Authored by the expert who managed and guided the team behind the Panama Property Pack
Yes, the analysis of Panama City's property market is included in our pack
Panama City's real estate market offers diverse price points ranging from affordable studios to luxury oceanfront condos.
Average apartment prices currently sit at $2,483 per square meter, with luxury areas commanding $3,200-$4,500 per square meter. The market has stabilized after significant growth, now favoring buyers with increased inventory and competitive pricing across all segments.
If you want to go deeper, you can check our pack of documents related to the real estate market in Panama, based on reliable facts and data, not opinions or rumors.
Panama City apartment prices average $2,483 per square meter as of September 2025, with luxury areas reaching $4,500 per square meter.
The market shows strong rental yields of 6-7% and offers competitive value in older and mid-range city apartments compared to premium locations.
| Property Type | Average Price Range | Location |
|---|---|---|
| Studio Apartment | $1,000-$2,500/m² | City-wide |
| 1-Bedroom Apartment | $205,000-$290,000 | Downtown/Balboa |
| 2-Bedroom Apartment | $288,000-$440,000 | Modern Downtown |
| 3-Bedroom House | $251,715-$337,645 | San Francisco/Bethania |
| Luxury Condos | $395,000-$525,000 | Avenida Balboa/Punta Pacifica |
| Beachfront Properties | $299,000-$550,000 | Costa del Este/Gorgona |
| Residential Land | $75,000-$165,000 | Urban lots 0.15-2 acres |
What's the average price per square meter for apartments in Panama City right now?
As of September 2025, Panama City apartments average $2,483 per square meter based on median market values.
Most general apartment listings fall within the $1,800-$2,529 per square meter range across the city. This represents the broad middle market covering various neighborhoods and building types.
Luxury areas command significantly higher prices, with premium neighborhoods like Avenida Balboa, Punta Pacifica, Casco Viejo, and Costa del Este reaching $3,200-$4,500 per square meter. These areas offer modern amenities, ocean views, and prime locations that justify the premium pricing.
The market has stabilized after experiencing nearly 60% price growth over the past five years, creating more balanced conditions that favor buyers due to increased inventory supply.
It's something we develop in our Panama property pack.
How much does a one-bedroom apartment in the city center usually cost compared to outside the center?
One-bedroom apartments in Panama City's center typically cost $205,000-$290,000 for purchase, while rental prices range $600-$1,500 per month.
| Location | Purchase Price Range | Monthly Rent Range |
|---|---|---|
| City Center/Downtown | $205,000-$290,000 | $600-$1,500 |
| Balboa Avenue | $205,000-$290,000 | $800-$1,500 |
| Outside Center | $150,000-$220,000 | $300-$600 |
| Mid-range Areas | $130,000-$200,000 | $400-$700 |
| Suburban Areas | $100,000-$180,000 | $300-$500 |
What's the going rate for a two-bedroom apartment in a modern building downtown?
Modern two-bedroom apartments in downtown Panama City typically sell for $288,000-$440,000, depending on size and specific location.
Properties along Avenida Balboa, the city's premier downtown corridor, command rental rates of $2,285-$2,900 per month for units ranging 140-210 square meters. These buildings offer modern amenities, ocean views, and prime urban positioning.
Sale prices for two-bedroom units with ocean views typically range from $288,000-$440,000 for properties between 119-159 square meters. The variation depends on floor level, view quality, building age, and specific amenities offered.
Modern buildings in downtown areas generally feature contemporary finishes, security systems, parking, and often include pools, gyms, and concierge services that justify higher pricing compared to older constructions.
How much do luxury condos on Avenida Balboa or Punta Pacifica sell for on average?
Luxury condos in Avenida Balboa and Punta Pacifica average $395,000-$525,000 for two to three-bedroom units.
The luxury market commands $2,500-$5,000 per square meter, with prestigious buildings like Nuovo/Armani and Arts & Yoo demanding the highest prices due to their exceptional amenities and architectural prestige.
Punta Pacifica represents the pinnacle of luxury living, with prices reaching $4,160-$5,000 per square meter. This exclusive area offers waterfront positioning, world-class amenities, and proximity to high-end shopping and dining.
Avenida Balboa properties typically range $3,200-$4,500 per square meter, offering stunning ocean views, modern construction, and easy access to the city's financial and commercial districts.
Most luxury condos in these areas span 130-200 square meters and include premium features such as private balconies, high-end appliances, marble finishes, and access to rooftop pools, spas, and fitness centers.
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What's the typical price of a three-bedroom house in residential areas like San Francisco or Bethania?
Three-bedroom houses in San Francisco average $337,645, while Bethania properties typically cost around $258,278 as of September 2025.
San Francisco represents one of Panama City's established residential neighborhoods, offering mature infrastructure, local amenities, and good connectivity to downtown areas. The higher average price reflects its desirability and proximity to commercial centers.
Bethania provides more affordable family housing options, with the average three-bedroom house priced at $258,278 in recent market data. This area appeals to families seeking spacious homes at more accessible price points.
The broader Panama City market shows an average of $251,715 for similar three-bedroom houses, indicating these specific neighborhoods offer competitive value within the city's residential market.
It's something we develop in our Panama property pack.
How much does a newly built apartment in a high-rise cost versus an older resale unit?
Newly built high-rise apartments command $2,500-$4,530 per square meter, while older resale units typically cost $1,500-$2,500 per square meter or less.
The new build premium reflects modern construction standards, contemporary amenities, energy efficiency, and often superior locations within Panama City's evolving skyline.
Luxury new developments in prime areas can reach the upper end of the pricing spectrum, particularly in areas like Punta Pacifica and Costa del Este where new construction incorporates cutting-edge design and premium materials.
Older resale units offer significant value opportunities, especially in mid-range areas and established buildings. These properties often feature larger floor plans and solid construction, though they may require updates to modern standards.
The price differential creates opportunities for both buyers seeking immediate modern living and those willing to invest in renovations for potentially higher long-term value.
What's the minimum budget to get a small studio apartment in Panama City today?
Small studio apartments in Panama City start from $1,000 per square meter for budget options in older or non-central locations.
Rental studios typically cost $850-$999 per month, providing entry-level access to Panama City living for individuals or couples starting their residency.
Purchase prices for studio apartments vary significantly based on location, building age, and amenities. Budget-conscious buyers can find options in emerging areas or older buildings that offer renovation potential.
Central locations and newer buildings command higher prices, but studios remain the most accessible entry point into Panama City's real estate market for first-time buyers or investors.
These units typically range 30-45 square meters and may include basic amenities such as security, parking, and building maintenance services.
How much do beachfront properties or ocean-view condos cost compared to standard city apartments?
Beachfront and ocean-view condos typically cost $299,000-$550,000 for one to three-bedroom units, averaging $2,600 per square meter in new developments.
| Property Type | Price Range | Premium vs Standard |
|---|---|---|
| Standard City Apartments | $1,800-$2,500/m² | Base pricing |
| Ocean-view Condos | $2,300-$3,500/m² | +$500-$1,000/m² |
| Beachfront Properties | $2,600-$4,000/m² | +$800-$1,500/m² |
| Premium Beachfront | $3,500-$5,000/m² | +$1,700-$2,500/m² |
| Luxury Oceanfront | $4,000-$5,500/m² | +$2,200-$3,000/m² |
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Panama versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
What's the average monthly rent for apartments of different sizes in Panama City?
Panama City rental prices vary significantly by apartment size and location, with studios starting at $600 monthly and luxury units reaching $5,500.
1. **Studios and One-Bedroom Units:** $600-$1,500 per month citywide, depending on location and building quality2. **Two-Bedroom Apartments:** $800-$2,900 per month, with modern downtown buildings commanding higher rates3. **Three-Bedroom Units:** $2,400 per month average for city apartments, with luxury and ocean-view properties significantly higher4. **Four-Bedroom and Larger:** $5,500 per month for prime luxury apartments with premium amenities5. **Furnished vs Unfurnished:** Furnished units typically command 20-30% premium over unfurnished propertiesHow much are closing costs, property taxes, and legal fees on top of the purchase price?
Total closing costs for buyers typically range 1.5-2% of the purchase price, plus ongoing annual expenses.
| Cost Category | Amount/Percentage | Details |
|---|---|---|
| Legal Fees | ~1% of purchase price | Attorney representation |
| Notary Fees | 0.1% of purchase price | Document authentication |
| Registration Fees | 0.3% of purchase price | Property title registration |
| Due Diligence | $500-$2,000 | Property inspection/research |
| Property Tax | 0% first $120k, 0.5% next $580k, 0.7% above $700k | Annual tax on primary residence |
| HOA Fees | $100-$500/month | Condominium maintenance |
| Insurance | $500-$2,000/year | Property protection |
How much do buyers typically pay per square meter in upscale neighborhoods compared to mid-range areas?
Upscale neighborhoods command significant premiums, with Punta Pacifica reaching $5,000 per square meter compared to mid-range areas at $1,300-$2,700 per square meter.
Punta Pacifica represents the premium tier at $4,160-$5,000 per square meter, offering waterfront luxury and world-class amenities. Avenida Balboa follows closely at $3,200-$4,500 per square meter with downtown convenience and ocean views.
Costa del Este and Casco Viejo also command premium pricing at $3,685-$4,530 and $4,150 per square meter respectively, reflecting their exclusive positioning and modern infrastructure.
Mid-tier neighborhoods like El Cangrejo ($2,930 per square meter) and San Francisco ($2,720 per square meter) offer excellent value while maintaining quality amenities and good connectivity.
The price differential between upscale and mid-range areas can exceed 100%, making neighborhood selection crucial for both budget planning and investment strategy.
It's something we develop in our Panama property pack.
What's the current price range for land or lots in Panama City for residential construction?
Residential land prices in Panama City range from $75,000-$165,000 for typical urban lots, with premium locations commanding significantly higher prices.
1. **Small Urban Lots (0.15-0.2 acres):** $75,000-$115,000 for standard city parcels suitable for single-family homes2. **Medium Lots (1-2 acres):** $85,000-$165,000 for larger development opportunities in established neighborhoods 3. **Prime Location Lots:** $250,000+ for exceptional locations with superior access, views, or development potential4. **Beachfront Land:** $249,000-$300,000+ for compact lots near Panama City Beach areas5. **Development Parcels:** Larger tracts for multi-unit development vary widely based on zoning, infrastructure, and location factorsConclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Panama City's real estate market offers diverse opportunities across all price segments, from affordable studios to luxury oceanfront properties.
With stabilized pricing, healthy rental yields, and increased buyer-favorable inventory, the market presents compelling value for both investors and residents seeking quality urban living in Central America.
Sources
- Global Property Guide - Panama Price History
- The LatinVestor - Panama City Price Forecasts
- Ingwe Capital - Dubai vs Panama ROI Comparison
- Expat-tations - Purchasing Apartment in Panama
- PanaCrypto - Cost of Living Panama 2025
- Pacific Prime - Panama Cost of Living
- Premier Casa - Panama Condos
- Panama Casa - 2-Bedroom Properties
- Casa Solution - Avenida Balboa Real Estate
- The LatinVestor - Panama Price Forecasts