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Kelly Rosenfeld // (c) 2012 Kelly Rosenfeld
Kelly RosenfeldExecutive Editor

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Trip Costs Are Trending Lower This Labor Day — Here Are the Hot Spots, Best Deals and More

Aug 25, 2025
Canada  Caribbean  Hotels and Resorts  Mexico  Middle East  Research  South America  Travel Trends  USA  Western Europe  
Trip Costs Are Trending Lower This Labor Day — Here Are the Hot Spots, Best Deals and More
Travelers can find good deals on Labor Day getaways this year.
Credit: 2025 Me studio/stock.adobe.com

According to AAA, travelers exploring the United States this upcoming Labor Day weekend are in for a good deal, as booking data shows that flights, hotels and car rentals are all cheaper this year compared to last year. 

The organization found that domestic roundtrip airfare is 6% lower than in 2024 (averaging $720 per ticket), while flights are 3% cheaper and car rental costs are down 3%. Even gas prices have remained relatively low, matching the averages recorded in summer 2021. 

When it comes to international travel, pricing is a little more varied: Hotels are 2% cheaper, while airfare has risen 8% year over year. 

Here are more of the in-demand destinations, best places for airfare deals and other trends affecting Labor Day travel this year. 

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Editor's Note: This story was last updated on Aug. 25, 2025.

More Trends From AAA

Trend 1: Top Domestic Destinations

Within the U.S., the No. 1 city for Labor Day travel is Seattle, according to AAA. Other top spots include Orlando, Florida; New York; Boston; Anchorage, Alaska; Chicago; Atlanta; Denver; Miami; and Las Vegas.

Trend 2: Top International Destinations

Vancouver, Canada, ranks as the most in-demand city for trips abroad, followed by a European hit list including Rome; Dublin; London; Paris; Amsterdam; Barcelona; Athens; Edinburgh, Scotland; and Lisbon, Portugal.

RELATED: Summer Travel Trends to Know for 2025  

Trends From Priceline

Trend 1: U.S. Hot Spots and Affordable Alternatives

Priceline booking data for Labor Day also shows a preference for city travel over the long holiday weekend — Las Vegas ranks as the most popular option, followed by Chicago, Orlando, Atlanta and New York. When it comes to affordable airfare, Priceline reports that the best deals can be had for travel to Raleigh, North Carolina; Baltimore; Cleveland; San Francisco; and Detroit.

Trend 2: Hot International Destinations and Deals

Interestingly, Niagara Falls in Canada ranks as Priceline’s most popular international destination for the weekend. Punta Cana, Dominican Republic; Tokyo; Montreal, Canada; and London round out the list. Those searching for the best deals should consider Incheon, South Korea; Calgary, Canada; or Tokyo, among others. 

Trends From Kayak

Trend 1: Closer-to-Home Getaways

Recently released data from Kayak shows that most Labor Day travelers are opting to stay closer to home. Santa Ana, California, has emerged as a trending U.S. destination, with a 23% year-over-year increase in flight searches. With Kayak reporting that domestic airfare has risen just 1% over 2024 (which comes to about $4), U.S. destinations that offer the cheapest airfare include Tampa, Florida; Atlanta; and Orlando.

RELATED: The Top Pop Culture Trends Impacting Travel in 2025 

Trend 2: Puerto Rico and Canada Are in Demand

According to Kayak, international airfare is 7% (about $52) less than last year. The hottest spots for vacations abroad include San Juan, Puerto Rico (27% increase in flight searches) and Toronto, Canada (also up 27%).

Trends From Skyscanner

Trend 1: Destinations With the Biggest Year-Over-Year Price Drops

Online travel engine Skyscanner compared booking data to find the destinations with the biggest Labor Day airfare price drops from last year; Dubai topped the list, with flight costs down 46%. The top five also includes Singapore (down 28%); Austin, Texas (down 27%); Puerto Vallarta, Mexico (down 26%); and Stockholm, Sweden (down 25%). Additional noteworthy cities where airfare has seen a significant drop include Sao Paulo, Brazil; San Jose Del Cabo, Mexico; and Florence, Italy.

Trends From HotelPlanner

Trend 1: Lower Hotel Prices and Shorter Stays

As with much of the flight data surrounding Labor Day 2025, HotelPlanner has found that hotel prices for the holiday are lower; average rates in Las Vegas, for example, are down 4%, and New York’s average is down 16%. In addition, the number of nights per stay has decreased from last year, with travelers opting for a single night away, compared to two. 

RELATED: Virtuoso Shares Luxury Travel Trends —Including That Advisors Are Booking More $50,000+ Trips  

Trend 2: Top 10 Destinations

HotelPlanner’s list of top destinations for the weekend are all domestic, starting with Las Vegas at No. 1. The list continues with Nashville, Tennessee; Chicago; Williamsburg, Virginia; New Orleans; Reno, Nevada; SeaTac, Washington; Boston; Atlanta; and New York.

Trends From Expedia, Hotels.com and Vrbo

Trend 1: Escaping to Beaches, Lakes and the Countryside

Expedia Group brands Expedia, Hotels.com and Vrbo report that charming beach towns are trending for Labor Day, such as Charleston, South Carolina; Cape May, New Jersey; and Rosemary Beach, Florida. Lakeside and country getaways are also popular, especially for families, who are heading to Sandusky, Ohio; Lancaster County, Pennsylvania; and Allegan County, Michigan. 

Trend 2: Top City Destinations 

That said, the most popular spots for the weekend are all big cities: Las Vegas, New York, Chicago, Orlando and Miami. Destinations such as Oklahoma City and Greenville, South Carolina, have emerged as more affordable alternatives attracting rising traveler interest. 

Trends From Allstate

Trend 1: Expect Busy Roads in These Cities 

According to new data from Allstate, those traveling by car this Labor Day weekend can expect to encounter the busiest roads in the U.S. in Austin; Nashville; Las Vegas; San Antonio, Texas; and Colorado Springs, Colorado, thanks to an increase in out-of-state drivers.

Trend 2: Best and Worst Times to Hit the Road

Holiday traffic across the country is expected to ramp up starting Wednesday and peak on Friday, with more rough going on Tuesday afternoon. Those looking for the best times to be on the road should consider doing their driving Saturday through Monday morning, or Thursday through Tuesday evening (after 7 p.m.).  

Trends From Guesty

Trend 1: Hot Spots for Rental Stays

Short-term property rental management software company Guesty has found that short-term rental stays for the holiday weekend are in high demand in Chicago (+214%), Miami (+62%) and New Orleans (+68%). On the opposite end of the spectrum, popularity is waning for Seattle (-20%), Philadelphia (-36%) and Colorado Springs (-32%). 

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