Short Term Rental Riches 310. Airbnb's 15.5% Commission: What Hosts Need to Do Now
Oct 21, 2025
Airbnb is changing the game by shifting guest service fees to hosts, and this could significantly impact your profits. Learn how to adjust your prices to maintain your earnings and stay competitive. The podcast covers essential strategies for hosts using property management systems versus those who aren't, and how to rethink cleaning fees for better market positioning. Plus, diversifying your listings and enabling direct bookings can help safeguard against future changes. Stay informed to thrive in the evolving rental landscape!
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Airbnb Shifts Service Fees To Hosts
- Airbnb is shifting guest service fees onto hosts, moving the cost structure closer to Booking.com and Expedia.
- The change is permanent and affects all hosts, with phased enforcement for non-PMS hosts until Dec 1st.
Airbnb's Low-Fee Origin Story
- Tim recounts Airbnb's origins as AirBedAndBreakfast charging only a ~3% host fee to cover card costs.
- That low fee helped Airbnb grow rapidly compared with higher-fee competitors like Booking.com.
Mark Up Prices By 18.34%
- Increase listed prices by 18.34% in your PMS to keep the same net payout when Airbnb charges 15.5% to hosts.
- Do not simply add 15.5% because the discounting math will leave you earning less than before.