The Best Ways To Book Hotels, Part 1: Refundable And Non-Refundable Rooms
Refundable Versus Non-Refundable Hotel Rooms
Booking a fully refundable or non-refundable hotel room makes a huge difference in travel costs. Let’s debunk some myths about them. No, non-refundable rooms aren’t always cheaper. No, breakfast being included doesn’t depended on your room being refundable or not. Shockingly yes, sometimes you can get your money back on non-refundable rooms! I’ve experienced the best and worst of both room types after traveling the world for over a year. These are the things I consider most to save money before selecting a refundable versus non-refundable room.
Is it cheaper to book the refundable or non-refundable room? Yes, refundable rooms can be cheaper.
How far in ahead am I reserving the room? Booking refundable rooms very early can lead to better deals later on.
Does the room have a window? I love a hotel room without a window!
Fully Refundable Rooms Can Be More Expensive
It’s almost always cheaper to select a non refundable room. Key word: almost. Every now and then booking platforms make refundable rooms slightly cheaper than their non-refundable equivalents. I have absolutely no idea why. However, the greedy capitalist in me, small as he is, does have a theory. Let’s focus on these photos from Expedia.
Expedia is one of the most popular hotel reservation platforms in the world, offering many different types of rooms in a single hotel. However, you can’t actually see all the room types in a single screen on mobile or desktop, and you also can’t compare a room to any other. These inconveniences are true of all platforms I’ve used while traveling.
Because you can’t see all room options at once nor compare them, there’s a chance you’ll miss a refundable room being cheaper than a non-refundable one simply because you didn’t scroll just a bit further down.
Expedia shows two double bedrooms on the right clearly marked as non-refundable in red. However, they listed them first in the room options section next to the dorm beds. Most people would assume these are the cheapest option because what could possibly be cheaper than non-refundable rooms and dorms?
One line down are the exact same rooms offered as fully refundable with smaller fees. Overall they cost around 5% less!
The cheapest non-refundable version of the room is $205 after fees, while the refundable version is $194. That’s like an extra two tacos these days accounting for inflation! A few dollars extra per day isn’t much, but a few dollars extra per day over a year makes an huge difference to finances. This isn’t a sneaky “gotcha” limited to Expedia. Some reservation platforms like Agoda use similar techniques to disguise cheaper fully refundable rooms. They withhold the total price after fees until the final booking confirmation screen which is a full web page after room selection. Lesson: Be thorough when checking prices.
To be clear, I don’t always book the cheapest room. Sometimes the more expensive room, regularly the fully refundable room, is only an extra few dollars per day. In that case I’ll pay a tiny bit more for extra peace of mind. However, what also drives my choice is how far ahead I’m booking and how popular the travel destination will be during our visit.
Try For A Cheaper Room By Checking Back Later
Chandni and I regularly reserve hotels a month or more in advance. That’s especially true when visiting popular destinations.
It lowers our ability to adjust our schedule but it also provides cheaper rates. I prefer reserving refundable rooms when I book far ahead not because I’m unsure we’ll go, but because I want the possibility to find cheaper rates later. To be clear, cheaper rates don’t often appear later, but it makes a world of difference when they do! A prime example is our visit to Japan during the 2024 fall color season.
Kyoto is one of the most popular travel destinations for viewing fall colors in Japan. Hotel prices are inflated, rooms are mostly non-refundable and points aren’t accepted at major chains like Hyatt. I booked a refundable room at a somewhat high price over two months in advance. I was unhappy with my choice, but I also knew there was a chance that fall colors may appear at a different time than originally forecast. Sure enough, the forecast was revised a couple of weeks later to report that fall colors would be two weeks later than past years. I canceled my fully refundable room, but instead of purchasing a new room I reserved a free stay at the local Hyatt using points! The Hyatt wasn’t accepting points during the peak color weeks, but a two week delay meant points were accepted on later dates. A $100 per night reservation became free nights at the Hyatt.
Within a few days hotel prices had risen for the now more popular dates. Even if I wasn’t able to use points at the Hyatt I would have reserved a room at a better price than my original selection because I was early to the news. Checking prices often and keeping track of any news can get you better rates.
Different reservation platforms also partner with different hotels, so the Expedia, Booking, and Airbnb families of websites will show different options and prices. You’re more likely to find cheaper rates by booking early no matter which you prefer. Just know that cancellations and flash sales happen on all of them which lead to better rates at later dates. Go the extra step and check back regularly to bring your costs down.
Book A Room Without A Window
Don’t get distracted by features or amenities because refundable and non-refundable rooms have almost everything in common aside from price. Room amenities depend on individual hotel policy and local culture, not whether its refundable. The most common guarantee of being non-refundable is that the room has no window.
If a hotel offers a windowless room then I’m probably picking that room. It’s always non-refundable, but it’s also always cheaper. This windowless room is where we slept every night on our first week in Taiwan. Most people are surprised to know that we love staying in them! There are tons of benefits apart from the lower cost. An early sunrise or street lights will never wake you up, and I’ve never heard cars, bars, or loud people on the street while sleeping in a windowless room. They always a more restful experience for travel, and like I said, it’s always cheaper. It’s worth your wallet and rest to save 5%-10% on the room by foregoing a window if you’re okay with a non-refundable room. Most travelers spend very little time in the room anyway.
Major disclaimer that a windowless bedroom in your house is not the same experience as one in a hotel because outside the building is a very different environment. Tourist area noise is way worse than whatever is outside your house. So book that hotel with no window for the first time. Try something new and save some money along the way.
Other Entries In The Best Ways To Book Hotels Series
Part 2: Booking More Rooms For Less Money
