Airbnb is one of the world's most popular booking platforms, connecting millions of travelers with unique rentals in over 220 countries. The platform has 8 million active listings. However, despite its popularity, some hosts and property managers are reluctant to use Airbnb due to the Airbnb commission fee, high competition, or associated costs.
Understanding Airbnb's various fee structures is crucial, as it directly impacts the final payout for vacation rental managers and property owners. These fees, which can vary based on location, property type, and specific listing choices, form a complex web of costs that hosts must navigate.
Staying informed about service fee rates and guest fees is not just a suggestion; it's a key step towards managing your costs effectively and feeling prepared for the future. This section provides the service fee rates and guest fees, empowering hosts with the knowledge they need to make informed decisions.
This article's primary goal is to provide a comprehensive explanation of Airbnb's commissions and host fees, explore various types and their implications, and offer practical strategies for hosts to minimize costs. By understanding these elements, hosts can maximize their profitability and create a more informed and successful hosting experience.
Essential points about Airbnb's commission model and host fees
- Booking Costs: Includes the booking subtotal, which combines the nightly rate and any additional charges.
- Service Fees: This typically includes a guest service fee and a host service fee. After these deductions, the host payout is calculated.
- Cancellation Policy: Different policies, such as strict cancellation policies, can affect the overall booking fee.
- Software Connections: Hosts using channel managers or other software may incur additional charges.
Airbnb commission fees explained.
One of the most common concerns of Airbnb hosts is the service charge structure: how much is the service charge, what is the price breakdown, are there any additional charges, and how do I adapt my pricing structure accordingly? Let's break down these aspects so you have all the information.
What does the Airbnb commission cover?
Airbnb charges hosts and travelers a commission to cover the platform's service costs for every booking made on the platform. Before we proceed, it's essential to note that Airbnb's costs aren't fixed.
This means they'll vary depending on factors such as the cancellation policy you sign up for, the location of the vacation rental, and whether or not you're part of Airbnb Luxe, which has a different fee model.
But to keep things simple, we'll give you a key figure:
- Per booking, each host pays a 3% service fee to the platform, calculated based on the per-night rate you offer and any additional charges you include, such as cleaning or pet fees.
- This 3% will be deducted from each fee, at which point you can decide whether to pay it in whole or share it with travelers.
How much commission does Airbnb take?
Split Fee Structure
Split-fee pricing is a popular fee model on Airbnb. Here's how it works:
- Host fee: Most hosts pay around 3% of the booking subtotal, automatically deducted from their payout.
- Guest fee: Guests pay an additional service fee, ranging from 6% to 12% of the booking subtotal.
- Transparency: Both host and guest fees are based on the booking subtotal, excluding guest service fees and taxes.
- Regional variations: Hosts in areas such as Italy or those participating in Airbnb Plus may pay higher fees than the standard 3%.
This model clarifies costs for both parties, thereby enhancing trust and understanding.
Host-Only Fee Structure
The host-only fee structure is where hosts take on the entire service fee, which ranges from 14% to 16% of the booking subtotal. This model is often used for:
- Upfront Clarity: Displaying all fees upfront promotes transparency for guests.
- Specific Policies: Hosts with Super-Strict cancellation policies may incur higher fees.
- Long Stays: Stays of 28 nights or more may offer reduced fees.
- Mandatory Use: Traditional hospitality listings, such as hotels, often must use this structure.
- Regional Compliance: Many hosts in countries like Spain, Italy, and Germany adopt this model to comply with local laws.
Traditional hospitality listings, such as serviced apartments, follow this model and its associated rates.
Both fee structures have advantages, allowing hosts to choose the one that best fits their business needs.
| Structure | Host Fee | Guest Fee | Key Features |
| Split Fee | ~3% | 6%-12% | Shared costs, transparency |
| Host-Only Fee | 14%-16% | None | Upfront clarity, used for certain listings |
Each fee model offers varying benefits, helping hosts align with their pricing strategy and local regulations.
Additional Airbnb commissions
Airbnb Experiences is an initiative designed to meet the growing demand from travelers seeking unique activities during their vacations. A 20% service fee is charged for Experiences.
Airbnb Service Fee Update for August 25, 2025
Airbnb has announced changes to its commission models:
- Starting August 25, 2025, all new hosts using a channel manager will need to switch to the host-paid-only model.
- As of October 27, 2025, this will also apply to those who already use a Property Management System (PMS) connected via API.
- By December 1, 2025, the host-only model will also be extended to hosts that do not use external software.
This means that the commission-sharing model will be discontinued at the beginning of 2026. To learn more, please visit our dedicated article.
Find your Airbnb commission rate.
Airbnb allows hosts whose properties are listed on the platform to view the fee breakdown and revenue dashboard transparently:
- Log in to your account.
- Access your transaction history.
- Please search for the relevant reservation and select its code.
- Click on Payment and search for Airbnb service fees.
The fee for software-connected hosts is 15.5% of the booking amount. This is part of Airbnb's simplified pricing model.
Understanding these fees can help vacation rental owners decide on the best pricing strategy to increase bookings and manage costs effectively.
Frequently asked questions about Airbnb commission fees
Although Airbnb offers many benefits, some hosts hesitate to join the platform due to misconceptions about service fees. Let's take a look at the most frequently asked questions:
1. I'm afraid of paying too many commissions on Airbnb
Airbnb's service fees (3%) are among the lowest in the industry compared to other platforms. Even the 15.5% hosting fee is the most competitive on the market compared to other platforms. Moreover, the platform's global reach and high booking potential often outweigh the minimum listing cost.
Check your account and see how much you are paying. It is essential to ensure that all details, such as accommodation type and location, are correct and accurate. Note any discrepancies and incorporate them into your strategy. This could lead you to adjust your base rate, invest in a dynamic pricing tool, or review your cancellation policy.
2. I don't think I'm earning enough
Airbnb is a large platform that provides tools for generating income through listings. However, you may not earn enough commission fees, host fees, or taxes, or more fees, host fees, and taxes. Raising your prices might seem like a quick fix, but simply increasing your daily rates is often not the answer.
Maintaining a competitive rate is crucial for balancing earnings per night with occupancy rates and increasing bookings throughout the year. Innovative pricing tools can help you determine the optimal price, while fully optimized property listings on your booking channels will make your accommodation more appealing to potential guests. Creating a robust and well-planned strategy will likely yield more results than simply upping your rates.
3. Is there a way to avoid Airbnb fees?
While there is no way to avoid these fees while advertising on Airbnb, you can always set up your own website. This means no fees paid to external booking sites or agents. You keep 100% of the booking price yourself.
Setting up a website is not the long and arduous process many believe it to be. It can be swift and easy, provided you use the right tool. Smoobu's improved Website Builder allows you to create a sleek and professional website in minutes, enabling you to generate more direct bookings.
Understanding exemptions
Airbnb doesn't charge service fees for social impact experiences. This means 100% of the proceeds go directly to a nonprofit. For regular bookings, the service fees can vary, affecting host revenue. Hosts can choose between the host-only fee model, which charges 14% to 16%, or the split-fee model, featuring a 3% host fee on the booking subtotal. Hosts must pick a fee structure that suits their business needs. Airbnb automatically deducts these fees from the host payouts after a booking is completed, ensuring no surprises when you receive payments.
Benefit from the power of Airbnb in 2025
Airbnb is more than a booking platform; it's a powerful tool for hosts looking to grow their vacation rental business. With its global reach, competitive commission model, and user-friendly features, Airbnb offers the opportunity to increase bookings, sales, and traveler satisfaction.
Don't let misconceptions stop you from taking advantage of this incredible platform. Connect Airbnb to your Smoobu account, and start enjoying the benefits of belonging to one of the world's largest travel communities.