Are Expensive Hotels Actually Worth It? Here’s What $600+ Rooms Really Buy You

Are expensive hotels “that much better” to justify their extra cost? A modest price over cheaper accommodations may buy you a better stay, but once you get past a few hundred dollars does the extra money really buy you very much?

I think there’s a lot of nuance to this, and I don’t spend $600 or more out of pocket on room nights myself though I regularly redeem points for hotels that cost far more than this. My controversial take is that I do feel that they can deliver a lot for the money! But I’m still reluctant to spend that money myself. I haven’t hit my savings goals yet!

I don’t stay in the world’s most exclusive hotels. I’ve certainly stayed in some of the better chain hotels, like the Park Hyatts in the Maldives; Tokyo; New York; Sydney; St. Kitts; DC; San Diego (Aviara); Buenos Aires; Paris; Dubai; Abu Dhabi; Siem Reap and more. I’ve stayed in nicer Ritz-Carltons.


Overwater Villa, Park Hyatt Maldives

Some of those Ritz properties have been on someone else’s dime – a work stay, guest of a client, conference I’m speaking at – rather than on points. That’s how I wound up at the Peninsula New York.

Points of course open many opportunities for me to stay at very nice hotels where I’d never spend the cash. Hyatt’s SLH partnership opened up redemptions for some special properties. I would have never stayed at a $1600 per night hotel on Grace Bay Beach otherwise. Now SLH is the best thing about Hilton Honors.


Point Grace, Turks & Caicos

As with this property, part of what you’re often paying for is location. At the Park Hyatt Sydney you’re looking right on at the harbor, directly at the Opera House.


View From Park Hyatt Sydney

I’ve never spent $700 cash per night, out of my own pocket, on a room. In fact, thinking back on spending $600 per night it was at a truly peak period and I leveraged it with a second night free certificate that made my average cost was half that. I’ve never stayed at an Aman Resort.

So maybe I just don’t see what some people do. At the same time, it’s really the same question I answer for myself all the time about points hotels. Is a 40,000 point hotel worth it, when you can get a nice place for 20,000 points?


Park Hyatt St. Kitts, Deluxe Suite Plunge Pool

Of course the question applies beyond just hotels,

  • “I can why you would choose to fly business class over coach. What I don’t understand is spending even more for first class. How could first possibly be that much better?”

  • “I understand why you would choose a $60,000 car over a $30,000 car. What I don’t understand are $120,000 cars. How could they possibly be that much better?”

  • “I understand why you would spend $800,000 on a house over a $400,000 one. What I don’t understand are $3 million homes. How can they possibly be that much better?”


I’ve Twice Stayed In Conrad Bora Bora’s Villa 105

‘There are always tradeoffs, values are subjective, and it depends on what margin.’ Of course, better hotels will usually provide larger and more comfortable beds, though honestly I’ve always slept well in a Sheraton Sweet Sleeper.

They’ll pay greater attention to details like blackout curtains. You’ll often have larger bathrooms and strong water pressure out of multiple showerheads. How much do these things matter depends on you.

I’m not going to argue that having a second housekeeping service at turndown, where bottles of water are placed by the bed and a treat and glass of dessert wine are left for me to find when I come in are worth $300 each day as such! But it does create a sense of tranquility and being cared for.


Evening Turndown Treat At Park Hyatt Chicago

In general I think some of the most important elements of a great hotel that commands a price premium and feels worth it.

  • Effortlessness: you’re not waiting on staff, staff are waiting on you. Any requests are handled promptly and without follow up. Ideally you don’t even need to make the request at all, because they’ve anticipated what you might need (easier to do than you think, even for a first-time guest, as many guests aren’t as unique as they might imagine).

  • Design and sense of place: the best spot on the best beach or most convenient location with the best view, all wrapped up in a thoughtful location that brings both calm and wonder. If you’re looking out over the city, the windows are large giving you a commanding view, and maybe there’s a comfortable piece of furniture in the window so you can work there… with a table beside you and a power outlet. Or maybe the hotel itself was once a special place that’s been repurposed, a fort or a castle.

  • Space and serenity: there are likely fewer people around, so that it’s a place you retreat from the world at the end of your day or a place you can find some peace before it begins.

  • Discrete service: everything is just handled, correctly, in the background.


Park Hyatt New York Suite Living Room

When the binding constraint isn’t dollars but time, and you don’t want to spend precious time or effort on the details of each moment of your stay then spending money for other people to think through those things for you is valuable!

Ultimately though prices vary, even for the best places. During peak times around popular events even hotels that are quite mid might charge over $600, while during off periods or even shoulder season you may get a hotel that ‘charges’ $600 – $900 for perhaps $300. Las Vegas is notorious for wide variances in rates and midweek the Conrad hotel there has had suites available for under $200.

When I stayed at the Park Hyatt Chennai my room rate was less than $100, and spa treatments were less than $40 per hour. It wasn’t the most polished Park Hyatt, but my status included free breakfast – in the restaurant or via room service. Unlimited South Indian cuisine delivered to me, complimentary, had to be the best elite benefit ever!

Do you think that expensive hotels (whether in money or points) are worth the extra cost? Why, or why not?

About Gary Leff

Gary Leff is one of the foremost experts in the field of miles, points, and frequent business travel - a topic he has covered since 2002. Co-founder of frequent flyer community InsideFlyer.com, emcee of the Freddie Awards, and named one of the "World's Top Travel Experts" by Conde' Nast Traveler (2010-Present) Gary has been a guest on most major news media, profiled in several top print publications, and published broadly on the topic of consumer loyalty. More About Gary »

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Comments

  1. If you actually read all of what Gary wrote, the most interesting thing is that Park Hyatt Chennai may still be an awesome deal! Bah!

  2. I agree.

    I’m good at a decent version of the mid-tier or slightly higher brands. Most regular Marriott’s or Hilton’s are pretty good for me. True, even within the brand they can vary (and I’ll be honest – I know a handful where I won’t go back to). And it is nice once in a while to go to a high-end brand and get pampered a bit. And while I might not be able to afford a high three digits/night room rate, or ‘need’ that level, it’s nice to have programs like FHR and The Edit to get that experience at a reasonable rate every so often.

    Case in point, we’ll be in Singapore for a couple of nights, and using our FHR benefit to stay at the St. Regis – which brings down the price to a reasonable level. It’ll be nice since it’s a stopover on our way back from India, and will allow us to relax a bit more at the end of a long summer visit to family on this end of the world, and before we get back to the everyday.

  3. @Emcampbe — Other than the $300 (now 2x/year, semi-annual) credits, the greatest benefit of the Amex Platinum/FHR combo is the “guaranteed 4PM late checkout.” (And, if you’re lucky, 12PM early check-in, if available, which means nearly 30-hours for 1 night stays.) While some programs rely on “availability,” or forces 2-night minimums, for the most part, the actual guarantee with FHR makes it one of the best programs around. I’ve literally hotel-hopped in cities like Singapore, just to take full-advantage of multiple credits and to leverage the 4PM late checkouts. Even while Amex tries to nerf other credits (RIP easy United Travel Bank refill via $200/annual airline incidental fee reimbursement; pending August 1 ‘Resy’ eligibility stickers, Saks, etc.), at least the FHR benefits are still strong.

  4. Bed, toilet, shower, power outlets. Anything else is overpaying. And, yes, I’ve happily stayed at Motel 6es. In fact, I like them because most of them still have smoking rooms.

  5. The more expensive places are often much more quiet. Especially in environments that would be otherwise very busy/noisy.

  6. I am pretty OK with entry-level five star hotels. A grand Hyatt or a Hyatt Regency, Sofitel are perfect hotels to stay in.

    Anything beyond that, I’ve found to be not something that’s essential to my comfortable stay. I don’t need a butler. I don’t need an extra turned on service. I don’t need the doorman. Wishing me a good evening on my way out.

  7. @Dan — If you have a spare $3,000 to blow on a night in NYC, may I recommend an entry-level room at Aman NY, which, although it is located in the heart of Midtown, right on Fifth Avenue, you can’t hear anything from inside on of their luxurious suites. Not a siren. (Way over-priced, of course.)

  8. I’ve much enjoyed getting a room in a lower-tier chain and spending a night in a smallish Metropolitan area new to me on a road trip. I spend under $100 often and seem to be good at spotting the ones that are well maintained. Heck, I’m spending a few weeks at a location a 7 hour drive from my home and I’m taking an indirect route that has me have two nights of stopover. Regardless of location, I’m probably below median price per night.

  9. Its Location, Location, Location. Its the memories made that are priceless and worth the few hundred dollars more.

    Agreed, SLH has been the best thing to happen to Hilton – we spent multiple nights (FNCs) for our 32nd in Jan at an SLH – Malliouhana (Anguilla- the island adjecent to SXM) – never would have spent ±$2,500/n(with taxes and fees) even for a milestone anniversary.

    . We had an amazing room walk out to an amazing view perched om a low bluff and 1-2 minutes down to amazing white sand and Caribbean aqua waters.

    That said we have Zero status with Hyatt. So we skipped SYD Hyatt Opera house (not all rooms have a view).

    Used FHR credits to book a corner suite at Shangri-la SYD in Feb 2024 – for sweeping birds-eye views down on the Quay/Rocks and SYD Harbour (Bridge, Opera House and more froma Corner Suites on 27th floor and amazing sunrise/sunset meals from 36th floor. With credits – it was a few hundred a night. But the memories to steal a part of the MasterCard advertising campaign from late 90s: “Priceless…(for everything else there’s MC)”.

    We are semi-retired and now value: comfort, convenience and location.

    Our next breath isnt guaranteed, nor is traveling tommrow or next week or next year.
    The past six years events have showed us that.

    We sre also pragmatic. So we still do a mix of luxury and some “low rent” if the destination is a touris destination city and not Villa 105 at the Conrad BOB. We’ve never directly paid cash for a $600+ room.

    BUT we did have to pay $450 US for a tiny 160-170sf room at HIE (IHG) SYD airport becasue of Taylor Swift in Feb 2024.

  10. Things have really changed recently. Prior to last year I had never paid close to that. Especially if it wasn’t a suite. But now in many locations I travel to (primarily major cities and tourist destinations in Europe), many of the newer hotels without cheap IKEA looking furniture are easily $600 or more. Even airport hotels are often $500+. If find myself having to skip over many hotels which are $1200+ a night. It’s kind of crazy.

  11. I think your house threshold is city dependent. Take a look at what kind of single-family home you can buy in Seattle or San Diego for $800K and you’d see why people pay more than $1M.

  12. Because I’m retired, I’m willing to pay only saver fares for flights. Most programs price j more or less double of y, and I spend the double of y to fly j. Quite a few people prefer to fly y and travel twice as much as j. Fair enough.

    I think hotels the same way, but I’m more like y flyers when it comes to hotels, so as long as I get a clean and comfortable room, I’m happy most of the time. If I get a decent breakfast thrown in, I’m even happier.

    Sometimes I like to splurge and pay double the points or cash, to get that j experience. I have a lounge pass with IHG, so think of Crowne plazas and intercontinentals.

    Since last month, I’ve been in Vietnam, and I’ve stayed at a Tru a couple of times for 28k Hilton pts for 5 nights. That’s total, and not per night (per night would be 7k, with the 5th night free). Besides I get a clean compact room with a comfortable bed, the view is actually great, it even has a power shade and black curtains, the free breakfast is much better than what they serve at Hamptons in n America. I’m a diamond, so I got early check in and late check-out, and a free breakfast the first day when I arrived too early (not an official perk). Unlike in Europe, I got a very good AC, thank you very much.

    Then I heard someone was paying 17 times the pts at a property in Bora Bora. Sure it must be nice, especially for special occasions, but I’m skeptical it’s 17x better than tru.

    So the difference between this Tru and Bora Bora is the difference between y and f of good airlines for me. Im willing to pay only the triple for f. Same with hotels.

  13. @ 1990 — With the closing of all the airline fee loopholes, the Plat AMEX cards are no longer worth the $895 AF unless you charge lots of airfare to the personal card for the 5x. However, with the CSR offering 4x on airfare and better travel “insurance.” As always, churn, close, repeat….

  14. @Gene — I think the only work-around (sorta) for the Amex Platinum airline incidental fee reimbursement credits are to burn ‘em with a few day-off paid entry at United Clubs. Pretty lame, but, still can do about 3 visits per year. Much preferred the United Travel Bank reload method (still a-thing with Aspire, $50/quarter).

  15. @ 1990 — Never thought of that, but just closed United Club recently, so this would work! I am guessing AMEX still allows airline changes mid-year if you chat or call. I have used the Add Collect method with Delta for many years, but I will be changing that to United ASAP!

  16. I travel less often than most pointsMiles practioners, I prefer Asia, especially SE Asia. In Bangkok, I feel it’s silly to stay below 4star and I usually stay 5star. Soon after SLH joined Hilton, I stayed at The Sukhothai on Hilton points: bliss. Years ago when Amex Platinum Canada conferred Accor Platinum status, I stayed in Sofitel SO|Bangkok soon after it opened, on Executive floor: paradise. In Bangkok, Kuala Lumpur, Siem Reap, and elsewhere, pursuing Luxury is more rewarding than pursuing economy. Where can I afford to stay at Raffles on an FHR booking? Grand Hotel d’Angkor, which is twice the price of the Park Hyatt down the street and worth every penny.

    One reason I feel good after parting with the points is the Service Culture of SE Asia. I’ll never feel so pampered in a hotel I can afford in North America or Europe, so I don’t even try. Save up and go where I’m treated best!

  17. @ 1990 — Will the credit post automatically if you add the passes online? I ask because I suspect United won’t sell you a pass at the door if they have the annoying “no passes” sign up (which os basically always). Are United passes day passes or one-entry passes?

  18. @BBT “I am pretty OK with entry-level five star hotels. A grand Hyatt or a Hyatt Regency, Sofitel are perfect hotels to stay in.” Those are not five star hotels. They are 4 star hotels. Their marketing departments might claim to be 5 Star but they are not in the same category as Park Hyatt, Peninsula, Aman, Four Seasons etc.

  19. Individual tastes vary widely. I’m very particular about international business class flying, and haven’t flown international economy in probably 15 years. On the other hand, I really don’t care much about the hotel other than the location – and I care a lot about being in the most convenient location – and that it is clean. I just don’t spend much time in my room. And resort vacations aren’t really my thing. In fact, I’m partial to small, charming, family run hotels, preferably with an elevator.

  20. Quality bed, quiet and spacious room, location for whatever matters for that trip are what I look for. On some stays location means a special view which another hotel doesn’t have.

    I book the comfort level / size room I want, and if an upgrade beyond happens fine. If it doesn’t, I paid for what I wanted.

    I happen to live in a spacious home with pool, etc in a nice climate so resorts aren’t a big draw for me.

  21. I think I learned about Raiwasa in Fiji from this site. Had never heard of the place. Anyways, saw the article about getting a $5000 a night room for a fraction of the cost in points. I’ve stayed at some really nice hotels like the Park Hyatt in Tokyo, but never something like Raiwasa. One day, I saw 5 nights available.. It was 190,000 Hilton points a night and I even paid about $3,000 for the remaining points. The going rate for 5 nights was like $25,000 cash a crazy amount I’d never pay out of pocket. Just wanted to see what it was like to stay at such a place. Having done it now, I would never, ever pay that much whether points or cash ever again. Maybe our expectations were just too high, wife and I. Just wasn’t blown away like I thought I’d be. Definitely a nice place, but for $25,000 or 790,000 points that I used, just wasn’t worth it to us. Also, the pictures were nicer than the actual place. Things were not quite as “new” looking as the pictures made out to be, especially the upstairs living area. This year, we’re going to Tokyo during cherry blossom and I booked the Hilton Tokyo. Yeah, not quite in the same league as Raiwasa and definitely not Hilton’s best hotel in Tokyo, but we’re probably done looking for those super “aspirational” properties. Just have the feeling we’ll come away feeling the same way we did after Raiwasa. Just doesn’t seem worth it anymore now. We’re honestly just as happy or actually even more happy just staying at a good functional 4 or 5 star hotel.

  22. My mom has an old saying, “the more you pay, the less you get.” As life has gone on, I’ve been finding more and more examples of how that ends up being true. My version of the saying is “good and cheap.” You would think it is an oxymoron, but it’s really not if you actually look around. For hotels, I rarely stay in chains and I don’t stay in places that are designed to relieve suckers of their money. And, I find that I don’t fit in at those places even if I’m not playing the cash rate. I usually end up in middle of the road independent places that in great locations that give away things like breakfast for free that the chains have to charge for so that they have something to offer to elites. However, for flights I haven’t sat in long haul coach since 2011.

  23. @Jacob. Whatever you want to term them i am A-ok with that level of service and ambience. The Park Hyatt, Peninsula, Aman, Four Seasons et al, i never felt the extra expense was justified for my plebian needs and wants.

  24. The Bankside Hotel in London was worth the extra for the family room. Plenty of room for everyone and breakfast in the morning. Great location so you could take breaks easily in the middle of the day and walk just about anywhere you wanted to go. Great quality, rooms and staff. Made for a lovely visit to London.

    Connecting rooms in the Sheridan and cracker Poland we’re totally worth it. Traveling with kids is tough and getting them. Their own space is worth the extra couple of shillings.

  25. Discrete service: everything is just handled, correctly, in the background.

    I think you meant “discreet” service.

    discreet /dĭ-skrēt′/
    adjective
    Possessed of, exercising, or showing prudence and self-restraint in speech and behavior; circumspect.
    “The teacher was discreet in discussing the student’s behavior. We followed him but kept a discreet distance.”
    Made, done, or situated so as to attract little notice.
    “made a discreet exit out the back door; lovers seeking a discreet place to meet.”

    discrete /dĭ-skrēt′/
    adjective
    Constituting a separate thing: synonym: distinct.
    “Computers treat time as a series of discrete moments rather than a continuous flow.”
    Similar: distinct
    Consisting of unconnected distinct parts.
    “society viewed as a discrete whole of individual agents.”

  26. @MandN
    If that’s the Hilton Shinjuku congratulations! We stayed there pre-covid and it was excellent then.
    Even more congratulations if you could book with points at standard room rates.

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