How much are the rents in Panama City right now? (2026)

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A team specialized in real estate investing in LATAM countries

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Panama City (in the country Panama). If you’d like to learn more about us, you can check our presentation page.

What are typical rents in Panama City as of 2026?

What's the average monthly rent for a studio in Panama City as of 2026?

As of 2026, the average monthly rent for a studio in Panama City is about B/.850, which is $850 or around €750.

In practice, most studio rents in Panama City in 2026 fall between B/.650 and B/.1,200 per month, which is $650 to $1,200 or about €570 to €1,060.

The main reason for this wide range is simple: a small furnished studio near Avenida Balboa, Bella Vista, Casco Viejo or Punta Pacífica rents for much more than an older studio farther from offices, restaurants and the Metro.

What's the average monthly rent for a 1-bedroom in Panama City as of 2026?

As of 2026, the average monthly rent for a 1-bedroom apartment in Panama City is about B/.1,150, which is $1,150 or around €1,010.

For most 1-bedroom apartments in Panama City in 2026, a realistic rent range is B/.900 to B/.1,500 per month, which is $900 to $1,500 or about €790 to €1,320.

Cheaper 1-bedroom rents are usually found in Betania, Hato Pintado, Parque Lefevre and Pueblo Nuevo, while the highest 1-bedroom rents are in Punta Pacífica, Avenida Balboa, Coco del Mar, Costa del Este and Santa María.

What's the average monthly rent for a 2-bedroom in Panama City as of 2026?

As of 2026, the average monthly rent for a 2-bedroom apartment in Panama City is about B/.1,550, which is $1,550 or around €1,370.

Most 2-bedroom apartments in Panama City in 2026 rent for B/.1,200 to B/.2,200 per month, which is $1,200 to $2,200 or about €1,060 to €1,940.

The cheapest 2-bedroom rents are usually in Hato Pintado, Parque Lefevre, Pueblo Nuevo and parts of Betania, while the most expensive 2-bedroom rents are in Santa María, Punta Pacífica, Avenida Balboa, Costa del Este and Coco del Mar.

By the way, you will find much more detailed rent ranges in our property pack covering the real estate market in Panama City.

What's the average rent per square meter in Panama City as of 2026?

As of 2026, the average rent per square meter in Panama City is about B/.16 per m² per month, which is $16 or around €14.

Across Panama City neighborhoods in 2026, most apartment rents range from B/.10 to B/.35 per m² per month, which is $10 to $35 or about €9 to €31.

Compared with most other cities in Panama, Panama City is clearly more expensive per square meter because it concentrates the country’s offices, expats, hospitals, universities, international schools and high-rise apartment stock.

Rent per square meter in Panama City rises above average when an apartment is furnished, small, modern, near the waterfront, close to Metro Line 1, or located in a tower with parking, gym, pool, backup generator and water reserve.

How much have rents changed year-over-year in Panama City in 2026?

As of 2026, average residential rents in Panama City are estimated to be up about 2% to 4% year over year.

This increase is mainly supported by Panama’s economic growth, steady expat demand, corporate relocations, and stronger demand for furnished apartments in central and waterfront neighborhoods.

Compared with 2025, rent growth in Panama City in 2026 looks steadier rather than explosive, because the city still has a large supply of apartments in many districts.

What's the outlook for rent growth in Panama City in 2026?

As of 2026, our projected full-year rent growth for Panama City is about 3% to 5%.

The main support should come from Panama’s Q1 2026 GDP growth, low inflation, the dollarized economy, expat movement, and demand from professionals who want shorter commutes.

The strongest rent growth in Panama City in 2026 should be in Punta Pacífica, Costa del Este, Avenida Balboa, Santa María and San Francisco, especially in well-managed furnished towers.

The main risk is supply, because Panama City has many apartment towers, so older, dark, badly priced or poorly maintained units may not grow much at all.

Which neighborhoods rent best in Panama City as of 2026?

Which neighborhoods have the highest rents in Panama City as of 2026?

As of 2026, the top three high-rent neighborhoods in Panama City are Santa María, Punta Pacífica and Costa del Este, where strong 2-bedroom apartments often rent for B/.2,200 to B/.3,500, or $2,200 to $3,500, which is about €1,940 to €3,090.

These Panama City neighborhoods command premium rents because they offer modern buildings, stronger security, better parking, sea or golf views, easy access to Corredor Sur, and a more polished residential environment.

The usual tenant profile in these high-rent Panama City areas is a corporate expat, regional executive, well-paid local professional, diplomat, retiree with a high budget, or family tied to international schools.

By the way, we’ve written a blog article detailing Sources and methodology: we compared Encuentra24, Panama Home Realty and Panama Equity. We separated expensive neighborhoods from liquid neighborhoods. We also checked the results against our own Panama City investment map.

Where do young professionals prefer to rent in Panama City right now?

The top three Panama City neighborhoods for young professionals are El Cangrejo, Bella Vista and San Francisco, with Obarrio, Via Argentina and Marbella also very popular.

Young professionals in these Panama City areas usually pay B/.900 to B/.1,600 per month, which is $900 to $1,600 or about €790 to €1,410, depending on size, furniture and building quality.

These neighborhoods attract young professionals because they are close to offices, restaurants, cafés, gyms, nightlife, supermarkets, Metro Line 1 and the banking district.

By the way, you will find a detailed tenant analysis in our property pack covering the real estate market in Panama City.

Where do families prefer to rent in Panama City right now?

The top three family rental neighborhoods in Panama City are Costa del Este, Clayton and Santa María, with San Francisco, El Dorado, Betania and Punta Pacífica also common choices.

Families renting 2- and 3-bedroom apartments in these Panama City neighborhoods usually pay B/.1,800 to B/.3,800 per month, which is $1,800 to $3,800 or about €1,590 to €3,350.

Families like these Panama City areas because the apartments are larger, the streets feel calmer, parking is easier, schools are closer, and supermarkets, clinics and parks are practical for daily life.

Important education options near these family areas include International School of Panama near Costa del Este, Balboa Academy near Clayton, Colegio Javier near Punta Pacífica, and several private schools around San Francisco and El Dorado.

Which areas near transit or universities rent faster in Panama City in 2026?

As of 2026, the fastest-renting Panama City areas near transit or universities are El Cangrejo / Via Argentina, Bella Vista / Iglesia del Carmen, and the Universidad de Panamá / Via Transístmica / Tumba Muerto corridor.

Correctly priced rentals in these high-demand Panama City areas often stay listed for about 25 to 40 days, while overpriced apartments can still take 60 days or more.

A rental apartment within walking distance of Metro stations or university nodes in Panama City can usually command a premium of about B/.100 to B/.250 per month, which is $100 to $250 or about €90 to €220.

Which neighborhoods are most popular with expats in Panama City right now?

The top three expat rental neighborhoods in Panama City are Punta Pacífica, Costa del Este and El Cangrejo, with Avenida Balboa, San Francisco, Obarrio, Casco Viejo and Clayton also popular.

Expats in these Panama City neighborhoods usually pay B/.1,200 to B/.3,500 per month, which is $1,200 to $3,500 or about €1,060 to €3,090, depending on size and building quality.

These areas attract expats because they offer bilingual services, safer-feeling buildings, furnished apartments, restaurants, hospitals, supermarkets, gyms and easier access to work or schools.

The most visible expat communities in these Panama City neighborhoods include Americans, Canadians, Colombians, Venezuelans, Europeans and regional professionals working across Latin America.

And if you are also an expat, you may want to read our Sources and methodology: we compared Panama Home Realty, Panama Equity and Encuentra24. We treated expat guides as market color. We also checked furnished supply in our own rental review.

Who rents, and what do tenants want in Panama City right now?

What tenant profiles dominate rentals in Panama City?

The top three tenant profiles in Panama City are local professionals and couples, corporate expats and regional executives, and families renting near schools or business districts.

As a practical estimate, local professionals and couples represent about 45% of Panama City rental demand, expats and executives about 30%, and families about 25%.

Local professionals usually look for studios and 1-bedrooms, expats often want furnished 1- and 2-bedrooms, and families usually want 2- or 3-bedroom apartments with parking and good building management.

If you want to optimize your cashflow, you can read our Sources and methodology: we used Encuentra24, Panama Home Realty and World Bank. We inferred tenant shares from listings and location patterns. We also used our own Panama City buyer and tenant segmentation.

Do tenants prefer furnished or unfurnished in Panama City?

In Panama City in 2026, we estimate that about 55% of renters prefer furnished or semi-furnished apartments, while about 45% prefer unfurnished rentals.

A furnished apartment in Panama City often rents for B/.150 to B/.400 more per month than a similar unfurnished unit, which is $150 to $400 or about €130 to €350.

Furnished rentals are especially popular with expats, corporate tenants, young professionals, retirees and people arriving in Panama City who do not want to buy furniture immediately.

Which amenities increase rent the most in Panama City?

The five amenities that increase rent the most in Panama City are a full backup generator, water reserve tank, parking, balcony or ocean view, and building amenities such as gym, pool and 24/7 security.

In Panama City in 2026, these amenities can add about B/.50 to B/.400 per month each, which is $50 to $400 or about €45 to €350, with the highest premiums in Punta Pacífica, Avenida Balboa, Costa del Este and Santa María.

In our property pack covering the real estate market in Panama City, we cover what are the best investments a landlord can make.

What renovations get the best ROI for rentals in Panama City?

The five best rental renovations in Panama City are modern kitchens, efficient split air conditioners, fresh bathrooms, durable floors and a clean furnished setup with appliances and fast internet readiness.

In Panama City in 2026, these upgrades can cost roughly B/.500 to B/.8,000 each, which is $500 to $8,000 or about €440 to €7,060, and can raise rent by about B/.50 to B/.400 per month when done well.

Landlords in Panama City should usually avoid very personal luxury finishes, fragile materials, oversized decorative works and expensive upgrades in older buildings where the PH quality still limits the rent ceiling.

How strong is rental demand in Panama City as of 2026?

What's the vacancy rate for rentals in Panama City as of 2026?

As of 2026, the estimated vacancy rate for normal long-term residential rentals in Panama City is about 7% to 10%.

In stronger Panama City buildings, vacancy can be closer to 4% to 6%, while older, overpriced or badly located apartments can face vacancy above 12%.

Compared with the historical feel of the Panama City rental market, vacancy in 2026 is not alarming, but it is still high enough that pricing and building quality matter a lot.

Finally please note that you will have all the indicators you need in our property pack covering the real estate market in Panama City.

How many days do rentals stay listed in Panama City as of 2026?

As of 2026, a correctly priced rental apartment in Panama City usually stays listed for about 30 to 45 days.

The realistic range is about 25 to 40 days for well-priced studios and 1-bedrooms in central areas, and 60 to 90 days for overpriced, older or large high-rent apartments.

Compared with one year ago, days on market in Panama City looks broadly stable, although good furnished apartments in prime buildings appear to move faster than weaker unfurnished units.

Which months have peak tenant demand in Panama City?

The peak months for tenant demand in Panama City are usually January to March and July to September.

These months are stronger because they match relocations, corporate starts, school planning, university movement and the second-half hiring cycle in Panama City.

The quieter months for Panama City rentals are often late November, December and parts of April or May, when holidays or slower decision-making can reduce tenant activity.

What will my monthly costs be in Panama City as of 2026?

What property taxes should landlords expect in Panama City as of 2026?

As of 2026, a landlord in Panama City should often budget about B/.1,000 to B/.2,500 per year in property tax for a normal investment apartment, which is $1,000 to $2,500 or about €880 to €2,210.

The realistic annual range can be much lower or higher, from about B/.0 to B/.4,000, which is $0 to $4,000 or about €0 to €3,530, depending on cadastral value, exemptions and property status.

Property tax in Panama City is calculated on the taxable registered value, and the final bill depends on whether the property has owner-occupier treatment, family patrimony status, improvement exemptions or normal investment-property treatment.

Please note that, in our property pack covering the real estate market in Panama City, we cover what exemptions or deductions may be available to reduce property taxes for landlords.

What utilities do landlords often pay in Panama City right now?

In Panama City, landlords most commonly pay PH or HOA fees, and sometimes water, gas or common-area services when these costs are included in the building’s monthly charge.

Typical landlord-paid building costs in Panama City often run from B/.150 to B/.500 per month, which is $150 to $500 or about €130 to €440, while water or gas included in PH fees is often a smaller part of that amount.

The common Panama City practice is that landlords pay PH fees, while tenants usually pay electricity, internet and cable, unless the apartment is a furnished corporate rental with utilities bundled into the rent.

How is rental income taxed in Panama City as of 2026?

As of 2026, Panama-source rental income from a Panama City property is taxable in Panama, and individual landlords apply DGI income-tax brackets to net taxable income, not to gross rent.

Main deductions can include documented maintenance, administration, property tax, insurance, depreciation and other expenses that are directly linked to the rental property.

The most common Panama City tax mistakes are assuming the owner-occupier property-tax benefit applies to an investment rental, forgetting to document expenses, and confusing gross rent with taxable profit.

We cover these mistakes, among others, in our Sources and methodology: we used DGI income tax brackets, DGI property tax rules and DGI improvements exemption. We applied the rules to rental investors, not owner-occupiers. We also used our own Panama landlord tax checklist.

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 sources have we used to write this blog article?

Whether it’s in our blog articles or the market analyses included in our property pack about Panama City, we always rely on the strongest methodology we can … and we don’t throw out numbers at random.

We also aim to be fully transparent, so below we’ve listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.

Source	Why we trust it	How we used it
Instituto Nacional de Estadística y Censo, INEC	INEC is Panama’s official statistics agency.	We used INEC for the official economic and demographic background. We did not use INEC for exact apartment rents because it does not publish a clean rent-by-bedroom series for Panama City.
Ministerio de Economía y Finanzas, Q1 2026 GDP note	MEF is Panama’s economy ministry and cites the official INEC quarterly GDP release.	We used the 4.8% Q1 2026 GDP growth figure to frame tenant demand. We treated stronger activity as support for rents, not as a direct rent index.
Dirección General de Ingresos, property tax and PFT page	DGI is Panama’s tax authority.	We used DGI to confirm the official property-tax framework. We separated owner-occupier benefits from normal landlord investment properties.
Dirección General de Ingresos, income tax rates	DGI publishes the personal income-tax brackets used in Panama.	We used these brackets to explain rental-income taxation for individual landlords. We applied the brackets to net taxable income, not to gross rent.
Dirección General de Ingresos, improvements exemption	DGI explains the official treatment of registered improvements.	We used this source to flag that some apartments may still have improvement exemptions. We treated exemptions as property-specific due diligence, not a universal saving.
International Monetary Fund, Panama Article IV	The IMF is a primary source for macroeconomic analysis.	We used the IMF to understand Panama’s dollarized and low-inflation backdrop. We used that context to explain why rent growth is steady rather than extreme.
World Bank, Panama data	The World Bank standardizes official country data across countries.	We used the World Bank as a macro cross-check for Panama. We used it for context, not as a direct rent source.
Global Property Guide, Panama rent prices	Global Property Guide publishes property-market datasets and explains its portal-based rent method.	We used it as a structured private rent anchor. We cross-checked it against live portals because asking rents can be higher than achieved rents.
Encuentra24, Panama City apartment rentals	Encuentra24 is one of Panama’s largest live property portals.	We used it to check current asking rents by neighborhood and unit type. We discounted extreme luxury listings so the estimates reflect normal long-term residential rentals.
FazWaz, Panama City rentals	FazWaz gives searchable rental listings with size and monthly rent.	We used it to calculate rent-per-square-meter examples. We mainly used it as a cross-check against Encuentra24.
Numbeo, Panama City cost of living	Numbeo is a widely used cost database with rent categories and recent update dates.	We used Numbeo as a consumer-facing rent benchmark for 2026. We cross-checked it because crowdsourced samples can overrepresent expat districts.
Universidad de Panamá, matrícula	The University of Panama is an official source for its enrollment data.	We used it to identify student-linked rental demand around Universidad de Panamá and nearby corridors. We did not assume every student rents independently.
Metro de Panamá	Metro de Panamá is the official metro operator.	We used it to identify transit-linked rental demand. We focused on stations connected to jobs, universities and bus transfers.
Panama Home Realty, 2026 rental guide	Panama Home Realty is a local brokerage with current market commentary.	We used it for local rental-market color by neighborhood. We did not treat it as official statistics.
Panama Equity, 2026 market report	Panama Equity is an established Panama City real estate brokerage.	We used it to cross-check demand and inventory pressure in prime areas. We treated its statements as broker insight, not as public statistics.