What is happening now in the real estate market in Panama? How are things with supply and demand? How have the prices of apartments in this country changed recently? Read on for the latest trends in the market. 

Panamanian real estate is in demand from foreigners: political unrest in the United States and Canada, as well as ongoing European concerns about regional security, are contributing to this. The weakening of the dollar is also playing its part.

Apartment prices over the past two years also rose—by 13%. For example, the price per meter for condos in the Allure at the Park skyscraper rose from $1890 to $2139.

However, there are a number of threats in the Panamanian market: they are related to an increase in recently finished, unsold stocks, which currently hover at around 4,200 units. This number is more than 10% higher than for the same period last year and currently represents 28% of the total inventory.

Part of this increase can be attributed to a tightening credit market for new home purchases, which is mostly for local buyers. Interest rates have also risen 50 basis points over the past year. Foreign buyers tend to buy properties with cash.

Experts predict that regional turmoil and the country's upcoming elections will continue to affect Panama's real estate market, and a weaker dollar will continue to encourage foreign investment in the country.