Whether you're planning a hen party in Manchester, a relaxing beach break in Spain or an adventurous backpacking trip in Australia, one of the biggest planning pain-points can be finding the right prices to suit your budget - and that includes accommodation. So, should you opt for a conventional hotel booking, or go for your own home-away-from-home with an Airbnb? Which is the penny-saving solution?

Is it always cheaper to book an Airbnb than a hotel?

We have taken some of the most popular city destinations and provided the average nightly rate for a hotel and an Airbnb, so you can see the price comparison. With potential savings of up to £240, this information could save you a whole lot of hassle - and money!

From the iconic boardwalk to the lush redwood forests, Santa Cruz undoubtedly provides the true Californian break. It's a one-of-a-kind beach town with a colourful community, but if you are off to seek its buzzing vibes, we recommend you stay in a hotel. You could save up to £156.51 on the cost of an Airbnb and treat you and your friends to an extra night’s hotel stay with your savings.

If you're on the lookout for white sand and crystal-clear waters then Mallorca could be the perfect destination. With a huge saving of £59.18 by choosing a hotel, you could save enough to treat you and a friend to a Mediterranean meal out. When it comes to a poolside break, Mallorca hotels don’t just cater to your comfort, but your wallet too.

The top spot where you could save pennies by choosing an Airbnb is Providence, Rhode Island. Known as one of the most active and growing gay communities, the culture in the area is thriving, full of art and a strong community feel. You could be living it up in a comfortable, artistic, and stylish home for £131.86. When compared to an average nightly hotel cost of £280.00, this is saving-savvy!

Runner-up is Geneva, Switzerland, with an Airbnb saving of £144.08. The average hotel room will set you back around £242, however, an Airbnb will only cost just under £100. With savings like that, you can see why it is one of the worlds most important financial centres! On your adventure in Geneva, expect to explore manicured green spaces, charming villages and magnificent lakesides.

Brought to you by our travel insurance experts.

Methodology and Sources

We looked at the following criteria for 52 cities from around the world. We then normalised the two results to reach an overall saving amount using the less expensive option.

Average Nightly Rate of an Airbnb Stay

The information was provided by AirDNA and their search tool. The figure is the average daily rate (ADR) which takes data from a month’s worth of rates and fees. Therefore this is taking the month of May 2019.

Average Nightly Rate of a Hotel Stay

The average nightly price taken for the month of May, as to coincide with the AirDNA data. This is the average price of a 3-star hotel according to Kayak. The prices are not fixed and may vary over time. The June 2019 price was taken for Melbourne, Manchester, Brussels, Sydney, Bologna, Madrid, Belgium, Bordeaux, Salem, Austin and Anstwerp due to a lack of data.

Exchange Rates

The exchange rate into USD is taken from the original currency of the city/location. At the time of data collection (21 June 2019), the currencies were converted using the live XE Currency Converter, therefore may change.

Note: All prices correct as of June 2019 and may be subject to change.