Why Buying Hotel Points Makes Sense for Luxury Stays

Purchasing hotel points is typically an unfavorable decision. Whenever a hotel chain has a promotional offer on hotel points, I tend to disregard the sale and instead prioritize earning transferable points that I can later transfer to hotels if I choose to.

However, if I’m thinking about staying at an expensive, luxurious hotel and the rates are exorbitant, I’ll consider purchasing hotel points during a promotional offer.

Here are some scenarios in which purchasing hotel points makes sense for a luxury hotel stay and could save you a significant amount of money.

When It’s a Good Idea To Purchase Hotel Points

Before we get started, it’s important to note that I do not purchase hotel points (or airline miles) unless I am interested in a prohibitively expensive hotel. In these scenarios, it would be more cost-effective to buy points and use them for a free night award instead of paying insane cash rates.

Furthermore, I avoid buying hotel points when there’s no promotional discount or bonus offer available. This is because, when not on sale, the cost of points can be absurdly high. In addition, redeeming points for hotel stays means I’m missing out on the opportunity to earn rewards from my stay.

For instance, if I wanted to buy Hilton Honors points for a very expensive hotel in the Hilton portfolio, I might think about buying points for as little as 0.5 cents each during the current offer (at the time of this writing). We value Hilton Honors points at 0.5 cents apiece, so I would buy them for that amount. However, I would only consider doing so if I had ambitious redemption goals that would far surpass a value of 0.5 cents per point.

Finally, before booking a very expensive hotel, I always make sure to review my points balances and explore the possibility of transferring flexible points to the hotel’s loyalty program. I do this each time before considering purchasing hotel points. If I don’t have enough points for a hotel redemption, I’ll look into potentially buying more points if it makes financial sense.

Hot Tip:

If you have applied for an excessive number of travel credit cards in a brief period of time or are above Chase’s 5/24 rule and want to alleviate the pressure on your credit score, buying hotel points for an aspirational hotel stay may be a worthwhile option.

Examples Where Buying Hotel Points Makes Sense

There are certain situations where purchasing hotel points from well-known brands like Hilton, Marriott, Hyatt, and IHG can make sense. These hotel chains frequently provide promotional offers for buying points, which are available at various times throughout the year.

Hilton

Baker’s Cay Resort Key Largo, Curio Collection by Hilton

Imagine wanting to bask in the sun and experience the beauty of Baker’s Cay Resort Key Largo, Curio Collection by Hilton, in the Florida Keys this fall. This resort consistently demands high rates throughout the year, whether paid with points or cash.

As an illustration, Baker’s Cay Resort typically charges $500 or more per night, and during the winter months, the rates can exceed $1,000 for a standard room. Therefore, staying here would require a significant financial investment for more than a few days.

Alternatively, with nightly award rates starting at 90,000 Hilton Honors points, redeeming points may be a better alternative than paying these high cash rates. With the ability to purchase Hilton Honors points during this limited-time promotion at a rate of 0.5 cents per point, you could buy the 90,000 points for a total of $450 and save a large amount of cash.

Combined with Hilton’s fifth-night free benefit offered to elite status members, you could theoretically purchase 4 nights’ worth of points (360,000 Hilton Honors points) to cover a 5-night stay for $1,800 (thanks to Hilton’s fifth-night free benefit) and save big versus the cash rates.

Waldorf Astoria Park City

Buying points makes even more sense during peak ski season. Assume you want a premium ski holiday with easy ski-in, ski-out access from your resort. If you’re planning a visit to the swanky Waldorf Astoria Park City in December for the holidays, you’d find cash rates starting at $1,963 per night for a standard 1 King Bed with a Gas Fireplace.

This luxury ski resort requires 110,000 points per night for a standard award night.

Instead of spending a fortune, you could purchase 110,000 Hilton points at 0.5 cents apiece during Hilton’s current promotion for $550 — saving around 75% on the nightly cash rate.

Marriott

The St. Regis Maldives Vommuli Resort

One of the most sought-after destinations on Earth is the Maldives. Its beaches are gorgeous, and there are many luxury hotels, with the 5-star St. Regis Maldives Vommuli Resort representing the pinnacle of opulence in the Maldives.

This hotel may be one of the top Marriott redemptions in the world, considering cash rates are routinely above $2,000 per night during high season.

Fortunately, Marriott Bonvoy members can book an overwater villa at this magnificent hotel for as low as 88,000 points per night. Without a limited-time promotional buying offer on points, 88,000 Marriott points would be priced at $1,100.

If you time your redemption strategically, you can maximize your buying power by taking advantage of Marriott Bonvoy’s bonus offers on purchasing points.

Please note that there is a maximum limit of 100,000 Marriott Bonvoy points that you can purchase in a calendar year, excluding any bonuses. And, while this may limit your purchasing power, Marriott Bonvoy allows you to share up to 100,000 points each year with another member, which may provide an opportunity to earn even more points.

Hot Tip:

Besides purchasing Marriott Bonvoy points, you can earn them through hotel stays, travel partners, shopping partners, and more. See our guide to earning lots of Marriott Bonvoy points.

Hyatt

Compared to other hotel brands, the World of Hyatt program offers exceptional value for Hyatt luxury hotels, as its members can redeem a relatively small number of points for high-end properties.

Alila Ventana Big Sur

Stumbling upon award nights at the Alila Ventana Big Sur is like hitting the jackpot for Hyatt enthusiasts. It’s widely known that securing a stay at this coastal all-inclusive resort in Big Sur, California, is no easy feat.

If you’re lucky enough to find award nights, a stay at this resort would cost you 45,000 points per night for a standard room. Cash rates at this hotel hover around $2,300 per night for a base room.

If you were to redeem World of Hyatt points, you’d be able to secure a rate of 5.1 cents apiece for a 2-night stay (the resort has a 2-night minimum stay when booking with points), more than triple our own valuation of World of Hyatt points of 1.5 cents each. Best of all, almost all of your food and nonalcoholic beverages are included in the stay.

With Hyatt’s current buying promotion, buying Hyatt points for this award would cost $864. While not cheap by any means, this would save you more than $1,000 per night during peak times.

Grand Hyatt Kauai Resort & Spa

The Grand Hyatt Kauai Resort & Spa is another property that is extremely popular with World of Hyatt fans.

During the holiday season or in the winter months, cash rates can easily reach over $1,000 per night for a standard room.

Standard award nights begin at 25,000 points per night. Thanks to Hyatt’s current promotion offering a 20% discount on points purchased, you could buy 25,000 Hyatt points for $480 and save a considerable amount of cash to enjoy this luxurious Hawaiian resort.

Hot Tip:

World of Hyatt points are not as easy to earn as other hotel reward currencies. However, you can earn World of Hyatt points by signing up for Hyatt’s 2 co-branded credit cards, The World of Hyatt Credit Card and the World of Hyatt Business Credit Card, or by transferring points from the Chase Ultimate Rewards or Bilt Rewards programs at a 1:1 ratio.

IHG

There is no lack of options when it comes to IHG hotels. IHG boasts an enormous portfolio of about 6,000 properties, featuring prestigious luxury brands like InterContinental, Kimpton, Six Senses, and Regent Hotels & Resorts.

Kimpton Seafire Resort + Spa

Some of best IHG luxury hotels to book with IHG One Rewards points are associated with these brands, and one of the most renowned luxury resorts in the Caribbean is the Kimpton Seafire Resort + Spa in the Cayman Islands.

At the Kimpton Seafire, cash prices for a regular room range from $425 per night during the off-season to an astonishing $1,500 during the winter holidays. For example, if you wanted to escape the cold this November and unwind at the Kimpton Seafire, you’d notice high cash prices of $1,400 or more for a King Essential North Sound View room.

Then, while looking at reward nights, you’ll discover that the identical room can be booked for as few as 70,000 points.

During a promotional period, such as the current offer, you have the opportunity to purchase IHG One Rewards points and receive a significant bonus. For example, if you are eligible for the maximum bonus of 100%, you can buy 35,000 bonus points and receive an additional 35,000 points, resulting in a total of 70,000 IHG One Rewards points. For $350, you would receive 70,000 IHG One Rewards points, which you could then use to get a free night at the same hotel.

I’m not sure about you, but getting a 5-star luxury hotel in the Caribbean for only $350 instead of $1,400 sounds like a great deal to me.

Which Credit Card Is Best for Purchasing Points?

Most hotel loyalty programs sell points via Points.com. Here are some hotel programs that process their purchases through Points.com:

Buying hotel points does not qualify for bonus points in the same way that booking travel does. Therefore, your best bet is to use a credit card that offers a bonus for everyday purchases.

As an example, the Capital One Venture Rewards Credit Card*×Information collected independently. Not reviewed by Capital One. allows you to earn 2x Capital One miles on all your purchases. Our valuation of Capital One miles is 1.8 cents per mile, resulting in a 3.6% return on your points purchase.

The Blue Business^® Plus Credit Card from American Express is another solid choice for purchasing hotel points. It earns 2x Membership Rewards points on the first $50,000 in purchases per calendar year (1x thereafter), giving you a 4.4% return on your spend.

Final Thoughts

While I don’t recommend buying hotel points habitually, there are times when it’s worthwhile for expensive luxury hotel stays, especially when big hotel chains offer bonuses or discounts on the purchase of their points.

Be sure to compare the nightly cash rates and the cost of booking with points the next time you’re thinking about an aspirational hotel for a memorable trip. If you don’t have enough points or are unable to transfer them into the hotel program of your choice from transfer partners, purchasing points could be a wise decision when you have your sights set on a high-end luxury hotel.

You could potentially save a significant amount of money, especially if you’re booking a longer stay.