U.S. hotels are entering the summer travel season with stronger pricing power than many forecasters expected, a fresh signal that domestic leisure trips, conventions and major events are still supporting demand even as travelers face higher overall trip costs.
HVS said in a May 29 U.S. market update that it has lifted its 2026 forecast for national hotel revenue per available room, or RevPAR, from 2.2% growth to 3.0%. The hotel advisory firm said that may still prove conservative if elevated travel trends continue through the summer vacation period and fall convention season.
The new forecast is supported by recent STR/CoStar performance data. HVS cited national RevPAR growth of 4.9% for the trailing 28-day period ending May 16 and April RevPAR growth of 4.4%. Separately, CoStar data reported by hospitality trade outlets showed another positive week ending May 23, with U.S. occupancy, average daily rate and RevPAR all rising from the comparable week in 2025.
For American travelers, the message is practical: hotel prices are not softening into summer in many markets. For travel advisors, tour operators and corporate travel managers, the data point to a booking environment where waiting for broad last-minute hotel discounts may be a risky strategy, especially around major events, resort destinations and convention-heavy cities.
What changed in the forecast
RevPAR is one of the hotel industry's core measures because it combines room rates and occupancy into one revenue indicator. A higher RevPAR forecast does not mean every traveler will pay more in every city, but it does suggest that hotels nationally are generating more revenue per available room than earlier expectations implied.
HVS said U.S. hotel performance has been running ahead of expectations since February, with weekly RevPAR gains averaging about 4.0% year to date through April and exceeding that level in recent weeks. The firm pointed to a mix of factors, including stronger convention calendars in several cities, event-driven demand, a rebound in some technology-linked markets and travelers choosing domestic trips over more uncertain international itineraries.
That last point is particularly important for the U.S. travel market. If some Americans substitute domestic resorts, national parks, beaches, city breaks or event trips for overseas vacations, hotel demand can remain resilient even when airline fares, fuel costs and household budgets are under pressure.
Fresh weekly data show rate-led growth
CoStar's latest weekly hotel data for May 17-23 showed national occupancy at 67.9%, up 0.8% from the comparable week in 2025, according to a May 29 hospitality market report. Average daily rate rose 3.7% to $171.04, while RevPAR increased 4.6% to $116.20.
Those figures suggest that pricing, not just fuller hotels, is doing much of the work. CoStar analysts also described the current pattern as rate-led growth, with average daily rate continuing to outpace demand growth. That matters for consumers because a market can feel expensive even when rooms are still available: hotels may not be sold out, but the remaining rooms may still be priced firmly.
Event calendars are adding another layer. Tampa posted the strongest gains among the top 25 markets in the week ending May 23, helped by SOF Week, while Las Vegas saw large rate and RevPAR increases tied to events including ICSC Las Vegas, Licensing Expo and concert demand. Travelers comparing flights into Tampa International Airport, Las Vegas Airport, Miami International Airport, Orlando International Airport or Boston Logan International Airport should look at hotel pricing and airfare together rather than treating lodging as an afterthought.
Why this matters for summer travelers
The hotel market is not moving evenly. A national RevPAR gain can hide very different local conditions, with one city benefiting from a convention or major event while another underperforms because of weaker group demand, a tough comparison with last year or a temporary supply-demand mismatch.
For vacationers, that means flexible destination planning can still pay off. If a preferred weekend in Las Vegas, Tampa, Miami or Boston prices unusually high, shifting dates by a few days or comparing nearby airports and suburbs may create savings without canceling the trip. Families planning theme-park, beach or cruise-adjacent stays should also compare refundable and prepaid hotel rates carefully, because the cheapest price may carry the least flexibility.
Travelers using points should also expect some popular U.S. hotels to price award stays dynamically during peak weeks. When cash rates rise because of events or strong leisure demand, the points required for a room may rise as well, reducing the value of waiting.
What it means for advisors and operators
For travel advisors and tour operators, the latest data support a more proactive summer message. Clients focused only on airfare may underestimate the total cost of a trip if hotels are strengthening at the same time. Package pricing, group blocks and cancellation terms deserve early attention, especially for itineraries tied to concerts, sports events, conventions, cruises and holiday weekends.
Corporate travel managers face a similar issue heading into the fall convention season. HVS said a robust September-through-November convention period may be ahead based on spring patterns. If that proves correct, companies may see tighter hotel availability and firmer negotiated-rate pressure in major meeting markets.
The investment side of the hotel business is also watching the same numbers. HVS said stronger 2026 performance could help revive hotel transaction activity in the second half of the year by improving cash flows and narrowing the gap between buyers and sellers. That does not directly affect a family booking a weekend trip, but it does show that the industry sees current travel demand as commercially meaningful, not just a short holiday bump.
The bottom line
The latest hotel data do not point to a runaway boom everywhere, but they do show a U.S. lodging market with real pricing power heading into peak travel months. Memorial Day demand, spring events, domestic substitution and convention activity are helping hotels hold rates, and HVS now expects stronger full-year RevPAR growth than it did earlier in 2026.
For travelers, the best response is to plan lodging earlier, compare total trip costs across destinations and avoid assuming that hotel deals will automatically appear closer to departure. For the U.S. travel industry, the data are a reminder that demand remains resilient, but affordability will be one of the defining questions of the summer season.