Host-only fees and cancellations

[Kathie21]

Just wondering what happens if I switch to the host-only fee structure and the guest cancels.  Does it mean I am out of pocket for the service fee?  Under the old regime, Airbnb kept the service fee for most cancellations, which helped to discourage them.

[Robin4]

@Kathie21 

I have spoken with support and the answer I have got is, you are essentially stiffed if the cancellation does not fall under the Extenuating Circumstances policy......outside of the 48 hour grace period you will be charged the 14% service fee.

This is just another poorly conceived addition to Airbnb's bag of tricks! 

Once guests cotton onto the fact that cancelling involves them in no risk whatsoever you can imaging what is going to happen to cancellation rates, can't you. 

Really wish there was someone with some brains at the helm! 

Cheers.........Rob

[Kathie21]

Well i guess that will be the end of my flexible cancellation policy!  I will put something in the text to the effect that I will refund, but minus Airbnb's fee.

[Robin4]

@Kathie21 

Kathie I am up-front about it in my listing description when it comes to Airbnb discounts. 

I do not offer up-front discounts!

So often we see the situation where a guest books for 2 weeks and gets a 15% discount rate for the entire booking at Airbnb's suggestion. 6 days into the stay they cancel and get a refund at the discounted rate and the host gets stiffed into supply a 6 night stay at a discounted long term tariff.

This is the way I get around the problem in my listing description.....and nobody has complained about it!

The thing you have to realise is that Airbnb's primary objective is to get you the host to lose money.

Stay away from any Airbnb discount incentives, they are not there to help you.....they are there to stop a guest escaping to another booking platform!

Cheers.........Rob

[Debra300]

@Robin4,

Very good tip.  For my guesthouse, I don't offer discounts on Airbnb, but do have discounts on the other platforms where I process the financial transaction, including collection of a deposit.

[Pat271]

I don’t think the host will be on the hook for the host-only fee if the guest cancels.

I read the following on the Airbnb site here: 

”https://www.airbnb.ie/d/commissione-semplificata-guida”

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When a booking is cancelled and we refund the guest, can we get back the host service fee too?

The refund policies for hosts on service fees will remain the same. If your guest cancels the booking, service fees will not be charged. If you cancel the booking as a host, penalties may apply.

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[Kathie21]

I just asked the question on Airbnb chat and got this reply-

Community Expert18:00

Hi there-

My name is Will and I am a fellow host, Airbnb expert, and it is my pleasure to assist you now.

If the guest cancels less than 5 days before check-in, the first night plus 50% of all nights after that are refunded to the guest.

You (the host) still pay Airbnb 15% of whatever your gross payout is, after the guest refund,

So it looks like we do pay it, but only as a % of whatever Airbnb pay us under the terms of our cancellation policy.  If we are not due any payout, at least we don't get charged.  But it still means that there is now no disincentive for guests to book and then cancel almost until the date of the stay.

[Mike-And-Jane0]

@Kathie21 Indeed if the host is paying the service fee it is essential that they have a strict cancellation policy as any other leaves the guest with no incentive not to cancel if they can find a better deal just before they travel.