CANCELATION BY HOSTS

[Ilana85]

Hi members,

I need some advice please.

I want to cancel a few reservations at my bnb as I have a potential long term tenant that wants to rent the place for 4 months but I can't unless the 3 bookings I have are canceled .

Question for you all: is there any penalty for the guest or me or do they receive all their money back?

My cancelation policy is set to strict.

I am confused by air bnb's refund policies for host cancelations so need your advice.

Thanks,

Ilana.

[Mar125]

yes. 50% of reservation fares is the penalty if you need to cancel as host cancellations. however, in extenuating circumstances, you can cancel for free. for example, you have a fire that burnt down your house. you had a storm and then the storm overflowed your house. Also, if you have a city ordinance kicking in recently. 

However, to play it fair, unless the long term tenant is really nice and paid immediately for the 4 months stay, it’s probably not worth the hassle. Airbnb never believes host’s word about extenuating circumstances. 

I one had a down wire in front of my house after storm, and most agents ignored my request to cancel. They said a life threatening electrical wire down in the ground is not in their policy as “extenuating circumstances “. you have to fight like crazy to get thos booking cancelled. 

[Ilana85]

Thanks. Yes I informed the renter that the bnb is unavailable. I agree with you so I'm just doing air bnb for now until I find a way to take control of the space money wise...I've been doing air bnb for 2 years now and slowly getting tired of it . Time for a change!

[Helen744]

@Ilana85 Yes we all have some days when we wonder if it is worth the bother Ilana. You can start your own website and take private bookings as some people do or go back to long term renting. The margins generally rule our decision making and the amount of work involved which is often unjustifiable , especially if things go wrong a few times , or guests are particularly pressing or demanding or simply rude... Good Luck... H

[Mike-And-Jane0]

@Ilana85 If you cancel then the guest will get all their money back. Depending how far out the reservations are you will be fined between 10 and 50% of the rental fee with a minimum of $50 fine. Then you will get a review saying you cancelled and the dates will be blocked in your calendar. Oh and morally you will have to accept you ruined 3 peoples holidays (or at least their day if they can sort it out)

[Vedad2]

Dear,

Of course, you will be subject to penalties if you cancel the reservations. The exact amount depends on the value of the reservation. As for your reason to cancel, I advise you to first thoroughly verify if the other tenant is truly committed to a longer-term rental. Usually, everyone appears certain, but when you cancel the reservations, the tenant doesn't show up. Request payment for one month's rent as compensation until you sign a proper lease agreement. This is a precautionary measure because canceling something you've been waiting for and that has already been paid for on Airbnb is more secure than relying on the promises of the other person to rent for a longer period. I suggest you carefully consider whether it's financially worth it to cancel reservations for which you'll have to pay damages. How long did the other guest plan to rent? If you know them, ask them to wait if possible, so you can fulfill the three reservations you have on Airbnb and also earn from them. You need to consider all the options and not rush, as the only certainty is having the money from the guest in your account or pocket. A commitment from someone to rent for a longer period means nothing until it's put on paper, and if it comes to fruition, I recommend creating a solid contract with clearly defined duration, cancellation policies, advance payment, and a deposit of two months' rent as a must. If you need assistance with the contract, just send me a message, and I'll help you draft it. Regards.