Hotel Rates Expected to Rise Across Canada and Abroad

A recent report from American Express Global Business Travel forecasts hotel rates in Canada to increase in 2027, but at varying levels across different cities. The Hotel Monitor 2027 report predicts that major Canadian cities will see rate hikes below three percent, with Toronto expected to rise by 0.5 and 1.9 percent in 2027.

Cities like Montréal and Vancouver are expected to have lower increases, while Calgary and Ottawa are forecasted to have the highest rate hikes among the five Canadian cities tracked. The report notes that healthy hotel inventory and steady demand will limit significant pricing pressure.

Canadians traveling abroad, however, may face greater hotel rate increases in some destinations. The report forecasts rates could rise as much as 12.2 percent in São Paulo, 9.2 percent in Madrid, 8.7 percent in Buenos Aires, and 7.1 percent in Mexico City.