Airbnb Ups Host Cancellation Fee from $100 to $1,000

• Airbnb is changing its cancellation fee policy for hosts starting August 22.
• Hosts who cancel reservations at the last minute may incur fees of up to $1,000.
• The current maximum fee is $100.

Airbnb is changing its cancellation policy so that hosts who suddenly cancel guest reservations can pay a penalty ten times higher than what they are currently paying.

Currently, the maximum penalty for hosts who cancel reservations less than seven days before check-in is $100. Starting August 22, the maximum fee will be $1,000, Airbnb said in blog post Wednesday. Fees are deducted from future host payments.

Airbnb said it was changing its policy to crack down on hosts who unfairly cancel guests.

“When hosts cancel guests for avoidable reasons — like accidentally double-booking or wanting to host friends and family instead — guests lose the confidence to book on Airbnb, and that affects all hosts. and harms our entire community,” the company said.

“We found that this rate structure does not adequately reflect the costs of moving guests to a similar or better location, often at the last minute, after a host cancels for an avoidable reason,” he added.

Airbnb did not immediately respond when contacted by Insider asking why it is waiting until after the summer holiday season to adopt the new policy.

Hosts will still be able to request fee waivers if they need to cancel for a valid reason, such as emergency repairs to the property or personal illness.

Hosts are also allowed to cancel reservations if they can prove that a guest intends to host a party at their property.

Airbnb permanently banned house parties in June, reinforcing a temporary ban it introduced in August 2020 in response to the COVID pandemic.

“Over time, the party ban has become much more than a public health measure,” the company said in June.

“It has become a fundamental community policy to support our hosts and their neighbours,” he added.

This summer has seen a strong rebound in international travel, leading to widespread travel chaos as airlines struggle to keep up with renewed demand.