Panama City Real Estate Market Update: October 2026
Hi, I'm Ken Norton with Panama Properties, and this is your Panama City market update for October 2026. The headline: after almost a decade of flat prices, the capital is finally moving again.
Supply is tightening and sales are rising
Developer inventory in Panama City has dropped to its lowest level in nine years, and new construction sales are up almost 28 percent from last year. Fewer new units on the market combined with stronger demand is exactly what has been missing during the long flat stretch, and it's why the market is turning.
The busiest price range: $180,000 to $300,000
The most active part of the market is the $180,000 to $300,000 range, where monthly sales are up 30 percent. That's the sweet spot for many buyers: well-located condos that work as a home, a pied-à-terre or a rental.
What buyers are paying per square metre
The median asking price across Panama City is around $2,200 per square metre (about $204 per square foot). In prime neighbourhoods like Punta Pacífica, Costa del Este, Avenida Balboa and Casco Viejo, expect $2,600 to $4,500 per square metre (roughly $242 to $418 per square foot).
The investor angle: 5 to 6 percent gross yields
For investors, well-located condos are earning about 5 to 6 percent gross rental yields, and rents are still rising. Location, building quality and management all play a big part in what a specific unit will actually achieve.
Panama City at a glance, October 2026
Indicator | Current figure |
Developer inventory | Lowest level in nine years |
New construction sales | Up almost 28% year over year |
Busiest price range | $180,000 to $300,000 (monthly sales up 30%) |
Median asking price | About $2,200 per m² ($204 per sq ft) |
Prime areas | $2,600 to $4,500 per m² ($242 to $418 per sq ft) |
Gross rental yields, well-located condos | About 5% to 6%, rents rising |
A word of caution: choose the right building
Not every building is rising with the market. Newer, well-managed buildings are gaining value, while older buildings with few amenities are mostly flat. Before you buy, look closely at the building's age, amenities, maintenance and how well it's run. Choosing the right building matters as much as choosing the right neighbourhood.
In Panama, buyers pay no agent fee
And remember: in Panama, buyers pay no agent fee. As a buyer, your costs are your own lawyer plus minor notary and land registration fees, so having a buyer's agent on your side doesn't add to your bill.
What does your budget buy?
Want to know what your budget buys in Panama City right now? Message me on WhatsApp or start the buying process below, and I'll match you with buildings and neighbourhoods that fit your plans.
English: Ken Norton, WhatsApp +507 6169-2453
Español: Evelyn Diaz, WhatsApp +507 6718-4140
Or visit panama-properties.com.
