Expat Topics
Cost of Living in Panama City (2026)
Monthly budget breakdown for expats living in Panama City, Panama
Last updated: March 2026
The cost of living in Panama City, Panama for an expat in 2026 averages $900–$1,500 per month for rent (1-br, expat neighborhood). Key costs include rent (1-br, expat neighborhood) ($900–$1,500), rent (1-br, casco viejo / upscale) ($1,200–$2,000), groceries (local + el rey supermarket) ($200–$400).
Panama City is a popular destination for expats relocating to Panama. Panama City is unlike any other Central American capital. The gleaming skyline rivals Miami, the hospitals are affiliated with Johns Hopkins, fiber internet is everywhere, and the supermarkets stock everything you'd find in the US. Below is a detailed monthly budget breakdown based on real expat spending data.
Monthly Expenses Breakdown
| Expense | Monthly Cost |
|---|---|
| Rent (1-BR, expat neighborhood) | $900–$1,500 |
| Rent (1-BR, Casco Viejo / upscale) | $1,200–$2,000 |
| Groceries (local + El Rey supermarket) | $200–$400 |
| Transport (Uber/taxis — no metro everywhere) | $80–$150 |
| Utilities (AC is non-negotiable here) | $120–$200 |
| Private health insurance | $100–$175 |
| Dining out (2–3×/week) | $150–$250 |
| Entertainment & misc. | $100–$200 |
| Total (comfortable, expat area) | $1,800–$2,800 |
Panama City Quick Facts
Best For
Professionals, families, retirees
Monthly Budget
$1,800–$2,800
1-BR Center Rent
$900–$1,500/mo
Internet Speed
~186 Mbps avg.
English Level
High in expat neighborhoods
Hospital
Punta Pacifica (Johns Hopkins-affiliated)
Airport
PTY — 80+ direct routes across Americas
Frequently Asked Questions
How much does it cost to live in Panama City per month?
Monthly costs in Panama City depend on your lifestyle. Key expenses include rent (1-br, expat neighborhood) ($900–$1,500), rent (1-br, casco viejo / upscale) ($1,200–$2,000), groceries (local + el rey supermarket) ($200–$400). See the full breakdown above for a complete picture.
Is Panama City affordable for expats?
Panama City is a popular expat destination with costs that vary by neighborhood and lifestyle. Many expats find they can live comfortably on a mid-range budget.
What is the average rent in Panama City?
Rent (1-BR, expat neighborhood): $900–$1,500. Rent (1-BR, Casco Viejo / upscale): $1,200–$2,000