The Cost of Luxury Accommodations Across the U.S.

BetMGM Jan 11, 2025, 10:38 AM
min read
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When it comes to luxury, some people indulge at every turn, while others prefer to savor it only on special occasions. But no matter how often you splurge, the amount you’re spending is something to consider, and one factor that can really impact the costs associated with treating yourself is location.

We decided to do some research and map out the parts of the country where residents and visitors can expect to pay the most for a more luxurious experience. We analyzed the price differences between average and top-tier housing and accommodations from Zillow, Kayak, and Airbnb.

We’ll take a closer look at where you can expect to see the biggest premiums on luxury homes, hotel stays, and Airbnbs, showing us what it means to level up across the country. Keep reading to find out where splurging comes with the steepest price tags.

San Diego Has Highest Premium on Luxury Accomomdations

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Luxury housing and accommodations can come with a hefty price tag, but the premium you’ll pay can vary based on where you’re staying. We analyzed the average price for homes, hotel stays, and Airbnbs and compared them to their more luxurious counterparts in 50 large U.S. cities.

To get a holistic view of how much luxury costs, we averaged the increase across each of the three accommodations. Nationally, the average price increase for luxury is 60.4%, but some cities outpace that mark while others offer better deals.

Here are the cities with the highest premiums on luxury accommodations:

  • San Diego, CA: 85.4%
  • Jacksonville, FL: 76.1%
  • Baltimore, MD: 75.3% 
  • Kansas City, MO: 70.8%
  • St. Louis, MO: 70.3%

With an average price increase for luxury at over 70%, residents and visitors to these five cities can expect to pay a bit more if they want to live on the finer side.

Cities like San Diego and Jacksonville top the list because of their upscale waterfront real estate, which drives tourism. Baltimore’s investments in downtown and proximity to Washington, D.C., make its high-end accommodations among the most expensive in the country.

The two Missouri cities may seem out of place on the list, but steadily growing populations have made Kansas City one of the hottest markets in the country, while St. Louis is among the best for financing, according to a U.S. News & World Report.

Here are the cities with the lowest premiums on luxury accommodations:

  • Salt Lake City, UT: 44.5% 
  • Raleigh, NC: 45.5% 
  • Cleveland, OH: 47.9% 
  • Louisville, KY: 49.9% 
  • Seattle, WA: 51.7% 

In other parts of the country, luxury costs less compared to more standard options. If you’re interested in high-end living with a price tag more comparable to what people would pay for average accommodations, these could be places to plan a trip.

Salt Lake City and Raleigh top the list of most affordable luxury options. Both mid-sized cities have less intense urban markets than other cities in the study, which could contribute to their lower luxury accommodation premiums. Cleveland and Louisville are cities that aren’t often thought of as tourist destinations, keeping their high-end options more affordable than the others we analyzed.

Seattle is among the most expensive cities to live in the U.S., so its inclusion on this side of the list may be a surprise. However, that high cost of living means the city’s luxury premium is lower due to an elevated baseline price for housing and accommodations.

Overall, the cost of luxury housing accommodations varies widely across the country. These differences are important to consider whether you’re planning a trip or looking to invest in real estate.

Next, we’ll dive deeper into the cities where luxury sees the highest premiums for the three cost factors we considered (home values, hotel stays, and Airbnbs).

Cities with the Highest Premiums on Luxury Homes, Hotels, and Airbnbs

Now that we’ve taken a look at where people can expect to pay the highest premiums for luxury housing and accommodations overall, let’s dig a little deeper and see where specific types of luxury cost the most compared to the average.

Cities with the highest premiums on luxury homes:

Some cities see significant price increases when it comes to luxury homes, driven by high demand for exclusive neighborhoods and properties or lower home values in the area lowering the overall average.

  • Miami, FL: 77.3%
  • Birmingham, AL: 76.5%
  • Pittsburgh, PA: 75.6%
  • Detroit, MI: 69.4%
  • Nashville, TN: 69.3%

Miami coming in as the city with the highest premiums on luxury homes shouldn’t be much of a surprise. Its ocean-front property and international renown make it a destination for people all over the world who are willing to pay for it. On the other hand, cities like Birmingham and Pittsburgh stand out in this category as neither are often associated with luxury living. Their lower average baseline home values are likely contributing to the big jump to luxury living in these areas.

Cities with the highest premiums on luxury hotel stays:

For those seeking top-notch hospitality, these cities feature the largest markups on luxury hotel stays.

  • San Diego, CA: 158.8%
  • Jacksonville, FL: 123.5%
  • Kansas City, MO: 117.1%
  • Cincinnati, OH: 116%
  • Baltimore, MD: 112.3%

Four of the cities with the highest premiums on luxury overall make an appearance on our list for hotel stays. If you’re heading to vacation destinations like San Diego or Jacksonville you can expect to pay a hefty price when treating yourself and opting for a more luxurious hotel experience.

Cities with the highest premiums on luxury Airbnbs:

For those seeking a luxury Airbnb experience, these cities have the most significant markups compared to average stays.

  • Riverside, CA: 65%
  • New York, NY: 56.7%
  • Virginia Beach, VA: 52.8%
  • Orlando, FL: 51.4%
  • Baltimore, MD: 50.0%

Riverside’s proximity to major tourist destinations like Los Angeles pushes up prices for high-end rentals. New York, famous for its upscale stays, isn’t far behind, as penthouse apartments and exclusive city views are always in high demand. Virginia Beach and Orlando likely see increases driven by seasonal demand and family-friendly tourism.

Overall, whether you’re looking for a luxury home, an upscale hotel stay, or a top-notch Airbnb, the premium can vary quite a bit by city.

Closing Thoughts

The price of luxury isn’t a uniform figure that can always be planned for—in some cities, you’ll pay a steep premium, while others make high-end living a little more accessible. Whether you’re investing in a luxury home, treating yourself to a top-tier hotel, or booking a high-end Airbnb, the cost of indulgence depends on where you are. It’s up to you to decide if the extra expense is worth it.

For those ready to elevate their experiences, luxury doesn’t have to be limited to real estate. Premier hospitality brand MGM Resorts offers hotel accommodations for all styles, budgets, and preferences, plus renowned entertaining, dining, and amenities that bring luxury within reach. So, when planning your next getaway, consider leveling up your trip with MGM Resorts’ unforgettable experiences.

If you’re looking for an unforgettable experience from the comfort of your own home, BetMGM offers real-money online slot games, table games, and live dealer games that make for an exciting night no matter where you are!

Methodology

To determine the cost of luxury accommodations in large U.S. cities, we analyzed the average cost of housing and accommodations (home values, hotel stays, Airbnbs) in the 50 largest U.S. cities and found out how much more expensive the high-end versions are.

The home value comparisons are based on Zillow data that shows both the average and “top-tier” home values in a city. Top-tier homes are those that are in the 65th-95th percentile of home values.

The hotel stay comparisons are based on city-level Kayak data for all accommodations listed on the site. Our analysis compared the average hotel room cost with those in the 90th percentile.

The Airbnb comparisons are based on city-level data for all Airbnbs in a city. Our analysis compared the average nightly cost to those in the 90th percentile.

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