In North America financing is all about your credit history whereas in Panama, the banks emphasize your ability to pay as well as the property’s loan to value ratio. As a result, Panamanian banks will require that you provide extensive documentation to prove your income and prove the value of the property that you are buying.
Keep in mind that a foreigner applying for financing in Panama is a tedious process. The mortgage process will require a great deal of document preparation and organization.
Panama banks require these general documents in order to open and account and start the loan process.
- Photocopy of entire passport including all stamps
- Photocopy of one additional photo ID
- Utility bill showing your name and address
- Personal education and work resume
- Two original bank reference letters
- Two original commercial reference letters
- Last two years of tax returns
- Letter explaining your income sources & reason for the purchase
- Appraisal of the property
- Purchase contract
- Title deed of the property
- Completed and signed mortgage application.
Applying for a mortgage will require a considerable amount of personal time, to meet with the bankers, complete the applications, and organize all the documents.