It depends where you want to go to in Panama. I would recommend Bocas del Toro, it is this Island of the coast of the province by the same name. I belive you can catch a bus to it from San Jose. The surrounding islands are beautiful and when I go there I stay in a hostel in Isla Canerero, just 1 minute from the main island. The name of the hostel is Aqua Lounge and is built over the water, it is amazing. Places to stay in Panama city I would not know about because my parents have a home there and in Colon. I will post some pictures of Bocas del Toro and the hostel so you can get an idea.