(RNN) – The number of Americans leaving home for vacation is expected to rise this year, but so are the prices of airline tickets, hotels and a myriad other things you'll need for your dream vacation.
The first quarter of 2012 set a records for the number of hotel bookings, breaking the 2011 record of about 1 billion.
Jan Freitag, senior vice president of Smith Travel Research, said demand and inventory are a major reason prices have spiked.
"There is very limited new supply – no banks are lending money to build new hotels. There is very strong demand rebound," Freitag said. "In the first quarter of this year, we sold more hotel rooms than we ever did before. When you combine those two things, that gives hotels pricing power, and they can raise room rates."
If you didn't book your hotel rooms early, you can still find some good deals.
Some hotels offer discounted rates on rooms, but they make guests pay for things like wireless internet and access to the pool, gym and bar.
Don't forget to search online booking sites that offer flash deals. Present them to hotels and see if they will match those prices.
If the price of your room isn't your biggest worry, your airfare might be.
Americans are expected to spend about $725 billion in travel expenses this year, a 3 percent increase over 2011, according to the U.S. Travel Association.
The bulk of that comes from airline fees.
"It's about capacity," said CBS News travel editor Peter Greenberg. "The airlines are cutting flights, they're cutting routes. And when you have that - meaning fewer planes equals fewer flights equals fewer seats - the law of supply and demand kicks in, and air fares have absolutely nowhere to go but up."
The other culprit is taxes, which can add upwards of hundreds of dollars for a foreign flight and can still be pricey for destinations inside the U.S.
A bankruptcy proceeding by American Airlines and pressure from U.S. Airways to merge isn't helping the situation.
As American cuts flights and personnel to save money, other airlines are dealing with a stream of customers scrambling to find seats.
Bottom line: people who are holding their breath will drop before airline fares, at least for the foreseeable future.
But it's not all bad news, especially if you're aggravated by long lines in the terminals.
The Transportation Security Administration is working to speed up the wait times at security checkpoints in airports across the country.
The TSA is test driving a program called PreCheck at 13 major airports. The goal is to shorten the process by allowing people to voluntarily pre-screen for flights. The TSA plans to expand the program to 20 more airports by the end of the year.
The drawback is that the program is only for a handful of airlines and at select terminals in each airport.
But something is better than nothing.
What to do when you don't want to fly
Watching the world from your rear-view mirror would offer a unique way to spend a vacation.
Driving often offers a cheaper alternative than flying, and some spots listed on Lonely Planet's Top 10 U.S. Travel Destinations for 2012 may be within hours from your front door:
- U.S. Virgin Islands
- Hudson River Valley, NY
- Cincinnati
- Four Corners (Colorado, New Mexico, Arizona, Utah)
- Culebra, Puerto Rico
- California Gold Country
- Boulder, CO
- Kona, HI
- Chicago
- Yellowstone National Park
One of Lonely Planet's numerous travel books, USA's Best Trips, has 99 vacation ideas built for every taste. The book includes trips that are family friendly, pet friendly, environmentally friendly and even theme-based. The book also provides a map for every trip.
And for those still hoping to get a last-minute spring getaway in, it's still not too late to plan a trip before the summer heat hits.
Two U.S. destinations made National Geographic's list of Best Spring Trips of 2012.
Although the Cherry Blossom Festival in Washington has passed, the nation's capital is still a worthwhile visit for those who are within driving distance.
The Great Smoky Mountains National Park also made the list because of its massive size – 800 square miles and 800 miles of hiking trails – as well as its location. The park spans some of the country's most beautiful landscape across eastern Tennessee and western North Carolina.
Sail, sail away
If convenience is the ultimate goal, taking your trip on the water might be the best bet.
Instead of booking transportation and a room, then shelling out extra for meals and entertainment, cruises offer all those – and then some – in one ticket.
The industry has been reeling from some bad PR after a couple of high-profile wrecks, but cruise lines are combating that with sleeker ships, more comfortable cabins and, most importantly, price.
Ticket prices are dropping to attract more travelers, and some booking websites advertise discounts as high as 80 percent.
There are restrictions, of course, but for those who don't easily get seasick and don't mind watching the world go by at a slower pace, a cruise is definitely worth looking into.
At least one other thing that's expected to drop is the mercury on the thermometer. The Farmer's Almanac is predicting that many parts of the country will be cooler than normal.
But much like the price of gas and airline tickets, the weather is subject to change.
Copyright 2012 Raycom News Network. All rights reserved.
The U.S. Virgin Islands led Lonely Planet's list of top travel destinations for this year. (Source: WikiCommons)
