Hotels and hostels in Panama City are good bargains, especially on the lower end of the price range. On the higher end the best deals are outside of the peak holiday season, but all year round you can get good prices on lovely hotels that would cost far more in most places. However, this is more of a business city than a tourist city and there aren’t many top attractions once you’ve seen the Miraflores Locks at the Canal.
Hotels in Panama City operate on a similar seasonal schedule to the Caribbean, so the high season runs from December through March, and many hotels keep prices high through April. The peak season is around the Christmas and New Year’s holiday times, so if you are coming then it’s best to book as early as possible. The low season runs from June through November and great bargains can be had during this period, especially at higher-end places. Keep in mind this is also the rainy season, though that usually means an afternoon cloud burst a few days a week at most.