Guide to Anonymous Real Estate Holding

For many wealthy persons, privacy is more valuable than other possessions. Anonymity ensures security and the rich will pay top dollars to remain hidden from public view. After all, the first step to protecting one’s assets, such as real estate properties, is by remaining anonymous.

Real estate ownership in general requires disclosure of owner’s identity. This puts property owners and investors at a disadvantage as it opens them up to attacks from criminal elements. Not only does it put their possessions and lives in danger but it also exposes them, causing them to lose leverage in bidding for lower prices of the real estate or increasing their tax liability.

There are several structures that help make anonymous real estate holding possible. In the United States, a land trust puts the property in the ownership of a trustee in lieu of the beneficiary, who in this case may choose to remain anonymous.

Another way of going about the business of maintaining privacy in real estate ownership is through several layers of LLC or limited liability companies. While LLC’s were originally designed to protect investors from lawsuits, it is also used to keep the identity of the actual real estate owners difficult to trace.

Panama’s Bearer Share Corporation

Perhaps the most popular structure that provides highly anonymous ownership of real estate assets is the Panamanian bearer share corporation. In Panama, such bearer share corporations are allowed to own real estate and other assets such as planes or boats.

By setting up an anonymous bearer share corporation, the real owner of the asset, in our case a real estate asset, is the person who have physical possession of the stock certificates of the corporation. Ownership in this sense is absolutely anonymous and will not be documented in any local or national registry.

The directors of the corporation are just nominal and may be employed through local law firms. These law firms can assist and are vital in the formation of the bearer share corporation. Choose your Panama law firm wisely.

The nominee directors are registered under the corporation but have no real power to administer the corporation’s assets. Only the owner in possession of the actual shares of stock has control of how the asset will be disposed.

In many cases, the stock certificates of bearer share corporations are purposely left unnamed. As an added feature, there are no reporting requirements for sale or transfer of bearer shares of stock. Thus, there is no way of tracing the identity of the real owner since there is no documentation or paper trail that can be referenced.

Advantages of Anonymous Real Estate Holding

Aside from the tremendous leverage afforded by the privacy inherent in Panama’s bearer share corporations, there is also little that would get in the way in terms of paperwork. All it takes is the submission of the Articles of Incorporation. Initial incorporation and annual renewals costs are very low. Panama does not require a minimum paid up capital for new corporations.

The bearer share corporation is completely legal in Panama. Proceeds from the sale or rental of real estate are coursed through the corporation with relative ease. The real owners may then direct their lawyers to transfer funds into an offshore account or have it reinvested. Note that because of attorney-client privilege, anonymity is maintained.

As if these are not benefits by themselves, putting up an anonymous foundation to own the anonymous bearer share corporation adds another layer of protection to the real estate assets. When a transfer of assets is made to the foundation, any personal debt that did not exist at the time of the transfer is insured against civil judgment. Meaning, in any eventuality, no one can legally pursue a claim on your possessions once transferred to the foundation for as long as the debt was not due at the time of the transfer.

This is the best asset protection scenario right now on the planet and many affluent individuals all around the globe are taking advantage of it. With proper real estate asset protection planning done in advance, including a Panama bearer share corporation as an option, you can effectively preserve your estate for yourself and for your family, for many generations to come.