Panama, FL

Above Avg · 124

Florida · Population 18,493 · Updated March 2026

$1,737
Median Rent / Month
$78,921
Median Income
$417,800
Median Home Value
$1,631
Owner Costs / Month

Affordability

How far your income goes in Panama

26.4%
Rent-to-Income Ratio
Moderate
Rent takes 25-35% of median income — moderate affordability.

Tax Burden in Florida

State-level tax rates that affect your costs

0%
Income Tax (Top Rate)
6.0%
Sales Tax
0.86%
Property Tax Rate

Estimated Annual Costs

$20,844
Annual Rent
$0
State Income Tax
$3,593
Property Tax (est.)

Cost of Living Overview

Panama has a significantly higher cost of living than most US cities, driven largely by premium housing costs. With a cost index of 124 (where 100 equals the national median), Panama residents can expect to pay median rent of $1,737/month while earning a median household income of $78,921/year.

The median home value in Panama, FL is $417,800, with typical monthly owner costs around $1,631 including mortgage, insurance, and taxes. With a rent-to-income ratio of 26.4%, Panama falls within the generally affordable range, though it's approaching the 30% burden threshold.

Florida has no state income tax, which can represent significant savings compared to high-tax states. Combined with a 6.0% sales tax rate and 0.86% effective property tax rate, the overall tax environment helps keep costs manageable in Panama.

Frequently Asked Questions

Common questions about living costs in Panama

What is the cost of living in Panama, FL?
The cost of living index in Panama, FL is 124 (US average = 100). Median monthly rent is $1,737, median household income is $78,921/year, and the median home value is $417,800.
Is Panama, FL affordable?
No, Panama is more expensive than the national average with a cost index of 124. The rent-to-income ratio is 26.4%—below the 30%% threshold considered affordable by HUD.
What is the average rent in Panama, FL?
The median gross rent in Panama, FL is $1,737 per month according to the US Census Bureau ACS 2023 data. Annual rent costs approximately $20,844.
What is the median household income in Panama?
The median household income in Panama, FL is $78,921 per year. This compares to the national median of approximately $80,000.
What are the taxes like in Florida?
Florida has a top income tax rate of 0%, a sales tax of 6.0%, and an effective property tax rate of 0.86%. Notably, there is no state income tax.