Real Estate in Bocas del Toro is hot right now! It seems that everything is for sale, being bought, or already being built on.

(But you already know this, and that is why you are reading this article!)

Maybe you have already bought a property in Bocas del Toro, or are just doing your preliminary research. Either way, you will find these tips helpful. They are based on our own huge mistakes through buying land in Bocas and building our overwater bungalows, and also from the countless stories we have heard of other’s mistakes as well. So, read on, and don’t repeat the same mistakes many of us have!

Got other recommendations on what to avoid when buying real estate or building in Bocas del Toro? Leave them in the comments!

Here’s our top 7 tips on what not to do when buying real estate in Bocas del Toro – enjoy!

1. Don’t Buy real estate in bocas del toro without visiting

All too often we hear a story of people buying property in Bocas del Toro without ever actually visiting. 

Do not do this. I don’t care how good the deal sounds. If it’s too good to be true, it probably is.

You must visit the property, explore the surrounding areas, meet the neighbors, ect. Sleeping in that same area, if possible, is also a huge bonus. You never know what goes on all night and you can’t know until you sleep there. It could be peaceful and serene during the day, only to find out your neighbors love loud reggaeton all night. 

It will also be good for you to have an understanding of where the property is, how you will get there, what’s around the area, ect. Bocas is a complex archipelago that needs to be experienced firsthand in order for you to have a better understanding of what you are buying.

2. Don’t Buy without renting first (or visiting extensively)

While this is not possible for everyone, it is one of the best things you can do to really understand what you are buying. You might think you love the idea of owning a small home on a secluded beach in the middle of nowhere, but you don’t know if you will actually love it until you live there. 

And the truth is also that Bocas del Toro is not for everyone. Some will find this out within the first day of being here, while for others it may take longer.

And what a bummer it would be, if you bought a house somewhere in Bocas, only to find out after a few months that you didn’t like Bocas. And this happens, alot!

So, rent first, if possible. And while you’re renting, you’ll have more time to explore different areas, check out more real estate options for sale, and have the best chance of finding your perfect property!

3. Don’t Buy real estate in Bocas del Toro without proper due diligence 

Here are some questions to ask and verify:

• Is the seller of the property actually the owner of the property? 
• Is there anyone else who has a claim to this property that the seller is not telling you about?
• Are the property lines on the land survey the actual, in-real-life property lines?
• Do the existing constructions have the proper permits?
• Are there any legal battles going on over this property?

While it is perfectly safe to buy property in Bocas del Toro, it has to be the right property to buy. You can and will get scammed if you want to. So, do your due diligence (or have your lawyer do it) and make sure you work with a locally respected real estate agent to further help you avoid any problems.

Need a good real estate agent in Bocas del Toro? We used Mark Johnson from Paradise Found Realty and can recommend you start with him. He helped us find our dream property that wasn’t even listed yet, and helped us get a great price! Contact Mark Here (And add us in as your referral!) 

4. Don’t Buy without going through the proper legal paperwork

That guy offering you your dream property for $20,000 cash and no questions asked cares nothing about you and everything about partying with your $20,000.

Again, get a lawyer, use a trusted real estate agent, and make sure everything checks out! In this situation, the chances are you are not the only person that this property has been sold to!

So, do not buy property in Bocas del Toro without going through the proper legal paperwork.

Speaking of Lawyers…

We had a great experience buying a small piece of ROP property with the help of Johnny Griffo from Griffo Law. He is Bocas Town based and his firm practices mostly Real Estate and Immigration Law. The firm also has lawyers in Panama City who can help to expedite legal processes in Panama. We have used several different lawyers throughout our history in Bocas of buying property, building, and becoming residents, and our experience with Johnny was the easiest of them all!

Another well-known law firm in Bocas del Toro is run by Daniel Anaya from Anaya and Associates. They also specialize in Real Estate and Immigration law and are also based in Bocas Town on Isla Colon.

5. Don’t piss off your neighbors

Like anywhere else in the world, having good neighbors can make or break your experience in Bocas. So, be nice to your neighbors. Take the time to meet them and get to know them. If they are locals, then definitely learn Spanish so you can speak with them.  

Building a friendly and trusting relationship will lead to great experiences and a more stress-free life in Bocas. When things go wrong, your local neighbors will be the ones that can help you out the most. Or, they could be the ones causing things to go wrong. This all depends on how you interact with them!

6. Don’t trust anyone with large amounts of money

After you buy real estate in Bocas del Toro, you may need someone to go and build you a house on that property. 

The problem is, many of you won’t be able to be in Bocas del Toro while your house is being built. 

So really the only thing you can do is to hire a contractor and send him money to build your house. And here is where you need to be smart.

Not only should you, obviously, be using a recommended and locally trusted contractor, but you need to be very careful with how much money you send to this contractor at once. 

Old stories abound about people who sent a builder a large sum of money, say $100,000 to build their house, and that builder went and: 

1. Lived with his family in another part of Panama and spent it all (not on your house). 
2. Built you half a house, and built himself half a house also
3. Built you your whole house, but with the cheapest possible materials and pocketed the difference 

What you can do instead is send small amounts, have a timeline, and see if each goal is being met with the agreed-upon amount of money that your contractor says. If you are already going over budget on the foundation, you might consider finding a new contractor!

7. Do not build without permits

Consider this non-negotiable. 

The local government loves it when foreigners come to Bocas del Toro and try to do whatever they want without getting the proper permits. 

Why?

Because this is where the huge fines come in. And I don’t care who you are or how rich you are, nobody wants to pay a $50,000 fine to the government because you didn’t spend a few thousand on a permit. 

There are abandoned construction projects all over the archipelago which serve as a very real reminder of how this process works. So do the right thing, have patience, and get all your permits in order!

This article has some great information about how you should design your house in the tropics.

Conclusion

Buying real estate in Bocas del Toro could be the beginning of the life you have always dreamed of or the start of a fruitful investment.

It could also be a maze of endless problems, headaches, and setbacks.

The good news is: the result you desire largely depends on the decisions you make! So, do the right thing, use the trusted, recommended real estate agents, lawyers, and contractors, and definitely, definitely get all your permits. You’ll also want to read our complete guide to buying real estate in Bocas del Toro, which has a lot of helpful tips as well!

Read More articles about Real Estate in Bocas del Toro Below:

Browse the guides below or visit our blog homepage here.