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Panama Is The #1 Retirement Destination in the World for Americans
By Jane Goodwin | February 26, 2007
“A lot of Americans are concerned about their retirement and Medicare and Social Security. Are they going to be able to afford to stay in the United States? A lot of Americans haven’t saved a lot of money If they have a limited amount of money of disposable income, where is it going to go the furthest? That’s why Panama is the No. 1 retirement destination in the world for Americans. Mexico is No. 4.” (Johnny Hanson: for the Houston Chronicle)
Jenalia Morena, also of the Houstin Chronicle, says that “. . . as baby boomers near retirement, more and more of them are looking to spend their golden years in the colonial gem of Antigua, Guatemala, the sandy beaches of Cabo San Lucas, Mexico, or the cosmopolitican city of Panama. And as the retirees are heading south, so, too, are U.S. title companies, financial firms, and insurance businesses wanting to capitalize on the trend.
Ms. Morena recently interviewed Mitch Creekmore, senior vice president of business development for Houston-based Stewart Internation and co-author of Cashing In on a Second Home in Mexico, and Cashing In on a Second Home in Central America, both with real estate columnist Tom Kelly.
According to Creekmore, Americans are retiring in ever-increasing numbers to Central America and Mexico for many reasons, one of which is the fact that the close priximity makes airlift capacity affordable.
Creekmore goes on to say that limited finances will go a lot further in Panama or Mexico. These two countries are at the forefront for retirees because of priximity, affordability, cost of living, infrastructure, health care, and low taxes.
It’s easy, too, to finance a home in Mexico or Central America, especially in Panama. Panama is an international banking center. There are 70 major banks in Panama. Americans don’t have to go and take equity out of their house in the States to buy a residence in Panama. they don’t have to cash in some portion of their IRA or 401. they can go into Panama or Costa Rica and get financing that’s cost-effective and comparable to the US without depleting their resources in the US.
Mexico is a little more difficult; historically, there has been no mortgage financing, not even for Mexican citizens. There are some primary lenders in Mexico now that are doing U.S. mortgages for American buyers.
Tomorrow, we will continue with more of Mr. Creekmore’s answers to these very important questions we baby boomers have about retiring to another country.
Sphere ItTopics: Lifestyle, Travel / Relocation, Money and Taxes, Real Estate, Destinations, Retirement Overseas |
February 27th, 2007 at 2:33 pm
This was very thought-provoking. Thanks. My wife and have been discussing retirement (maybe in 6 years or so) and we’re starting to talk about destinations. We hadn’t talked about Panama, but now we will.
March 7th, 2007 at 12:51 pm
I habe just retirned from a fact finding trip to Panama and it is a very interesting country. Panama City is not what I expected, it looks like it could be in Florida, with many new tall fancy buildings, trendy cars, a huge energy.
Plus you can visit and see the canal only a few miles from the city.
And it’s hot but your dollar goes along way.