How to Save on Hotels in 2026: New Data from Hotels.com

In 2026, hotel prices can vary by dozens of percentage points depending on booking timing and check-in dates. A new Hotels.com index, based on a survey of 11,000 travelers, also highlights growing interest in discounts, loyalty programs, and bundled offers.

When to Book a Hotel and How Prices Change

The most cost-effective time to book a hotel in 2026 remains 8–14 days before travel. During this window, accommodation prices are on average 23% lower than when booking more than four months in advance.

A similar level of savings—up to 23%—is also available through last-minute bookings. In both cases, lower prices are driven by dynamic pricing strategies: hotels either sell rooms during the optimal booking window or reduce rates closer to the check-in date to fill remaining inventory. However, travelers should keep in mind that last-minute bookings come with a more limited selection of available properties.

The day of arrival also affects the final cost. Checking in on a Sunday can reduce accommodation expenses by around 15%. Friday remains the most expensive check-in day in the United States, while Saturday is the costliest day for international hotel stays.

Seasonality and Peak Pricing Periods

Seasonality remains one of the key factors influencing hotel prices in 2026. January is identified as the cheapest month for travel, with average accommodation rates reaching their lowest levels of the year.

At the opposite end of the spectrum is the second week of October, which ranks as the most expensive period. Higher prices are driven by a combination of long weekends, school holidays, autumn leisure travel, and strong business demand. During this period, accommodation rates significantly exceed annual averages.

The gap between peak and low-demand periods continues to widen due to seasonal shifts in travel demand, making seasonality one of the most important factors affecting overall trip costs alongside booking dates and check-in timing.

How Travelers Are Choosing Hotels in 2026

The way travelers search for hotels is changing noticeably. For 77% of respondents, price remains the most important factor when selecting accommodation. Use of the “Budget” filter has increased by 1,800%, indicating that travelers are screening options by affordability earlier and more aggressively than before.

Loyalty programs are also playing a much larger role. Use of the “Rewards” filter has grown by 820%, reflecting increasing interest in points, member discounts, and loyalty benefits.

At the same time, bundled-value options continue to gain popularity. Use of the “All Inclusive” filter has increased by 50%, while “Meal Plan” and “Free Breakfast” filters have risen by 10% and 5%, respectively. This suggests that travelers are paying attention not only to room rates but also to included services that can reduce overall travel costs.

Luxury and New Priorities in Hotel Selection

Interest in premium hotels remains strong despite heightened price sensitivity. Among Generation Z travelers, 50% say they are just as interested—or even more interested—in luxury accommodation compared to last year. Among millennials, the figure rises to 54%, while only 23% of baby boomers share the same view.

Five-star hotels are also more popular among younger travelers. Around 34% of Gen Z respondents and 26% of millennials report booking five-star properties.

At the same time, the definition of luxury is evolving. Travelers increasingly associate luxury with the quality of the experience rather than formal star ratings. A room with a view is the most commonly cited luxury feature (27%), followed by room service (26%) and spa facilities (24%). The most desired luxury amenities remain a penthouse suite (43%) and a hot tub with a scenic view (43%).

Where Five-Star Hotels Are More Affordable

The average cost of a five-star hotel stay in 2026 varies significantly by region. Some destinations offer luxury accommodation at prices well below global averages.

Among the most affordable international destinations for luxury travel are Porto Alegre ($90), Nha Trang ($119), Phuket ($144), Wrocław ($175), Canberra ($188), Tirana ($197), Santo Domingo ($202), Sofia ($211), Zagreb ($220), and Casablanca ($229).

Within the United States, the most affordable five-star options can be found in Atlantic City ($264), Portland ($313), New York City ($332), San Antonio ($351), Las Vegas ($355), Lahaina ($355), Minneapolis ($359), Bozeman ($367), Savannah ($410), and Seattle ($427).

These price differences point to a growing trend: luxury is increasingly defined not by a hotel’s star rating but by the destination and country where the stay takes place.

Money-Saving Tools and Booking Strategies

In 2026, travelers are increasingly relying on digital tools to reduce accommodation costs. The Hotels.com report highlights growing interest in loyalty programs and member discounts, which can provide access to rates up to 20% below standard prices at thousands of hotels.

Flexible booking policies offer another way to save. Free cancellation options allow travelers to secure a favorable rate while retaining the flexibility to adjust their plans without financial penalties.

Price-tracking tools are also gaining popularity. The Price Alerts feature helps travelers monitor rate fluctuations and book when prices drop.

Conclusion

Analysts at International Investment note that hotels are attracting not only travelers but also investors, many of whom are gradually shifting their focus from residential property to the hospitality sector. Interest in tourism-driven markets continues to grow, influenced by geopolitical developments, visitor numbers, hotel occupancy rates, and room pricing trends.

Emerging markets are often viewed as particularly attractive because investors can enter at an earlier stage of development and potentially achieve higher returns. Georgia stands out among such destinations, especially in the luxury hospitality segment. The country is seeing a growing number of international visitors, including travelers with higher expectations for accommodation quality. At the same time, the supply of premium and luxury hotel properties remains relatively limited.

Under these conditions, new hotel developments have an opportunity to fill market gaps. For investors, this creates the potential for increasing returns as tourism infrastructure expands and demand for high-quality accommodation continues to rise. Such investments can generate higher yields than traditional residential rental properties.