I have been hosting on Airbnb for 2 successful years now, but recently had a guest ask me a question about splitting payments on a reservation. They claimed to be traveling on business for two days, but wanted to come one day early and pay for it with a separate payment method. I have a 3 night minimum stay requirement, so it seemed like it would work out. I sent them an updated quote for the two-day business portion, which included the cleaning fee. They booked it and I sent a separate quote for a 1 day reservation and removed the cleaning fee so it wouldn't be double charged. They were happy and everything was set. However, after staying at my place for the first night, I received an email from the guest saying they would be leaving early because their mother was sick and wanted to let me know.
I have a strict cancellation policy in place, but I was going to refund a portion of the unused stay as a kind gesture. They then cancelled the "business" reservation before I had a chance to process a partial refund and Airbnb automatically refunded about $40 according to my cancellation policy and gave me $240. The only option I had left was to refund the full amount if I wanted to, however, if I were to do this, even though the guest paid for one night, I would have lost money overall due to the general operating expenses of a rental (linen rentals and cleaning fee). This is why I have a set 3-night minimum. After researching further, I highly suspect the guest was trying to outsmart my minimum stay requirement and came up with an excuse to try to get the full refund from the unused "business" portion of the trip. What would be the correct way to handle this?