What is going to happen to reservations post 31st May? We need to have a plan.

[Nick-and-Jackie0]

After the initial shock of @Airbnb unilaterally changing the cancellation policies for reservations arriving up to and including 31st May

(which many of us have contrasting views on).

We like many host have been trying to rebuild and recover some sort of order for the remainder of this year.

However we are regularly being contacted by guests whose stays are well after the 31st May deadline (in June, July and August).
They too are asking for 100% refunds. Some are aware of the current policy and ask why we will not offer a 100% refund to them and we have even had a couple of clients who have told us that they will wait until Airbnb extend the date of this policy and then cancel 100% free of any financial burden!

We need to know now what Airbnb's action plan is. We can no longer make plans ourselves as Airbnb have shown that they can and will just rewrite the policies at the drop of a hat and without any consultation, so we must hear from them. 

Will the 100% refund policy be extended past 31st May?

Will a different sliding scale policy be introduced (e.g 50%refund for June reservations, 30% for July and 10% for August)?

Will we return to our normal polices after 31st May?

Will Airbnb offer more protection to its hosts?

We need to know whether we should be trying to encourage the guests to cancel now for them to forfeit their deposits or can we recommend with confidence that they hang on to see how the Covid-19 travel restrictions develop, knowing that then if they still cancel that we will not be left with zero again?

Also what protection do we have if we change the dates for guests? We have some guests who want to deffer their stay to later this year and others want to postpone for 12 months. Effectively they will be extending the cancellation policies.
Will Airbnb guarantee that if at a later date these guests then decide to cancel, that we will still receive the full funds due for these reservations?

We appreciate there is a lot to consider and people from Airbnb are looking into this and are extremely busy, but we do need a plan to move forward.

The loss of nearly three months revenue in our properties has had a massive effect on not only us but the people whom we employ. The season where our homes are is very seasonal. Having lost over 40% of this years season already, we need to be able to limit further damage.

[Nick-and-Jackie0]

We were talking about the Bristol market in the sense that there are other industries there to assist with keeping the economy moving, where as in the Algarve there really isn't any. 
We have kept to the same message. We don't want handouts, but do feel there should be a split in the funds.
It is great that you are able to assist in Bristol with those in need. In the Algarve, there just is not the facility or ability to do this. This is one of the reasons why we are saying there should be some funds retained, to keep the economy going.

Your final statement comes across as you are quite pleased that there will be a cull of STR's!

Also you are really not understanding the financial situation in the Algarve if you feel the that when the pandemic is over the bars, amenities and accommodation will return to the tourist resorts.

[Ute42]

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@Nick-and-Jackie0  

You ask:

• We need to know now what Airbnb's action plan is

They don't know what their action plan is. It depends on how things develop. Here in Germany the government is deciding on an bi-weekly basis what we will be allowed to do in the next 2 weeks. Noone knows what the situation will be in 2 weeks, in 4 weeks, in 2 or 3 months. You are asking a question to which noone has an answer. That's the reallity.

[Gordon0]

Spot on, @Ute42. It's the same here, except we're on a 21 day cycle. The next 'what next' is on Thursday.

[Nick-and-Jackie0]

@Ute42 We are aware that nobody can predict what will happen. This is still very much a developing situation. However there needs to be a point, a cut off date where Airbnb must realise that they cannot blanket offer 100% refunds and must adapt to a system of sharing the financial impact.

Speaking on a personal level, even if the 100% policy is extended by just two more weeks, which will mean again no funds arriving. We just will not be able to support the other people we employ. And being in Portugal, it is very different to Germany. There just is not the money or financial resources for the government to protect and support the people. The whole region of the Algarve has tourism as its main industry. We are just one small cog in a massive network or holiday rental properties, but know that there are thousands of other hosts/property owners who are like you and us and are experiencing the same financial loss.

We are asking @Airbnb , that although nobody knows when this will end, they must surely set a date, a final point where they can and will no longer offer 100% refunds.
Why should only the hosts and the people who rely on this income loose? Surely spreading the financial burden is the fairest thing to do and also the easiest to justify.

If the 100% does keep rolling on, it will sink the entire economy of certain regions and possibly a couple of countries who rely so very heavily on tourism.

[Krystle0]

Advise your guests that you're happy to revisit cancellation refunds 1 week from check-in.

Advise them that if you process a full refund now, that refund will be subtracted from your next payment and you won't see their deposit until after their scheduled check-in. Advise them that you need that small amount of income from the remaining guests you have over the next couple of months and cannot afford to refund them out of those bookings. 

Unfortunately AirBNB likes to punish hosts with strict cancellation policies and deducts any refunds offered by the hosts from their next booking. In the current climate, that can be the difference between making a mortgage repayment and going into default.

You have a strict cancellation policy for a reason, and AirBNB holding onto the deposit until after check-in is your incentive to stick to it.

Also worth noting, is that you probably won't even see 12.5% of the cancellation if you process the full refund prior to AirBNB extending the policy. Right now, AirBNB are incentivising you to decline any refunds outside of that EC policy.

[Megan628]

Thank you for your input Krystle! This is the type of information I am seeking to provide my guests at this time.

[Jessica-and-Henry0]

@Nick-and-Jackie0 

Most travel insurance does not cover cancellations due to a pandemic, and they all recommend that travelers try to get a full refund from the airline/hotel/accommodation first, before reviewing case by case, whether insurance will cover the loss. I know because I had travel plans for end of April ~ early May, which I booked in February and yes, I had travel insurance. 

All 3 non-refundable hotel bookings were canceled and refunded in full by the hotels when we inquired in March what our options were (we were hoping to get a refund but would have been (not happy but) okay with credit as long as it was valid for at least 2yrs) since the Vietnam Government banned no-visa entry making it impossible for overseas tourists to enter the country. We were also told (by the airline when we first inquired) to wait until our dates were included in the flight cancellation announcement by the airlines (which were planned to be updated every 3 weeks or so) to proceed with cancellations. That once the flights are *officially* cancelled, we'd be eligible for full refunds. 

Since this is what is happening with most travel-related bookings, I'd assume Airbnb is no different. 

Another thing to note is that airlines and hotels have been very clear that any bookings made AFTER covid-19 was officially recognized as a pandemic by WHO (mid March) will not be eligible for refunds due to travel bans or travel warnings. I'm not sure how Airbnb plans to handle these types of bookings for the remainder of the year..... but based on how they've handled everything else...... probably very inconsistently and unfairly. 

[Ute42]

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Hi @Nick-and-Jackie0 

You have now substantiated Your question, now You ask:

• We are asking @Airbnb , that although nobody knows when this will end, they must surely set a date, a final point where they can and will no longer offer 100% refunds.

But You're not getting an answer. As far as I know their current policy is that they're giving guests the option between a 100% voucher and a 50% refund. I'm not sure if and what kind of payout hosts would get in either case.

Airbnb is changing their policies around so often, that I have lost track. And even if I knew what their current policy is, they may change it tomorrow without notifying us. To be honest, meanwhile I've given up to read their statements.

The reality is, with or without airbnb contributing to it, many people in the travelindustry will go out of business and it'll not be just a few, as new bookings have come to a stillstand. No good news, I know, but I think we should be realistic about it and not believe that airbnb will bail us out. Even if they wanted, they can't.

[Nick-and-Jackie0]

Hi @Ute42 
Thank you for your reply.
We agree with what you say and have also begun to give up reading their statements, as they mean nothing. We are sure that Airbnb will extend their policy until the end of June, just like Tripadvisor did yesterday. It is understandable that people can not travel, but the impact of this needs to be softened. 

We do feel that yes, Airbnb will not bail us out, but they can help indirectly by changing the policy to offer travellers a 75% refund. That way the 25% will assist the host who in turn are trying to assist the staff members that they employ as well as maintain properties and keep them selves solvent too.
Currently we will have zero income for the first three months of a 7 month season. Our housekeepers, gardener, pool man, etc will have zero income for the first three month of a 7 month season. It is totally unsustainable. The whole region relies on tourism and will collapse with no income.

Yes the pandemic is not the fault of the travellers and they should not be punished for it, however sharing the cost will ease the financial burden and maybe mean we can all survive this crisis.

[Roberta180]

Aloha!

Here in Hawaii, it will be many many months if not a couple of years for our tourists to come back. You cannot fly into the state unless you are a resident, as of right now. The airlines cannot keep a visitor from departing from another airport on a flight to HI, but turn them right around to fly home, unless the have a hotel, or lodging to stay in where they can self-quarantine,  be checked on and do not leave even for food for 2 weeks. Our governor is currently trying to stop all tourists from arriving, and this crazy no-sense travel from even happening, but it has to come from Mr. T apparently. (travelers are buying super cheap airline tickets being offered to Hawaii) Tourist to all of Hawaii used to average 30,000 per day and now it is about 150. Our economy shot, as I know are in many tourist areas.

As of a couple of days ago, our governor has deemed short term vacation rentals, B&B's, time shares as illegal to operate until this covid-19 pandemic emergency has passed. We are fined for operating or even advertising for one.

*So my questions is... I too.... would like to know when airbnb can give us an idea of a possible  extension date after May 31st to cancel for extenuating circumstances. Coming from the host's end, if I need to cancel.

I would like to put my listing on "snooze" or a temporary pause, for 3-6 months, so I can short/long term rent my cottage to stay alive during this time. Basically for our survival financially, we would rather rent for less, to a resident, than have basically little to no income going forward. (and keeping in mind that tourism is gone for awhile!)

The problem we have is that we have a couple of small bookings in June, July, August. I would like to cancel these reservations in order to open up my calendar for a longer booking. I don't want to be penalized from my superhost status, because I hope to be back on Airbnb at some point. I've read that at this time, temporarily because of covid, it won't affect our ratings to cancel outside of this date. BUT  I'm guessing the process of this, dealing with airbnb, etc. isn't going to be that clear cut or easy either.

And lastly, what do I do about my future guests? There are only a few, but I feel bad about canceling on them. 

Any ideas or thoughts are appreciated. 

[Norene1]

This is my situation and as was also stated earlier, I need to cancel the entire 2020 season. It is impossible to conceive how anyone could travel the way they intend. To arrive at my place expecting to go whale watching and hiking in the National Park when there are restrictions is ludicrous. Also I clean my own listings and am "of an age" and therefore at risk. I will not put myself in jeopardy. I would very much like to ask each of my guests to cancel and I would like to offer them an 80% refund. I do need some income to somewhat cover my base expenses. This amount will not cover my base expenses but will help somewhat. 

Questions. I this legal? Will Airbnb return the service charge? What can I tell my guests pertaining to the service charge. Should I offer to swallow the service charge by perhaps saying they are seeing the service charge added to the 20% I quote them in my message? 

I do not want to wait till closer to the booking. I think that's irresponsible. Everyone deserves a clear way forward here. In addition, I need to clear up the summer as soon as possible so I can rent my property for a year lease. I don't trust the short term in the short term. Pardon my pun.  

Another bit I have to mention here ... I have posted several "replies" but I HAVE NO IDEA HOW TO FIND MY REPLIES NOR THE RESPONSES TO MY REPLIES. If someone could get a message to ME as to how to find this thread again I would be most appreciative. 

[Rodney11]

IMHO, the ethical thing to do is offer 100% refunds to all guests who booked before Mar 15. Pleasure travel is dead for the foreseeable future. You can hope for guests to remember how easy you made their lives during a stressful time and they will rebook with you in the future, when travel resumes and hopefully your business is still around. 

[Nick-and-Jackie0]

The issue is @Rodney11  this will effect not only the summer of 2020, but will have a knock on effect for the next two- three years. Many people have been made unemployed. Many small businesses will have to file for bankruptcy. Once the 'all clear' is given, people will not have the money to just resume as before and you also have to allow for the fear factor of the virus starting up again quickly.

If a guest received a 75% refund, yes its not 100%, but it is a greater percentage than any normal cancellation policy and the 25% would go toward trying to keep the hosts and the people who rely on the business of the hosts afloat.
What is the point of bankrupting one sector or a region?
You are based in Toronto where I am sure there are many industries. Many of these rental destinations are in holiday areas where tourism makes up 90% of their industry.

Are people not even considering the fallout from so many people being left with nothing? Food shortages, basic necessity shortages and some, unfortunately will even contemplate taking their lives.
Look what happens when there is a major crash on the markets. This is a situation being felt all over the world times 10!

Why can't the travellers make a small contribution?
Why should the hosts and the staff they employ be the left with the full brunt of the financial crisis?

We are not attacking you with our comments, we just feel that the hosts are being totally overlooked and we really fear for the people who rely on us.

[Rodney11]

Unfortunately @Nick-and-Jackie0 hosts have to deal with the current market conditions. The WalMarts of the world have conditioned customers to expect no questions asked refunds when a product or service is not exactly according to their liking. AirBnB is responding to conditioned customer expectations in order to save their brand. The guest is AirBnB's customer; hosts' properties are AirBnB's product. That's the extent of the partnership.

You are correct that millions of people will be bankrupted. In our sector, those in vacation destinations will be hit particularly hard. But many, many sectors will be hit as hard, or harder, than the travel industry. IMHO, This is a worldwide issue around the structure of global capitalism. A potential maximum 25% payout from AirBnB is not going to fix that.

Hopefully this crisis is the impetus to create a financial system which does not require people to rely on unstable revenue streams to meet their basic needs of food, housing, health and education. 

[Jessica-and-Henry0]

@Nick-and-Jackie0 

But why should travelers be expected to make a contribution to individual hosts??? Are people also expected to make contributions to travel agencies? tourist attractions?  theaters? souvenir shops? hotels and resorts? airlines? restaurants? amusement parks?

Are people working for airlines, the aircraft industry, travel/tourism/service industries feeling less of the brunt from this financial crisis due to covid-19  than hosts???