The High-Cost Summer: How To Balance Soaring Travel Prices Without Risking Your Mortgage Payment

As travel costs reach record highs in 2026, many homeowners are still feeling the "vacation itch" and are looking for affordable ways to both travel and cover their housing costs.

For air travelers, rising fuel costs are pushing airfare higher.  In March, the average price for a U.S. domestic round-trip ticket jumped 16% from a year earlier to $623, its highest level since May 2022, according to the Airlines Reporting Corp.

Meanwhile, for those who would rather hit the road, oil prices have skyrocketed due to the Iran war. As of May 6, the average national price is $4.53 per gallon, a 30-cent jump from the prior week, according to AAA. And in California, it's jumped to $6.16 per gallon, the highest price in the country.

So it’s no surprise that 42% of Americans say rising gas prices have affected their summer plans, while 65% say they have changed their summer travel plans due to increasing prices, according to an April survey from U.S. News & World Report.

And yet, the survey still found that 67% of Americans “plan to take one to two domestic trips this summer, while 30% plan to take three or more trips.”

Against that backdrop, homeowners can take a few steps to ensure their summer fun doesn't lead to a late-payment penalty or a depleted emergency fund by autumn.

Affording a summer vacation and your mortgage in 2026

Before you make any vacation plans, it is essential that you remind yourself that your home is among the essential items in your budget.

As Bobbi Rebell, CFP, consumer finance expert at CardRates.com, puts it, while your vacation is a discretionary item, your home costs are not.

That said, timing is everything. If possible, instead of traveling in the heart of the summer, consider traveling during the “shoulder season,” generally late August into September.

“Both flights and hotels are often dramatically less expensive,” she says.

Another tip: Consider vacation “dupes” just like you might have a dupe for a luxury handbag.

“A local lake that doesn’t require a flight may have a luxury hotel that has a similar experience just a drive away. We often get hooked on the idea that we have to go far to get away when there are often local gems much closer than we might be aware of when we are planning,” she says.

Bankrate principal analyst Ted Rossman adds that, like all financial decisions, booking a trip starts with establishing a good budget.

“Too often, people either don't budget or they only account for the necessities. It's important to account for some fun money as well,” he says.

Rossman adds that research shows we're more likely to stick to a savings goal when we open a separate account with a clearly labeled purpose.

“So start that 'Paris 2027' or 'Hawaii Spring Break' account and set money aside every month for that purpose,” Rossman adds.

The new reality of 'financial gymnastics'

This trend entails extreme frugal living during the week to afford high-impact experiences.

But several experts say that using this strategy could be detrimental to financial well-being.

Josh Richner, founder of FaithWorks Financial, argues that a cycle of deprivation followed by overspending is unbalanced and unsustainable.

“A more sustainable approach is to avoid extremes altogether. Instead of sacrificing everyday quality of life for a single trip, aim for stability and enjoyment, whether you are home or away," he says.

Rossman agrees, saying that just like a diet or exercise routine, if you go too hard too fast, you're probably going to burn out.

“Slow and steady often wins the race in personal finance. I wouldn't say that extreme frugal living is necessary. Try to find some balance. Make sure your money is going where you want it to go,” he says.

Strategies for 'value-based spending' and a 'staycation-plus'

The U.S. News survey found that a whopping 19% of Americans say they will go into debt to travel—and of the 19% who are willing to go into debt, 51% say it's for a new experience. 

Instead, experts recommend using different strategies to avoid financial issues.

Value-based spending is the practice of spending your money based on your values and with intention.

“For example, is the goal to disconnect and have valuable family time? You might skip the expensive theme park tickets and head to the beach or a cabin. Are you looking to experience the road less traveled? Look for nature preserves or natural landmarks,” says Mandy Kelso, head of financial education at TD Bank.

If you’re looking to self-pamper, consider booking a spa day instead of an overnight stay, she says, adding that day passes typically come at a discount, and you can get a friend to join you.

“Knowing yourself and what you need from a vacation can help you make more informed choices on where you’d like to prioritize your spending,” Kelso says.

Meanwhile, the staycation plus model can deliver real value because, if done correctly, it focuses on the core parts of the vacation that deliver maximum enjoyment, according to Rebell.

Checklist for homeowners to ensure summer fun doesn't lead to fall financial issues

Start with the essentials

TD Bank’s Kelso says that, first, make sure any upcoming mortgage, insurance, and utility payments are fully covered. Then consider the average cost of your daily household expenses, like groceries and gas.

“What remains is what you can put toward your summer fun,” she says.

Budget

Having money set aside for inevitable repairs and maintenance means you don't need to raid the vacation fund for them.

“It all comes back to setting that budget and establishing an emergency savings cushion. Because the air conditioner is going to break or the washing machine is going to conk out. ... You know how it goes. And having the vacation fund gives you the permission to spend guilt-free,” Rossman says.

Don’t touch your emergency fund to pay for a vacation

“No vacation is an emergency, no matter what your well-meaning friends tell you. You might deserve financial peace of mind more than a vacation. If you have to dig into the emergency fund, the trip is not in your budget,” says Rebell.

Consider using just one consistent card for the trip

And research ahead of time which one makes the most sense in terms of points, rewards, and benefits, especially if you are traveling internationally, Rebell advises.

“It will also make it easier to track your expenses along the way and after the trip is over,” she says.

Build a realistic, all-in budget

When looking at travel spending, it’s easy to forget about smaller costs when you have bigger-ticket items like travel and accommodation.

“List out all expenses like travel, lodging, food, and activities to determine your total cost. Seeing everything in one place will help you find ways to offset or lower expenses where needed,” says Kelso.