Hotels vs. Short-Term Rentals in New Orleans: Which Is Better for Your Stay?

When you’re planning a trip to New Orleans, choosing where to stay is one of the most important decisions you’ll make. With a mix of historic hotels, boutique retreats, and countless short-term rentals (STRs), many travelers find themselves asking: Should I stay in a hotel or an Airbnb in New Orleans?

With new STR regulations in New Orleans, shifting hotel prices, and a tightening rental market, the landscape has changed dramatically. Here’s everything you need to know to make the best choice for your stay.

Why Choose a Hotel in New Orleans?

New Orleans hotels are part of the city’s heritage. They anchor the hospitality industry and offer a level of consistency that many visitors look for when exploring a new place.

1. Reliability and Professional Service

Hotels offer dependable amenities such as:

• 24/7 front desk service

• On-site dining and bars

• Daily housekeeping

• Concierge recommendations

• Luggage storage and security

If you value ease, structure, and professional management, New Orleans hotels excel in this area.

2. Competitive Rates in the Current Market

Due to recent market shifts, many hotels are pricing more aggressively. With some major properties changing ownership and seeking stronger occupancy, travelers may see:

• Package deals

• Better midweek rates

• Loyalty perks

• Seasonal discounts

For many visitors, hotels now offer better value than STRs in New Orleans.

3. Licensed, Regulated, and Safe

Hotels are licensed, inspected, and regulated by the city, which adds a layer of security and consistency. When you stay at a hotel, you’re supporting the formal hospitality economy and contributing to local tourism taxes.

Why Choose a Short-Term Rental (STR)?

Short-term rentals in New Orleans can provide a different, more immersive experience—especially for travelers who want to feel like locals.

1. Unique Spaces and Neighborhood Vibes

From shotgun houses in the Bywater to Creole cottages in the Marigny, STRs often showcase the city’s architectural charm. If you’re seeking a more personalized stay, New Orleans short-term rentals can deliver that cozy, local feel.

2. Ideal for Groups or Long Stays

STRs work well for:

• Families

• Groups of friends

• Longer stays

• Travelers needing kitchens or laundry

The extra space can be appealing if you’re staying for several days.

3. Potential Cost Savings (But Watch the Fees)

STRs can look cheaper at first glance—but once you add cleaning fees, service fees, and additional guest fees, many rentals end up costing more than a boutique hotel. It’s smart to compare full totals, not just nightly rates.

What’s Really Going On With STRs in New Orleans?

This is the part most visitors don’t know. New Orleans Has Cracked Down Hard on STRs.

In response to housing concerns and neighborhood feedback, the city introduced strict Airbnb and short-term rental laws. These include:

• Fewer STR permits issued

• Host residency requirements in certain areas

• Limits on how many STRs can operate on one block

• Increased enforcement and penalties

• Restrictions in high-demand neighborhoods

As a result:

• The number of legal STRs has dropped

• Remaining STRs are more expensive

• Visitor demand is shifting back to hotels

This is one of the reasons New Orleans hotels are projected to rebound strongly in the next few years.

So… Hotel or STR? Which Should You Choose?

Choose a Hotel If You Want:

• A seamless, reliable stay

• Concierge service and on-site amenities

• Central, walkable locations

• Competitive pricing and special offers

• A safe, regulated option

Choose an STR If You Want:

• A “live like a local” feel

• Unique, quirky spaces

• More space for groups or families

• Home-like amenities for long stays

Both have benefits—your choice depends on your travel style.

NOI Recommendation

For most travelers—especially first-timers, cruisers, couples, and high-end guests—hotels offer the best mix of value, safety, convenience, and location right now. With STR regulations tightening and hotel rates becoming more competitive, it’s a particularly smart time to book a boutique property or a historic stay.

If you’re unsure what fits your travel style, NOI can curate a personalized list of hotels or STRs based on your dates, budget, and vibe.