New Qualified Investor Residency rules are now in effect in Panama
The revised framework changes real estate investment thresholds and strengthens requirements around source of funds, valuation and ongoing investment verification.
Panama has introduced a new framework for Permanent Residency as a Qualified Investor through Executive Decree No. 17 of September 8, 2026, published on September 16, 2026.
The new rules affect more than the minimum amount required to qualify. They also change how investments must be structured, documented, valued and maintained throughout the residency process.
For international investors considering Panama, the investment and the residency strategy should therefore be assessed together from the outset.
New thresholds for real estate investment
One of the most relevant changes is the distinction between newly developed property and real estate acquired on the secondary market.
A minimum investment of US$300,000 applies to a new, previously unoccupied property acquired in a first sale from the developer, promoter or its successor.
For a property that has already been sold, occupied, leased or transferred to an unrelated third party, the minimum qualifying investment is US$500,000.
For investors planning to use a real estate acquisition as the basis for residency, confirming how the property qualifies under the new framework should form part of the transaction review before funds are committed.
Source and traceability of funds
The qualifying investment must be made with the applicant’s own funds originating from a foreign source.
The new framework places greater emphasis on the documentation supporting the ownership, origin and traceability of those funds. Donations, gifts and other gratuitous transfers from third parties cannot be counted toward the required investment amount.
The investment may continue to be held through a company or private interest foundation, including a foreign entity, provided the applicant’s beneficial ownership and effective control can be properly documented.
For investors using corporate or wealth-holding structures, this means that the investment vehicle, banking trail and residency application should be coordinated from the beginning.
Greater scrutiny of real estate value
The rules also provide additional criteria for determining the value of a qualifying real estate investment.
The amount recognized for residency purposes will take into account the price actually paid, the reasonably supported commercial value of the property and any applicable encumbrances.
Where there are objective reasons to question the declared value, the authorities may require an independent commercial appraisal.
Purchase price, financing, liens, ownership structure and valuation therefore become interconnected parts of the residency analysis.
Pre-construction investments remain available
A promise to purchase agreement may continue to support a Qualified Investor application from US$300,000, subject to the requirements established under the new regime.
Where 100% of the purchase price is paid directly to a developer before the property has been built, segregated and registered, the transaction must be supported by an eligible banking instrument.
The framework also provides mechanisms for replacing an investment where a project does not close for reasons attributable to the developer. Residency may remain supported exclusively by promise to purchase agreements for a maximum cumulative period of three years.
Other qualifying investment routes
The program continues to provide alternatives to real estate.
An investment made through the Panamanian securities market requires a minimum aggregate amount of US$500,000.
For time deposits, the minimum is US$750,000 when placed with a private bank holding a general banking license in Panama, or US$500,000 when placed directly with Banco Nacional de Panamá or Caja de Ahorros.
Each investment route carries its own documentation and maintenance requirements, making the selection of the appropriate structure an important part of the planning process.
Annual verification of the investment
The qualifying investment must generally be maintained for at least five years.
During this period, the investor must provide annual evidence confirming that the investment continues to meet the applicable requirements.
If the investment is sold, terminated or replaced before the required holding period expires, reporting and reinvestment requirements may apply.
The investment structure therefore needs to remain workable not only at the time residency is obtained, but throughout the required holding period.
An integrated decision for investors entering Panama
For an international investor, establishing residency in Panama can involve several connected legal and business decisions.
A single matter may include immigration, a real estate acquisition, corporate structuring, banking arrangements, beneficial ownership documentation and family relocation.
At CHANIS, these elements are handled as part of the same engagement, allowing the residency structure to be coordinated with the investment and the investor’s broader plans in Panama.
