Amazing Bargains on Summer Travel to International Hotspots

Summer time tends to be the most expensive time to travel, either domestically or internationally. All of the kids are off for their summer vacations and the warm weather has everyone thinking about the beach. However this summer, we are lucky enough to have steep travel bargains in beautiful countries like South Africa, Turkey, Indonesia and Brazil, all thanks to fluctuations in exchange rates. When we travel, exchange rates tend to be more of an afterthought and probably something we only consider after we arrive at the airport and head towards the currency exchange counters. However, these days with oil prices pushing airfares higher and the value of the US dollar fluctuating significantly, putting currencies as a primary thought may help you yield some much needed travel bargains. A favorable exchange rate means that your local currency is worth more and along with that will provide you with higher purchasing power abroad. Travelers whose local currency has appreciated dramatically will find that they will be able to afford much more on their vacation this year, while travelers to those same countries will find that their money does not go as far as it use to.

Meltdown in Emerging Market Currencies Yields Great Summer Travel Bargains

Over the past month, we have seen an extremely sharp slide in emerging market currencies. From the middle of May to the middle of June, the Turkish lira has fallen close 25 percent in value against the US dollar. Other currencies like the South African Rand has fallen close to 18 percent, while the Brazilian Real and Indonesian Rupiah have both fallen 10 percent. Such fluctuations are not something that we see often since these are currencies of countries rather than a volatile technology stock. What does this mean for you as a traveler? Big bargains! Your US dollars can buy much more in those countries now than a month ago, which means that in the case of Turkey for example, a hotel room now costs 25 percent less! Let’s take an even deeper look at what the potential bargains can mean:

Travel Bargains…

Turkey

With beautiful remnants of early Greek culture, Byzantine majesty, Ottoman artistry and not to mention delicious food, Turkey is one of the most historically rich countries in the world. Between May and June, travel to the country has become close to 25 percent cheaper. Without even having to scour the internet for hotel discounts, all thanks to the fluctuation in exchange rates, a six night seven day hotel stay in Istanbul that would have cost 00 in May now costs only 25 as of June.

South Africa

Our summer is their winter, but just because it is winter in South Africa, does not mean it is cold. Quite the contrary – the average temperature in South Africa during their winter time is 60 to 75 degrees Fahrenheit – extremely comfortable if you are looking to escape 100 degree weather in the US. Yet there is an even better reason than temperate weather to go to South Africa – from the beginning of 2006 to the middle of June, the South African Rand has fallen 18 percent against the US dollar and in fact it is now trading at a 2 year low. So a week’s stay at a three star hotel in Cape Town that would have cost US 00 in January, now only costs US 65. This is the best time to travel to South Africa in two years!

Brazil and Indonesia

We all know that Brazil and Indonesia are countries with amazing beaches. Both have traditionally been popular because they are seen as less expensive yet still amazing travel destinations. The currencies of Brazil and Indonesia have fallen 10 percent between the month of May and June, turning a good bargain into an even better one. If you were able to exchange your dollars for Brazilian Reals in the last week of May, you may have even been able to capture an additional 7 percent (for a total of 17 percent) discount compared to the beginning of the month.

Checking exchange rates to determine your travel destinations or timing your currency conversions could mean sharp savings of 10, 20 and sometimes even 30 percent!Having talked a lot about travel bargains, it is also important to talk about travel destinations that have become much more expensive over the past year. The most prominent is Canada.

Expensive Vacations – Canada

Canada is the world’s second largest country and every year is visited by more than 35 million people. It has always been a popular travel destination for US travelers because of its proximity. Canada’s economy continues to benefit from record gold prices, higher oil prices and very solid fundamentals. With a wealth of different cultures, each province in Canada offers something different for the discerning travel. However, travel to Canada has become much more expensive over the past twelve months. Three and a half years ago, one US dollar could have been exchanged for 1.50 Canadian dollars. Now, the exchange rate has fallen to 1.1100. Over the past 12 months, the cost of a week’s stay in a three star hotel increased from 0 to over 0. Three years ago, that same room would have cost a mere 5 for six nights. Another option for traveling, is staying at a timeshare. Sales of these properties are frequent, but they can often offer real bargains for those looking to rent when traveling..

Travelers Need to Keep an Eye on Exchange Rates

Therefore paying attention to exchange rates is extremely important in picking your travel destinations because you never want to get caught with higher expenses when you arrive on vacation. Notoriously expensive countries such as the UK and Switzerland frequently attract travelers with cheap airfare. Once you get there however, you quickly realize that it costs an arm and a leg just to buy a Starbucks latte. For the summer ahead, the sharp volatility in the currency markets could mean great travel bargains or pricey destinations. The US dollar has fallen in value quite significantly since the beginning of 2006 and is expected to fall even further. Therefore US travelers in particular have to be much more selective in picking their travel destinations.