How much does Airbnb take, and is it a lot? That depends on who you ask and what your individual situation is, but one thing is certain: Airbnb certainly takes something for the pleasure of using their platform. Airbnb’s fee structure can feel like a labyrinth of percentages, deductions, cleaning costs, and guest add-ons. If you are going on business for a week or running 8 listings across 3 states, it’s important to understand how these fees work. Below, we break down the fees, how they work, and ways you can model them out for more efficiency.
What are Airbnb fees, and who pays them?
Airbnb collects fees from both guests and hosts. These fees cover everything from platform maintenance and customer support to insurance protections and payment processing. But beyond the standard commission, there are optional fees like cleaning charges, extra guest fees, and even penalties that can eat into earnings or inflate guest costs. Airbnb is also a publicly traded company with a duty to its shareholders to produce a profit, and thus, the fees are an important income stream. For guests, most fees are added at checkout, and for hosts, fees are automatically deducted from the payout.
How much are Airbnb guest fees?
When a guest books a stay, many times they are unaware of any add-ons when they see their final charges. That’s because Airbnb tacks on a service fee, usually 5% to 15% of the subtotal (which includes the nightly rate, cleaning fees, and extra guest charges). The exact percentage varies depending on location, booking duration, and demand.
Here’s a breakdown of a sample $1,000 subtotal booking:
| Booking Component | Amount |
|---|---|
| Nightly Rate x 5 nights | $800 |
| Cleaning Fee | $100 |
| Extra Guest Fee | $100 |
| Subtotal | $1,000 |
| Airbnb Guest Service Fee (13%) | $130 |
| Total Cost to Guest | $1,130 |
Airbnb host fees: What gets deducted from your payout
Hosts are charged fees based on one of two models, and the difference matters a lot.
Split-fee model
The split fee model is the default for most individual hosts. Airbnb takes 3% of the booking subtotal from the host and charges the guest a separate 14% service fee. This model keeps more money in the host’s pocket per booking, but can result in higher checkout prices, which can turn off guests.
Host-only fee model
In the host-only fee model, Airbnb charges hosts 14% to 16% of the booking subtotal, and the guest pays nothing extra. This model is mandatory for property managers using third-party software or PMS systems. While it can make your listing more attractive (lower total cost to the guest), it can result in a deeper cut into your earnings.
| Fee Model | Who Pays | Fee % | Typical Use |
|---|---|---|---|
| Split-Fee | Host (3%) + Guest (~14%) | ~17% total | Standard for individual hosts |
| Host-Only | Host (14–16%) | 14–16% | Hotels, PMS-connected hosts |
Additional Airbnb fees for hosts
Airbnb’s service fee isn’t the only cost that affects your earnings as a host. Many of the additional charges that come with running a short-term rental have a greater impact on your cash flow and operational margin, especially when you scale up across multiple listings. These expenses vary by market, rental strategy, and guest behavior, but nearly every host will encounter some of the following:
Cleaning fees
Cleaning fees are set by the host and added to the guest’s final bill. Many AirBnb hosts will argue that these fees in fact do not cover the entire cost of wear and tear on the property induced by multiple guests coming in and out. While this fee goes to the host or cleaning vendor (not Airbnb), it’s often perceived as part of the platform’s cost structure and can influence guest booking behavior. As of 2024, the average cleaning fee in the U.S. was $85 per stay, though the range is wide, from $50 for small urban apartments to $250+ for luxury or multi-bedroom listings.
Extra guest fees
This fee allows hosts to monetize bookings with larger groups by charging a nightly surcharge for each guest beyond a set number. For instance, a listing designed for four guests might charge $25 to $50 per night for each guest beyond that.
Revenue and tax strategy for guest fees
Extra guest fees are a useful lever for managing wear and tear while increasing income from high-occupancy bookings like reunions or events. Extra guest fees count as rental income and are taxable, but if you incur additional expenses (e.g., linens, extra cleaning), those can be deducted.
Security deposits
Airbnb allows hosts to request a security deposit, typically ranging from $100 to $500. While the platform doesn’t collect the funds upfront, it enables damage claims through Airbnb’s Resolution Center. If the host files a claim, Airbnb may withhold or charge the guest the appropriate amount.
Resolution penalties and withheld payouts
In certain cases, Airbnb will impose penalties or withhold part of your payout. These can result from:
- Last-minute cancellations by the host
- Guest complaints that result in partial refunds
- Damage disputes not resolved through the deposit system
- Violations of Airbnb’s hosting standards or policy guidelines
While these fees are not predictable, they can accumulate quickly if a host isn’t careful with guest communication, maintenance, or policy adherence. A single complaint could result in a lost night’s income and a partial refund, plus the risk of a bad review impacting future bookings.
| Risk management tip: Many professional hosts now use automated systems for guest screening, pre-arrival checklists, and remote inspections to reduce incidents that trigger resolution fees. |
Is Airbnb too saturated?
We spoke to Ryan Zomorodi of RealEstateSkills about his thoughts on Airbnb and the short-term rental market.
The primary downside of investing in short-term rentals in a crowded market is oversaturation. When too many investors chase the same strategy, nightly rates drop, occupancy declines, and competition for bookings intensifies, eroding profitability and increasing risk, especially if local regulations tighten.
Platform fee comparison: Airbnb vs VRBO vs Booking.com
Any business, at its most fundamental, is a math problem, and when choosing a platform, fee structures have a large impact on the math of your business. Platform fees can vary dramatically between Airbnb, VRBO, Booking.com, and niche competitors like Furnished Finder.
Below is a detailed comparison of the most popular platforms for short-term and mid-term rentals, based on typical fee structures, guest costs, and rental types:
| Platform | Host Fee | Guest Fee | Total Platform Take | Ideal Use Case |
|---|---|---|---|---|
| Airbnb (split) | 3% | ~14% | ~17% | Urban and short-term rentals |
| Airbnb (host-only) | 14–16% | 0% | 14–16% | Professional hosts using PMS |
| VRBO | 5–8% + 3% payment fee | 6–12% | ~17–23% | Traditional vacation homes, family stays |
| Booking.com | 15–20% | 0% | 15–20% | Hotels, international travel, high-volume hosts |
| Furnished Finder | Flat annual fee (~$99) | 0% | Extremely low | Mid-term stays (30+ days, travel nurses) |
What the numbers really mean for hosts
At face value, the fee percentages are easy to overlook. But over the course of a year, or across multiple properties, they can translate into tens of thousands of dollars in lost revenue or unnecessary tax complexity.
Let’s assume a $1,000 booking on each platform. Here’s how much you’d actually receive after platform fees:
How to use this comparison to your advantage
If you’re managing multiple listings, choosing where to list each one can improve your margins and reduce exposure to high platform fees. For example:
- Use Airbnb split-fee for 1–2 night stays in high-demand tourist zones where guests expect convenience and are willing to pay platform fees.
- Use VRBO for week-long family vacations where cleaning fees and occupancy make higher margins possible.
- Use Furnished Finder for properties near hospitals or universities that attract mid-term tenants, it’s far more cost-efficient over a 3-month stay.
Don’t forget the tax angle!
Each platform has different payout structures, 1099 reporting standards, and booking visibility. Airbnb provides downloadable CSV reports that break down gross vs. net, essential for proper tax filings and cost segregation modeling. Booking.com, on the other hand, operates with higher commissions but doesn’t always itemize fees clearly, requiring more meticulous record-keeping.
How Airbnb fees affect income, taxes, and depreciation
Fees don’t just affect your payout; they affect how much income you report and what you can deduct. The IRS expects you to report gross rental income, the full amount the guest paid, even if Airbnb keeps a chunk of it as fees. This distinction is key for depreciation schedules and cost segregation strategies.
Luckily, Airbnb fees are deductible. So are cleaning expenses, platform subscriptions, and any tech you use to manage your listings.
Example: Host earnings vs deductions (with cost segregation impact)
Let’s say you operate several short-term rental properties and earn $100,000 in gross bookings per year through Airbnb using the host-only fee model, where Airbnb charges you 15% instead of splitting the fee with the guest.
Here’s how your initial income and expenses break down:
| Item | Amount |
|---|---|
| Gross Income | $100,000 |
| Airbnb Host Fees (deductible) | -$15,000 |
| Cleaning, Ops, Insurance | -$15,000 |
| Taxable Income (Before Depreciation) | $70,000 |
Now here’s where tax strategy kicks in. If you do not use cost segregation, you can only depreciate the building over 27.5 years (for residential property), which results in much smaller annual write-offs.
However, by conducting a cost segregation study, you can reclassify many of your property’s components, such as appliances, flooring, lighting, cabinetry, and landscaping, into 5-, 7-, or 15-year categories instead of the standard 27.5 years. This front-loads depreciation deductions, giving you $25,000 in accelerated depreciation for the current year.
Apply that depreciation to your $70,000 in taxable income:
- Taxable Income After Cost Segregation: $70,000 – $25,000 = $45,000
- Estimated tax rate: 30%
- Taxes owed without cost seg: 30% of $70,000 = $21,000
- Taxes owed with cost seg: 30% of $45,000 = $13,500
- Tax savings this year: $7,500
This is just one year’s savings. If you own multiple properties, cost segregation can unlock tens (or even hundreds) of thousands in depreciation deductions, which can be reinvested into renovations, new acquisitions, or reserves.
How to reduce Airbnb fees (without breaking platform rules)
Airbnb takes a cut of your earnings, but smart hosts don’t just accept the bite; they manage around it. While you can’t bypass platform commissions directly, there are several legal and effective ways to reduce their impact. These strategies help protect your profit margins while staying fully compliant with Airbnb’s policies.
Bundle fees into nightly rates
Instead of adding separate cleaning or extra guest fees that can scare away potential bookings, many hosts now build those costs directly into their nightly rate. For example, charging $120 per night with no additional fees often performs better than $100 per night plus a $40 cleaning fee. Guests appreciate transparency, and it helps listings appear more competitively priced in search results.
Use dynamic pricing tools
Pricing software like Beyond Pricing, PriceLabs, or Wheelhouse can help you adjust your nightly rates to absorb Airbnb fees without hurting your competitive edge. These tools analyze real-time market trends, local events, seasonality, and competitor pricing to make sure your rates stay optimized. If Airbnb takes 15%, these tools help raise your rates just enough to compensate, without pricing you out of your local market. You can use dynamic pricing tools to avoid manual rate changes and reduce the risk of undercharging during high-demand periods like holidays or major conventions.
Set minimum stay requirements
One-night bookings are disproportionately expensive due to fixed cleaning costs and platform fees. By requiring a two-night minimum (or more during peak weekends), you reduce turnover costs and increase average revenue per booking. This tactic works especially well in destination markets or business hubs with regular two- to four-day demand cycles.
Cross-list on multiple platforms
Airbnb isn’t your only option, and depending on your rental’s location, guest type, and booking pattern, it may not even be your best one. Diversifying your platform presence can dramatically reduce your reliance on Airbnb’s fee structure and allow you to target different guest demographics more profitably.
- VRBO: Great for traditional vacation rentals, often with higher nightly rates and longer average stays.
- Booking.com: Ideal for international travelers, hotels, or short-stay business guests. Fees are higher but the volume can justify it.
- Furnished Finder: A flat-fee platform designed for mid-term stays (30+ days), especially useful for travel nurses, digital nomads, or relocating professionals.
FAQ
Can hosts offer discounts to offset Airbnb’s fees?
Yes, hosts can offer custom discounts, such as weekly or monthly price reductions, to encourage longer bookings and increase occupancy. While this doesn’t directly reduce Airbnb’s commission percentage, it can improve overall revenue and reduce per-night overhead like cleaning and turnover costs. Dynamic pricing tools can automate this process based on stay length.
How do Airbnb’s “Smart Pricing” tools compare to third-party platforms?
Airbnb’s Smart Pricing is free and easy to use, but it tends to favor lower prices to encourage more bookings, which may not maximize your profit. Tools like PriceLabs or Beyond Pricing offer more control, better market analysis, and can be customized to help offset service fees. Many experienced hosts prefer third-party tools for better profitability and control.
Are Airbnb fees different for experiences or co-hosted listings?
Yes. For Airbnb Experiences, hosts pay a 20% service fee, which is significantly higher than property bookings. For co-hosted listings, the primary host still pays the standard service fee, but income can be split between host and co-host as defined in your agreement. Co-host arrangements don’t affect the total fee, but they do split the income after fees are deducted.
