Hotel Prices Are Soaring, Too — Especially in Big U.S. Cities

hotel room.
Explora_2005 / Getty Images/iStockphoto

Summer is kicking in, and along with the temperatures, the price tag for a vacation keeps going up. With gas prices increasing every day, airfares and road trips have been becoming rapidly more expensive. And now, hotel prices are skyrocketing as well.

See: In Less Than a Decade, You Won’t Be Able To Afford a Home in These Cities
Find: 10 Best Countries To Live on Just a Social Security Check

Bloomberg reports that according to hotel market data provider STR, hotel prices increased by around 33% across the U.S. over the last year, based on national averages from April and May. However, in some major cities, the price hikes are much more significant.

This is also reflected in the Trivago Hotel Price Index. For example, the average hotel price for a hotel room in San Francisco in June is $287 — a 68.5% year-over-year growth. An average room in New York in June is $393, a 92.1% year-over-year growth. In Chicago, an average room will cost $361, which is a whopping 93.6% year-over-year growth.

What’s interesting is there seems to be a vastly different picture overseas, which has seen hotel prices increase — but not by nearly as much. For example, according to the data, an average room in Marrakech in June is $114, just an 8% year-over-year growth. In Vienna, an average room is $128, a 25.6% year-over-year growth. And in Tokyo, an average room is $101, a mere 2.1% year-over-year growth.

Make Your Money Work for You

POLL: How Much Do You Expect To Spend on Travel This Summer?

Bloomberg also compiled its own data for what four- and five-star hotels have been costing, on average, in the first five months of 2022 compared with the same period in 2019. It specifically looked at “seven leisure markets that epitomize summer luxury travel,” including Cancun, the Greek Islands, the Amalfi Coast in Italy and Bodrum, Turkey — along with three U.S. markets.

Guess what? The price increases were way more substantial in America. In fact, Cancun barely had any increase, the Greek Islands and Amalfi Coast saw around 20% increases and Bodrum’s price change was 32%.

In comparison, the data finds during that same time, Nantucket, Massachusetts experienced a 45.66% increase. In the Hamptons, the data shows a 51% increase, as the average price in 2022 is $1,240.17, up from $821.24 in 2019. Finally, in Miami, the average price in 2022 was $369.51, a 55.64% increase from 2019.

More From GOBankingRates

Make Your Money Work for You

About the Author

Yaël Bizouati-Kennedy is a full-time financial journalist and has written for several publications, including Dow Jones, The Financial Times Group, Bloomberg and Business Insider. She also worked as a vice president/senior content writer for major NYC-based financial companies, including New York Life and MSCI. Yaël is now freelancing and most recently, she co-authored  the book “Blockchain for Medical Research: Accelerating Trust in Healthcare,” with Dr. Sean Manion. (CRC Press, April 2020) She holds two master’s degrees, including one in Journalism from New York University and one in Russian Studies from Université Toulouse-Jean Jaurès, France.

Best Bank Accounts of July 2022

Untitled design (1)
Close popup The GBR Closer icon

Sending you timely financial stories that you can bank on.

Sign up for our daily newsletter for the latest financial news and trending topics.

Loading...
Please enter an email.
Please enter a valid email address.
There was an unknown error. Please try again later.

For our full Privacy Policy, click here.