@Marissa160 I think the we hosts should make a distinction between the term refund and discount.
If I buy a dress and all the seams rip out the first time I wash it, I'm going to take it back to the store with the receipt and request a refund. They take back the dress, I get my money back.
If I see a dress that I like in a store, but notice that a few of the buttons are almost falling off, or missing, I might ask if they would be willing to give me a discount, as it isn't in perfect shape and I will need to do some work on it.
If a guest has a 5 day booking, but the hot water heater goes on the blink on day 2, and the guest is without hot water for 8 hours before you can get it repaired, that would warrant a discount, perhaps the equivalent of one night. The guest has been inconvenienced by the lack of an offered amenity.
If the guest finds the lack of hot water to be a deal breaker, and wants to cancel and leave, then what they get is a refund for days not stayed.
A refund is something given and received for something not used anymore. A discount is an acknowledgment and offering for a legitimate inconvenience.
It seems there are a lot of guests these days who think they deserve "refunds" if there is some little thing amiss. And hosts who are quick to give refunds to try to ward off a bad review. There's a psychological difference in perception and in reality between a refund and a discount, IMO.
Like the fallen apart dress, when I get a refund, that's in exchange for the dress, which will no longer be in my possession. If a guest gets a "refund", it should be in exchange for them not staying. If they choose to stay but are inconvenienced, what is offered should be called a discount. It's a subtle difference, but it is a difference.
