Have you recently booked a flight–to be met with some less-than-satisfactory prices?

NerdWallet's August 2026 Travel Inflation Report says average travel costs are 9 percent higher than this time last year, largely driven by airfare.

According to the U.S. Travel Association, the Travel Price Index (TPI) shows airline ticket prices rose 2.2 percent in July, increasing every month of 2026. It says fares were 25.5 percent higher than July of last year.

Michelle Boyd is the owner of Signal Travel, a local travel company. She says geopolitical issues and labor costs have played a role in causing airfares to rise, but it’s mostly supply-and-demand.

She says even though you may see a higher cost for some flights, in some markets with lower demand, you may still see lower airfare.

“I'm seeing higher fares for Florida, especially, but yet in some areas where there might be a little oversaturation, they're lower,” said Boyd.

Boyd is also seeing cutbacks on the number of flights.

“Airlines are taking advantage of changing their dynamics in certain marketplaces, so that's causing some fares in some markets to go up. We know, typically in the summer, they are higher, because people --the demand is there. As we go into September and October, before the holiday season, we'll see some fare decreases. Once we get to the holidays, then we see the increases because the demand is there,” said Boyd.

Michele said higher prices may stick around if people are willing to pay for them.

“But an airline is not going to earn money on a plane going out with empty seats, so they will lower the price to meet the demand or lack of demand on a certain route,” said Boyd.

To summarize, the numbers say airfares are higher compared to last year, but this doesn't apply to every ticket.

Boyd says if you’re traveling to a place that has a few different airports— like L.A. or New York, for example -- look around and see if you can go into a different airport nearby for a better deal.

Also, she says to book your holiday travel now!