Abnb getting really expensive

YoungJoo3
Level 1
Ann Arbor, MI

Abnb getting really expensive

I have tried to find a place in Atlanta area for my five-day travel in December, 2023, but I ended up to reserve a hotel instead.  The "facical" cost of five-night sleep for most of places was lower than most of outside hotels (not motels).  However, after including cleaning fee, service fee, and taxes (mostly around 20% of the cost), the final prices became 45-75% more than the original cost, which became equivalent to or more than the hotels'.  Is this normal these days and for most areas?  Or, are Abnb, host and/or local goverments carzy to rake travelors' money?

18 Replies 18
Till-and-Jutta0
Host Advisory Board Alumni
Stuttgart, Germany

@YoungJoo3 I've made the same experience in Berlin and decided to take a hotel (which also can be booked through Airbnb). 😞

Mike-And-Jane0
Level 10
England, United Kingdom

@YoungJoo3 The great thing is that if the Airbnbs are too expensive people can book hotels instead. Airbnb hosts then have a choice of reducing their prices or not getting any bookings.

Now we aim to be a similar price to a budget hotel room for our 1 bed apartment. If people want the quiet and solitude of the country with a full kitchen that saves them money (and health) by not eating out all the time then they choose us. If they want a downtown location with restaurants/bars on their doorstep then they don't. The fact that Airbnb gives these choices to people is great.

Per your saying, it seems to me that Abnb does not have a targeted fair market cost ( per area) in their price model, but simply chase maximum profit by manipulating cost and fees, which makes hosts lower "facial" cost per night but, instead, increasing fees.  I would say this is a kind manipulation or deception.  Like you said, as for one bed room apartments, Abnb is mostly a better choice than most of hotels in various reasons.  But, the apartments does not seem to have edge to hotel suites with kitchens, at least not in Atlanta area, since, with competitive final prices, they do not provide everyday cleaning service and a choice or possibility of room change if not satisfied.

@YoungJoo3 You seem to be trying to blame Airbnb whereas the reality is far from this.

In Europe rental costs include all fees and taxes. In the USA they can include all fees (by toggling for all inclusive price in your search) but not taxes as this would be illegal.

Airbnb cannot have a targeted cost per area as this would be illegal and construed as price fixing in Europe and America.

But overall I just don't see what your issue is. If you don't like the price just book a hotel. Do you complain that BMWs cost more than Fords or do you just choose whichever one you can afford???

Thank you for your information on Europe that I did not know.  Anyway, I compared apple to apple (in this case, one bedroom apartment or residence), but you mentioned BMWs and Fords.  I do not understand how you could jump your analogy to apple to orange comparison.  Clearly, at least in current Atlanta, Abnb seems to lose some of its pros such as competive price with better staying condition.  

@YoungJoo3 My point is simple. Airbnb is providing choices at various prices. Hotels offer different choices at different prices.

If Airbnb hosts make their places too expensive then they won't get bookings. If hotels price cheaper then they will be booked. I really fail to see why this is an issue.  

At the very least, hitting customers with surprise extra cleaning and service fees at the payment stage is not very customer friendly. When I'm browsing for a place to stay I want to know the all-in price, not be surprised by it at the final step. Booking.com displays the prices on its website fairly, with no surprise extra charges. So I switched. It's cheaper over there now anyway. Shame, AirBnB used to be awesome.

Helen3
Level 10
Bristol, United Kingdom

In Europe the total price including all fees is shown when you put in your dates before you book so there are no extra charges @Niels131 

Niels131
Level 2
Groningen, Netherlands

True, there are no surprise extra charges after booking. What i meant was that charges are not included on the map where the price per night is indicated after you've searched for a location. Those extra charges only appear after you've clicked through to booking. I've seen people ask cleaning fees of € 60,-, almost doubling the price for a one night stay. I think that hosts, or AirBnB itself should include those costs in the price per night on the map if they want to be customer friendly.

@Niels131 we have  a cleaning fee of  about £15 for our 1 bed and charge about £60 per night. If I add this to the nightly rate then a person staying would be charged £75 per night. But at present a person staying 7 nights only pays £62 per night so they will lose out.

There is no right/simple answer here I am afraid. What is really needed is a law change in the USA to force fully inclusive prices to be displayed.

@Niels131 The system cannot know the full price before dates and number of guests are chosen - if you ad dates and number of guests and zoom into the area you want to stay in and switch to see listings - you will see the full price including fees. At least that is how it is in EU. 

No, that is not right. I booked an Air bnb in Amsterdam yesterday and the fees and taxes are not included in the nightly price. Of course, this is partly the same as with hotels, with the exception of the cleaning fees and service fees Air bnbs often “spring on you” at the final stage of booking: payment. I agree with Neils. This is qualitatively not very user friendly. When you toggle over the “nightly” price, it does not include these fees, it only includes the nightly price for your dates and number of guests. So, you will be left with a much higher total in that final stage. 

@Thomas3763 If it is not right then Airbnb is breaking the law? 
https://www.rentalscaleup.com/transparency-how-the-european-union-has-made-airbnb-more-consumer-frie...

I haven’t had any issues myself - why don’t you write Airbnb CS and ask them why it is you don’t see the full price including all fees? 

@Sandra856 I wonder if @Thomas3763 is in the USA. Different laws apply here and I do not know which laws apply with a US guest and a European host.