How to Move to Panama: Step-by-Step Guide for Expats (2026)

Moving to Panama is more straightforward than most people expect — but the mistakes that trip people up are predictable and avoidable. This guide covers the full process from initial decision to settled life, in the order you actually need to do things.

Step 1 — Choose Your Visa (12–18 Months Out)

Panama has over a dozen residency visa options. The right one depends on your age, income source, and goals. The three most common for expats:

Start the visa process early — document apostilles alone can take 4–8 weeks depending on your home country, and the full SNM approval typically takes 3–6 months after submission.

Step 2 — Sort Your Finances Before You Arrive (6 Months Out)

Panama’s banking system is famously strict about opening accounts for new arrivals — especially since the FATF grey-listing in 2019 (removed 2023). Come prepared or expect frustration.

• Open a Charles Schwab or Wise account before you leave. Schwab’s international debit card reimburses all ATM fees worldwide — essential for the first months before you have a local account.
• Budget $10,000–$20,000 in accessible funds before arriving. Visa processing, deposits, setup costs add up.
• Notify your US bank you’re moving internationally to avoid frozen cards.
• Hire a Panama accountant to advise on the tax transition — especially if you’re a US citizen (FBAR, FATCA filing requirements).

Step 3 — Scout Before You Commit (3–6 Months Out)

The most expensive mistake expats make: buying property (or signing a long-term lease) before living in Panama. Spend 4–8 weeks in the country before committing to anything. Stay in short-term rentals in 2–3 different neighborhoods or cities. Panama City, Boquete, and Bocas del Toro feel completely different — you won’t know which fits until you’ve lived there.

Use the scouting trip to: meet the local expat community, see properties in person, test healthcare facilities, and evaluate internet reliability in the specific buildings or areas you’re considering.

Step 4 — Handle Documents and Apostilles (3–4 Months Out)

Most Panama visa applications require documents apostilled from your home country. The apostille process is handled by your state’s Secretary of State office (US) or equivalent. Documents typically needed:

• Passport (valid 6+ months beyond your intended stay)
• Birth certificate (apostilled)
• Police clearance from every country you’ve lived in 5+ years (apostilled)
• Pension letter or proof of income (apostilled)
• Marriage certificate if applicable (apostilled)

Start this early. Some police clearances take 6–8 weeks. Some states are faster than others. Budget $200–$500 for apostille fees.

Step 5 — Shipping, Storage, and What to Bring

Most expats ship far less than they plan to — and are glad they did. Panama has most things you need, and shipping is expensive. The exception: specific medications (bring a year’s supply and a prescription), specialty items that aren’t available locally, and a car if you’re moving to a rural area.

The Pensionado visa includes a one-time duty-free import of household goods — which can save $5,000–$15,000 if you’re bringing furniture and appliances. Time this carefully with your visa approval.

Step 6 — The First 90 Days in Panama

The first three months are about building infrastructure — not touring or relaxing. Priority list:

• Open a local bank account. Banco General and Banistmo are the most foreigner-friendly. Bring apostilled documents, proof of address, and proof of income. Expect 2–4 weeks.
• Get a cedula (national ID) once residency is approved — it unlocks Pensionado discounts, local pricing, and simplifies everyday transactions.
• Set up health insurance. Blue Cross Panama, BUPA, and Cigna Global are common choices. Do this before any medical issue arises.
• Find a local attorney for visa follow-up and any property or contract matters. Your home-country attorney cannot practice Panamanian law.
• Connect with the expat community. Boquete and Panama City both have active Facebook groups and regular meetups — the fastest way to find trusted service providers.

Common Mistakes to Avoid

• Buying property too soon. Rent for at least a year first. Always.
• Not hiring a local attorney. Panama’s legal system has local nuances. A $2,000 attorney fee protects a $200,000 purchase.
• Underestimating the bureaucracy timeline. Everything takes longer than expected. Build 3–6 months of buffer into any deadline.
• Assuming your home-country medications are available. Some drugs available OTC in the US require a prescription in Panama, and vice versa. Check before you arrive.
• Moving without a scouting trip. A $1,500 scouting trip can save you from a $50,000 mistake.