Panama's government put money behind home purchases this week. At Expo Capac 2026, the national housing fair that ran September 24 to 27 at the Panama Convention Center in Panama City, Housing Minister Jaime Jované presented a strategy to reactivate home sales built on three measures: a $3,000 down-payment subsidy on new homes, new-home transfer-tax exemptions, and a change in how the state settles housing-fund debt.
What Happened
The subsidy, called Abono Pa' Ti, comes from Executive Decree 35 of 2026. For a new home priced up to $80,000, the Ministry of Economy pays $3,000 directly to the mortgage lender toward the buyer's down payment, and the buyer contributes at least 1 percent of the price. Applications run through the Panama Conecta platform. MIVIOT also promoted the exemption of the 2 percent transfer tax (ITBI) on the first sale of new homes up to $120,000, with reduced rates on a sliding scale up to roughly $200,000, a measure in force under Law 546 of August 31, 2026, alongside the preferential mortgage rate regime. Separately, Executive Decree 5 of August 4, 2026 changed how the Fondo Solidario de Vivienda settles its accumulated obligations, paying creditors with public debt titles and treasury letters.
Why It Matters for Property
These measures target the entry level of Panama's new-home market: new homes near $80,000, and transfer-tax relief up to about $200,000. That is the range that dominates new construction across West Panama, Chiriquí, and the outer districts of Panama City. International clients often shop above it, but developers with steadier sales run better presale programs, and buyers of qualifying new homes reduce the cash they need at closing.
What It Could Mean
Separate the enacted from the promotional. The subsidy is a signed executive decree now in application; the ITBI exemption for qualifying new homes is in force under Law 546; the Fondo Solidario payment mechanism changed in August. Expo Capac itself was the government marketing these measures, not a new law. Practical limits matter: the subsidy applies only to new homes up to $80,000, requires a 1 percent buyer contribution and an application through Panama Conecta, and the exemption is tied to a deed signed within two years of the occupancy permit. None of this changes resale property, and it is not a price signal either way. We will track uptake and report what actually happens.
New-home incentives change the cash needed at closing, so they pair naturally with our guide to closing costs and the ITBI, the buying process, and the FAQ. See where new construction concentrates in the West Panama and Panama City guides, and check current asking data in the market report. Questions about whether a property qualifies? Talk with Chad. No pressure, just good information.
Sources
- La Estrella de Panamá: "Gobierno apuesta por subsidios y exoneraciones para impulsar la vivienda en Panamá," September 25, 2026
- Infobae: "Así funcionará el nuevo bono de $3,000 para comprar vivienda en Panamá," September 19, 2026
- Infobae: "Gobierno panameño cambia la forma de pagar la deuda acumulada del Fondo Solidario de Vivienda," August 5, 2026
- CAPAC: "Capac aborda cambios en materia de vivienda junto a autoridades del Miviot y Finanzas," August 2026
- TVN-2: "ExpoCapac 2026 reúne más de 300 proyectos de vivienda con precios desde $50,000," September 2026
- La Prensa: "Empresarios esperan que se dinamice la construcción de viviendas," September 2026