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Is it cheap to travel to cuba last minute in august from canada?

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1. August shouldnt be that expensive. The cheapest is probably September since thats when school starts and many people wouldnt travel then. I stayed in Cuba for a week in June and that cost about $700.00 CAN per person in a resort!

2. It all depends on your budget and how frugal you are.
After air fare your hotel accomodations can be reduced significantly by staying at a Casa Particular .

Casa Particular is a private residence , could be a house or a floor in a building , some Casa Particular's are so nice and accomodating that you would almost feel like you were staying at a hotel , prices start around $20 - $25 dollars.
The Owners live on the premises and these large homes and or floors have from 2-4 rooms , many times they will also cook meals for you $$.
If you stay In the Vedado neighborhood you will see mansions and beautiful buildings and you are within blocks of the malecon and other places of interest.
I've gone to Havana at the last minute , in fact asked the Taxi driver for a casa particular recommendation, took me to a nice place ( Vedado ) which had no vacancy , so I stayed at the next house over and enjoyed my privacy and was treated very well, not always but you might have to share a bathroom .

August is a HOT month and I believe kids start school sometime during the month , it definitely is not peak season so I would imagine the rates are lower than if you went during winter.

Should you choose a Casa Particular , and you want to be close to everything try staying in the Vedado neighborhood.
If you will be going with a larger group of people , some people will rent you the whole house or private apartment, I've even seen where there was a pool included.
Take a look at the link for Casa Particular , look at the diferent neighborhoods on Havana , I think you will be impressed.
http://www.casaparticularcuba.org/default.asp