2026 Hotel Price Index reveals last-minute bookers can save up to 26%[1]

Loire, France and Edmonton, Canada, are the best-value destinations, while Nha Trang, Vietnam and Zaragoza, Spain, are among the cheapest for 5-star stays under £200 per night

Today, Hotels.com^® has released its 2026 Hotel Price Index™, revealing that a week before travel is the sweet spot for booking and Sunday night stays offer the best value. Using internal booking data and a global survey of 11,000 travellers, the report reveals where hotel prices are dropping, the most affordable cities for a 5-star stay, and how today’s travellers are redefining luxury.

• Booking Sweet Spot: Savvy travellers can often find hotel deals, even down to the last-minute. In fact, last-minute bookers saved an average of 26% versus those who booked 4+ months out. The best time for savings when booking a hotel stay is 0-7 days out.
• Sunday Night Savings: Travellers can save 14% on their hotel stay by starting their stay on a Sunday rather than a Saturday, as Saturday is the priciest check-in day for domestic and international stays.
• Cheapest Time to Stay: Travellers can score off-season hotel deals by travelling during January, the cheapest month of the year. The priciest rates for domestic stays are found during the second week of July.
• 5-Star Savings Abroad: International 5-star hotels are on offer for less than £200 per night, with standout stays in Nha Trang (Vietnam), Zaragoza (Spain) and Wrocław (Poland).
• Redefining Luxury: It’s not about star ratings; travellers say they book 4-star hotels most often and define luxury as having great food at the hotel (31%), a room with a view (30%) and premium in-room amenities (28%).

“With increasing volatility in travel prices this summer, fuel costs may be dominating the conversation, but hotel prices are where travellers are making real trade-offs,” said Melanie Fish, travel expert and spokesperson for Hotels.com. “Travellers may be feeling the squeeze, but they’re also getting smarter. We’re seeing travellers save as much as 26% by booking closer in, starting stays on Sundays, or looking beyond the U.K., where 5-star hotels can offer strong value. This is a summer where how you book matters just as much as where you go.”

Hotel Pricing Trends: Where Rates Are Dropping YoY

According to the 2026 Hotel Price Index, hotel rates are falling across a mix of destinations, including beach, mountain, and city markets.

1. Loire, France (-32%) 
2. Edmonton, Canada (-31%) 
3. St. Thomas, U.S. Virgin Islands (-30%) 
4. Dortmund, Germany (-21%) 
5. Turin, Italy (-21%) 
6. Kassandra (Khalkidhiki) Greece (-21%) 
7. Agrigento (Sicily), Italy (-21%) 
8. Montego Bay, Jamaica (-18%) 
9. Cancun, Mexico (-16%) 
10. Dominica (-13%)

Gen Z Is Redefining Luxury

Despite price and discounts being a deciding factor for the majority (48%), the lure of a luxury stay isn’t going anywhere, particularly for younger travellers. In fact, 47% of Gen Z and 39% of millennials say they are just as interested if not more in a luxury stay experience this year versus last year (compared to 15% of baby boomers). More so, Gen Z is the most likely generation to book a 5-star hotel (21%).

However, luxury is no longer just about star ratings. What is at the top of everyone’s luxury dream wish list? A hot tub with a view (44%) and a penthouse suite (41%)

Luxury for Less

This year, there are plenty of five-star stays that can be found abroad and in the U.K. for just under £200 per night, ranging from beach escapes in Brighton to European city breaks in Riga or Zagreb.

The Top 10 Most Affordable Destinations For 5-star Stays: Luxury for Less Than £200 per Night

International	Domestic
Nha Trang, Vietnam: £70  Zaragoza, Spain: £120  Wrocław, Poland: £120  Tirana, Albania: £130  Riga, Latvia: £130  Zagreb, Croatia: £130  Sofia, Bulgaria: £135  Heraklion (Crete), Greece: £135  Tallinn, Estonia: £140  Santo Domingo, Dominican Republic: £140	Brighton £115  Bristol: £115  Chichester: £120  Llandudno: £125  Worcester: £125  Bournemouth: £130  Cornwall: £135  Leeds: £145  Cardiff: £155  Liverpool: £170

Travel Tips & Tools:

Travellers can look for member discounts, book flexible rates, set Price Alerts on Hotels.com, and consider booking a week before travel to find better value.

• 24% of travellers prioritise discounts, which members can find on thousands of hotels with Member Pricesof up to 20% off on Hotels.com. Plus, members earn £100 in Hotels.comCash™ after every 10 eligible hotel nights to use on future travel.
• Book now, even if plans aren’t final, using Free Cancellation on Hotels.com for flexibility.
• Not ready to book? Turn on Price Alerts in the Hotels.com app and get notified when nightly rates fluctuate.
• The sweet spot for booking a hotel stay is 0-7 days out for the best deals, plus travellers can save 20% or more on Last Minute Dealswhen booking through Hotels.com.

---

Notes to Editors

Star Ratings: There is no universal star rating system. Each country has its own, which means that travellers should be aware of a possible disparity of standards and facilities when booking rooms with the same star ratings in different countries. Generally speaking, the differences are in degree of luxury, comfort, amenities and service. In some countries, sustainability practices and guest feedback are also factored into star ratings.

Sources:

¹ The Hotels.com Hotel Price Index™ analyses average daily rates, lodging searches and booking data on Hotels.com U.K. The 2026 Hotel Price Index compares data from 1 January – 31 December 2025 to the same dates in 2024.

Third-party research was conducted by market research partner OnePoll in accordance with the Market Research Society’s Code of Conduct. The Study was conducted online among 11,000 adult respondents across nine countries who travel and have stayed in a hotel.

FAQ

Q: When is the best time to book a hotel for the best deal?
A: Based on the 2026 Hotel Price Index, the sweet spot for booking a hotel stay is 0-7 days before travel.

Q: What is the cheapest day to start a hotel stay?
A: Sunday is the cheapest check-in day, while Saturday is the priciest day for international and domestic stays.

Q: Are there any cheap five-star hotels?
A: Yes. According to the 2026 Hotel Price Index, there are five-star stays that can be found abroad and in the U.K. for just under £200 per night.

Q: What is the cheapest month to travel for hotel deals?
A: January is the cheapest month of the year for hotel stays, according to the 2026 Hotel Price Index.