Yes. Panama's Constitution guarantees private property acquired under the law (art. 47) and treats Panamanians and foreigners as equal before the law (art. 20), and there is no general residency requirement to buy. The limits are specific: foreigners and companies with foreign capital cannot acquire land within 10 km of the borders (art. 291), island territory can be sold only under special development rules, beaches, riverbanks and ports are public-use (art. 258), and no foreign government may own territory (art. 290). The real risk is usually not the nationality of the buyer; it is what kind of land it is.

Checked November 2, 2026 against the articles of the Constitution cited and Law 23 of 2009.

The situation

Many websites say that foreigners can own property in Panama "just like locals", and others warn about restrictions without saying which. Both are partly right. The law is welcoming on the general rule and strict in a few places, and the places where it is strict are exactly where some listings are risky.

The general rule

The Constitution of Panama sets the base:

  • Art. 20: Panamanians and foreigners are equal before the law, although the law may subordinate or deny certain activities to foreigners for reasons of public interest.
  • Art. 47: private property acquired in accordance with the law is guaranteed.

In practice that means a foreigner can buy a condo, a house or a lot in the ordinary market, such as a city apartment or a titled lot, using the same registry, the same deed and the same taxes as a citizen. A visa or residency is not needed to buy; it is a separate matter.

The limits

  • Border zones (art. 291). Foreign natural or legal persons, and national companies with foreign capital "in whole or in part", cannot acquire land within 10 kilometers of the national borders. Because the rule also reaches companies with any foreign capital, a Panamanian company does not get around it.
  • Islands (art. 291). Island territory can be sold only for development purposes, if it is not strategic or reserved, and if it has been declared a special development area by law. Law 23 of April 21, 2009 declared the insular territory a special development area and created a titling regime for possession rights. The 1946 Constitution barred foreigners from owning islands, so older sources can be out of date.
  • Public-use land (art. 258). Beaches, riverbanks, rivers and ports are public-use and cannot be privately appropriated. A "beachfront" lot is not necessarily a lot that includes the beach, and you cannot buy the part that belongs to the public.
  • Foreign governments (art. 290). No foreign government may own territory in Panama, except for sites for embassies.

We did not find, in the Constitution text we read, a residency requirement on buyers. Secondary websites sometimes claim one; do not rely on those without checking the law.

Where buyers get hurt

  • Possession is not title. Some coastal and island land is sold on possession rights, not full title. Law 23 of 2009 sets how those rights can be titled, and it taxes the first sale by an occupant who titled at 25% of the capital gain (art. 13). See possessory rights explained.
  • The coast. Titling rules treat the coastal strip near the high-tide line differently. Ask your lawyer to confirm from the survey where the lot sits relative to the public strip.
  • A company does not fix a prohibited zone. Buying through a Panamanian company is common and often sensible, but art. 291 covers companies with foreign capital. See who is behind a company.

Our land project guide and due diligence guide show how to check this before you pay.

A short checklist

  1. Ask what kind of title the property has and get a fresh registry certificate (how).
  2. Check whether the property is within 10 km of a border, or on an island, with your lawyer.
  3. Check whether any part of the lot is public-use land (beach, river, port).
  4. If the seller holds possession rights, understand what you are buying and what tax applies.
  5. If you buy through a company, check that foreign capital in it does not trigger the border rule.
  6. Then check the taxes: sale taxes and property tax.

How Proper looks at this

Proper does not sell real estate or any property product, and today it does not receive payment from the professionals it refers you to; if that changes, we'll tell you before it affects you. If the land you are considering is on a coast, an island or near a border, the Clarity Session helps you work out what to check first and who should check it.

Sources

Checked November 2, 2026.

Please read: this is general information, not legal advice. We read the Constitution and Law 23 of 2009 as published. We did not verify a specific property, current border-zone maps, or later regulations, which can change what applies to a given lot.