As summer unfolds across Canada, the allure of a staycation—exploring the rugged beauty of the Rockies, soaking up the coastal charm of Prince Edward Island, or wandering vibrant urban centers like Vancouver or Quebec City—has never been stronger.
Yet, for many Canadians, the dream of a domestic getaway is slipping out of reach.
Rising costs for accommodations, flights, and even campsite bookings are turning what was once an affordable escape into a pricey luxury.
With domestic travel demand surging, experts warn that skyrocketing prices are pricing out everyday Canadians.
Is the cherished Canadian staycation becoming unaffordable?
Let’s dive into the factors driving this trend and explore whether local travel is still within reach for the average family.
Table of Contents
A Surge in Domestic Travel: Canadians Stay Home, But at What Cost?
This summer, Canadians are embracing domestic travel like never before.
According to industry insiders, there’s been a noticeable shift away from international destinations, particularly the United States.
Data from Statistics Canada reveals a sharp decline in Canadian travel to the U.S., with air travel dropping 22.1% and automobile trips plummeting 33.1% in June 2025 compared to the previous year.
Instead, Canadians are choosing to explore their own backyard, fueled by a mix of patriotism, economic concerns, and a desire to support local communities still recovering from the economic fallout of the COVID-19 pandemic.
“More Canadians are opting to travel within Canada,” explains Frédéric Dimanche, a professor at Toronto Metropolitan University’s Ted Rogers School of Hospitality and Tourism Management.
“This surge in demand, combined with inflation and the tourism industry’s ongoing recovery, is pushing prices higher, especially in popular urban centers and tourist hotspots.”
The Tourism Industry Association of Canada echoes this sentiment, noting that domestic travel accounted for 75% of the $130 billion in tourism revenue generated in 2024.
Amy Butcher, the association’s vice-president of public affairs, highlights that this trend reflects a growing sense of pride in supporting local economies.
“Canadians are showing strong interest in exploring their own country, which is a boon for our tourism sector,” she says.
However, this increased demand comes with a steep price tag.
From hotels to Airbnbs, domestic flights to campsite bookings, the cost of a Canadian vacation is climbing, leaving many would-be travelers grappling with sticker shock.
The Price of a Staycation: A Financial Reality Check
For many Canadians, the rising cost of domestic travel is more than just an inconvenience—it’s a dealbreaker.
Take Natasha Beitman Brener, a 33-year-old lawyer from Kingston, Ontario, who had hoped to take a five-day road trip with her mother this summer.
After exploring destinations like Ottawa, Quebec City, and Manitoulin Island, she was stunned by the costs.
“Every option we looked at was between $3,000 and $5,000 for just five days,” Brener says.
“Accommodations alone were $2,000, whether it was an Airbnb or a hotel.”
For Brener, the issue isn’t just affordability—it’s about value.
“We used to travel to Europe for two months for $15,000,” she says.
“Spending $300 a night for a basic Airbnb studio in Canada just doesn’t make sense.”
Faced with these prices, Brener and her mother scrapped their plans, opting instead for a potential day trip to nearby Prince Edward County.
Brener’s experience is far from unique. Across the country, Canadians are encountering similar challenges.
A family of three looking to travel from Toronto to Halifax for a five-day trip was quoted $6,000, according to Amra Durakovic, head of public relations for Flight Centre Travel Group Canada.
“They’re reconsidering their trip entirely,” she says.
“Sticker shock is real, and it’s hitting Canadians hard.”
Hotel prices are a significant driver of these costs.
According to CoStar, a global provider of real estate data, the average daily rate for a hotel room in Canada rose by 3% in June 2025 compared to the previous year, adding roughly $7 per night.
While this may seem modest, it adds up quickly for families planning multi-night stays.
For example, a four-night stay in a Halifax hotel during peak season can range from $1,200 to $2,300, depending on location, according to Travelocity.
A weekend in a central Vancouver hotel starts at $1,200, per Expedia, while a week-long cottage rental in southern Ontario averages around $3,000 on Airbnb.
Even budget-friendly options like camping are becoming less accessible.
Popular destinations like Sandbanks Provincial Park in Ontario and Porteau Cove Provincial Park near Vancouver are booked solid for August, with reservations often needing to be made four to five months in advance.
For those lucky enough to snag a spot, the cost of equipment and site fees can still strain budgets, especially for families who don’t already own camping gear.
Why Are Prices So High? The Perfect Storm of Demand and Recovery
The rising cost of domestic travel can be traced to a combination of factors.
First, the surge in demand is putting pressure on limited inventory.
“When demand is high and supply is tight, prices naturally go up,” explains Dimanche.
“Airlines and hotels adjust their rates dynamically based on demand, just like they always have.”
This trend is particularly pronounced in 2025, as the tourism industry continues to rebound from the devastating losses of the COVID-19 era.
Businesses are grappling with increased operational costs, from labor to fuel, exacerbated by inflation.
These expenses are inevitably passed on to consumers, making everything from domestic flights to hotel stays more expensive.
Amra Durakovic from Flight Centre Canada notes a 5% increase in domestic travel bookings this summer, a significant shift considering that 80% of Canadian summer travel typically involves international destinations.
“This isn’t typical for Canadians,” she says.
“Many are choosing to stay closer to home, possibly due to economic concerns or a desire to avoid U.S. travel.”
Airbnb reported a 20% increase in searches for domestic stays in March 2025, further illustrating the trend.
However, this popularity comes at a cost.
“If you’re booking close to your departure date, you’re going to face higher prices and limited availability,” Durakovic warns.
“Timing is everything.”
The Canada Strong Pass: A Step Toward Affordability?
In an effort to boost domestic tourism, the Canadian government introduced the Canada Strong Pass in June 2025.
Announced by Culture and Identity Minister Steven Guilbeault, the pass offers free entry to national parks and historic sites, as well as discounted rail travel for young people.
The initiative aims to make iconic Canadian destinations more accessible and encourage inter-provincial travel.
“Canada’s national parks and historic sites are bucket-list destinations for many,” says Guilbeault.
“The Canada Strong Pass is about making it easier for Canadians to explore their own country.”
While the pass is a step in the right direction, it doesn’t address the biggest barriers to domestic travel: the cost of accommodations and transportation.
For many, free park entry is a small consolation when a single night in a hotel or Airbnb costs hundreds of dollars.
As Brener puts it, “It’s great that parks are free, but if I can’t afford to get there or stay nearby, it doesn’t help much.”
Regional Price Trends: Where Does It Hurt the Most?
The cost of a staycation varies significantly depending on the destination.
Here’s a closer look at what travelers can expect in some of Canada’s most popular spots, based on recent data and booking trends:
Southern Ontario: A week-long cottage rental in areas like Muskoka or the Kawarthas typically costs $2,000 to $3,000 on platforms like Airbnb or VRBO.
Camping at Sandbanks Provincial Park is a more affordable option, but sites are nearly impossible to book for August without months of advance planning.
Halifax, Nova Scotia: A four-night hotel stay ranges from $1,200 to $2,300, with prices spiking for central locations during peak season.
A family of three flying from Toronto to Halifax for five days could face costs upwards of $6,000, including flights and accommodations.
Vancouver, British Columbia: A weekend in a downtown hotel starts at $1,200, while camping at Porteau Cove Provincial Park is fully booked for August, with no tent sites available.
Prince Edward Island: Beachfront home rentals for a week average around $4,000 on VRBO, making it one of the pricier options for families seeking a coastal escape.
The Rockies: A weekend in a hotel in Banff or Jasper starts at $1,200, with prices climbing for more luxurious or centrally located options.
These figures, based on last-minute bookings for mid-August, highlight the premium placed on peak-season travel.
Booking earlier in the year can yield savings, but for many Canadians, the high costs remain a significant hurdle.
The Emotional Toll: Missed Opportunities and Frustration
For some, the financial barriers to domestic travel are more than just a logistical challenge—they’re a source of disappointment and frustration.
Brener, who had hoped to bond with her mother on a rare trip together, says the high costs have forced her to rethink her plans.
“It’s not just about the money,” she says.
“It’s about missing out on experiences we might not get to have again.”
Similarly, families are being forced to scale back or cancel trips altogether.
The $6,000 price tag for a Toronto-to-Halifax trip prompted one family to reconsider, while others are turning to off-season travel to save money.
Brener, for example, is planning a Halifax trip with her husband in mid-October, when prices are lower.
“It’s the only way to keep a five-day trip under $6,000,” she says.
“But it’s still crazy to think that’s considered a deal.”
The Future of Canadian Staycations: A Balancing Act
As Canada’s tourism industry continues to recover and demand for domestic travel grows, the challenge of affordability will remain a critical issue.
While initiatives like the Canada Strong Pass are a positive step, they don’t fully address the soaring costs of accommodations and transportation.
For many Canadians, the dream of a summer staycation is being overshadowed by financial realities, forcing tough choices between staying home and splurging on a local getaway.
Industry experts remain optimistic, however.
“The tourism sector is resilient,” says Dimanche.
“As businesses stabilize and competition increases, we may see prices moderate in the coming years.”
For now, though, Canadians planning a staycation will need to navigate a landscape of high demand, limited supply, and rising costs.
So, is a Canadian staycation still within reach?
For some, the answer is a reluctant no.
For others, strategic planning and flexibility can still make a local getaway possible.
One thing is clear: the cost of staying local is testing the limits of what Canadians are willing to pay for a summer escape.
Stay updated with CTC News.
