Place gelatin in a small bowl with 2 tablespoon of water. Stir gelatin up and set aside until gelatin dissolves properly. This would take 10 minutes
Pour heavy cream, milk, sugar and vanilla extract into a saucepan on a medium heat until the sugar dissolve completely then remove from heat. Stir in gelatin and whisk immediately.
Pour the mixture into small cups for individuals (or molds) and chill in the fridge at least 2 hours until completely set. If you make a larger pan of panna cotta, it would probably take longer 4 hours. The time depends on how large your container is.
Top with fresh fruits or any kind of sauces you like it on. I prefer using berries with fruit sauce as it would pair perfect with creamy texture of panna cotta.