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As Iran war drags on, expect a pricier summer vacation

The U.S.'s war with Iran could mean your summer vacation will be a little more expensive this year.

Despite the recent dip, AAA said gas prices are still about a $1.15 more per gallon than a year ago. And the price of airfare has gone up more than 20%.     

"In Minnesota, we're at $4.13 a gallon right now, and I will say that's good news because last week we were at $4.30 a gallon," said AAA's Brynna Knapp.

It's a travel trend Knapp likes to see: gas prices going down a bit, but still higher than vacationing families are used to.

"People will be traveling but, you know, being mindful about fuel costs," said Knapp.

And it's not just gas prices that are up for vacationers. Hotels and lodging are also about 4% more expensive compared to a year ago. That's why Knapp expects people to stay a little closer to home than previous summers.

"Another thing you can do is camp or be outside or split a cabin with a family, so finding, you know, unique ways to save in that way, too," said Knapp.

Day passes to a popular family destination like Wisconsin Dells are similarly priced to last summer, but the fuel costs to drive from Minneapolis to Noah's Ark and back is about $60 more. And a hotel stay in the Dells is about $20 more per night, depending on when you book and where.

Speaking of when you book, finding a quick flight out of town for a reasonable price won't be easy, according to Thrifty Traveler's Kyle Potter.

"In general, the numbers for MSP in particular, tell us that travel is indeed down a little bit year over year. Somewhere in the neighborhood of 3% to 4% compared to the number of Minnesotans that were leaving the airport here in 2025," said Potter.

But Potter said if you can wait to book until further out, like mid-August when prices hopefully drop, you'll save a lot of money. Even now, he said you can find a deal if you look hard enough.

"If you can be flexible, you can still find a good deal like those $200 roundtrip deals to Chicago or Washington, D.C.," he said.

Potter says that booking a trip where you leave closer to mid-week as opposed to a high-travel day, like Monday, can also save hundreds of dollars per ticket.

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