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You’ve diligently collected a mountain of Southwest Rapid Rewards points, perhaps even earned the coveted Companion Pass. Now you’re planning a trip and wondering, “How to use Southwest points for hotels?” It seems like a logical next step—a one-stop shop for a free vacation. Southwest does indeed offer a portal, called More Rewards, that allows you to redeem your points for hotel stays, car rentals, and merchandise. It’s an enticing option, especially if you’re swimming in points and looking for ways to cover your entire trip.
But before you start booking, you need to understand a crucial, often overlooked, detail: not all redemptions are created equal. The value you get when using your points for hotels through the Southwest portal can be drastically different from the value you get when booking flights. This guide will give you a clear, step-by-step walkthrough of the booking process, but more importantly, it will arm you with the knowledge to decide if it’s the right move for you. Let’s dive into the mechanics and the math.
How to Use Southwest Points for Hotels: The Step-by-Step Process
Booking a hotel with your Rapid Rewards points is not done through Southwest’s main website. Instead, you’ll need to navigate to their separate “More Rewards” portal. Here’s how to do it:
- Log In to Your Rapid Rewards Account: Start by logging into your account on the official Southwest Airlines website.
- Navigate to the More Rewards Portal: Once logged in, click on your account name and find the “Rapid Rewards” section. In the dropdown menu, you should see an option for “More Rewards.” This will take you to the external portal where you can redeem points for hotels, car rentals, and merchandise.
- Select the “Hotels” Tab: The portal, which is powered by a third-party travel agency, will have options for different types of redemptions. Click on the “Travel” tab and then select “Hotels.”
- Enter Your Destination and Dates: Use the search bar to enter your desired city, check-in and check-out dates, and the number of guests.
- Browse and Compare Your Options: The portal will display a list of available hotels with the cost shown in points. You can filter these results by price, star rating, and other amenities.
- Complete the Booking: Once you’ve selected a property, proceed to the checkout page. The required points will be deducted from your Rapid Rewards account to finalize the booking. You will receive a confirmation email shortly after.
Realistic Math Examples
This is where the true value of your redemption is revealed. The key metric we use is cents per point (CPP), calculated as: (Cash Cost / Points Cost) * 100. A higher CPP means you’re getting more value from each point.
Redeeming Points for Hotels (Poor Value)
A typical example from the More Rewards portal.
- Hotel: A standard room at a Hyatt Regency in Orlando.
- Cash Price: $280 per night.
- Portal Points Price: 38,920 points per night.
- Calculation: ($280 / 38,920) * 100
- Value: ~0.72 cents per point. This is a very low return for a travel point.
Redeeming Points for Flights (Excellent Value)
The best way to use your Southwest points.
- Flight: A “Wanna Get Away” fare from Orlando to Chicago.
- Cash Price: $150 one-way.
- Points Price: 10,150 points + $5.60 in taxes.
- Calculation: (($150 – $5.60) / 10,150) * 100
- Value: ~1.42 cents per point. This is double the value of the hotel redemption!
Alternative: Using Chase Points for the Same Hotel
Shows the power of a flexible rewards ecosystem.
- Hotel: The same Hyatt Regency in Orlando.
- World of Hyatt Points Price: 12,000 points per night.
- Action: Transfer 12,000 Chase Ultimate Rewards points to Hyatt.
- Value: ($280 / 12,000) * 100 = ~2.33 cents per point. This is over 3x the value of the Southwest hotel redemption.
Full Comparison: The Value of Your Southwest Points
As the math shows, where you redeem your points matters immensely. This comparison highlights the typical value you can expect from each type of Southwest Rapid Rewards redemption.
| Redemption Method | Typical Cents Per Point (CPP) | Pointalize Verdict |
|---|---|---|
| Flights (“Wanna Get Away”) | 1.3 – 1.6 cents | Excellent. This is the benchmark for a good redemption and the primary goal for collecting Southwest points. |
| Flights (“Anytime” & Business Select) | 0.9 – 1.2 cents | Average. Less value than Wanna Get Away fares, but can be useful for last-minute bookings when cash prices are high. |
| Hotels (More Rewards Portal) | 0.6 – 0.8 cents | Poor. You are effectively sacrificing half the value of your points compared to booking a flight. This should be avoided. |
| Gift Cards (More Rewards Portal) | 0.5 – 0.8 cents | Very Poor. Generally one of the worst ways to use any type of travel points. You are better off using a simple cash-back card. |
Smarter Strategies for Using Points for Hotels
Since the answer to “How to use Southwest points for hotels?” is “You can, but you shouldn’t,” what are the better alternatives? Here are the winning strategies for getting great value when redeeming points for hotels.
Strategy 1: Use a Different Points Currency
The best way to book hotels with points is to use a flexible point currency that transfers directly to hotel loyalty programs. The prime example is transferring Chase Ultimate Rewards points to World of Hyatt. As shown in our math example, the value you get is often over 2 cents per point, which is fantastic. If you have a card like the Chase Sapphire Preferred®, this is your best move. For more details, see our guide to the best hotel loyalty programs.
Strategy 2: Redeem Points for Cash Back and Pay for the Hotel
If your credit card allows you to redeem points for cash back at a rate of 1 cent per point, this is already a better deal than the Southwest hotel portal. For example, if a hotel costs $200 or 30,000 Southwest points (~0.67 CPP), you would be better off redeeming 20,000 points from a different program for a $200 statement credit and using that to pay for the hotel. You’d save 10,000 points!
Strategy 3: Use Your Southwest Points for the Flight, and Cash for the Hotel
This is the most logical strategy. Use your Southwest points where they are most valuable: booking flights. By getting 1.4 CPP or more on a flight redemption, you are maximizing their value. Then, pay for your hotel with cash or use points from a different program. Don’t devalue your hard-earned points just for the convenience of booking everything in one place.
Gotchas You Shouldn’t Ignore
- No Elite Benefits or Points Earning: When you book through the Southwest portal, you are booking through a third-party site (like Expedia). This means the hotel will likely not honor any elite status you may have, and you will not earn hotel points or elite night credits for your stay.
- Less Flexible Cancellation Policies: Bookings made through third-party portals often come with stricter and more complicated cancellation rules than booking directly with the hotel.
- The Value is Intentionally Obscured: The portal shows you the price in points, not the cash price. This makes it difficult to calculate the value you’re getting without doing the extra work of searching for the same room on a cash booking site. They are counting on you not to do the math.
- It’s a One-Way Street: Once you redeem your Southwest points in the More Rewards portal, you cannot convert them back to points for flights if you change your mind.
How We Analyzed the Value
Our determination that using Southwest points for hotels is a poor value is based on a quantitative analysis of redemption options. Our methodology involved:
- Cents Per Point (CPP) Calculation: We analyzed dozens of real-world hotel and flight prices and compared them to their cost in Rapid Rewards points. We consistently found that hotel redemptions yielded a CPP of less than 0.8, while flight redemptions regularly exceeded 1.3 CPP.
- Cross-Program Comparison: We compared the Southwest hotel redemption values against other common ways to use points for hotels, such as transferring Chase points to Hyatt or using a fixed-value redemption portal. This provided a clear benchmark for what constitutes a “good” hotel redemption.
- Qualitative Factor Analysis: We also considered non-monetary factors, such as the loss of elite benefits and the inflexibility of portal bookings, which further devalue the proposition of using the More Rewards portal. You can learn more about these factors in our guide to advanced travel rewards strategies.
FAQ
What is the redemption value of Southwest points for hotels?
The value is consistently poor, typically ranging from 0.6 to 0.8 cents per point. This is significantly lower than the 1.3 to 1.6 cents per point you can get when redeeming for Southwest flights.
Can I book any hotel with Southwest points?
The Southwest More Rewards portal has a large inventory of hotels worldwide, similar to what you would find on a major online travel agency like Expedia or Booking.com. However, the selection may not include all boutique or independent hotels.
Do I earn hotel loyalty points if I book through the Southwest portal?
No. Because you are booking through a third-party portal, the hotel will treat it as a prepaid booking. You will not earn points in the hotel’s loyalty program (like Marriott Bonvoy or Hilton Honors), nor will the stay typically count towards earning elite status.
So, is it ever a good idea to use Southwest points for hotels?
Only in very rare circumstances. For example, if you have an enormous balance of Southwest points that are about to expire and you have absolutely no plans to fly, using them for a hotel is better than letting them disappear. For 99% of people, however, it is a bad redemption.
