Published on and written by Cyril Jarnias
Panama City, the vibrant capital of Panama, is increasingly attracting expats drawn to its economic dynamism, quality of life, and tropical climate. With its impressive skyline, historic neighborhoods, and nearby beaches, the city offers a unique living environment blending modernity with Latin American charm. Let’s explore the most popular neighborhoods among the expat community and tips for finding the ideal home.
Expat Hotspots: Dream Neighborhoods
Costa del Este: The Eldorado for Expat Families
Costa del Este has established itself as the go-to neighborhood for expat families in Panama City. This upscale residential area, located east of downtown, offers a safe and peaceful living environment while remaining close to business centers. Expats particularly appreciate:
- Numerous gated communities with pools and green spaces
- Proximity to top international schools
- A wide selection of quality restaurants, cafes, and shops
- Modern, well-maintained infrastructure
Costa del Este particularly attracts expat executives working in banking and finance, thanks to its proximity to the Punta Pacifica business district. The cost of living is certainly higher than in other neighborhoods, but the quality of housing and services justifies this investment for many families seeking comfort and security.
Good to Know:
Costa del Este offers excellent value for money for expat families seeking a safe and comfortable environment, with average rents for a 3-bedroom apartment ranging from $1,500 to $2,500 USD per month.
Casco Viejo: Colonial Charm for History Lovers
The historic neighborhood of Casco Viejo, a UNESCO World Heritage site, holds a special appeal for expats seeking authenticity and cultural ambiance. This 17th-century architectural gem, currently undergoing a renaissance, charms with:
- Its cobblestone streets and restored colonial buildings
- A lively nightlife with numerous trendy bars and restaurants
- Art galleries, designer boutiques, and picturesque cafes
- Stunning views of Panama Bay and the modern skyline
Casco Viejo mainly attracts young professionals, artists, and expat entrepreneurs, drawn to the neighborhood’s bohemian and creative atmosphere. Ongoing gentrification has driven up real estate prices, but it’s still possible to find charming apartments at reasonable rates, especially in areas undergoing renovation.
Good to Know:
Rents in Casco Viejo vary significantly depending on the building’s renovation status, ranging from $800 to $2,000 USD per month for a one or two-bedroom apartment. With high demand, it’s advisable to plan ahead to find the ideal home.
Punta Pacifica: The Panamanian Manhattan for the Ambitious
Punta Pacifica, often called the “Manhattan of Panama,” is the preferred neighborhood for expats working in finance and international business. This ultramodern district, characterized by its luxurious skyscrapers, offers:
- High-end apartments with panoramic ocean views
- Immediate proximity to major business centers
- Luxury shopping malls like Multiplaza Pacific
- Easy access to beaches and Pacific islands
Punta Pacifica particularly attracts senior executives and expat entrepreneurs, drawn to the urban, sophisticated lifestyle the neighborhood offers. Rents are among the highest in Panama City, but residents benefit from exceptional comfort and services in return.
Good to Know:
Rents in Punta Pacifica can reach high levels, with luxury apartments renting between $2,000 and $5,000 USD per month. However, the quality of amenities and stunning views often justify this investment for high-income expats.
Finding the Hidden Gem: Tips for Securing Your Home
Networking: Your Best Ally for a Prime Property
In Panama City, word-of-mouth and networking remain key ways to find the best housing opportunities. To maximize your chances of finding that hidden gem:
- Join Facebook groups dedicated to expats in Panama
- Attend networking events organized by international chambers of commerce
- Frequent cafes and restaurants popular with the expat community
- Don’t hesitate to ask colleagues or professional contacts already settled there
These local connections can give you access to rental or sale listings that may not be published on standard real estate websites. Additionally, they’ll provide valuable insights into neighborhoods, schools, and daily life in Panama City.
Good to Know:
Expats already settled are often a goldmine of information on housing deals. Don’t hesitate to attend expat community events upon arrival to expand your network.
Real Estate Agencies: Tailored Support
For an efficient and secure housing search, using a real estate agency specializing in expat clients can be a wise move. These professionals offer several advantages:
- A selection of properties matching your criteria and budget
- In-depth knowledge of neighborhoods and their specifics
- Assistance with negotiation and administrative procedures
- Advice on legal aspects of renting or buying in Panama
While their services involve additional fees, they can save you valuable time and prevent costly mistakes, especially if you don’t speak Spanish or are unfamiliar with the local real estate market’s nuances.
Good to Know:
Real estate agency fees in Panama are typically paid by the landlord for rentals. For purchases, expect around 5% of the sale price in agency fees.
Online Platforms: Technology at Your Service
In the digital age, online real estate platforms have become essential for an initial market overview. Among the most popular sites for expats in Panama are:
- Encuentra24.com: the most widely used classifieds site in Panama
- Compreoalquile.com: specializing in luxury real estate
- Casas.mitula.com.pa: a real estate listing aggregator
- Airbnb.com: for short-term rentals or temporary solutions
These platforms will give you an overview of available listings and prices in different neighborhoods. They are particularly useful for comparing options and refining your search criteria before moving on to viewings.
Good to Know:
Online photos and descriptions can sometimes be misleading. It’s highly recommended to visit properties in person and thoroughly check the condition before committing.
Essential Documents: Prepare in Advance
To rent or buy property in Panama as an expat, you’ll need to provide several key documents. Make sure you have:
- A valid passport with a visa or residence permit in order
- Proof of income (employment contract, bank statements)
- Professional or personal references
- Proof of home insurance (for rentals)
For property purchases, additional documents will be required, including proof of sufficient funds and, in some cases, a bank reference letter.
Good to Know:
Most landlords and real estate agencies will require a security deposit equivalent to one or two months’ rent. Budget for this amount in your initial planning.
Panamanian Market Specifics: Stay Vigilant
The Panamanian real estate market has certain peculiarities to be aware of:
- Lease contracts are typically set for one year, renewable
- Rents are often negotiable, especially for long-term commitments
- Utilities (water, electricity, internet) are rarely included in the rent
- For purchases, the process can be longer than in Europe, averaging 2 to 3 months
It’s highly recommended to hire a lawyer specializing in real estate law for any purchase transaction, to ensure the property’s legality and the transaction’s security.
Good to Know:
Panama offers attractive tax benefits for foreign real estate investors, including property tax exemptions for a certain period on new constructions.
Integrating and Enjoying: Living Your Expat Life to the Fullest in Panama City
The Expat Community: Invaluable Support
Panama City is home to a dynamic and diverse expat community, offering numerous opportunities for meeting and exchanging. To ease your integration:
- Join expat associations like InterNations or Expat.com
- Attend cultural events organized by embassies and cultural institutes
- Sign up for Spanish classes to facilitate daily interactions
- Explore the many sports and leisure clubs open to expats
These networks will not only help you make friends but also get practical advice on life in Panama and overcome the initial culture shock.
Good to Know:
The French-speaking community is particularly active in Panama City, with many events and meetup groups organized regularly.
Enjoying Panama City’s Advantages: An Enviable Quality of Life
Beyond its attractive neighborhoods, Panama City offers a multitude of benefits that contribute to expats’ quality of life:
- A pleasant tropical climate year-round
- Beautiful beaches less than an hour’s drive away
- A diverse and high-quality culinary scene
- Modern healthcare infrastructure and international hospitals
- A cost of living generally lower than major Western cities
Make the most of your expatriation to explore Panama’s natural and cultural riches, from the paradise islands of San Blas to the tropical rainforest of Soberania National Park.
Good to Know:
Panama City is considered one of the safest cities in Latin America, though vigilance is still necessary as in any large city.
Disclaimer: The information provided on this website is for informational purposes only and does not constitute financial, legal, or professional advice. We encourage you to consult qualified experts before making any investment, real estate, or expatriation decisions. Although we strive to maintain up-to-date and accurate information, we do not guarantee the completeness, accuracy, or timeliness of the proposed content. As investment and expatriation involve risks, we disclaim any liability for potential losses or damages arising from the use of this site. Your use of this site confirms your acceptance of these terms and your understanding of the associated risks.
Cyril Jarnias is an independent expert in international wealth management with over 20 years of experience. As an expatriate himself, he is dedicated to helping individuals and business leaders build, protect, and pass on their wealth with complete peace of mind.
On his website, cyriljarnias.com, he shares his expertise on international real estate, offshore company formation, and expatriation.
Thanks to his expertise, he offers sound advice to optimize his clients' wealth management. Cyril Jarnias is also recognized for his appearances in many prestigious media outlets such as BFM Business, les Français de l’étranger, Le Figaro, Les Echos, and Mieux vivre votre argent, where he shares his knowledge and know-how in wealth management.
