Boquete, Panama real estate has become a hot commodity in recent years, ever since the town emerged on the scene as one of the hottest expat destinations in the world. Once a small farming community, the city has gained immense popularity due to a number of factors, most notably its beautiful natural surroundings and year-round spring-like weather.
Finca Lerida
Conveniently located near David, the capital of the Chiriqui province, Boquete is easily accessible. And at an elevation of almost 4,000 feet above sea level, it offers a pleasant respite from the heat and humidity of the nearby coastal cities.
Although it’s grown considerably, Boquete still maintains a quaint small-town feel. Its population is made up of locals, including the indigenous Ngobe-Bugle people, as well as a growing number of expats. With these immigrants has come a wealth of businesses and services that many would-be expats find attractive when looking for a place to call home abroad.
Rita Willaert
Boquete, Panama Real Estate Looked Very Different a Decade Ago
Like most desirable expat destinations, you usually needn’t look too far backwards to discover the town’s humble beginnings and an era when property values were nowhere near their present day prices.
With real estate in Boquete, you’ll only have to rewind about a dozen years or so. Back then it was made up of mostly local coffee farmers, with only a few expats and tourists who trickled in and out of town while birdwatching in the nearby rainforests or hiking the slopes of Volcan Baru, the nation’s highest peak.
As interest in the area began to grow, a number of developments sprang up. A major one was Valle Escondido, an exclusive resort community that offered its residents a first-world lifestyle in an amazing setting…and all for bargain basement housing prices, coupled with a low overall cost of living.
This project helped set the stage for Boquete’s growth when it drew international attention and was featured by networks and publications such as HGTV and Forbes. It was named AARP’s #1 retirement destination in the western hemisphere in 2002, and in 2005 it made Fortune’s list of the top 5 best lifestyle values in the world.
In those early years of its emergence on the expat scene, not only was real estate in Boquete, Panama, a great buy, but the cost of living was insanely cheap when compared to other destinations with the same amenities.
The next few years saw continued growth for Boquete, along with a corresponding boom in its real estate market (and a steady uptick in its cost of living). And the growth in Boquete did much to fuel what turned out to be a nationwide real estate boom throughout much of Panama, which continues to earn accolades as one of the best countries in the world to call home as an expat.
Boquete, Panama Real Estate Is Still a Great Value
Despite the fact that Boquete, Panama real estate prices have risen steadily over the last decade, properties in the area still offer a lot of bang for your investment buck. However, before diving too deep into the specifics of what houses in the area cost, it’s important to understand the nature of Panama’s real estate market.
From our experience, it’s best to approach property valuation based on how the area measures up in terms of the 5 market stages we’ve created for classifying developing areas. The stages range from 1, which is a small local community, to 5, which is a full scale town like Panama City. On this scale, Boquete is a stage 4 area. What that means is that it has a good-sized population with an established sense of community, as well as all the things you’d expect in an organized town (e.g. restaurants, shopping, repair shops, financial services, and tourism operations).
As a result, Boquete is most suited for those who are looking for a more developed city with an established expat community. You won’t find as many rock bottom deals on real estate, but at this point it’s all about the value.
That isn’t to say that there aren’t any investment opportunities left in Boquete. They’re still there. They just look a little different at this stage of the model.
Rather than pioneers hoping to buy large tracts of land they can subdivide and sell to end users, stage 4 opportunities are all about catering to those end users. Boquete is the perfect place for investors who want to open a niche business, like a German bakery or an English bookstore. Other business opportunities include boutique hotels and tourism companies.
Why Boquete’s Popularity Won’t Be a Passing Craze
The very factors that drew the first newcomers to Boquete are the same delightful characteristics that are sure to keep expats relocating to this mountain town in droves in the coming years. There are also a few recent developments (as well as some others on the horizon) that may even lead to another spike in its popularity.
One that that will never change is the natural beauty that surrounds the city. Known as the Valley of Flowers and the Eternal Spring, it offers breathtaking vistas of the surrounding mountains, as well as frequent rainbows as a result of its almost-daily afternoon drizzle. Its weather conditions, with temps perpetually between 70 and 80 degrees Fahrenheit, are what some would argue to be the world’s most perfect.
Not only are the surrounding areas beautiful, but they also offer a whole host of activities for those who want to take every opportunity to enjoy the great outdoors. From whitewater rafting to zip-lining through the rainforest canopy, Boquete can entertain even the most intrepid adventurer.
People also love Boquete for its friendly population. Both locals and expats alike are extremely welcoming to new folks, and the small-town atmosphere makes it an easy place to meet people. The city is home to people of all walks of life, so if you’re willing to put in a little effort you’ll have no trouble finding a network of like-minded individuals.
Some Insider Information on Why Property in Boquete Is about to Become Even More Valuable
We mentioned its accessibility earlier, but we failed to point out that it’s about to improve dramatically. To help explain, here’s another little nugget we’ve picked up during the time we’ve spent learning the ins and outs of the Central American real estate market. When it comes to increasing the value of land and homes in a given area, there’s one key ingredient that never fails to have a huge impact on prices: infrastructure.
As infrastructure improves, more people have access to a given area. That opens the door for more residents, an influx of tourists, new businesses, better services and amenities, and increasing property values.
This is about to happen for Boquete.
A large-scale airport expansion is currently underway at the nearby Enrique Malek International Airport in David, which will enable the area to welcome international flights from the U.S. as well as many other countries. What’s more, a newly constructed 4-lane highway has shortened the drive from Boquete to David to a mere 35 minutes.
It’s never been easier for tourists, expats, and entrepreneurs to make their way to Boquete from all over the globe. This increased demand will mean big things for the Boquete, Panama real estate market.
IMIX
What Your Dollars Will Currently Buy in Boquete
Naturally Boquete, Panama real estate values are going to fluctuate from time to time based on availability and the state of the housing market. But here are a few examples of what you might find if you were looking at properties for sale in the area today:
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$198,000 will buy a newer home that’s over 2,500 square feet, with 3 bedrooms, 2.5 baths, a walk-in closet, an outdoor fireplace, a gated entrance, and an in-ground pool.
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$279,000 is the listing price for a 4 bedroom/4 bath home with a massive kitchen, multiple outdoor storage buildings, a small pond, and immaculate landscaping.
- $375,000 will get you a fully furnished home with 3.5 bathrooms, 3 bedrooms (plus a bonus room), 2 floors connected by an impressive staircase with tile detail, and a large private back yard with mature trees.
- $875,000 is the price tag for an almost 6,000 square foot home in an upscale private community within walking distance of restaurants and shopping, complete with a guest house and many custom features.
What Boquete Has That Other Mountain Towns Lack
So, Boquete has great weather, affordable home prices, a friendly expat community, and lots of room to explore. Well, so do a lot of other mountain towns in Central America and even Panama.
So, what is it that sets Boquete apart? The beach.
Yeah, that’s right.
While Boquete isn’t located on the beach, it is situated awfully close to it. Just a short drive south of David is the coastal town of Boca Chica, which is surrounded by 50+ islands, most of which are uninhabited.
As a result, it’s entirely possible for you to sip your delicious, locally-grown morning coffee in the cool Boquete mountain air and then, an hour later, step ashore on a sun-kissed white sand island beach in an other-worldly archipelago off Panama’s Pacific coast.
It’s like having the best of both worlds. In fact, a lot of Boquete residents do, as many choose to own a home in the mountains as well as one at the beach.
It’s because of this rich natural beauty and ideal location that we’re thinking of developing our next Adventure Colony in the highlands surrounding Boquete. We have our eye on several properties that are within a 30 minute drive from Boquete that we think would be ideally suited for the simple, nature-loving lifestyle.
Map of Boquete, Panama
Boquete Fast Facts
- Population: About 22,435
- Typical temperature: Average temperature is 70 degrees
- Nearest airport with U.S. flights: U.S. Bound flights leave daily from Tocumen Airport, both domestic and international flights to San Jose, Costa Rica depart from Enrique Malek International Airport in David
- Nearest U.S. consulate: Panama City
Alex E. Proimos
The nation of Panama has touted itself as “The Way.” The way to adventure, the way to realizing your dreams, the way to a dream vacation, or the way to whatever it is you may be looking for.
And it’s true.
Every year thousands of expats are finding exactly what they’re seeking in Panama. Whether it’s an opportunity to start their own business, the ability to experience new adventures with their family, or just a quiet place to settle down and enjoy the fruits of their labors.
So, what is the secret to Panama’s appeal? There are actually too many to name. But here are just a few facts about Panama and why expats continue to pick it as their destination of choice.
1. Panama has unmatched natural beauty and biodiversity.
Christoffer Undisclosed
Almost half of Panama’s land mass consists of rainforests, mountain cloud forests, and mangrove wetlands. And they’re all teeming with an abundance of flora and fauna. Not to mention all the aquatic species in the surrounding seas and coral reefs.
Much of the country’s biodiversity is due to its strategic position as a “biological corridor” connecting the Americas. Its Darien province, which is almost impenetrable and lacks much infrastructure, is considered by some as one of the most biodiverse areas in the entire world.
It’s home to jaguars, harpy eagles, American crocodiles, giant anteaters, and more. Among the country’s other species are over 10,000 types of plants (including 1,200 varieties of orchids and 1,500 types of trees) and over 250 types of mammals, several of which can be found nowhere else in the world.
2. Turtles and whales and birds…Oh, my!
Of all the animals to see in Panama, few are as prevalent and as fascinating as these. Five of the eight species of sea turtles in the entire world swim ashore to nest on Panama’s beaches. Several national parks encompass havens for these turtles that swim in by the thousands to lay their eggs in the sand.
Panama is also home to a whopping 972 species of birds, more than the U.S. and Canada combined. You can observe them in the mountains or in the mangroves. One of the best places is in Baru Volcano National Park, where you can spot the Resplendent Quetzal along with many other species.
Every year from June to November, humpback and sperm whales migrate to Panama’s Pacific Coast to mate. The sight of them leaping out of the water in areas like Coiba, the Gulf of Chiriqui, and the Pearl Islands is quite a sight to behold.
3. Finding the right climate in Panama is almost as easy as adjusting your thermostat.
In general, Panama has a warm, tropical climate with very little seasonal variation. Coastal areas are much more hot and humid, and the mountain towns are more temperate with less rainfall. The year is essentially divided into a rainy season (roughly April to December, give or take a month or two depending on location) and a much drier rest of the year.
Finding the right climate for you basically involves testing out spots on a sliding scale from Caribbean to Pacific and from lower to higher elevations. The Pacific coast is a bit cooler and drier, with a nice evening breeze. The Caribbean side, by contrast, gets significantly more rainfall and is a few degrees warmer.
Likewise, you can also adjust your temperature and humidity by moving further up into the mountains. It gets cooler and cooler (maybe even too cool for some), with areas like the Cordillera de Talamanca in western Panama even seeing a little bit of frost.
With such great weather year-round, Panama’s residents can enjoy its beauty and opportunities for adventure in every season! In other great news, while parts of Panama do see the occasional strong thunderstorm, it’s outside the hurricane belt.
4. Panama is an ocean lover’s paradise.
Diesel Demon
Panama is a narrow isthmus that connects Costa Rica in Central America with Colombia in South America. It’s lined by miles and miles of coastline on both the Pacific Ocean and Caribbean Sea. Its coastal ecosystems consist of gorgeous beaches, rocky cliffs, mangrove forests, and coral reefs.
As a result, Panama’s coasts offer opportunities for every water sport and activity imaginable. Coiba National Park contains the longest reef on Central America’s Pacific coast. Both it and Chiriqui Gulf National Marine Park are great places to go diving or snorkeling or watch whales and dolphins.
The name “Panama,” in the Indian language, means “abundance of fish.” It’s a great place for sport fishing, as a number of world record fish were caught of its shores. Surfing is also popular in Panama, particularly in world-famous Santa Catalina. Other available water sports include paddle boarding, kayaking, and kite surfing.
5. Panama’s fun doesn’t stop at the shore.
Panama’s interior offers a wealth of other options for adventure. Many hiking trails wind through the country’s jungles and rainforests, including several that run through Metropolitan Natural Park in Panama City, the only protected forest in Central America that’s located within the city limits.
A hike to the summit of Volcan Baru, the country’s highest point, affords visitors the opportunity to simultaneously take in views of both the Atlantic and Pacific Oceans. The most intrepid adventurers often start this hike at midnight in order to reach the peak by sunrise.
Not far from Volcan Baru, also in the Chiriqui province, is the mountain town of Boquete which offers some of the world’s best zip lining tours through the canopy of the cloud forest. The area also has some first-rate places for kayaking and whitewater rafting, with rapids ranging from Class III to Class V, depending on the season.
6. Panama’s capital city is truly cosmopolitan.
Jasperdo
Much of Panama enjoys great infrastructure for a developing country. In Panama City, it’s top-notch. There’s world-class shopping, fine dining, museums, modern medical facilities, and much more. And recent urban development has attracted even more residents to this thriving hub.
But it’s not all concrete and skyscrapers. As mentioned, Panama City has a 655-acre rain forest within its limits. There you can find a variety of birds and mammals, including toucans, parrots, and sloths.
There’s also a coastal strip with lots of green space that leads to the Old Town, Casco Viejo. This area, a UNESCO World Heritage site, is a unique blend of ancient and modern. With its boutique hotels, located in historic buildings, and open-air cafes it’s an eclectic mix of people and cultures.
7. Panama is a unique and diverse blend of people and customs.
Speaking of culture, Panama is a great place to go if you want to experience the real, authentic customs and traditions of a nation’s people. Panama is still home to 7 different indigenous tribes, although they represent only 6% of the country’s total population. They live in groups called comarcas, which are self-contained sovereignties, with many being very welcoming to visitors who want to observe how they live.
Among the cultural heritage of these ethnic groups are indigenous dances, like the tamborito and congo. They also produce a variety of handmade arts and crafts. These include molas (patchwork pictures that can be sewn to garments or used as pillow covers or wall hangings), jute bags, wood carvings, beaded jewelry, and woven baskets. (However, one of the most commonly mistaken facts about Panama is the origin of the Panama hat. It actually hails from Ecuador.)
Locals also celebrate a number of festivals, most notably Carnival which takes place four days before Ash Wednesday. Towns elect two queens to represent separate sections of the city. For five nights, the queens and their troupes entertain the crowds with parades, dancing, and fireworks.
8. The Panama Canal is an amazing piece of living history.
The largest contributor (directly and indirectly) to the nation’s GDP, the Panama Canal is such an integral part of the story of the country’s progress. And it’s currently undergoing a massive expansion.
The 90-year old waterway, which is already operating at almost 100% of its ability, will have doubled its capacity by the time its over $5 billion expansion project is completed in 2015. A new Observation Center gives visitors the opportunity to watch the construction, as well as take in views of Gatun Lake. Also available are full and partial tours through the canal, where visitors can experience the journey for themselves.
9. Panama enjoys a pleasantly low cost of living.
While it’s true that the cost of living is low throughout most of Latin America, it’s difficult to find a much better bang for your buck than in Panama. Costs vary, of course, from one area to the next (with larger cities requiring much more money to live on than more rural areas).
However, it’s within reason that a couple could enjoy a nice standard of living for $1,500 or less, including rent, in most parts of Panama. And that includes such luxuries as the services of a maid and gardener.
Other services that are quite reasonable in Panama include reliable high-speed internet, public transportation, and excellent health care.
10. Panama is an excellent place to invest or do business.
Not only is Panama a great place to visit or live, it’s very friendly to investors or those who want to open a business, particularly in the tourism industry. Its tax laws are favorable, and setting up a Panamanian corporation is relatively simple.
The government has also recently signed into legislation a number of incentives that make it even more attractive to invest in Panama.
Whether you want to start up an outfit that offers ATV jungle tours, or you just want to buy a piece of land and build your own little piece of island paradise, Panama is a great place to make that happen.
Bonus Facts About Panama…#11. Panama is home to two Adventure Colonies.
I know what you’re thinking. What’s an Adventure Colony, right?
Adventure Colonies are our one-of-a-kind developments that are specially tailored towards would-be expats like you who share our love for the natural environment and a life lived a bit more simply. After reading these facts about Panama, I’m sure you can see why we chose it for our first two projects.
Playa Burica is located on Panama’s Pacific coast on a peninsula the country shares with Costa Rica. Its oceanside lots are covered with untouched jungle, making it great for adventure lovers. It’s also a savvy investment choice, as several factors make the area prime for a boom in the coming years.
Our newest development, Boca Chica Island, is a 400 acre private island covered in jungle and rainforest. It lies 10 minutes off of Panama’s Pacific coast and is surrounded by about 50 other mostly uninhabited islands. We think Robinson Crusoe would approve.
If your idea of a dream destination abroad involves something more–or in this case, less–than a string of high-rise condos and all-inclusive resorts, then maybe an Adventure Colony could be right for you.
Map of Panama
Panama Fast Facts
- Population: 3.8 million
- Typical temperature: Temperature typically varies from 72°F to 91°F
- Nearest airport with U.S. flights: U.S. Bound flights leave daily from Tocumen International Airport
- Nearest U.S. consulate: Panama City
For would-be expats looking to relocate to Central America, Costa Rica and Panama are natural front runners.
And for good reason.
Located adjacent to one another at the southernmost end of Central America, the two are quite similar in many ways. Both consistently top the lists of best places to retire in Latin America, and the world for that matter.
They both boast amazing vistas, near-perfect climates, modern amenities with a low cost of living, excellent health care, and some really great options for how you can spend your free time. However, there are a few areas where one nation has a slight advantage over its neighbor.
While many areas of consideration depend largely on personal preference, we lined up Panama vs. Costa Rica in a head-to-head cage match to see which one comes out on top.
Use the Infographic on Your Own Site
Round #1: Lifestyle Hacks
Advantage: Costa Rica
Both Panama and Costa Rica offer the opportunity to simplify your life by hiring out a number of services that, quite frankly, you’d just rather not have to do on your own. You can easily enlist the help of a gardener, a driver, a tutor for your children, or even a full-time maid who cleans your house, buys your groceries, does your laundry, and prepares your meals six days a week (for less than $15 per day).
While the costs are fairly close, domestic help can be a bit more expensive in Costa Rica. Why’d we pick it as the winner if it’s the more expensive of the two? Easy.
When comparing Panama vs. Costa Rica, Costa Rica has a much more customer-oriented service culture. So, while you may pay a few more dollars per day for domestic help in Costa Rica, the extra money is totally worth it in terms of the quality of personal service you’ll receive.
Round #2 – Connectivity
Winner: Panama by a Landslide
Due in part to a long-standing U.S. military presence, Panama is one of the most connected countries in Latin America. Broadband internet service is available in most cities and is very affordable. There are also numerous free wi-fi hotspots nationwide.
In fact, Panama was recently named #2 in all of Latin America for technology and internet penetration. It also earned the #1 spot for wireless availability. That’s why so many multinational companies like Dell, 3M, and Philips are choosing to establish regional headquarters there.
By contrast, Costa Rica is light years behind its Central American neighbors in terms of internet speed. Although its average connection speed has increased 43% percent in the past year, it’s still only 2.1 megabytes per second. (Streaming a movie requires 1.5 Mbps, or 4 Mbps in high definition.)
Brian Gratwicke
Round #3 – Living Options
Outcome: Varies by Region
This category is a hard one to call. Both Costa Rica and Panama have such varied topography and eco-climates. Not to mention all the other factors that can vary greatly from one region to the next, such as climate, infrastructure, and proximity to attractions.
For comparison’s sake, we’ll compare Panama vs. Costa Rica in four subcategories and examine the top cities expats are choosing for each type of area.
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Mountain towns…Winner: Panama A popular mountain destination for North American expats in Costa Rica is Atenas. Located in the Central Valley, it enjoys mild weather year-round, great views of the surrounding mountains, proximity to San Jose, and an established expat community. Boquete, Panama, offers all those things plus cooler temps, better roads and infrastructure, and a million things to do nearby, from ziplining through cloud forests to climbing volcanoes to sport fishing off the coast.
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City living…Champion: Panama Again Panama City, the nation’s capital, is a vibrant cosmopolitan city that caters to residents and travelers looking for both business and adventure. It offers world-class shopping and dining, as well as a 655-acre rain forest that’s within its city limits. On the other hand, San Jose, Costa Rica, is much smaller, much less attractive, and much more limited in terms of anything interesting to do.
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Beach communities…Advantage: Costa Rica Beach living is right in Costa Rica’s wheelhouse. Towns like Nosara and many, many more have been drawing nomads and expats for decades, and the country caters very well to this genre. Costa Rica’s beach towns have everything you need, from aquatic adventures to quaint accommodations. Panama has a few good options, such as Coronado near the capital, but none can hold a candle to the laid-back coastal cities of Costa Rica.
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Island retreats…No Contest: Panama Costa Rica was almost a no-show for this match. There just simply aren’t many island living options available for comparison. Cano Island offers a serene natural setting among the reefs, but with such slim pickings island ownership is pretty much out of the question. However, in Panama, you can own your own piece of paradise on our own Boca Chica Island, a 400-acre private island offering lots ranging from 5 to 50 acres. It’s just off the coast in an area that’s surrounded by a multitude of land and sea adventures.
Round #4 – Green Living
Winner: Costa Rica, Hands Down
Both Panama and Costa Rica have great options for living in harmony with nature. However, Costa Rica is committed to protecting its natural environment, due largely to its importance in the country’s eco-tourism industry. Almost ¼ of its total area is dedicated to parkland.
Over 90% of the country’s electricity comes from renewable energy sources, with a plan to increase this to 95% by 2014. It’s also on its way to becoming the first carbon-free economy in the world.
Both countries have tons of options for eco-tourism, from jungle tours to mangrove exploration to scuba diving.
Smilla4
Round #5 – Cost of Living
Slight Edge: Panama
Panama and Costa Rica both boast a cost of living that is a fraction of that of the U.S. or Canada. However, from the cost of property to the cost of a bunch of bananas, prices are a bit lower in Panama on average.
It’s true that in both countries there are certain regions or cities (typically the most developed or heavily-touristed areas) where everything from rent to a three-course meal runs close to North American prices, but in general you can find more places in Panama where those expenses are considerably less.
One of the largest contributing factors to Panama’s affordability for many expats is its Pensionado Program. Available to “retirees” of any age, those who meet the income requirements can qualify for discounts ranging from 15-50% on everything from health care to entertainment.
Round #6 – Ease of Access
Verdict: It’s a Tie
Panama and Costa Rica are fairly neck and neck in this category, each for their own reason. Panama takes the prize for international arrivals and departures. Its Tocumen International Airport has flights to several North American cities, as well as various points in South America, making Panama a great destination for those who want easy access to faraway places.
Costa Rica wins for being a great jumping-off point for other adventures throughout Central America, due to its more central location and affordable travel options.
Round #7 – Business Climate
Advantage: Panama
The International Finance Corporation ranked Panama 55th in the world for ease of doing business, compared to a rank of 102 for Costa Rica. Their findings are based on an examination of 10 factors to determine which countries are most conducive to the startup and operation of a local business.
And the difference is obvious if you’ve experienced the business climate of the two nations. Panama’s government is extremely pro-business and pro-investor. It’s also something of a tax haven. Costa Rica on the other hand is much more bureaucratic, with slower processes and higher taxes and fees.
Arturo Sotillo
Round #8 – Banking
Winner: Costa Rica (For Now)
With changing regulations, in both the U.S. as well as Costa Rica and Panama, this category tends to fluctuate greatly over time. However, for the past few years at least, banking for North Americans has typically been easier in Costa Rica.
This is mainly in terms of opening and holding a bank account. Both countries share many of the same requirements (identification, proof of residence and income, etc.). However, Costa Rica only requires a $25 minimum deposit (vs. Panama’s $1,000). Panamanian banks may also ask for additional documents such as proof of employment or reference letters from one or more North American banks.
One difference worth noting is that Panama’s official currency is the dollar, while Costa Rica uses the colon. Because it’s so thinly traded, the colon generally follows the dollar. However, in the event of a financial crisis, this could mean problems for Costa Rica.
Round #9 – Investment Opportunities
Our Pick: Panama
To put this showdown into perspective, let’s use the analogy that Panama is basically the Costa Rica of twenty years ago. When North American retirees began to get tired of the overcrowded expat communities and rising costs of Mexico, they turned to Costa Rica. Now that Costa Rica has reached mega-expat status, people are looking to Panama.
Costs are still lower and, as a result, there is much more capacity for growth. In addition to those factors, the Panamanian government is and has been placing heavy emphasis on tourism investment, largely in the form of tax incentives. It’s also possible for foreign residents to obtain financing in Panama, something they can’t get in Costa Rica.
Round #10 – Healthcare
Outcome: Too Close to Call
Healthcare is excellent in both Costa Rica and Panama. The two countries both have inexpensive public health care, with Costa Rica’s being touted as one of the world’s best low-cost medical programs. In fact, the quality of its health care system is ranked 36th in the world by the WHO, with the U.S. in 37th place.
Both countries also have private hospitals available, where many of the doctors speak English and trained in the U.S. Panama has several state-of-the-art hospitals that are affiliated with world-renowned facilities in the U.S., such as Johns Hopkins.
Panama’s only drawback is the accessibility of its modern private medical facilities. They’re often found only in the largest cities, specifically Panama City and David. Those in rural areas may have trouble finding the care they need, as often only first aid is available in the most remote areas.
World Bank
Round #11 – Consumer Goods
Winner: Panama
We mentioned that the cost of living is slightly higher in Costa Rica. This is especially true when it comes to consumer goods, like groceries–for instance–which generally run about 15-20% higher than in Panama. Exports are also taxed more heavily in Costa Rica, so as a result a lot of products are much harder to find.
Costa Rica also has a higher value added tax (VAT), 14% vs. 7% in Panama. It also has a lot more taxes on luxury items like cars, electronics, and appliances. Compare this with Panama which has lower taxes and even a number of duty-free zones.
These factors have made Panama quite the shopping hub for folks in Latin America. In fact, on one of our last trips to Ecuador we met some people who were on their way back from Panama City where they’d gone specifically to buy several flat screen TVs, due to the country’s lower prices and better selection.
Round #12 – Foreign Land Ownership
Undisputed Champ: Panama
Panama has virtually no restrictions on the ownership of property by foreigners. In fact, there’s only one, and here it is. Foreigners, or foreign owners of Panamanian corporations, can’t own property within 10 kilometers of the country’s borders. That’s it. Also, under Panamanian law, foreigners have all the same protections as citizens.
By contrast, Costa Rica’s land ownership laws are not as liberally applied to foreigners. Land considered restricted or concession areas, including 95% of all beachfront property, is not eligible to be owned by foreign residents (unless they’ve lived in Costa Rica for at least 5 years). The only option for use of this kind of property is through 49% ownership in a corporation with a native Costa Rican.
The buying process is also much easier in Panama, where a good attorney can help to simplify things like title searches, purchase agreements, and the registering of the deed.
Coco Lime Monkey
Panama vs. Costa Rica…Which is the Grand Champion?
Were you keeping score during that match-up of Panama vs. Costa Rica? If so, we would advise you to take our recommendations with a grain of salt. Panama and Costa Rica both offer a host of great places to live as an expat. And determining which one is right for you depends 100% on your values and what you want out of your life in a new location.
Want to Learn about Residency Options?
Each one of these countries has different strengths, but you can listen to our interviews with the experts and find out what it takes to become a resident or if you need to do it at all. The Costa Rica residency interview is here and the Panama residency discussion can be found here.
Our best advice? Plan a trip down to Central America. Check out both of these amazing expat destinations and choose for yourself which one is right for your family.
David Panama – Pedregal Marina
Just ask anyone who lives in or has ever traveled through Panama’s Chiriqui Province, and they’ll tell you what a vital role the town of David, Panama, plays in making life easier in the surrounding Province of Chiriqui.
Located in a basin on the coastal plain, the Chiriqui capital of David is situated about 55 kilometers from the border of Costa Rica on Panama’s Pacific Coast.
The town has a population of just under 145,000 people, and isn’t as densely populated as many other cities its size, since there are few buildings over 5 stories tall.
The low population density and meager skyline give David a very small-town feel. However, it remains Panama’s second largest city and a major hub for transportation and commerce. It’s a relatively wealthy city, with a dominant middle class and a very low poverty index and unemployment rate.
David Panama
David, Panama, is different in many ways than a lot of other tropical destinations. On the one hand, a lot of its buildings are newer construction. That’s good, in that they’re functional and solidly built. But it’s bad in the sense that the city lacks the colonial charm associated with the clay structures and tile roofs common to many Latin American destinations.
So, while it isn’t exactly the country’s most aesthetically pleasing destination to purchase Panama Real Estate, David and its surrounding areas still have many factors that make the city quite attractive to tourists and expats alike. As a result, it has a large established expat community.
However, even more notable is the number of expats living in close proximity to David, who take advantage of all the amenities and conveniences it offers while foregoing its drab environment.
Here are a few of the reasons the area in and around David is so attractive to expats and travelers.
FutureExpat
1. David makes exploring & living in the amazing Chiriqui province much simpler.
Within a short distance from David are a number of fantastic destinations. The majestic Volcan Baru, the country’s highest peak, and the town of Volcan are about an hour away.
Both the mountain town of Boquete, with its coffee plantations and vibrant expat community, and the beach town of La Barqueta are only a 30 minute drive from David. It’s also only 19 miles from the country’s boundary with Costa Rica, making it an important border town.
David Panama Airport Runway
Playa Burica and Bocas del Toro are two other destinations within a short drive from David.
Also nearby (only 5 minutes from the airport) is the Pedregal Marina. This port houses the private boats and yachts owned by David’s residents. It’s also a great place to do some sport fishing. From this port, you can also explore the nearby mangroves or the Gulf of Chiriqui.
It also provides access to exotic Boca Chica and the beautiful Boca Chica Island, before giving way to the open Pacific Ocean.
While these are all amazing places to live & visit, what makes them even better is that fact nearby David offers a place to restock on supplies. It has everything travelers and residents of these more remote areas might need, making all of these areas incredibly accessible.
Situated halfway between San Jose, Costa Rica, and Panama City, Panama, David is conveniently located right smack on the Pan-American highway. It also has an international airport with flights to San Jose and Panama City. You can’t get much more accessible than that (although David may be about to…more on that later).
2. David is also a great place to stay while you explore the surrounding areas.
With so much to do within such close proximity to the city, David is a natural choice for where to set up camp while you take advantage of all the natural beauty, exotic wildlife, and opportunities for adventure that surround it.
Sure, some expats may choose to make David their home base, but when given the choice between living among cinder block buildings vs. living in an internationally-renowned mountain paradise (Boquete) or on a stunning secluded island (Boca Chica), most people are going to opt for one of the latter choices.
For those who wish to make David their temporary basecamp, it has hotels available to suit every budget.
Hotel Cuidad de David
Our favorites are Cuidad de David Hotel, whose rooms rent for around $120 per night, and for a lower cost option, Alcala Hotel ($30 per night) is clean, has a restaurant, and is centrally located.
You can also try Hotel Iberia or Hotel Iberia Sur (two hotels, same management). It has a nice restaurant, is within easy walking distance of the downtown area, and rents for about $42 per couple.
David, Panama Hotel Alcala
David, Panama Hotel Iberia
3. David, Panama, is jam-packed with supplies you’ll need.
Thousands of expats live in Chiriqui Province. Towns like Boquete and Volcan have modern conveniences and almost everything their residents need. When they can’t find something, they go to David. It’s where expats from all over Panama go for a quality piece of furniture, brand name clothing, or an obscure electronic gadget.
David Panama shopping center
There are about a dozen large supermarkets, 10 auto dealerships, six appliance and electronic stores, four department stores, three furniture outlets, two theaters (with movies in English), a Price Smart (similar to Costco or Sam’s Club), and a Do-It Center (like Lowe’s or Home Depot). Other businesses and services include clothing boutiques, shoe stores, dry cleaners, bakeries, video stores, pharmacies, salons, and even chain restaurants like KFC and T.G.I.Friday’s. And new businesses are opening regularly to accommodate a growing number of tourists and expats.
KFC in David
The roads are in good condition, and most public services are reliable. Privatized companies offer electrical service, as well as cable, telephone, and high speed internet. You can drink the water from the tap. David has frequent bus service throughout the city, and it’s quite reasonable. There’s also garbage collection twice per week and a number of local radio stations.
One thing to understand is that shopping in David (or Latin America for that matter) is different than in North America. You’ll have to get use to hunting for the things you need. It can be tough to go into one store and find everything. But once you get the hang of it, there isn’t much that you can’t find.
4. Among David’s amenities is a top-notch medical facility.
Hospital Chiriqui
Don’t let the photo fool you. Hospital Chiriqui is the largest private hospital in the region. Its state-of-the-art equipment and over 100 doctors offer quality care at extremely affordable prices. Several of the hospital’s doctors and nursing staff know at least some English, and many trained in the U.S. or Europe.
The entire experience is very different than a visit to a North American doctor. Rather than zipping patients in and out like they’re on an assembly line, the doctors take extended personal time with each patient.
There’s less government and insurance regulation, so doctors are free to make decisions based on their professional opinions. Wait times are pleasantly short once you learn to either book an appointment or show up right around the time that the doctor will begin seeing patients.
And while the care provided is top notch, the associated costs are minimal. Doctors don’t perform a lot of unnecessary tests and procedures. And, since the Panamanian society is not a litigious one, they aren’t shelling out half their income to pay for liability and malpractice insurance. As a result, those savings are passed along to the patient. For example, a visit to the ER might only cost around $25.
Services offered at Hospital Chiriqui include emergency, trauma, orthopedic, gynecology, neurology, cardiology, pediatrics, and many more. Although costs are already low, compared with the price for the same service in North America, the hospital also offers a discount program to members. The MSChiriqui program provides medical coverage and savings at Hospital Chiriqui and, in many cases, at least partial benefits at other facilities.
Like the rest of Panama, healthcare in David is nuanced. So check out our Panama healthcare report to learn more.
5. A major airport expansion means huge investment opportunity for David and the surrounding area.
David’s Enrique Malek International Airport has always been a great feature for the city. Located on the opposite side of the country from Panama City it’s always been the best way to access all the great destinations in Western Panama.
Panama’s current administration has been investing heavily in infrastructure, which is a good thing for the country and its tourism industry. One of the projects underway is the expansion of the David airport, which is a great thing for David and the areas close to it.
Grab a rental car at the David airport
Renovations include an extension of the runway, facility upgrades, and a more streamlined immigration process, all of which would make David an attractive candidate for more international flights.
In fact, Copa Airlines has indicated they plan to begin direct flights to David from the U.S. (likely beginning with Miami and/or Houston). This is all speculative at this point, but all it takes is one trip through the airport these days to convince you that major changes are underway.
This represents huge potential from a real estate and investment perspective. When infrastructure improves and towns become more accessible, they become more attractive to visitors and new residents. As a result, this expansion could have a tremendous impact on David, Panama’s real estate, particularly in areas that haven’t had the huge boom some of their neighbors have experienced.
David will certainly benefit, as will areas like Boquete, Volcan, and Playa Burica. However, towns like Boca Chica are probably best poised to see appreciation.
6. The cost of living in David is very low, even for Panama.
After hearing the list of services and amenities available in David, Panama, you wouldn’t expect to learn that it’s all offered surprisingly cheaply. But it’s true. Products and services in David costs much less than in Panama City, in many cases even half as much. You can get a nice lunch in a restaurant for $5, including a soda. A large Panamanian working-class lunch is only $2.75 and usually includes a plate full of rice, chicken, plantains or beans, and a salad.
For those who do decide to set up residence in David, utilities and services are also affordable. You can find reliable high-speed internet for as little as $19 per month, and water service for a two-person household is only about $7. You can hire domestic help for $10-$12 per day, or a full-time maid for only $175 per month. All in all, you could easily get by in David for no more than $1,500 per month, including rent, although the cost will vary depending on your lifestyle.
Real estate in David is also a bargain. You can get a smaller, Panamanian-style home that needs a little remodeling for as low as $40,000. Even a move-in-ready property would still only come in at about $75,000.
7. Recent incentives make David a great place to invest, particularly in the tourism sector.
Many of the factors we’ve already mentioned make David a prime location for investment in Panama. Although it has a lot of businesses and services already in place, there is a lot of money in David. Not to mention, expats living in nearby areas come to David to shop.
They would likely love to see more options for evening entertainment, specialty shops, and even more specialized services. And with expats continuing to settle in the Chiriqui region, David’s economy is expected to boom in coming years.
What’s more, Panama’s government is heavily focused on increasing tourism to the country. And much of its efforts are concentrated in and around David. When recent legislation offered huge incentives to those who wanted to establish tourism companies or developments in certain targeted areas, over 80% of them were in Chiriqui.
It’s clear that the government believes that in this area lies its best opportunity for tourism growth. If you spend some time there, you’ll see why.
Among the incentives available to those investing in tourism are exemptions on taxes on everything from property to imports to building materials and, in some case, even income tax. The various laws all have different specifics and qualifications. But the bottom line is that, if you want to invest in Panama (and specifically the areas around David) the government wants to make it as easy as possible for you.
Arisa
8. While there are a few negatives about David, the list is short.
No place is perfect. We all know that. And David is not without its list of shortcomings. The heat is a big one. As is the humidity. David can be absolutely sweltering with little relief from the heat. The best way to beat it is to relax in the city’s beautiful Parque Miguel de Cervantes with a cool drink of helados (fresh coconut juice) or a fresh fruit smoothie.
This is a big reason many expats don’t choose David as a place to actually set up residence. If you’re going to deal with the heat, you might as well be on the coast or a nearby island, with a nice coastal breeze to cool your skin. Or move up into the mountains where you can enjoy all the conveniences of David in close proximity, with much cooler temperatures and less rainfall.
Also, while there’s a ton to do in the areas surrounding David, the city itself doesn’t have a whole lot to offer in the way of entertainment and culture. Oh, it’s purely Panamanian. But when it comes to museums, night clubs, and fine dining restaurants, David leaves a lot to be desired. It’s a city that’s more focused on agriculture and industry than on being a cultural hub.
That being said, if that’s the worst it’s got, then David isn’t that bad of a destination for expats and tourists. In fact it gets a lot of both. However, for the most part, people tend to settle in the outlying areas. They’re just too spectacular not to! So, if you think David might not be the right place to live, then check out some of the other fantastic areas in Chiriqui. David will be there when you need it.
Map of David, Panama
David Fast Facts
- Population: About 150,000
- Typical temperature: 73 degrees lows with the highs in the upper 90’s
- Nearest airport with U.S. flights: U.S. Bound flights leave daily from Tocumen Airport, both domestic and international flights to San Jose, Costa Rica depart from Enrique Malek International Airport in David
- Nearest U.S. consulate: Panama City
Andy Browne takes you on a video tour of Boquete, in the green mountain highlands of Panama, in western-most Chiriquí Province, about 60 km. from the border with Costa Rica. Popular with expats, Boquete is a very cozy mountain village so you won’t have problems exploring the city on foot. For the surroundings you can either use taxis or the local area buses.
Touring around Boquete
There are also many tour companies that offer guided trips through the mountains to see waterfalls, coffee plantations, the cloud forest, and La Amistad National Park.
Because of its altitude, some 1,200 metres above sea level, its climate is cooler than that of the lowlands. Its scenic location, temperature, and natural environment make it extremely popular with Panamanians, and attracts tourists from all over the world.
Playa Burica property in Panama
There are a lot of great up-and-coming places in Panama that are perfect for those who want to relocate to the tropics but don’t want to pay the hefty price for a place in an established area. These locations are also ideal for any would-be pioneers who are looking for a rising hotspot that isn’t quite so “last week.”
So, whether you’re hoping to blaze a trail in an emerging area or just want to find your own piece of paradise with a slightly lower price tag, we recommend that you keep an eye on these 5 up-and-coming places in Panama.
1. Western Azuero
Unlike the eastern portion of the peninsula, the western coast of Azuero is much less developed. Known as the Azuero Sunset Coast, this area is sparsely populated and home to very few expats. While it has a couple of small towns–most notably, Torio, and Malena, a small fishing village–the region is mostly home to cattle ranches and those involved in other agricultural pursuits.
Situated on Panama’s Pacific Coast, the scenery on the Azuero is remarkable. Lush mountainsides, with cascading waterfalls, give way to deserted stretches of beach where you could easily find yourself to be the only sunbather or surfer for miles around. Speaking of surfing, this region, particularly Morillo Beach just south of Torio, offers some of Panama’s best and most consistent waves.
The Azuero’s western coast offers sightings of whales, dolphins, and sea turtles. It’s also home to world-class fishing, with an abundance of tuna, sailfish, marlin, dorado, wahoo, and yellow tail. And the rainforests of Cerro Hoya National Park are home to many endangered species.
Azuero coastal area does have some supermarkets and even a handful of new residential areas along the coast, but getting from point B to point B is indirect at best, however, if that doesn’t bother you, this area boasts one of the lowest costs of living in Panama.
With decent access to the larger city of Santiago, and even better access to more populated areas along the peninsula’s east coast (like Pedasi and Las Tablas), the western Azuero coast is a great fit if you want to live like a local without venturing terribly far away from modern conveniences.
2. Caribbean Coast
In contrast to Panama’s often rocky and varied Pacific coast, its northern coast borders the Caribbean, which offers pristine white sand and shady palms. Not to mention sparkling turquoise waters that offer crystal clear visibility.
Its beauty might suggest that Panama’s Caribbean coast would be its most desirable and home to many of its largest settlements. Not so.
One reason is its inaccessibility. The Pan-American highway, which stretches from Alaska down to the southernmost regions of South America (except for a brief gap through Panama’s Darien province), almost invariably clings tightly to Panama’s southern Pacific coast, making the Caribbean side of the nation much more difficult to reach by land.
Also, while there are areas such as Bocas del Toro that attract both tourists and expats in droves, they’re not the best bargains on the Caribbean coast. If you’re looking for a bigger discount, Panama’s northern coast also boasts miles and miles of virgin beaches that are great for the more adventurous destination-seeker.
Along with the discounted price tag, though, comes much less in the way of infrastructure. Think primitive roads, spotty internet, and fewer public water systems.
Additional challenges presented by Panama’s Caribbean coast include the large amount of protected land. With many national parks and indigenous lands, property is quite difficult to come by. Not to mention, the area gets a large amount of rainfall, roughly twice that of the Pacific Coast.
While the Caribbean coast offers opportunities to own stunning beachfront property at rock bottom prices, it’s not for everyone. We’d only recommend this region if you aren’t afraid to hurdle some obstacles in the buying process and are willing to contend with a lack of conveniences. At least, for now.
3. Burica Peninsula
In Panama’s southwest corner lies the Burica Peninsula, which juts into the Pacific Ocean and divides its territory between Costa Rica and Panama, which claims about ⅔ of the landmass. Accessible by a short scenic drive from David, the peninsula is home to Puerto Armuelles, which has shopping facilities and other modern conveniences.
However, Burica’s tropical wilderness, not its familiar amenities, are its real appeal. Covered mostly in rainforests, it contains beautiful flora and fauna and is home to many endangered species such as the Panamanian Red Spider Monkey.
The area also contains fields, where cattle graze, and rolling hills that often drop off directly into the Pacific Ocean. Its beaches are untouched and dotted with towering palms. In addition to lounging in a hammock on an isolated beach, the area also welcomes you to experience some of the world’s best sport fishing and a few of Panama’s secret surfing locations.
A drive down the recently completed road that leads all the way to the tip of the peninsula affords views of Volcan Baru, the country’s highest peak. You’ll cross a river and drive out on the beach, along the surf, to reach the Playa Burica community at the southernmost point. But only at low tide. Otherwise, you’ll need a boat to get there.
While this area is still up-and-coming, it likely won’t be for long. If you’re looking for an elusive destination that offers a remote feel, just a short distance from civilization, take a look at the Burica Peninsula.
Note: Article 121 is something one needs to research before buying here. Despite this Law most of the coastline is currently owned by foreigners.
4. Santa Fe
So, those are some beach areas. What about something for the mountain-goers?
The relatively small, albeit growing, town of Santa Fe, nestled into the Veraguas mountain range about 5 hours from Panama City, is a place we think you should watch.
Although surrounded by much higher mountains, Santa Fe sits at an altitude of just 1350 feet. That’s high enough to escape the heat and humidity of the lowlands, yet low enough to experience some nice warm days and no breathing problems.
While notes of traditional Panamanian culture still ring throughout, the city enjoys many modern conveniences such as clean drinking water and high speed internet. However, perhaps its biggest draw is its opportunity for adventure.
Santa Fe offers horseback riding, bird watching, and exploring…from mountainside coffee farms to waterfalls to orchid gardens. Among the town’s inhabitants are toucans, hummingbirds, and rare butterflies.
Also relatively rare in Santa Fe are expats. Sure, there are some. But rather than living isolated by themselves in gated communities, expats in Santa Fe often reside on large plots of land that they can use for coffee farming, reforestation, or even simply growing their own organic fruits and vegetables.
Santa Fe is a great value if you’re an outdoor enthusiast who wants community and conveniences, but in a place that’s rich in authentic culture and relatively unspoiled by developers.
5. Ruta Sur
Ruta Sur refers to the new stretch of road that was built to bridge the gap between Boquete and Volcan. Meaning “Southern Route,” it covers what is essentially 15 miles, as the crow flies, in many more winding miles of unmarked (and sometimes unpaved) roads.
Much different from the highly-developed and densely populated towns it connects, areas traversed by the Ruta Sur are rural and contain few inhabitants. The route takes you past miles of coffee and vegetable farms, by orange groves, past Volcan Baru, alongside waterfalls, through canyons and lush valleys, and finally to fields used for cattle farms and greenhouses.
Once fairly unknown, this region offers, not only new and improved access, but many opportunities for enterprise. Residents of this area are able to enjoy the breathtaking scenery and also earn a living operating a dairy farm or a spa retreat high in the mountains.
As the road begins to become more traveled, the region will likely gain popularity. However, it could take a while. The route is largely unlabeled, with only a telltale painted yellow stripe marking the way, much like Dorothy’s fabled quest for the land of Oz.
The areas along the Ruta Sur are perfect if you want to enjoy a life lived a little further off the beaten path and use your land as your livelihood. Shop for property along this stretch of road if you want to embrace life along the journey, not at the destination.
If you are planning on making a move down to the lush tropics of Panama, why not take a moment to learn a little something about the Panama health care system and where to find hospitals that will offer quality and expat friendly care.
Luckily, you won’t have to look far. Equipped with two branches of health care, public and private, Panama is recognized for its world class institutions and qualified medical professionals. But in a country with such a strong health care system, where should you go to find the best possible care?
The Best of the Best
1. Hospital Punta Pacifica
hospitalpuntapacifica.com
First on the list is Hospital Punta Pacifica. A full-service private hospital praised for its trained physicians and immaculate facilities, Punta Pacifica is not only the only John Hopkins affiliated hospital in Panama, but in Central America as well.
Hospital Punta Pacifica employs over 350 medical specialists, and through the use of continuing education programs, these specialists are constantly updated to keep their knowledge current. This hospital can be found in Punta Pacifica, and although it is one of the more expensive institutions in Panama, inside you can expect to receive first rate care at the hand of qualified professionals.
2. Paitilla Hospital (Centro Médico Paitilla)
centromedicopaitilla.com
Next on the list is Paitilla Hospital. Located in Punta Paitilla, this facility is one of the oldest private hospitals in Panama and is a great choice for expats since most of the staff speak English. This is due to the fact that many of the doctors completed residencies in the United States and Europe before settling in at Paitilla Hospital.
While best known for its oncology unit, Paitilla Hospital is staffed with medical professionals that specialize in many different branches of medicine. Some of their departments include:
- Radiology and imaging
- Laboratory and anatomic pathology
- Cancer center
- Critical care unit for newborns and adults, and
- Cardiac catheterization unit
3. Hospital Chiriqui
hospitalchiriqui.com
Hospital Chiriqui, located in the city of David (near the Costa Rica border), is an institution with a reputation for providing exceptional medical care for over twenty years now.
The Hospital Chiriqui is a private hospital staffed with medical professionals that specialize in anesthesiology cardiology, reconstructive surgery, dermatology, and radiology (to name a few). In order to keep providing quality patient care, the Hospital Chiriqui is currently developing a clinic in the small town of Boquete, Chiriqui that will provide services like ambulance, pharmacy and primary health care to patients, twenty-four hours a day.
4. Hospital Nacional
www.hospitalnacional.com
If you visit Hospital Nacional, located in the Bella Vista area of Panama City, you can expect to receive quality care. This hospital is staffed with over 100 specialists and has an impressive nurse to patient ratio (one nurse per every ten patients). This facility also offers a diverse range of patient services like:
- A clinical laboratory
- A pathology laboratory
- A genetics center
- An emergency room
- and an intensive care unit
Hospital Nacional is also welcoming to out-of-towners for they even accept international health care plans.
5. Hospital Santa Fe
hospitalsantafepanama.com
Last on the list is the Hospital Santa Fe. Nestled in the center of Panama City and located mere minutes from the Panama Canal, the Hospital Santa Fe concentrates on creating individual health care plans that are patient specific. Founded in 1984, Hospital Santa Fe uses the latest technology, state-of-the-art equipment, and many English speaking, American-trained doctors to treat their patients.
Hospital Santa Fe is also on-board with the new wave of medical tourism and offers many health tourism packages that claim to provide the same quality care as American hospitals at a more affordable rate.
So before you pack your suitcase and whisk off to Panama, be sure to look into the local health care system and the available hospitals, so that when the time comes, you can make an educated and confident decision.
A tourist friendly country with pristine beaches, majestic mountain views, and an affordable cost of living, Panama has so much to offer expats, including the mountain towns of Volcan, Cerro Punto, Boquete, El Valle, and Santa Fe.
While each of these towns has spectacular views, year round spring-like weather, and expat friendly communities, they each have something special that makes them unique.
First Stop, Volcan
Rich Young
Famous for its “eternal spring” climate, Volcan sits atop a plateau at 4,200 feet. And it’s not surprising that Volcan means volcano, since the large green mountain that provides the amazing backdrop for Volcan is in fact the dormant peak of Volcan Baru (the highest peak in Panama).
This quaint mountain village was first settled by indigenous people thousands of years ago and artifacts are still found in farmer’s fields to this day. While some Ngobe Bugle people still reside in Volcan, expats can mainly expect to find the same relaxed and laid-back way of life that you can find across the country.
There is an established expat community in Volcan and over the years many have opened hotels and restaurants, further expanding Volcan as a prime retirement spot.
Only twenty minutes from David, the third largest city in Panama, Volcan is perfect for those who are seeking the quiet, mountain town way of life, with urban amenities close by.
On to Cerro Punta
Celen Aper
Located in the highlands above Volcan, 2000 meters above sea level, Cerro Punta is the agricultural center of Panama. The hypothetical bread basket of Panama, Cerro Punta produces nearly 80% of the fresh produce for the entire country, and due to the high altitude, Cerro Punta has a slightly cooler, some might even say cold, temperature.
The friendly people and the relaxed farming atmosphere provide Cerro Punta with that small village feel that is sought after by many expats and as you stroll through Cerro Punta you will see many local farms, gorgeous mountain ranges and Ngobe families dressed in colorful traditional garb.
Next, Boquete
Boquete- roaming the planet – doors
Arguably the most popular expat spot in the province of Chiriquí, Boquete was rated by the AARP as one of the world’s top retirement spots. This popularity began in 2001 and as a result, you will find a well-developed expat community in Boquete today.
Only a 45 minute drive from David, Boquete is known for its misty rain (bajareque), coffee, and flowers, especially orchids.
Boquete is actually considered the flower capital of Panama and upon entry, you will be greeted by buildings simply covered with magenta and coral bougainvillea.
With fresh produce and seafood in abundance, Boquete promotes a healthy lifestyle for all who live there, and because of the low cost of living, a delicious dinner for four can be purchased for around $10.
Boquete also has a strong arts community with a yearly jazz festival and even an English language theater group.
Consider El Valle
Orban Lopez Cruz
The world’s only inhabited volcano, this mountain village remains close to the urban metropolis of Panama City while keeping its coveted small town atmosphere.
Known for its wind, water, rich volcanic soil, and perfect spring climate, El Valle attracts many people interested in eco-tourism and wellness vacations.
And even though the volcano has been dormant for 5 million years, many volcanic hot springs have surfaced, providing proof that there is definite volcanic activity happening underground.
Relaxed during the week, El Valle is alive with activity on the weekends as people come out of the woodwork to visit El Valle’s famous arts and crafts market. There is much to be seen at this massive market as the locals and the Kuna Yala Indians come out to sell their colorful wares.
Last Stop Santa Fe
Jerry W. Lewis
Expats come to Santa Fe to experience a truly authentic taste of Panamanian living.
Because Santa Fe is smaller and not as developed, you can really experience the serenity of Panama mountain life. Sitting at an altitude of 1350 feet, you will find the same year round spring weather and sweeping mountain views in Santa Fe, but with fewer expat additions.
The expats here don’t tend to participate in as many group activities as they do in the other mountain towns, and while there are still many outdoor activities to experience, there are not as many tour groups.
In addition, housing in Santa Fe tends to cost less, and although it will be equipped with cable and internet, the facilities will definitely feel more traditional.
Which Panama Mountain Town is right for you?
Rich with all the wonders that drew you to Panama in the first place, but with little differences that make each town a unique experience, any of these five towns could be the perfect place to set up shop.
A land covered in volcanoes, rivers, and lush forests, with a laid-back way of life and a low cost of living, Panama and its mountain towns are definitely an expat friendly treasure to behold.
So plan a trip and hop around to each town as you search for that ideal place to call home.
Lee Zelter knows Boquete, Panama. It’s almost as if it’s in his blood. His blog Boquete Guide is a must read for those who are considering the move to Boquete or for those who have already made the jump.
Viva Tropical took a moment with Lee to dig a bit deeper into his reasons for calling Panama home for the past 7 years. His answers might just surprise you.
Photo Credit: Sky and Zak
Why did you choose to move to Panama and specifically Boquete?
We researched for several years while waiting for our youngest to finish high school. We visited Europe, Mexico, Costa Rica and last Panama. We decided on Panama for several reasons.
Cost of living was lower than Europe and the U.S. Mexico was getting too violent. Costa Rica was a boat we missed and crime was heading up as an anti-gringo attitude was developing.
The pluses of Panama were that in a time when the dollar was falling against other currencies, Panama used dollars so we would not be hurt by varying exchange rates. Panama has a hundred years of U.S. involvement and to Panamanians Americans are nothing new.
Gringo is a description not a swear word here. We loved the temperate climate and relative isolation of Boquete. It was time to leave city life and try something new.
There was a significant English-speaking international community in Boquete which made for an easy integration. My wife lasted 18 months, it was too much of a change for her. I stayed and love it here.
How long have you lived there?
Seven years in August 2013
Where where you living previously?
Tucson, AZ, U.S.
What do you do with your time?
I work online, write online and play online. I also travel extensively in South and Central America.
What surprised you when you first came to Boquete/Panama?
How many shades of green exist!
What advice can you give someone who is thinking about moving to Boquete/Panama?
Learn Spanish first, leave your preconceived attitudes at home and do not check your brains at the airport. This is a different world.
Anything else you’d like to say?
I have much more about the entire experience at this link. The entire Panamania series reflects the move, transition and experience.
Panama is a smart choice for expats who want it all—in a country that really wants them. Located in the interior of Panama, Boquete is popular with the expat crowd, who enjoy a close proximity to pristine beaches and the growing city of David, along with expansive mountain views, and an affordable cost of living.
Here are five good reasons you will want to become an expat in Boquete.
1. Panama’s Friendly Retiree Residency Program
Most notably, Panama lures expats with one of the world’s best retiree residency programs. The Pensionado or Pensioners’ Program makes it easy for retirees to get residency here. The potential value for a pensioner on a budget is huge, as Panama offers a host of discounts to all its retirees. The long list of discounts includes reduced fares on movies, theaters, sporting events and other public events; discounts off transportation, hotels, even electric and other utilities, and much more.
Legal and application fees for the Pensionado visa are relatively inexpensive, particularly when compared to the money-saving benefits. Plus, the Pensionado program awards residency for life.
2. Panama is a Top-Rated Retirement Destination
Boquete is known for its expat community. Rated by the AARP as one of the world’s best retirement destinations, Boquete first began to attract an expat crowd in early 2001 and has continued to grow into a viable expat community. An hour’s flight from the nation’s capital of Panama City, Boquete is dotted with small cottages, one after another… Swiss-style cabins with magenta and coral bougainvillea spilling over their walls. No wonder Boquete is known as Panama’s flower capital.
3. Boquete Offers Stress-Free Living
Expats in Boquete will tell you their health has improved… not because they’ve done anything special, but because the place lends itself to healthy living. It’s easier to walk here than to drive. Everything is close and everyone is on foot.
There aren’t fast-food joints on every corner. But the market carries fresh ahi-grade tuna and sea bass and shrimp every day. And they’re a mere fraction of the price you’d pay back home. Baked with juicy tomatoes or slices of fat Boquete oranges, dinner for four will run you about $10.
You’ll meet painters and photographers and jewelry-makers here. The expat community has helped infuse Boquete with the arts. This quiet village now has a yearly jazz festival and an English-language theater troupe.
4. Take Up an Outdoor Activity
There’s much to do for lovers of the great outdoors, too. Boquete is the kind of place where you can go white-water rafting or hiking or birding…every day. You can have your own farm and livestock… grow rare orchids and bromeliads… pick limes and bananas from your very own trees. The land is rich and fertile, the climate is perfect. You can can even bird watch from the comfort of your home.
True, Boquete is known for its misty rain— called bajareque—as much as for its coffee and orchids. You can’t have one without the other. During the rainy season, from May through November, there will be afternoon showers… or downpours. But you see the sun most every morning.
Miniature humming birds of Boquete
5. The Cost of Living Is Low in Boquete
Panama ranked 8th on The Worldwide Cost of Living Survey, which is released twice a year by the EIU and compares hundreds of prices across 160 products and services, including items such as food, drink, rentals, utility bills, schooling costs, and household supplies. If you decide to buy a home in Panama, it is possible to live well, on less. Just be forewarned, if you bring along a lavish U.S. lifestyle to Boquete, your cost of living might be higher than you might expect. However, if you are willing to eat like a local, you can dine out for $4, get a glass of wine for $3, and enjoy an abundance of fresh fruits and vegetables for $10 a week.
Here, paradise comes at a price…but it’s a bit more economical.
“You’ll never find rainbows if you’re looking down.” – Charlie Chaplin
Rainbows mean many things to many people. To some they are merely a meteorological phenomenon. To others, who subscribe to certain ancient myths, they serve as a bridge that connects humans to the gods. To still more they represent the promise of God’s preservation. In Irish folklore, the rainbow marked the hiding place for the leprechaun’s pot of gold. It was a mythical place that, since the rainbow is an optical effect that depends on the location of the viewer, could of course never be found. Or could it?
To residents of Boquete Panama, frequent rainbows are the product of the bajareque, a delicate drizzle that sometimes accompanies the north winds that blow down from the mountains. The rainbows arch, often in multiples, over the Valley of Flowers and Eternal Spring, aptly named due to the town’s vast array of exotic flora and its balmy weather that rarely registers above 80 or below 70 degrees Fahrenheit.
Situated in Panama’s highlands, Boquete is nestled into the lush mountains less than 40 miles from the border the country shares with Costa Rica. Located in the Chiriquí Province, the town (actually a group of six smaller districts) sits on the Caldera River approximately a half hour drive from the capital city of David and 340 miles from Panama City. Its elevation of almost 4,000 feet above sea level helps to alleviate the sweltering humidity experienced by some of its coastal neighbors.
Instead Boquete enjoys perpetual spring-like temperatures and breathtaking panoramic views of the surrounding mountains. With a population of less than 20,000, about as many as New York’s Madison Square Garden can seat, residents of Boquete enjoy the small-town atmosphere that so many expatriates seek when leaving their native lands.
Just in case you need any further convincing…
Here are a few of the reasons Boquete, Panama, may be the best place for you.
Its location provides endless sources for adventure.
For the thrill-seeker, the mountains around Boquete offer opportunities for hiking, such as the Sendero de los Quetzales trail or the ascent to the top of the Volcan Baru, a dormant volcano that is also the nation’s highest point. Rock climbing, zip lining, whitewater rafting, and horseback riding round out the list of other available action-packed adventures.
For the slightly more faint of heart, the above areas can also be explored by vehicle, although the country’s push for ecotourism would encourage exploration that leaves the least impact on the natural environment. Also offered are more leisurely tours of the local coffee plantations and rain forests, as well as trips to the hot springs of the nearby Caldera River.
No matter what your preferred method of sightseeing, you needn’t venture far to enjoy the spectacular flora and fauna of Boquete. The mountains and forests boast an array of flowers: lilies, hibiscus, roses, carnations, sunflowers, and orchids. The region is also home to over 900 species of birds, including the Resplendent Quetzal which was regarded as sacred by the ancient Mayans.
The climate is perfect.
Repeatedly named as a top retirement destination by groups such as AARP, Boquete, Panama, enjoys spring-like weather all year round. Perhaps the only thing that differentiates the seasons is the rainfall that occurs during the summer (roughly May through October) and ceases during the winter months (November through April). The combination of the moist climate and fertile, volcanic soil results in a rich agricultural bounty of coffee beans, strawberries, oranges, and much more.
Culture abounds.
The mountains around Boquete are home to the Ngobe-Bugle people. This indigenous group is comprised of farmers and artisans. They fashion chaquiras (bead necklaces), baskets, chacara (woven bags) and nahua (the garments of their native dress). Likewise the Kuna people are famous for their bright molas, a colorful textile art form.
Boquete is home to a vibrant music and art community. The Boquete Jazz & Blues Festival is the largest in the province of Chiriquí. The Boquete Community Players, an expat theater group, was started to promote an appreciation of the arts and foster a sense of community among the expatriates. The group recently opened its new venue alongside the Caldera River. The organization also hosts the annual Chiriquí Art Expo.
Boquete’s arms are wide open to expats.
Panama’s Pensionado (Pensioners’) Program offers a lifetime visa for retirees, with little expense or hassle and no minimum age requirement. Pensionados receive discounts of up to 50 percent on entertainment, 30-50 percent on hotels, 25-30 percent on transportation, 30-50 percent on hotels, 25 percent on restaurants, 25 percent on power and utilities, and 15 percent on hospital and private clinic services.
Panama is pro-business and pro-investor. The country also has favorable corporate and personal tax laws. Foreign-earned income is not taxed, and new home purchases can be tax exempt for a certain number of years.
Others have already paved the way.
Due to an already-established community of expats, newcomers to Boquete will find many of the same conveniences they enjoyed back home. Essentials such as cellular phone service and high speed internet are readily available.
Organizations such as Rotary International and Lions Club International have established chapters in the area. These and many other philanthropic initiatives have been started by local expatriates. Through Animales de Boquete, they strive to control the animal population and improve overall animal health. A group called Amigos de Boquete feeds hundreds of local school children each day. Another organization called Buenos Vecinos collects food and monetary donations to assist the hungry and elderly.
It goes without saying that, no matter how spectacular the perks of a particular destination, it may not be everyone’s answer to the question “If you could live anywhere in the world, where would it be?”
Here are a few of the reasons Boquete, Panama, may be a better place for someone else.
The cost of living, while low, isn’t the lowest you’ll find in Central America or even Panama.
While still far less than the cost of living in the United Sates (60-70 percent less per some expats), the cost to live in Boquete, Panama, is higher than that of living in other mountain villages. However the old adage that ‘you get what you pay for’ may hold very true in this case. The prevalent amenities and luxurious accommodations available in Boquete do not come without a price.
That being said, the cost of living is STILL quite low. A modest 3-bedroom/2-bathroom home on a decent lot can be purchased for under $150,000. To rent the same property would run you in the neighborhood of $800 per month. A taxi will drive you across town for $1-2. A haircut costs around $5, and dinner for two with a bottle of wine will set you back a mere $30.
The mountains aren’t for everyone. Say, for instance, a beach person.
While Boquete is not ON the beach, it is near it. Panama is an S-shaped country that borders the Caribbean Sea on one side and the Pacific Ocean on the other. Slightly smaller than the state of South Carolina, the country is 110 miles across at its widest point. Boquete’s location lends itself to a view of both oceans from atop the Volcan Baru. So what you sacrifice in proximity, you regain in panorama.
The mountainous terrain also makes Boquete somewhat of a difficult place to access. Buses from David, the capital of the province, leave every 45 minutes. Flights from Panama City to David range from $80-$100. Taxis are available for local travel. However, the city of Boquete itself is very pedestrian-friendly. Also to be considered is the fact that the abundance of local businesses, such as grocery stores and even shopping malls, eliminates the need for frequent travel outside of town.
The well-established expatriate community may dishearten the would-be pioneer.
Those wanting to immerse themselves in the local culture, learn the language, and dress in authentic garb would have much preferred Boquete a decade ago. Today there are almost as many expatriates as there are Panamanians. Recent years have seen the addition of 1,000 homes, and the area now features over 10 gated communities.
On the flip side, this could also be regarded as a benefit to those who want to relocate to paradise without losing too many of the things to which they’re accustomed back home. For instance, the dollar is the national currency of Panama.
So now, over 100 years since the city was first founded on April 11, 1911, Boquete, Panama, has become a mecca for international tourism and a magnet for refugees from all across the globe. A bowl-shaped valley tucked into the mountains of Panama’s highlands, it is a true cultural melting pot and, until recently, one of the region’s best-kept secrets. With a name that means “gap” or “opening” in Spanish, perhaps it’s no coincidence that the town was first founded by gold-seekers who were hunting a shorter and faster route to the Pacific. Who knows? Maybe those leprechauns were onto something.
Whether it’s best suited for you or more appropriate for someone else, there is no doubt that Boquete, Panama, is indeed a treasure. If Boquete is the home away from home of which you’ve always dreamed, we look forward to seeing you. If your search for the destination of your dreams must continue, we wish you the best. May the road rise up to meet you…