You are here :: Panama Real Estate » Panama-real-estate » Crime-panama

The papers report an increase in crime in Panama. Despite these reports statistics show that only Costa Rica has a lower homicide rate than Panama. Is Panama becoming a dangerous place to visit or to live? Is Panama becoming a dangerous place for investment?

Crime in Panama

Crimes against citizens of Panama and residents have increased according to La Prensa. There were 200 murders in the first five months of 2008 but then only twenty in the succeeding two months. Nevertheless Panama’s homicide rate is the second lowest in Central America with only Costa Rica having a lower rate of murders. Public opinion polls show that the average Panamanian feels less safe than previously.

Panama’s crime rate against visitors is also reported to be rising. According to the March 30, 2008 La Prensa there were 429 crimes against visitors to Panama in 2007. This is an increase of 100 cases over the previous three years.

The Panamanian tourism institute reports that there are three reported crimes for every 10,000 visitors. As of the end of March 2008 there were 69 crimes reported against tourists. Of these 42 were theft and 16 were armed robberies. The remaining 11 were fraud or other financial crimes.

Perception of Crime, Real Estate and Investment in Panama

Despite the public perception of more crime business goes on as usual in Panama. Panama real estate prices have leveled off but construction continues on numerous projects throughout the city with many more high rises on the drawing boards.

The flood of tourists and immigrants seeking residency also continues. It would seem that reports of increased crime have not deterred the living of everyday life in Panama.

The Panama Canal Expansion remains in the news as well as the Cinta Costera project along Avenida Balboa. Both provide jobs and the later will greatly enhance real estate values on the bay once done.

The Panama Canal Expansion is expected to double canal capacity. The number of support facilities needed for expanded canal traffic will also create jobs and prosperity. The previously rural areas between Panama City and the Panama Canal are filling in with housing. Panama subsidizes low cost housing mortgages and with more money in their pockets more Panamanians are buying homes.

In general real estate values are expected to slowly increase for years with commercial real estate probably the best long term investment.

The more cynical Panamanians think that scaring the public with reports of personal crime is a tactic meant to gain political advantage. These skeptics look at Panama’s booming economy and then at the recurring reports of governmental corruption. Their recommendation is that the papers refocus their efforts on where the “real” criminals are, namely those in office. And thus goes politics in Panama.

If you are interested in real estate investment in Panama come to see us at ABPanama. We have over twenty-three years experience managing real estate portfolios.