villas to gated communities are in the planning stages.
Santa Teresa’s challenge in the coming years will be to maintain its ambiance as a place where it’s still possible to reconnect with nature without modern distractions. Even as more attention is being given to the region, the idealism of those who became disenchanted with life in Europe and the U.S. during the recession is a strong force to keeping that pura vida vision alive.
Santa Teresa
Challenges of Living in a Rustic Environment
While living in a small bohemian style hamlet may seem like “paradise” found, there are several important aspects that should be taken under advisement. Certain elements of daily contemporary life in the U.S., Canada, and Europe may be found wanting in Santa Teresa and could turn the romantic idyll into something far less attractive.
Getting There Isn’t Half the Fun
The allure of living in a place without a paved road has a serious downside. A four-wheel drive vehicle is almost a necessity as visitors have to deal with jarring potholes during the dry season and a veritable sea of mud during rainy season. Needless to say, vehicle maintenance costs should also be considered as well as access to mechanical services.
There isn’t any fast way of getting to Santa Teresa from either San Jose or Liberia-the location of the two international airports in Costa Rica. The drive from San Jose to Santa Teresa is roughly six hours whether by bus or car; from Liberia the time is slightly less-in the four to five hour range.
While there are no direct flights to Santa Teresa, the two domestic carriers, Sansa Air and Nature Air, do offer flights to nearby Tambor Airport. Once there, visitors can expect a forty minute taxi ride to get to the village; the cost is in the neighborhood of $50.00.
Getting Your Point Across – the Language Issue
As is the case with many small and/or remote communities in Costa Rica, the predominant language for everyday transactions is Spanish. With such a small expat population, finding an English speaker can be somewhat confounding.
While some people may embrace learning a new language, the prospect of not being able to express oneself – or understand what others are saying to you – may be a difficult hurdle to surmount.
Bohemian and Rustic Are Definitely the Themes
There are limited modern amenities in the Santa Teresa-Mal Pais area. For most of the 20th century, such common items as cars, telephones, and refrigerators were practically unheard of.
As might be expected in such a small community, options for shopping for basics like groceries are going to be limited. Higher-end items such as appliances, computers and televisions, and vehicles will require a journey to San Jose, Liberia or Tamarindo. Balancing a life less scripted on one hand with the conveniences of being able to obtain needed or wanted items on the other is an important question that a potential expat needs to examine carefully.
Electricity did not become available in this end of the Nicoya Peninsula until the mid-1990s. The first street light wasn’t installed until 1993 and telephone service didn’t become truly accessible until the late 1990s.
While there is slow improvement (high speed internet access is now available for example), the area is still largely an undeveloped, unpaved paradise. If truly “living off the grid” is not something of interest to you, serious thought should be given before making Santa Teresa, Costa Rica your tropical “landing pad.”
Map of Santa Teresa, Costa Rica
Santa Teresa, Costa Rica Fast Facts
- Population: Numbers are hard to find, but a good guesstimate is 1,200
- Typical temperature: Mid 80’s
- Nearest airport with U.S. flights: San Jose
- Nearest U.S. consulate: San Jose
Do you ever feel like your dream of living on a tropical coast is just another one that’s far beyond your reach? Maybe you long for a permanent vacation from the never-ending hamster wheel, but you’re afraid you just can’t afford to make those dreams a reality.
If that’s the case, then you can’t afford not to look at Ecuador’s seven best budget beaches.
Wurglitsch
You can scale down (or up) for less.
Despite its reputation as a budget destination, Ecuador also has plenty of popular upscale beaches. Atacames and Salinas are two. If you’re looking for Miami on a budget, then look at real estate here. You’ll be surprised how much you get for your money.
You can salsa your night away with well-heeled partiers at the yacht club. Or dine in a luxurious high-rise with five-star accommodations. You’ll love the crowded umbrella-lined beaches, glamorous vibe, and South American prices.
But if you’re looking to scale down, then one of Ecuador’s seven best budget beaches can easily accommodate your lifestyle. Ecuador has one of the lowest costs of living in Latin America, and its real estate market offers many of the same bargains you’ll find across the board in this destination that’s long been a favorite among North American expats.
Another great selling point is that much of Ecuador is experiencing rapid growth in its expat communities. So much so, that in many cases, the available services and consumer offerings can’t keep up.
So if the lower price tag still isn’t enough to help you realize your goal of starting a new life in Ecuador, there’s always the opportunity to parlay the opportunity to move abroad into twice the adventure by starting an expat business.
Here are 7 of the best budget beaches in Ecuador where you can enjoy paradise without breaking the bank.
You can live in Ecuador on a budget. It’s not just a dream.
wogo24220
1. Olon has many treasures for you. Settle in for an up-tempo, yet tranquil lifestyle. Tropical jungle flows to the sea. Hike trails and swim in waterfalls. Watch hummingbirds, iguanas, and even wild horses.
Surf conditions are excellent. Olon’s wide, long and sandy beaches host a myriad of restaurants and kiosks. One drawback (or potential opportunity, depending on how you look at it) is that convenience shopping doesn’t exist here. Residents of Olon travel far for shopping, groceries, and services.
This gap in consumer offerings equates to the perfect place for entrepreneuring expats to open an apparel shop or maybe a convenience store for food items and sundries.
Meredith Cook
2. Canoa has a quaint, laid-back character. It’s small, but solitude is never hard to find. The long, wide beach stretches for miles.
Canoa is becoming more and more popular with foreign travelers, but it’s still mostly a small fishing village. As a result, accommodations are still limited here. So now could be the perfect time to open a guest house or lodge.
LFRONTIERS
3. Ayampe is the place to go for complete serenity and tranquility. It’s essentially a wildlife sanctuary – a divine spot for yoga and meditation. From your rainforest or seaside perch, you’ll love the picturesque Los Ahorcados Islands views.
Picture a large, inviting family home made of cane and wood in a jungle setting. Or a rustic cabin with a straw roof. Ayampe is the ideal spot for building your holistic retreat. Your health-conscious customers won’t be able to resist organic fruit jams, natural soaps, and fruit-infused herbal teas.
Yassef Briceño García
4. Montanita (Guayas Province) means action-packed days and nights. Get ready to live it up in this multicultural party town. Picture “Little Amsterdam.”
When you’ve relaxed and people watched enough, go surf. With some of the region’s best conditions, Montanita even plays host to international surfing competitions.
If residents and visitors want to sleep soundly, they’ll most likely have to get out of town. As a result, the even more affordable areas around Montanita might be a great place for an adventure-based resort away from the noisy beach crowd.
Juan Martinez
5. Mompiche (Esmeraldas Province) Beach thrives on ecotourism. Backpackers and surfers trek to this black sand beach for one of the best surf breaks in Ecuador. But that’s not the only attraction.
Mompiche’s proximity to Mache Chindul National Reserve opens a whole new world of adventures. Whale watching is a favorite pastime. Canoe or kayak the mangroves and Rio Verde River for bird and monkey watching. Head to the jungle for a hike or horseback ride.
Like most other budget destinations, Mompiche still lacks an abundance of variety in its accommodations and services, including restaurants. As a result it’s a great up-and-coming spot where expats could get a steal on their dream property or savvy investors could find the perfect niche for launching a successful business.
Daria
6. Salango (Manabi Province) is for history, culture, art enthusiasts and conservationists. You can stay busy attending artisan workshops or spending time at the Pre-Columbian Archaeological Museum. If that’s not enough to keep you busy, Machalilla National Park outings will.
There’s always scuba diving, whale watching and endless snorkeling. You’ll adore the shallow natural aquarium and sea excursions. But your experience won’t be complete until you hit the trails on foot, horseback, or bicycle.
An outdoor outfitter store could be your calling. Everyone in Salango is hooked on nature. Stock quality hiking and biking gear, camping accessories, cameras, and binoculars.
Mundo Croqueta
7. Sua (Esmeraldas Province) Sua is a super tranquil setting surrounded by hills and cliffs. If you like calm water sports and little wind, Sua is the location for you.
You’ll have fun sunbathing, swimming, rowing, stand up paddle boarding, and walks around the beachfront promenade. Aside from that, there’s not much else to do.
You can always take a quick boat ride to Bird Island or the Cave of Love. Or jaunt on over to party down in nearby Atacames.
Restaurants are limited in Sua. So are activities. As a result, properties are incredibly affordable. It’s a great place for expats seeking a simple, relaxed lifestyle.
You Can Live Your Dream in Ecuador
Now you know Ecuador offers many beach communities where you can afford to simplify your life. But you can’t just dream about it. You have to dive in. Pick a spot (or two) that sparked your interest. Explore the real estate opportunities there. Your dream home (and your escape route) will suddenly become clearer. And if you still need to earn a living, there are plenty of niches ready to be filled.
The Zapatista uprising happened over 20 years ago, on January 1, 1994. On that day, indigenous peoples poured onto the streets of cities like San Cristobal De Las Casas. They were armed, they were poor, they spoke for all the oppressed people. Their strong leadership and planning led to one of the most storied and respected revolutions of post-modern times.
How did this revolution that took place in the southern state of Mexico, called Chiapas unfold? And what has changed since then?
Hilary Klein, author of Compañeras: Zapatista Women’s Stories, talks about the Zapatista movement and how it inspired grass-roots support from all over the world, galvanized behind a message that we can all champion.
Listen to the show
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The Show Notes
You can buy Hilary’s book here
For even more information about the Zapatista story, check out these links: Vice.com Democracynow.org
For years, the funky beach community of Montezuma, Costa Rica was a little known retreat that was a hideaway for hippies and backpackers looking to find “pura vida.” Today, the word is out and Montezuma is becoming a desirable location for expats seeking a true “barefoot” lifestyle.
Montezuma Beach
In a country filled with stunning beaches, the sands of the southern part of the Nicoya Peninsula have to rank high on anyone’s list. Montezuma’s untouched sands have an almost lyrical quality about them that is both magnetic and compelling.
Montezuma’s Early Years
Like most of the Nicoya Peninsula, the area we now know as Montezuma was under the control of the Chorotega tribe in the pre-Columbian era. Following the Spanish Conquest in 1519-20, the surviving members of the tribe moved into the southern part of the Peninsula to escape the Spanish rule.
Throughout the 17th century and well into the middle of the 18th century, Montezuma remained a collection of small fishing villages. Given the geography, (steep slopes, limited outside access), the area wasn’t suitable for the growing ranching and cattle raising business that began to flourish in the central part of the Nicoya Peninsula.
In the early 1950s, Montezuma was designated as the location for a regional port as a result of the calm waters and abundant beach access. This dream would not be fully realized, however, until 1979 when a road was completed from Cobano that expanded operations to include transporting agricultural goods to Punteranas and the fast developing Central Valley.
Montezuma Main Street
The Transformation of Montezuma, Costa Rica
While a small number of expats had purchased land in the area in the latter part of the 20th century, Montezuma’s popularity did not truly begin to take off until 1992 when ferry service began from Punteranas to the communities of Playa Naranjo and Paquera. The new ferry route opened the southern part of the Peninsula to vehicle traffic and, with it, opened the flood gates for a new wave of settlers to the region.
Montezuma found itself transformed from a quiet fishing village to a unique destination in its own right. European expats make up the great majority of those seeking the bohemian vibe of the village but North Americans are catching up fast.
Montezuma Today
From small tribal settlements to an agricultural port, Montezuma has metamorphosed into a unique gathering of artistic types, old (and not so old) hippies, surf fanatics, and nature lovers. The permanent population has remained small (around 500 people) and the economy is centered around eco-tourism and bohemian escapism.
Importantly, prices in Montezuma have remained very modest, making it an ideal location for those seeking to drop out of the rat race of 21st century life without having to spend the proverbial arm-and-a-leg. The welcoming laid-back atmosphere and open air lifestyle are unique, not only in Costa Rica, but throughout much of the world.
Montezuma Falls
Many Reasons to Visit Montezuma, Costa Rica
Montezuma is special in that its location offers a wide variety of diverse ecosystems for visitors and expats to experience and enjoy. Having a chance to immerse oneself in the natural beauty of the region as well as the cultural experience of a true Costa Rican small town can make for a life-changing experience.
Waterfalls, Rivers, and Beaches
One of the most special features in Montezuma, not found in other beach communities, are the renowned Montezuma Waterfalls. Located within walking distance of the town, visitors to the falls can play in the pool at the bottom, enjoy a picnic lunch, or follow a jungle trail to hike to the top of the falls.
There are eight different beaches as well as a half dozen rivers and streams in the area. Whether cooling off in the fresh water of a jungle stream or sunning on pristine sands by the ocean, visitors can find themselves entranced by the peacefulness of the natural settings.
Yoga Camps and Alternative Healing
Montezuma has gained a reputation for its yoga and meditation camps as well as a growing number of holistic and alternative healing centers. Meditation services (often offered at some of the hotels), organic foods, and alternative practitioners are a special part of the eclectic atmosphere of the village.
Nature’s Wonderland
Two of Costa Rica’s premier nature preserves, Cabo Blanco (Costa Rica’s oldest national park) and the Curu Wildlife Refuge, are within easy reach of the town. There you can have the rare privilege of seeing the wide variety of birds, mammals, reptiles, and amphibians that call Costa Rica home.
Montezuma Gardens, located along the waterfall trail, features a butterfly garden, as well as a display of the flora of the peninsula. Learning about the lifecycle and seeing different varieties of these delicate winged creatures provides a different avenue into the world of nature.
Tortuga Island tours are available from the village and offer the opportunity to swim, snorkel the volcanic reef, or just enjoy the island’s beauty. Another island, San Lucas, site of Costa Rica’s first prison, also has tours available. Now closed, legend has it that the ruins are haunted by those once held there.
Food and Drink
Montezuma has had a reputation as a mellow party town with its collection of musicians, artists, and others who heard the beat of a different drum. A number of bars and restaurants are clustered in the center of the village and are open late.
Chico’s Bar is considered by both locals and visitors as ground zero for the party. Being in the middle of town, guests can hang out in the street or enjoy a more serene setting on the beach in back.
For a small place, there is a truly diverse selection of cuisines in Montezuma. Italian, Mediterranean, Organic, Tipico (Costa Rican), Middle Eastern, Seafood, and Fusion can all be found there, appealing to every taste.
Festivals and Celebrations
The Montezuma International Film Festival is held each November. Focused on the efforts of independent filmmakers from around the globe, this venue provides a chance for the “Spielbergs” of the future to showcase their talents and enjoy the funky artistic vibe of the area.
The Festival de Arte Chunches de Mar held in January brings together musicians, artists, and craftspeople who create, perform, and camp on the beach for a month. In a real sense, this annual arts and music celebration has much of the same vibe as the original Woodstock concert, actually billed as the Woodstock Music & Arts Fair.
Making Montezuma the Place for a Permanent Vacation
Expats are discovering that this little piece of backpacking paradise might be the answer to finding a spot for a “permanent vacation.” Montezuma, Costa Rica and the surrounding communities in the southern Nicoya Peninsula offer a wide range of real estate choices from quaint and offbeat eco-structures to luxury villas. The affordability of undeveloped lots makes building your own “escape pod” a viable option as well.
Great Cost of Living
Things are simply less expensive in Montezuma than many other beach towns in the country. The commitment to a more natural lifestyle has made the availability of locally made and grown products one of the attractions of living there.
Being able to get to most places on foot or by bike means transportation costs are greatly reduced. The ferry to Punteranas is an inexpensive way of connecting to the rest of the country and the excellent public bus system that operates throughout the region.
Property costs are also on the lower end of the scale. It is not necessary to have huge sums to purchase your piece of paradise.
A Chance to Reconnect with Life
Perhaps the most attractive feature of expat life in Montezuma is the pace of living itself. There are a large number of alternative health and yoga retreats to provide a more holistic approach to living in a pura vida way.
Dylan D.
Even Paradise Has Things to Consider
For all the special qualities of the Montezuma, Costa Rica area, there are a number of concerns that can impact a decision to visit or relocate there. Even paradise has some bumpy roads.
First, and foremost is the fact that the area is difficult to access. With no international airport nearby, visitors would have to fly into Liberia or San Jose and make their way from those points. There are two domestic carriers that fly to nearby Tambor Airport but, from there, a cab ride is still needed to reach Montezuma.
One of the major drawing cards of Montezuma is its rustic ambiance. For visitors seeking an all-inclusive or higher-end hotel, there simply aren’t any in the village. If being pampered is a prerequisite for your vacation, Montezuma is probably not for you. Similarly, if having the kind of access one would find in a more urbanized setting is a necessity for your tropical paradise, this relaxed community may not be the best fit.
As with other small towns and villages in Costa Rica, much, if not all daily business is conducted in Spanish. For some, the language barrier could be an insurmountable obstacle to making the location a new home.
In the end, the question that should be asked before making the trek to Montezuma is whether an eclectic beach town, in an out-of-the-way location, is the idyll that you’ve been looking for. Answer that question, and the path becomes clear.
Map of Montezuma, Costa Rica
Lake Montezuma, Costa Rica Fast Facts
- Population: Aprox. 500
- Typical temperature: Average temperature 84 to 90°F
- Nearest airport with U.S. flights: San Jose’s Juan Santamaría International Airport
- Nearest U.S. consulate: San Jose, Costa Rica
Living in Panama today can provide a wide variety of options for those seeking opportunities outside the U.S. and Europe to live, retire, and invest. Ranging from big city living to secluded mountain villages, Panama offers a selection of lifestyles that is second to none in Central America.
Panama City at Night
Panama’s Past Is the Cornerstone of Its Future
Panama’s history is one of change and growth. From its earliest colonial beginnings, to the construction of the Panama Canal, the turmoil of the late 20th century to the revitalization of today, Panama continues to thrive and offer fresh opportunities to live and immerse oneself in the diverse culture of Central America.
One of the major attractions in Panama is the lower cost of living throughout the country. With reasonable rents, lower food and medical costs, and a continuing growing standard of living, it is small wonder that Panama is viewed by many as picking up where other Central American countries have left off.
Living in Panama today provides a cultural and economic opportunity to share in a rich historical tradition while exploring and becoming part of a vibrant and exciting future. In a real sense, Panama’s past has become the cornerstone of the future potential as the country continues its course to becoming a premier expat destination in the 21st century.
Living in Panama – A Wide Choice of Locations and Climates
Panama is fortunate in that it offers variety in both climates and locations. Though located in tropical Central America, Panama has several “micro-climates” that reflect the many regions in the country.
For those seeking the energy and excitement of a modern city, Panama City is the place to be. The skyline along the beaches of the Pacific Ocean is more reminiscent of South Beach than an emerging nation.
The cool climates of the mountains in such locations as Boquete, Sante Fe and El Valle offer a nice contrast to the hotter, more humid beachfront locations. The La Armistad Biosphere Reserve, at Volcan, demonstrates both the geographic and meteorological diversity that can be found in Panama.
A more rustic lifestyle awaits expats looking to the interior communities of David and Chitre. Being able to become part of daily village life may be an ideal alternative for those wanting to avoid the more frenetic pace of larger cities.
Island Life – A Uniquely Panamanian Alternative
Having more islands than any other Central American country, Panama can boast of some of the best beach living in the region. The Las Perlas Islands group on the Pacific side and the San Blas Islands on the Caribbean coast contain the best beaches in Panama and are more affordable than many oceanside locations elsewhere.
Panama Is a Land of Potential on Many Levels
The aggressive efforts of the Panamanian government in recent years to attract foreign investment and to make Panama a desirable location for expats and retirees is beginning to reap dividends. Changes in residency laws, enhanced benefits for retirees, and a pro-business and investment approach is making Panama a model for Central American vibrancy in the 21st century.
New Residency Laws Make Living in Panama an Easy Choice
In May 2012, Panama enacted the Specific Countries Program. Under this program, holders of passports from the United States, Canada and many European countries can become Panamanian residents in as little as six to eight months.
As Panama’s economy continues to grow, the need for skilled workers has led to revisions in the laws impacting those who may want to work in their new expat location.
The Highly Skilled Worker Permit is one of these new revisions. Under this program, which is exempt from quotas and sponsorship requirements, all that is needed is a Bachelor’s Degree (or higher) and a letter from the perspective employer.
Living in Panama – Retirees Are More Than Welcome
Panama is making a major effort to attract retirees with the Pensionado (retirement) Visa program. Any person over the age of 18, with a guaranteed monthly income of $1000 from a government agency, such as Social Security or the U.S. Armed Forces, can qualify for this type of residency.
Holders of retirement visas receive many discounts and benefits in the form of reduced prices for a wide variety of services and items. Some of the most attractive of these discounts are:
| Discount | |
| Entertainment (movies, sports, etc.) | 50% |
| Airline Tickets | 25% |
| Closing Costs for Home Loans | 50% |
| Professional/Technical Services | 20% |
| Dental/Eye Exams | 15% |
With the Retirement Visa, an individual is entitled to a one-time tax exemption on imported household goods (up to a $10,000 limit). Another important benefit is a tax exemption every two years for the purchase or importation of a new vehicle.
Living in Panama – Growing Pains
For all the positives and potential that Panama offers, it is important to remember that this is an emerging nation in the throes of development. As a result, some of the challenges that expats may encounter may not be a good fit for everyone.
Infrastructure Is Not the Same Everywhere
The modern and urban environment of Panama City does not carry over to other parts of the country. Less developed regions in the mountains and further inland are far more rustic in nature. If having access to modern amenities is a requirement, this could limit the choices for relocation.
Changing Legal Environment
Not everyone has welcomed the efforts of the government to attract foreign businesses and workers to Panama. As a result, changing laws and regulations could impact residency and tax matters. This potential for change can be a negative for some who would like a more stable, less dynamic environment in which to invest.
Improvement and Construction Versus Quiet and Established
The constant improvement of Panamanian infrastructure and amount of new construction is certainly a positive for the country. With this growth, however, comes the disruption of the tranquil nature of many communities in the country. Navigating through construction zones and dealing with the issues that this kind of development brings may be a negative to those seeking a more rustic environment.
Discover the “Panama Potential”
The emergence of a growing real estate market makes doing research on what is on the market more important than ever. Whether the desired location is big city or rustic village, looking at what is available can provide a perspective on the true potential that can be found in the various locations of Panama.
If you travel to the tropics, it’s inevitable that you’ll meet up with some of the area’s tiniest yet most fascinating and sometimes scary creatures: bugs. Read on for a look at nine you might encounter in Latin America, from the little but powerful Bullet Ant to the Giant Helicopter Damselfly. And here’s some advice worth heeding: these guys are strictly for looking at–no touching.
David M. Jensen
Costa Rican Hairy Caterpillar
The tropics are full of poisonous caterpillars, and the Costa Rican Hairy Caterpillar is no exception. This ghostly beautiful but dangerous insect excretes poison as a defense mechanism against predators.
Many tropical caterpillars use poison to protect themselves. Reactions in humans can vary from irritating rashes to nausea to bleeding to death from anticoagulants, so it’s best to never touch any caterpillar you find.
SA 3.0
Scorpion
Many people associate scorpions with the desert, but did you know they can live in the rain forest too? Central America is home to 400 species of scorpions. Fourteen can be found in Costa Rica, but fortunately none of those are poisonous. In the tropics of Latin America, scorpions prefer damp, shady areas, including caves and human homes.
This arachnid (the same family as spiders) can be found throughout Costa Rica, including Cocos Island. You can’t miss it with its eight legs and two lobster-like pincers in front (called pedipalps). Its massive jaws, called chelicerae, help scorpions eat insects, spiders, and even each other.
But the business end of the scorpion is the tail, which is where its stinger is located. If you’re in a spot frequented by scorpions, take care to shake out your shoes before putting them on, and think twice about reaching into dark places without taking a peek first.
The rainy season from May to October is often the best time to see all kinds of wildlife in Central America, including insects and arachnids, as well as whales and turtles. The moisture offers the kind of habitat that many bugs need, and it provides a lush green backdrop for your travels. This is a perfect time to check out places like Costa Rica, when the tourists will be few and the spectacular waterfalls plentiful.
Insect Pod
Kissing Bug
The Kissing Bug, AKA Chagas Bug, is in a group of insects known as Assassin Bugs. While it sounds romantic, the Kissing Bug actually takes its name from biting humans on the face at night to eat their blood. This bite can become a vector for the parasitic protozoan Trypanosoma cruzi to enter the body, causing heart failure and even death in what is known as Chagas Disease.
Residents of rural areas are at greatest risk from Kissing Bug bites, especially if they have thatched roofs or grass elements to their homes. This provides the perfect habitat for the insect. The upside to the Assassin Bug is that it eats other insects, so it is beneficial to farmers.
myrmecos
Hercules Beetle
The amazing Hercules Beetle can lift 850 times its own weight! This species is threatened because its rainforest habitat is rapidly diminishing. The Hercules Beetle lives in rotten tree trunks and eats fallen fruit and decomposing leaves.
If you live in Honduras, you may catch a glimpse of this insect, as they are fairly common there and hard to miss, topping out at almost seven inches long.
Geoff Gallice
Bullet Ant
Don’t let the Bullet Ant’s diminutive size fool you. This insect delivers a sting that’s so powerful it’s said to feel like being shot by a bullet. Some people have even described it as the worst insect sting in the world. Fortunately its bite isn’t fatal, but you won’t ever forget it.
Bullet Ants can be found throughout Costa Rica in nests of roughly 700 ants under bushes and trees. One hectare can hold as many as three nests. That’s a LOT of ants when their bite is that nasty!
Marciani
Thorn Tree Hopper
Sadly, the Thorn Tree Hopper only lives a few months. This colorful and crafty Tree Hopper sports a protuberance on its back that looks just like a thorn–the perfect camouflage for it’s prickly environment. Usually found at the edge of forested land, the Thorn Tree Hopper is more nimble than it looks and can both jump and fly away from predators.
Roachforum
Central American Giant Cockroach
This is another tropical bug that likes dark, moist spaces. The Central American Giant Cockroach eats decaying plants, bat guano, and fruits, as well as dead animals and insects. One of the largest insects in the world, this monster can grow up to ten centimeters long.
Some people find these kinds of bugs super creepy, but others think they’re really interesting. If you’re in the latter category, Latin America is the place to be, as there are millions of bug species you could spend your whole life researching. If you’re just getting interested in entomology, these stunning photos of bugs will help you identify common species.
Lviatour
Giant Helicopter Damselfly
Another extra-large bug, the Giant Helicopter Damselfly can reach over seven inches in length. It has two sets of wings, which allows it to both hover and move in multiple directions–all the better for catching its favorite diet of mosquitoes.
It’s not the nicest insect to its own kind, however. Young naiads kill each other vying over their watery habitat in tree holes, until there is only one juvenile damselfly to every liter of liquid.
Bandwagonman
Leaf-cutter Ant
One of the coolest insects ever, the Leaf-cutter Ant works in colonies that perform “task partitioning,” completing jobs like a miniature assembly line. Their workers, soldiers and queens divide and conquer when it comes to defoliating plants and trees–one of the reasons they are also unfortunately considered a crop pest.
Because of Latin American deforestation, the Leaf-cutter Ant has adapted to forest gap lands, often moving from the rainforest into plantation or farmland. If you are lucky enough to see these guys in action, be sure to take some pictures, or better yet a movie, to capture their incredibly well-organized work methods.
The Latin American tropics are full of wondrous creatures found nowhere else on earth. Help protect their natural habitats, and they will be around for a long time for us to enjoy–from a distance, of course.