Where to Stay in Panama City Beach Florida: The Perfect Spring Break on a Budget 2025

Last Updated on January 28, 2025 by Oliver

Florida is one of the best destinations for spring break this year. With white sand beaches, sunny weather, and plenty of cold drinks, you really can’t go wrong anywhere in the state.

That said, Panama City Beach is one of our favorite spots—and one of the most affordable, too. Between beachfront resorts, budget-friendly vacation rentals, and miles of gorgeous coastline, it’s hard to beat. We just got back from a trip to Panama City Beach and can confirm: it’s an awesome choice for a family vacation that won’t drain your wallet.

Deciding where to stay in Panama City Beach isn’t exactly easy. With so many hotels and areas to choose from, it can feel a little overwhelming to pick the right spot for your crew.

That’s where we come in! We’ve put together this ultimate guide to where to stay in Panama City Beach, with the best neighborhoods and hotels for your spring break vacation in 2025.

Where Is the Best Place to Stay in Panama City Beach?

No matter if you’re on a couples trip, family vacation, or want to enjoy spring break with a group of friends, the Panama City Beach hotels are amazing. From beachfront resorts to some of the best boutique hotels in Panama City, there is definitely plenty to choose from.

Looking for my personal recommendations? These are my top places to stay when visiting Panama City Beach.

💡Interested in other spring break destinations? Check out our Ultimate Guide on the Best Spring Break Destinations in Florida!

Casa Loma Panama City Beach Beachfront // Best Cheap Panama City Beach Hotel

If you’re looking for great value for money, Casa Loma in Panama City Beach is a fantastic choice. This beachfront resort is in a perfect location, clean, and well-maintained. It offers free parking, a fitness center, and multiple outdoor swimming pools. The price was the highlight for me—you can get a private room with two queen beds for just $50, or a room with a direct ocean view for under $70 a night.

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Hampton Inn Panama City Beach Beachfront // Best Beachfront Resort

Snother great choice is the Hampton Inn Panama City Beach Beachfront. its right on the beach, has clean and modern rooms, great amenities including an outdoor pool and hot tub. They also offer complimentary breakfast and have a fitness center on-site. It’s a bit pricier than Casa Loma, but definitely worth the extra cost for the beachfront location and added amenities.

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Sandpiper Beacon Beach Resort // Best Panama City Beach Hotel for Families

Newly renovated and located right on the beach in Panama City Beach, Sandpiper Beacon Beach Resort is a fantastic family-friendly hotel. The resort offers a variety of room options, including suites and condos, to accommodate larger groups. They have numerous on-site activities for all ages, such as mini golf, pool tables, and ping pong.

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Panama City Beach Area Guide – Best Places to Stay in Panama City Beach

Panama City Beach, as the name suggests, is located right on the beach along Florida’s northern Gulf Coast. The city stretches for miles along a narrow strip of coastline, which means it’s important to know which neighborhood you want to stay in!

For your first visit to Panama City Beach, I’d recommend staying in Bahama Beach. This area has plenty of great resorts and hotels, along with tons of activities and restaurants to keep you busy.

Another great option is El Centro Beach, which is a little further out. The upside? You’ll find some amazing and affordable hotels here, making it perfect for those traveling on a budget.

If you’re dreaming of a resort-style vacation or planning a family holiday in a rental home, the Upper Grand Lagoon area is ideal. It’s a great spot to settle in and enjoy a more relaxed vibe.

For couples looking for a romantic beachfront escape without the crowds, the Lower Grand Lagoon area is a fantastic choice. It’s quiet, peaceful, and perfect for a getaway.

💡Want to Check out Anna Maria Island in Florida? Here is our Full Guide on the best areas and hotels in Anna Maria Island!

Panama City Beach’s 4 Best Areas to Stay In

There are quite a few beach areas and neighborhoods to stay in. These are my favorite neighborhoods to stay in Panama City Beach.

1.Bahama Beach – Where to Stay in Panama City Beach for Your First Time

Bahama Beach is a fantastic spot to base yourself if it’s your first time visiting Panama City Beach. It has everything you need—great hotels, easy access to the beach, and tons of restaurants and activities within arm’s reach.

When we stayed here, we loved how stress-free it felt. We could wake up, grab coffee, and be on the sand in minutes, or hop in the car and be at a top attraction without dealing with long drives or traffic.

The beach itself is classic Gulf Coast: powdery white sand that’s so soft it squeaks under your feet, and calm, clear water that’s perfect for floating or even for smaller kids to go swimming. We spent an entire morning just walking along the shore and picking out the best seashells—something we hadn’t done in years but totally loved.

Best Hotels in Bahama Beach

Springhill Suites Panama City Beach // Best Luxury Family Friendly Resort

One of my favorite hotels in Panama City Beach is the SpringHill Suites Panama City Beach. This Marriott Panama City Beach hotel is definitely the best in its price category. It offers a beautiful outdoor swimming pool area and amazing views from their restaurants overlooking the stunning beaches. The rooms are super spacious, equipped with a king bed, air conditioning, and all the amenities you could ask for.

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Holiday Inn Resort Panama City Beach // Best Family Friendly Hotel

This beachfront hotel is the ultimate spot for the whole family, especially when you’re traveling with kids. It features an outdoor pool, a children’s pool with a water playground, a hot tub, a poolside bar, and a spa overlooking the Gulf of Mexico. This IHG hotel is definitely one of the best hotels in Panama City we’ve stayed at.

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Things to do in Bahama Beach

• Gulf World Marine Park: This was such a fun stop! Watching the dolphin shows and walking through the tropical gardens at Gulf World Marine Park was a highlight for us.
• Shipwreck Island Waterpark: If you’re traveling with kids (or just love a good lazy river), Shipwreck Island Waterpark is the spot.
• Runaway Island: This beachfront spot quickly became one of our favorites. The seafood is fresh, the portions are big, and the views at sunset are unbeatable.
• Another Broken Egg: One of our favorite breakfast spots. They have big portions with eggs, bacon, and biscuits, good coffee, and you can even play cornhole.
• Pier Park Shopping Maul: – Spend a day strolling through the outdoor shopping mall, Pier Park. With over 100 stores and restaurants to choose from, it’s a cool spot to spend the afternoon.

2.El Centro Beach – The Best Area to Stay in Panama City Beach on a Budget

If you’re visiting Panama City Beach on a budget, El Centro Beach is the perfect place to stay.

It’s slightly removed from the busier parts of town, which means you’ll find more affordable accommodations, including vacation rentals and cheap hotels. But don’t worry, the beach and many of the attractions are still super close.

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Best Hotels in El Centro Beach

Hilton Panama City Beach // Best Pet Friendly Hotel in Panama City Beach

One of the best pet-friendly hotels in Panama City Beach, the Hilton Panama City Beach is a great choice for traveling with furry friends. The hotel offers spacious private rooms, a private beach area, and an outdoor pool. The location and the pool area were definitely the highlights for me. All in all, I think you get a lot for your money here.

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Wyndham Panama City Beach // Best Affordable Hotel in Panama City Beach

If you’re looking for an affordable yet comfortable option, the Wyndham Panama City Beach is a great choice. The rooms are clean and spacious, and the hotel has its own private beach access. It also offers amenities such as an outdoor pool, fitness center, and on-site restaurant. I love the apartment-style rooms they offer; having a little kitchen and fridge always comes in handy, especially when traveling with kids.

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Things to do in El Centro Beach

• Beach Access: Pack your cooler, grab a towel, and enjoy a day at the beach. It’s free, and the sand here is as beautiful as anywhere else along the Gulf.
• Frank Brown Park: Just a short drive away, this park has walking trails, picnic spots, and sports fields, making it a great place for families to stretch their legs.
• Dusty’s Oyster Bar: This local favorite has been around for over 40 years! They have a great happy hour and live music on the weekends.
• Pier Park: Pier Park shopping mall isn’t far, with tons of stores, restaurants, and even an affordable movie theater if you’re looking for a low-key night out.

3.Upper Grand Lagoon – Best Neighborhood in Panama City Beach for Families

If you’re planning a family trip to Panama City Beach, Upper Grand Lagoon is an excellent choice. This area is quieter and more laid-back, making it ideal for families who want some space to relax while still being close to the action. With a mix of vacation rentals, condos, and spacious resorts, it’s easy to find a home base that fits everyone’s needs—whether you’ve got toddlers or teens in tow.

When we stayed here, we loved how much there was to do nearby without having to drive too far. The area has a mix of outdoor activities, family-friendly attractions, and plenty of space to spread out. It’s also far enough from the busier parts of town that you can avoid crowds, which is always a win when traveling with kids.

Best Hotels in Upper Grand Lagoon

Marriott Panama City Beach // Best Rated Luxury Resort

Marriott’s Legends Edge is one of the best-rated luxury hotels in Upper Grand Lagoon, and for good reason. With spacious suites that can accommodate families of all sizes and a prime location, the 4-star hotel offers a large outdoor swimming pool as well as free private parking. It’s also located close to ZooWorld Zoological Conservatory and Ripley’s Believe It or Not!

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Homewood Suites By Hilton Panama City Beach Fl // Best Hotel in Upper grand Lagoon

My favorite place to stay in Panama City Beach, especially if you don’t care about staying on the beachfront, is the Homewood Suites by Hilton Panama City Beach, FL. It’s located closer to the city center and the airport and is a fantastic option if you want to explore the entire region around Panama City Beach rather than just spending all day on the beach.

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Things to do in Upper Grand Lagoon

• St. Andrews State Park: This beautiful park is perfect for a day out with the kids. You can explore hiking trails, spot wildlife, or enjoy calm, shallow waters ideal for little ones.
• Shell Island Tours: Take a boat trip to Shell Island, where you can swim, snorkel, or just enjoy a peaceful beach day. It’s a fun adventure the whole family can enjoy.
• Mini Golf and Go-Karts: Upper Grand Lagoon is home to some of the best family attractions, like Pirate’s Island Adventure Golf.
• Local Steamer Seafood Market: get yourself some of the best seafood in town at this local seafood market, perfect for a delicious home-cooked meal.
• Fishing Charters: For families with older kids, booking a fishing charter can be a memorable experience. You’ll find plenty of local guides in the area offering half- or full-day trips.
• Science & Discovery Center of Northwest Florida: Take a day trip to the city center and explore this interactive science museum, perfect for kids.

4.Lower Grand Lagoon – The Best Place to Stay in Panama City Beach for Couples & larger groups

Lower Grand Lagoon is the perfect spot for couples looking to escape the busier parts of Panama City Beach and enjoy a more relaxed, intimate vibe. Tucked away on the eastern end of the beach, this neighborhood has a slower pace that’s ideal for romantic getaways. When we stayed here, we loved how quiet it was—no noisy crowds, just the sound of the waves and plenty of space to unwind together.

Accommodations here lean toward cozy vacation rentals and boutique options, many with private balconies or beachfront access, so you can enjoy sunsets without even leaving your room. It’s also a great place to explore nature and indulge in romantic dinners by the water.

Best Hotels in Lower Grand Lagoon

Beachside Bliss

Beachside Bliss is a stunning holiday home with four bedrooms, accommodating up to 9 guests. It features a firepit outside, a fully equipped kitchen, a pool table, and outdoor beach volleyball. The home also offers a spacious patio area with outdoor dining, perfect for enjoying quality time under the stars. Ideal for larger groups or families, Beachside Bliss provides the perfect beachfront setting for your getaway.

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4101 Holiday Home // Best Holiday Home

The 4101 Holiday Home is a beautiful two-story rental that can house up to 8 guests. This stunning vacation home features a private pool, an equipped kitchen, and a spacious outdoor seating area. You also have access to a BBQ grill and an outdoor dining area for those perfect summer cookouts. With its prime location just steps away from the beach, the 4101 Holiday Home offers the ultimate beach getaway experience.

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Things to do in Lower Grand Lagoon

• Dinner at Captain Anderson’s: This waterfront restaurant is a local favorite for fresh seafood and a romantic atmosphere. Try to snag a table around sunset for the best views.
• Explore St. Andrews State Park: Perfect for a quiet walk on the beach, a scenic bike ride, or even a picnic with unbeatable views of the Gulf.
• Sunset Dolphin Tours: Hop on a boat and watch dolphins play in the water as the sun dips below the horizon—a magical way to end the day.
• Paddleboarding or Kayaking: Rent a paddleboard or kayak and explore the calm waters of the lagoon. It’s a fun and peaceful activity to enjoy together.
• Shell Island Escape: Take a short boat ride to Shell Island for a secluded beach day. It’s a great place to relax, snorkel, or just enjoy some uninterrupted time with your partner.

FAQs About Where to Stay in Panama City Beach FL

What hotels in Panama City Beach should I avoid?

There aren’t many hotels in Panama City Beach that I wouldn’t recommend, but I’ve heard that the Radisson Panama City Beach, despite its popularity due to its name and affordable prices, has a lower standard of quality. There are many alternatives in the same price range where you’ll likely have a much better experience.

What is there to do in Panama City Beach?

Panama City Beach has something for every traveler. Visit Pier Park for shopping, dining, and entertainment, including local shops, a movie theater, and an amusement park. Nature lovers can explore St. Andrews State Park for hiking, kayaking, or relaxing on the beach while spotting dolphins. Golfers can enjoy courses like Hombre Golf Club and Signal Hill Golf Course, both offering great Gulf Coast views.

How do I get to Panama City Beach?

The closest airport to Panama City Beach is the Northwest Florida Beaches International Airport, located about 20 miles away. It offers direct flights from major cities such as Atlanta, Dallas, and Houston.

Final Thoughts on Where to Stay in Panama City Beach Florida

No matter which neighborhood you choose, you really can’t go wrong. Whether it’s your first visit or your tenth, there’s always something new to discover—the laid-back vibe of Lower Grand Lagoon, the family-friendly charm of Upper Grand Lagoon, or the budget-friendly options in El Centro Beach. It’s all pretty great.

We’ve loved every trip here, from soaking up the sun on the beach to discovering new dinner spots.

I hope our guide on where to stay in Panama City Florida, helps you find the perfect accommodation for your next spring break trip!

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