How much are Airbnb Service Fees?

Airbnb Service Fees - how much does it cost to host on Airbnb?
Airbnb is one of the most affordable booking platforms for hosts to list their property. Airbnb service fees are as cheap as 3%, but is it the best option?

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Airbnb has taken the accommodation industry by storm. It has become one of the biggest online marketplaces that connects people who want to rent out their space to people who are looking for a temporary place to stay. If you are considering hosting, you will want to know how much the Airbnb service fees are and whether it is the best option for your property.

The platform currently covers more than 81,000 cities and 191 countries worldwide. As the sharing economy continues to thrive most travelers are turning to private vacation rentals, which has resulted in Airbnb becoming extremely popular across the globe.

If you are interested in earning some extra cash and have a decent space to rent out then creating an account on Airbnb is a good idea. To setup an account all you need to do is provide some basic information and get your account verified, then you are good to go.

What are the costs of Airbnb hosting?

If you have made up your mind to host your property on Airbnb, you must be wondering how much it costs to host on Airbnb.

Airbnb has two different services structures for booking accommodation. One is the shared host and guest fee and the other is the host-only fee. Airbnb charges hosts a 3 percent fee, which is great value as it also covers the cost of processing card payments. The fee may be higher for Airbnb Plus hosts or for listings that have a strict cancellation policy. The fee for hosts operating listings located in Mainland China is 10%.

Airbnb takes 20% from hosts who are offer experiences and doesn’t charge anything from guests in this case. This fee is calculated from the booking subtotal which includes the nightly rate plus cleaning fee but does not include Airbnb fees and taxes and is automatically deducted from the host payout.

The guest fee however, is not the same as the host fee. It is typically under 14.2% of the booking subtotal but does not include Airbnb fees and taxes. The fee varies based on a number of booking factors including the cancellation policy and is displayed to guests during checkout before they book a reservation. In mainland China guests do not have to pay this fee.

How are Airbnb fees taken?

Generally, the payout that you receive is your nightly rate minus the host service fee. Here are some of the things that can impact your payout.

  1. Value Added Tax (VAT) may be added on top of the Airbnb service fee where it is applicable.
  2. Payout to co-hosts are rounded up to the nearest whole amount.
  3. The discounts that you offer may be applied to the guest’s reservation.
  4. Custom pricing or weekend pricing may have been applied to the guest’s reservation of your listing.

Airbnb Fees VS Other Booking Sites

When comparing Airbnb with other accommodation booking sites, such as Booking.com, you will find that many others do not charge guests any booking fees, but instead charge the hosts a higher fee to cover the cost. As Airbnb fees are paid by both guests and hosts, it is often more profitable for hosts to list their property on Airbnb than Booking.com and other sites.

Another difference is that Airbnb offers very flexible cancellation rates, whereas Booking.com on the other hand does not have a pre-payment requirement for most of the listed properties and offers free cancellation.

How do Airbnb fees compare?AirbnbHomeawayBooking.com
Host service fee (per booking)
3-5%5%15-20%
Free to list
No credit card processing fees
$1M protection for property damage included

 

Is Airbnb the best priced hosting option?

Not only is Airbnb the cheapest hosting option of the major accommodation booking websites, they also offer hosts a lot of great features, such as the $1M protection for property damage, which is included free of charge.

To increase the bookings and overall revenue, many hosts advertise their property on numerous platforms. You can find some great tools in our marketplace to help run your listings on multiple platforms from one easy and unified dashboard.

Ready to Perform Better on Airbnb?

Optimal BNB helps Airbnb owners rank higher, receive more bookings and unlock the full potential of every property.

More To Explore

How old do you have to be to book an Airbnb?
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How old do you have to be to book an Airbnb?

In most cases, you need to be 18 years or older to book an Airbnb, but certain locations and types of accommodation can increase the minimum age.

Airbnb Service Fees - how much does it cost to host on Airbnb?
Airbnb Fees

How much are Airbnb Service Fees?

Airbnb is one of the most affordable booking platforms for hosts to list their property. Airbnb service fees are as cheap as 3%, but is it the best option?

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