Pricing Discrepancy When Guest Added One Night to Reservation

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Pricing Discrepancy When Guest Added One Night to Reservation

My Question

I'm a new host and have a guest who recently extended their stay by one night, but the pricing for the added night appears significantly higher than the previous nights. I need help understanding why this happened and how to explain it to my guest.

 

Pricing Setup

My listing has a simple pricing structure:

  • $160 CAD per night standard rate
  • 10% discount for weekly stays (7+ nights)
  • 20% discount for monthly stays (28+ nights)
  • No smart pricing enabled
  • No weekend pricing differential

What Happened

  1. Guest originally booked 3 nights (May 20-23, 2025) at what appeared to be $115.20/night ($345.60 total)
  2. Guest extended by adding one more night (May 23-24)
  3. The new reservation shows $122.40/night average ($489.60 total)

Based on these numbers, it seems the 4th night alone costs around $144, which is much higher than the $115.20/night for the first three nights.

 

In the booking confirmation emails:

  • Original booking showed: "$480.00 room fee" with a "-$134.40 nightly rate adjustment"
  • Updated booking shows: "$640.00 room fee" with a "-$150.40 nightly rate adjustment"

My Questions

  1. Why is there such a large "nightly rate adjustment" when my pricing is simply $160/night?
  2. Why did adding one night increase the average nightly rate from $115.20 to $122.40?
  3. Was there a promotion or discount applied to the original booking that isn't being applied to the added night?
  4. How can I adjust the price of just the added night to match the previous nightly rate?

My guest has noticed this discrepancy and asked if I can adjust the price of the additional night. I'd like to understand what's happening before responding.

 

Thanks for your help!

Top Answer

Hi @Sheryl261,
You're asking a great question—and welcome to hosting! What you’re experiencing is actually quite common for new hosts, especially when Airbnb automatically recalculates pricing due to how discounts and adjustments are applied in real time.

Here’s what’s likely happening:

Original Discount Was Applied Differently:
The original 3-night booking may have included a promotional discount (like a new listing discount or custom deal) or Airbnb may have applied a special adjustment to secure the booking. These are not always visible or manually controlled by you.

When the Reservation Was Modified:
Airbnb recalculates the entire reservation at current pricing when a guest adds or changes dates—even if your base rate is the same. If a past promotion no longer applies, it’s removed from the updated total, which could explain the higher nightly average after the guest extended their stay.

“Nightly Rate Adjustment” Field:
This is often used for automatic or system-applied discounts (like a new host promo, guest coupon, or Airbnb-driven discount). It’s not always something you set directly, but it impacts the guest’s final rate.

What You Can Do:
Adjust Manually: You can offer the guest a custom price for the additional night. Go to the reservation details, click “Change or Modify Reservation,” and edit the pricing. This way, you can match the earlier rate.

Message Airbnb Support: If you're unsure what caused the original adjustment, reach out to Airbnb and ask for clarification about the specific discount that was applied or removed.

For the Guest:
You can kindly explain:
"Airbnb may have applied an automatic discount during your original booking, which doesn’t carry over when changes are made. I’m happy to adjust the rate manually for the added night to keep it consistent with your previous rate."

You're handling this well, and it's great that you’re being proactive and transparent with your guest. These moments really help build trust and positive reviews.

View Top Answer in original post

5 Replies 5

Hi @Sheryl261,
You're asking a great question—and welcome to hosting! What you’re experiencing is actually quite common for new hosts, especially when Airbnb automatically recalculates pricing due to how discounts and adjustments are applied in real time.

Here’s what’s likely happening:

Original Discount Was Applied Differently:
The original 3-night booking may have included a promotional discount (like a new listing discount or custom deal) or Airbnb may have applied a special adjustment to secure the booking. These are not always visible or manually controlled by you.

When the Reservation Was Modified:
Airbnb recalculates the entire reservation at current pricing when a guest adds or changes dates—even if your base rate is the same. If a past promotion no longer applies, it’s removed from the updated total, which could explain the higher nightly average after the guest extended their stay.

“Nightly Rate Adjustment” Field:
This is often used for automatic or system-applied discounts (like a new host promo, guest coupon, or Airbnb-driven discount). It’s not always something you set directly, but it impacts the guest’s final rate.

What You Can Do:
Adjust Manually: You can offer the guest a custom price for the additional night. Go to the reservation details, click “Change or Modify Reservation,” and edit the pricing. This way, you can match the earlier rate.

Message Airbnb Support: If you're unsure what caused the original adjustment, reach out to Airbnb and ask for clarification about the specific discount that was applied or removed.

For the Guest:
You can kindly explain:
"Airbnb may have applied an automatic discount during your original booking, which doesn’t carry over when changes are made. I’m happy to adjust the rate manually for the added night to keep it consistent with your previous rate."

You're handling this well, and it's great that you’re being proactive and transparent with your guest. These moments really help build trust and positive reviews.

Thank you! I have manually adjusted their rate.

@Sheryl261, you’re most welcome — and well done!

I’m really glad to hear that you were able to manually adjust the rate and resolve the issue for your guest. That kind of proactive communication builds trust and makes a big difference, especially as a new host.

Thank you so much for the kind words and for marking my reply as the top answer — I truly appreciate it! It’s always great to see fellow hosts learning, growing, and supporting their guests with care.

You're off to a great start — keep going, and don’t hesitate to reach out if you ever need help again!

@Sheryl261 

Remember the Airbnb Service Fee will be higher when adding an additional night increasing the nightly rate, but that will be offset a bit by the cleaning fee spread out over 4 nights instead of 3 nights. 

Thank you for letting me know!

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