A new study by Highland Cabinetry reveals that Airbnb stays can be significantly cheaper than hotels in 10 U.S. cities. The analysis compared one-night and three-night stays, factoring in taxes, fees, and location. Researchers examined final booking totals for the same dates, party size, and general location to provide a realistic cost comparison, highlighting how additional charges like taxes and parking can inflate hotel costs.
Nashville Leads the Way
Topping the list is Nashville, where a three-night Airbnb stay averages $506, compared to $888 for a hotel. That’s a savings of $382, or 43%. Even for a one-night visit, travelers can save an estimated $147. This substantial gap shows the value of Airbnb for both short and extended stays, particularly for groups that can share a single rental instead of booking multiple hotel rooms.
Other Cities with Significant Savings
Austin ranks second, with a three-night Airbnb averaging $582 versus $803 for a hotel, saving $221. San Diego follows closely, with a $211 difference between Airbnb ($650) and hotels ($861). Despite Austin’s higher Airbnb rates compared to Nashville, its hotel prices are lower, making the savings less pronounced but still significant.
Chicago and Philadelphia also stand out, with Chicago’s three-night Airbnb costing $556 versus $763 for hotels, saving $207. Philadelphia’s comparison shows $504 for Airbnb against $699 for hotels, leaving $195 in potential savings. While these dollar savings are smaller than Austin and San Diego, their percentage savings (27.1% and 27.9% respectively) exceed San Diego’s 24.5%. This suggests that in these cities, the relative value of choosing an Airbnb over a hotel is higher, even if the absolute savings are lower.
Smaller Gaps in Other Destinations
In New Orleans, where hotel prices are the highest among the ten cities, a three-night stay averages $918, compared to $733 for an Airbnb, saving $185. Asheville, North Carolina, shows a $121 savings, with Airbnb stays averaging $329 versus $450 for hotels.
The smallest savings are in Tampa, Florida, where a three-night Airbnb stay averages $325, compared to $394 for a hotel, saving $69. Tampa also has the lowest reported Airbnb total among the ten cities. Other cities with modest savings include Atlanta at $99 and Las Vegas at $72, reflecting narrower price gaps between Airbnb and hotels in these destinations.