Hotels.com: International 5-Star Hotels 27% Cheaper Than US Counterparts

Hotels.com released its 2025 Hotel Price Index, finding that international luxury hotels offer significant savings compared to their U.S. counterparts. The report indicates that international 5-star hotels are 27% cheaper on average than U.S. hotels, with options under $200 found in cities like Hanoi, Pattaya, and Auckland.

The analysis, which examines year-over-year average daily rates from Hotels.com bookings, shows a slight decrease in U.S. hotel prices, falling 2% to an average of $174 per night. Conversely, international hotel rates increased by 4% to $228 per night. The index also highlights 4-star hotels as offering the best value, with a smaller price increase when upgrading from 3-star accommodations.

Price trends varied across destinations. In the U.S., cities such as San Francisco (-9%), Austin (-7%), and Atlanta (-6%) experienced hotel price declines, while Chicago saw a 7% increase. Internationally, while some cities like Amsterdam and Istanbul saw minor price drops, others like Kyoto and Madrid saw increases exceeding 12%.

The report also points to emerging affordable destinations, including Bogotá, Colombia (average $97/night) and Benidorm, Spain (average $127/night). Additionally, the Hotels.com VIP Access program offers members perks like spa credits and complimentary upgrades, enhancing the overall value of stays.