Boquete is an inland, mountainous part of Panama, surrounded by lush hillside
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Where is the best place to retire in 2026? If easy access to the U.S. and Canada, straightforward residency options, high-quality health care, reliable infrastructure, and a wide range of modern amenities are high on your list, Panama deserves a serious look.
This slender, S-shaped country linking North and South America offers remarkable variety for retirees: a cosmopolitan capital city, misty mountain towns wrapped in rainforest, and well-appointed beach communities that are a fraction of what similar lifestyles cost in Florida.
Here are seven of the best places to retire in Panama.
Boquete: One Of The Best Mountain Towns To Retire In Panama
Boquete is the most famous expat town in Panama. Located in the highlands of Chiriquí Province, it offers a cooler climate than most of the country, along with a lush landscape of rolling hills and tropical vegetation.
The town was little known until an expat developer targeted it about 25 years ago, transforming it into one of the world’s first major expat retiree havens. Today, roughly 25,000 people live here, about 20% of whom are expats from the U.S., Canada, and elsewhere.
Boquete is a haven for nature lovers, with hiking trails, waterfalls, coffee farms, and hot springs. The most famous trek is the ascent of Volcán Barú, Panama’s highest peak at 11,400 feet above sea level.
Boquete is also loved for its friendly, slow-paced lifestyle. The downtown is walkable, with restaurants and cafés lining the main street. English is widely spoken, conveniences like banks and pharmacies are easy to find, and infrastructure is solid.
El Cangrejo, Panama City: The Most Walkable Urban Area To Retire In Panama
El Cangrejo features walkable streets and plenty of green spaces
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Panama City is the country’s most expensive and most hectic urban center, known for its heavy traffic and fast-paced lifestyle. It’s generally not a top pick for retirees, with the exception of a few standout neighborhoods, one of which is El Cangrejo.
El Cangrejo is one of the city’s most walkable districts, offering well-paved streets, proper sidewalks, and even pedestrian-only routes—rare in a city where many residents drive even short distances.
Thanks to this walkability, the neighborhood has a lively, cosmopolitan atmosphere. Music and laughter spill out from the bars, restaurants, and cafés along Vía Argentina, the main thoroughfare. Andrés Bello Park is always buzzing with people doing Zumba, playing basketball, or walking their dogs.
El Cangrejo draws residents from around the world because it’s clean, active, and well-located. Several Metro stops are nearby, and everything from clinics to smoothie bars and banks to dog groomers is within easy reach.
Coronado And The City Beaches: Panama’s Most Convenient Coastal Retirement Area
The closest stretch of swimmable beaches to the capital is Coronado and the chain of small towns known collectively as the “City Beaches.”
Just an hour from Panama City, this coastal area offers white, black, and golden sands, as well as beach clubs, residential developments, and a wide range of amenities—from hardware stores to Italian restaurants—so you never have to go without.
Coronado is a popular weekend escape for capital residents, and the population swells on Friday afternoons and public holidays. During the week, however, the area is calmer, home to a diverse community that spends its days socializing, shopping, strolling on the shore, or golfing at the nearby 18-hole course.
Retirees appreciate the convenience: it’s a step removed from the bustle of Panama City, yet world-class private medical facilities are only an hour away. Infrastructure is reliable, and the Pacific Ocean views are spectacular.
El Valle De Antón: A Cool-Climate Retreat For Retiring In Panama
El Valle de Anton is considered one of the most beautiful places in Panama.
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El Valle de Antón is the closest cool-weather destination to Panama City. About a two-hour drive away and set at roughly 2,000 feet above sea level, it offers a noticeable temperature drop compared with the capital and lower-lying regions.
Once a sleepy village, El Valle has grown steadily as city residents sought a nature-rich retreat. It’s essentially “cottage country” for well-to-do Panama City residents, many of whom have weekend homes here. Even the road trip to El Valle is beloved, with iconic pit stops like Quesos Chela, a bakery famous for its empanadas, practically mandatory.
El Valle (“The Valley”) appeals to hikers and nature lovers, with trails weaving through the lush hills and a popular hike to a crest to glimpse “La India Dormida”—a mountain range that looks like the shape of a reclining woman.
As the town’s popularity has grown, cafés, restaurants, hotels, and shops have multiplied, yet you can still buy fresh produce at the traditional fruit and vegetable market.
Chitré: An Affordable, Authentic Place To Retire In Panama
Follow the Pan-American Highway west from Panama City for about three hours, and you’ll reach the Azuero Peninsula, a large landmass that juts into the Pacific Ocean off Panama’s south coast. The east coast is well-developed, lined with small towns known for their charm, safety, and proximity to excellent beaches.
One of these towns is Chitré. Known for its authenticity, it preserves the traditions of Panama’s heartland: cattle ranching, rodeos, and vibrant carnival celebrations. The clean, orderly town center features an attractive Spanish-colonial cathedral. Locals are welcoming, and the town is safe, though with fewer expats, speaking some Spanish will help you settle in.
For a town of about 9,000 residents, Chitré has an impressive list of amenities: multiple public hospitals, dentists, a baseball stadium, bilingual schools, a mall, a movie theater, parks, museums, casinos, and more.
Chitré serves as the hub of the Azuero Peninsula, drawing people from surrounding areas for business and services. For expats, this translates to convenience without sacrificing authenticity.
Pedasí: A Quiet, Beachfront Community Ideal For Retiring In Panama
Pedasi is coveted for its laid-back, beach-focused lifestyle
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On the southeastern tip of the Azuero Peninsula lies Pedasí, a small town that has evolved into one of Panama’s most established expat and retiree communities.
People come for the excellent beaches, including world-famous Playa Venao, which has hosted numerous international surf competitions thanks to its surfable waves. Pedasí is also renowned for sport fishing. Set along Panama’s tuna coast, its nutrient-rich waters have supported the livelihoods of its roughly 2,500 residents for generations.
Despite growing popularity, Pedasí retains its small-town charm. The village offers a handful of restaurants, banks, and services. It provides a more rustic coastal lifestyle than Coronado or the City Beaches, yet new shops and services continue to appear.
Santa Catalina: A Laid-Back Surf Haven For A Rustic Retirement In Panama
Santa Catalina is an international surf village located about five hours west of Panama City. Colorful houses dot the green hills, and a community of locals and expats—Italians, Americans, Germans, Canadians, and others—live a simple, beach-centered life.
Santa Catalina is famous for its long expanses of golden sands and picture-perfect waves, which attract surfers from around the world. Offshore lies Coiba Island, a former penal colony now known as a mini-Galápagos thanks to its extraordinary biodiversity. Because of this, Santa Catalina is also a hub for snorkeling and scuba diving.
In town, a small collection of restaurants and amenities—gelato shops, seafood eateries, breakfast joints, and more—have opened over the years. Still, life here is far more rustic than in towns closer to major cities.
Shops and health facilities are limited, and the nearest bank and gas station are a considerable drive away. Daily power outages are common, but residents adapt and embrace a slower, nature-focused lifestyle as the trade-off.
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