$40 Car Rental Panama City, FL

Reasons to book a car rental in and around Panama City

Renting a car in Panama City provides you with the freedom and flexibility to explore the area at your own pace. This is particularly beneficial for families, as a rental car allows for easy luggage management and keeps everyone together during your travels. With a vehicle, you can visit popular attractions such as the Panama City Marina, known for its outdoor and beach experiences, as well as Oakland Terrace Park, which offers urban park settings perfect for family outings. St. Andrews State Park, located just 5 miles from Panama City, is another must-see destination for outdoor adventures and scenic views.

Additionally, having a rental car makes it convenient to explore nearby neighborhoods like Lower Grand Lagoon, featuring beautiful Panama City Beaches and Ripley's Believe It or Not, or Upper Grand Lagoon, which is home to Capt. Anderson's Marina and Thomas Drive. Visiting Callaway, also in the vicinity, provides further access to attractions like St. Andrews State Park and the Panama City Marina. Overall, a rental car enables you to tailor your travel experience, maximizing your time in and around Panama City.

Most popular car rentals in Panama City

• Midsize SUV: The Midsize SUV is a popular choice for travelers in Panama City, accommodating up to 5 people comfortably. With the ability to carry up to 3 large suitcases, this vehicle is ideal for families, couples, or small groups looking to explore the area. Its spacious interior provides ample room for both passengers and luggage, making it a versatile option for those who value comfort and convenience during their trip.
• Standard SUV: The Standard SUV is another frequently booked option, also accommodating 5 travelers but with the capacity for up to 2 medium suitcases. This makes it a great fit for couples, families, or groups who may not need as much space for luggage. The Standard SUV balances comfort with practicality, allowing you to navigate Panama City with ease while enjoying a roomy ride for everyone on board.
• Fullsize: The Fullsize car option is perfect for larger groups or families, as it can accommodate 5 travelers and carries up to 3 large suitcases or 5 medium suitcases. This makes it an excellent choice for those who require extra space for luggage or personal belongings. With its generous capacity, the Fullsize vehicle allows you to travel comfortably and hassle-free, ensuring that your journey through Panama City is both enjoyable and convenient.

Top rated car suppliers in Panama City

• Alamo Rent A Car: Alamo has a rental location in Panama City, offering travelers flexibility to explore at their own pace. With an overall rating of 7.2 out of 10, Alamo is recognized for its friendly service and short wait times. The most popular vehicles rented from Alamo include Midsize SUVs and Fullsize cars, making it an excellent choice for families or groups seeking comfort and space.
• Hertz: Another prominent supplier in Panama City, Hertz also has one convenient rental location. Known for its reliable service, Hertz offers similar popular vehicle options, including Midsize SUVs and Fullsize cars. This supplier caters to travelers looking for quality vehicles with the freedom to explore the beautiful surroundings of Panama City.
• Budget: Budget operates one rental location in Panama City, focusing on providing great value for your travel needs. With Midsize SUVs and Fullsize cars being the most booked options, Budget is ideal for those looking for cost-effective yet comfortable vehicle choices. Their commitment to customer satisfaction makes them a popular choice among travelers visiting the area.

Where to stay in and around Panama City

• Lower Grand Lagoon: Located 6 miles from Panama City, Lower Grand Lagoon offers a delightful blend of city and beach experiences, making it ideal for families. Enjoy various activities at the local shopping area and recreational venues. Key attractions include Panama City Beaches, perfect for a beach vacation, and St. Andrews State Park, which is fantastic for outdoor adventures. Don't miss Ripley's Believe It or Not for a cultural experience. Nearby food options include wineries and breweries, enhancing your stay with local flavors.
• Upper Grand Lagoon: Just 5 miles from Panama City, Upper Grand Lagoon is a charming village that combines city life with outdoor adventures. The area features a shopping centre and recreational areas, making it convenient for visitors. Explore the stunning Capt. Anderson's Marina for outdoor activities and enjoy the scenic beauty of St. Andrews State Park. Thomas Drive offers an inviting atmosphere for city exploration and is lined with dining options, including local wineries and breweries.
• Bay VIew Addition: Situated around Panama City, Bay View Addition is known for its outdoor activities and scenic views. This neighborhood is close to recreational areas and shopping centers, making it a great base for your stay. Key highlights include St. Andrews State Park, perfect for scenic outdoor experiences, and Panama City Marina for beach adventures. With Thomas Drive nearby, you'll find ample dining and shopping options, ensuring a well-rounded visit.

10 tips to save on your car rental in and around Panama City

1. Use filters to find the right car: Refine your search by selecting vehicle types and features. Whether you're looking for an SUV for added space, a convertible for summer fun, or an economy car for budget-friendly travel, utilize the filters on Expedia to discover the perfect vehicle for your journey.
2. Book in advance to help lower costs: Rental rates can vary based on demand, so it's advisable to reserve your car well ahead of your trip. By booking early, you're more likely to secure lower prices and enjoy a wider selection, particularly during peak travel seasons.
3. Consider a smaller car for savings: Smaller vehicles are typically more affordable to rent and easier to maneuver in crowded areas. Mid-size rentals strike a good balance between cost, comfort, and fuel efficiency.
4. Age guidelines: Drivers under 30 may encounter higher deposits or daily fees, and certain vehicle categories—such as SUVs or premium models—might not be available. This can also apply to renters over 70 years old. Always verify the age restrictions before making a reservation.
5. Check fuel policies: Some rentals operate under a full-to-full fuel policy, meaning you must return the car with a full tank to avoid additional fees. This is generally the most economical choice. Others may offer full-to-empty or prepaid fueling options, which are also acceptable; just remember to return the car empty in that case.
6. Save on city and airport pickups: Picking up your rental car at airports often incurs a surcharge, but the convenience may justify the extra cost.
7. Know your payment options: Many car rental companies exclusively accept credit cards for payment.
8. Understand your insurance coverage: Car rental insurance can help you avoid unexpected expenses and provides peace of mind if something unforeseen occurs during your trip. Adding car rental insurance when booking through Expedia is straightforward.
9. Consider unlimited mileage: If you plan to take long road trips, seek out rentals that offer unlimited mileage to prevent additional charges.
10. Bring your driver's license and ID: A valid driver's license is necessary to rent a car.

Best time to rent a car in and around Panama City

The best time to rent a car in and around Panama City is January and February, when prices are slightly low and demand is moderately low. This period offers the best value for travelers. March and April can also be decent options, as prices and demand remain average. However, July is typically the most expensive month, with slightly high prices and moderately high demand, making it a busier time for rentals. June through August also see elevated demand and prices during the summer months.

Calendar Month	Temperature	Precipitation	Cloudiness	Demand	Pricing
January	54.1°F (12.3°C)	Light Rain	Mostly Sunny	Moderately Low	Slightly Low
February	57.9°F (14.4°C)	Light Rain	Mostly Sunny	Moderately Low	Slightly Low
March	62.8°F (17.1°C)	Light Rain	Mostly Sunny	Average	Average
April	68.4°F (20.2°C)	Light Rain	Mostly Sunny	Average	Average
May	75.0°F (23.9°C)	Light Rain	Mostly Sunny	Moderately High	Average
June	81.1°F (27.3°C)	Light Rain	Mostly Sunny	Moderately High	Slightly High
July	82.6°F (28.1°C)	Light Rain	Mostly Sunny	Moderately High	Slightly High
August	82.8°F (28.2°C)	Moderate Rain	Mostly Sunny	Average	Slightly High
September	79.5°F (26.4°C)	Light Rain	Mostly Sunny	Average	Slightly Low
October	72.0°F (22.2°C)	Light Rain	Sunny	Average	Average
November	62.4°F (16.9°C)	Light Rain	Mostly Sunny	Average	Average
December	58.1°F (14.5°C)	Light Rain	Mostly Sunny	Moderately Low	Average

Finding the cheapest car rentals in Panama City

Using our Search Wizard

If the deals that are available on our page do not suit your needs, then enter Panama City into the search wizard at the top of the page. We will compare all the best deals available for your car rental in Panama City and provide you with a list of the cheapest options, with no added fees.

Renting a car in Panama City

Pay at pickup is available, so you don’t have to worry about spending your money until you arrive at your vehicle in Panama City. We partner with reliable partners that guarantee an enjoyable experience for solo travelers, couples, and families. Package your car with a flight or hotel to unlock even more savings from Expedia.

Expected prices in Panama City

Prices are subject to seasonal change depending on when you decide to arrange your car rental but right now you can book from $40.

Flexibility & Cancellation

Most car suppliers offer penalty-free cancellations, so you don’t have to worry about losing money if your plans change. To cancel your booking log into your account through the Trips portal. Click manage booking and cancel this car. If you needed to alter your booking, then you can create a new one once you have canceled.

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Car classes available from Expedia in 2026

The classes of vehicles available will change depending on your chosen location.

• Compact car rentals    
• Convertible car rentals    
• Economy car rentals    
• Fullsize car rentals    
• Luxury car rentals
• Midsize car rentals    
• Mini car rentals    
• Minivan rentals    
• Pickup car rentals    
• Premium car rentals
• Sportscar rentals    
• Standard car rentals    
• SUV rentals    
• Van rentals