On August 25, 2025, Airbnb started phasing out the split-fee model.

For years, Airbnb ran with two parallel systems:

• Split Fee: The “classic” model. Hosts paid about 3%, while guests paid a 14–16% service fee.
• Host-Only Fee (called Simplified Pricing or Single Fee by Airbnb): Airbnb charged hosts around 15%, with no separate guest service fee. Since 2020 (rolled out globally thereafter), this has already been mandatory for software-connected property managers in Europe (Airbnb’s “simplified pricing“) and strongly encouraged elsewhere.

Now, Airbnb is ending the split fee everywhere. By December 1, 2025, all hosts — large or small, PMS-connected or not — will be on the host-only fee (~15.5%).

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📅 Timeline

• Aug 25, 2025 → New PMS-connected hosts must use Single Fee.
• Oct 27, 2025 → Most PMS-connected hosts worldwide automatically move to 15.5% Single Fee.
• Dec 1, 2025 → Most non-PMS hosts (individual hosts, small operators) also move to 15.5% Single Fee.
• Exemption: Hotel listings under Airbnb Travel LLC contracts.

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🏠 Implications for Hosts

U.S. Small Hosts

• Biggest impact: They’ve been enjoying the split model (3% host fee) until now.
• Moving to 15.5% means their cost of distribution goes upto 5x overnight.
• Likely response: Hosts may raise rates to protect margins. But higher rates could reduce bookings.

U.S. Property Managers

• For years, many U.S. property managers also benefited from the split-fee setup, which made Airbnb look cheaper than Booking.com or Vrbo from their side.
• With the shift to 15.5% host-only fees, U.S. managers now face channel cost parity with Booking.com (~15%), while Vrbo remains cheaper (~8%).
• This will trigger tough strategic questions:
  • Should they align pricing across channels now that Airbnb is no longer cheaper?
  • Should they rebalance inventory toward Vrbo or Booking.com, where the economics are better?
  • Or should they accept Airbnb’s higher cost if guest demand remains stronger there?
• For multi-channel managers, this change will force a more deliberate channel mix strategy — not just relying on Airbnb’s brand power, but weighing cost vs. demand.

Property Managers in Europe

• Less dramatic: PMS-connected managers have already been under host-only (Simplified Pricing) since 2020.
• What’s new: even non-PMS European hosts (smaller operators) lose access to split fee in December 2025.

Cleaning Fees and Extras

• Remember: the Airbnb host service fee applies to the total booking amount, which means:
  • Nightly rate
  • Cleaning fee
  • Additional guest fees
• Under the split fee, only 3% was deducted from these amounts. Under the host-only fee, it’s now 15.5%.
• This means that if you don’t adjust, Airbnb will now take five times more from your cleaning fee as well.
• To keep your net cleaning payout the same, you may want to recalculate:
  • New Cleaning Fee ≈ Old Cleaning Fee × 1.1479(That multiplier offsets the jump from 3% to 15.5% host service fee.)

Strategic Challenge for All Hosts

• Hosts will have to rethink pricing strategy:
  • Do you increase rates and cleaning fees to pass on the higher fee?
  • Absorb some of the cost to stay competitive?
  • Rebalance reliance on Airbnb versus Booking.com, Vrbo, or direct bookings?

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👤 Implications for Guests

• No more Airbnb service fee line item: checkout is cleaner, no surprises.
• Higher nightly rates are likely (as hosts pass costs along).
• Perception shift: Guests tend to dislike service fees. Even if the total price is the same or slightly higher, removing the “Airbnb service fee” line can boost conversion rates.
• Better comparability: On metasearch (e.g., Google Travel, Kayak) or OTA comparisons, Airbnb prices will now look more directly comparable to Booking.com.

Note: Guests won’t see the “clean” checkout until after Oct 27 for PMS hosts, and after Dec 1 for most others — not immediately platform-wide.

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⚖️ Implications for Competitors

Booking.com

• Airbnb is no longer structurally cheaper in the U.S. — both now cost ~15%.
• This makes Booking.com’s offer more competitive in a market where Airbnb had long held a cost-of-distribution advantage.

Vrbo

• Relative winner. Vrbo charges ~5% commission + 3% payment fee (≈8% effective).
• Compared to Airbnb’s new 15.5%, Vrbo becomes a much cheaper channel for hosts.
• For professional managers, this will likely increase the incentive to diversify listings toward Vrbo.

Direct Bookings

• More attractive than ever:
  • If Airbnb takes 15.5%, direct bookings (with only payment fees, ~2–3%) become dramatically more profitable.
  • Expect renewed focus on direct booking websites and marketing.

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🔮 What to Watch

1. Host Pricing Behavior
   • Do hosts raise rates across the board, or do they experiment with absorbing part of the fee?
   • Will Airbnb’s “no guest fee” perception boost conversion enough to justify keeping rates competitive?
2. Channel Mix Shifts
   • Will professional managers steer more inventory toward Vrbo and Booking.com now that Airbnb has lost its cost edge?
   • Will direct booking strategies gain traction as managers try to control margins?
3. Guest Reaction
   • Will guests reward Airbnb with higher conversion because the service fee disappears?
   • Or will they drift toward competitors if nightly rates on Airbnb rise noticeably?
4. Industry Dynamics
   • This could be a turning point: Airbnb aligning with OTA commission norms means the playing field is more level. Competition will shift from “fee structures” to product, audience, and brand differentiation.

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✅ Bottom Line

The split fee is over.

• For hosts: Airbnb is now as expensive as Booking.com, and more expensive than Vrbo. Every operator must rethink pricing and channel mix.
• For guests: Less frustration at checkout, clearer prices, possibly better conversion.
• For competitors: Booking.com gains parity; Vrbo gains an advantage; direct bookings look better than ever.

Airbnb’s move aligns it with OTA norms. The question now is not whether hosts can absorb the cost — but how they adapt their pricing, distribution, and direct booking strategies in this new era.

Airbnb Host-Only Fee FAQ: How to Recalculate Your Rates After the Split Fee Ends

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1. General recalculation questions

Q: How do I calculate my new nightly rate with Airbnb’s host-only fee?

A: Use this formula:

New Nightly Rate = Old Nightly Rate × (0.97 / 0.845)

or New Nightly Rate = Old Nightly Rate × 1.1479

That equals multiplying your old rate by 1.1479.

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Q: How to adjust my Airbnb prices after the split fee ends?

A: Multiply both your nightly rate and your cleaning fee by 1.1479 to maintain the same payout after Airbnb switches from a 3% host fee to a 15.5% host-only fee.

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Q: Airbnb 15.5% host fee — how do I increase my nightly rate?

A: Example:

• Old nightly rate = $100
• New nightly rate = $100 × 1.1479 = $114.79
• Host payout = $114.79 × 0.845 = $97 (same as before).

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Q: Formula to calculate new Airbnb price with 15.5% fee?

A:New Price = Old Price × 1.1479

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Q: Airbnb host-only fee calculator

A: To keep your payout steady:

• Nightly Rate: Old × 1.1479
• Cleaning Fee: Old × 1.1479
• Additional Guest Fee: Old × 1.1479

You can also set up a simple Excel/Google Sheet with this formula.

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2. Cleaning fee specific

Q: Does Airbnb take 15.5% from my cleaning fee?

A: Yes. Airbnb applies the host service fee to the entire booking subtotal (nightly rate + cleaning fee + extra guest fees).

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Q: How to calculate my new Airbnb cleaning fee after the host-only fee?

A: Multiply your old cleaning fee by 1.1479.

Example:

• Old cleaning fee = $100
• New cleaning fee = $114.79
• Host payout = $97

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Q: Airbnb host fee cleaning fee calculation

A: Formula:
New Cleaning Fee = Old Cleaning Fee x 1.1479

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3. Comparisons (before vs after)

Q: Airbnb split fee vs host-only fee payout examples

Model	Host Fee	Guest Fee	Example Nightly Rate	Host Payout	Guest Price
Split Fee	3% (~$3)	14–16% (~$14)	$100	$97	$117–119 + tax
Host-Only Fee	15.5% (~$15.50)	0%	$114.79	$97	$114.79 + tax

Q: How much more does Airbnb take under the new single host fee?

A: Instead of 3% of your subtotal, Airbnb now takes 15.5%. That’s over 5× more commission from hosts.

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Q: Airbnb 3% vs 15.5% host fee — what’s the difference?

A: With split fee, hosts paid a small 3% but guests saw a service fee line (14–16%). With host-only, hosts pay 15.5% and guests see no service fee. Total cost to the guest is similar, but the host shoulders all the commission.

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4. Channel manager / dynamic pricing tool questions

Q: How do I update my Airbnb markup in my PMS after the host-only fee change?

A: If your PMS lets you set a markup for Airbnb, increase it from 3% → 15.5% to reflect the new host fee.

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Q: How to adjust rates in PriceLabs for Airbnb 15.5% fee?

A: Update your base/minimum rate settings in PriceLabs using the formula (Old Rate × 1.1479). If your PMS doesn’t support separate Airbnb markups, be careful not to unintentionally raise prices across Booking.com or Vrbo.

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Q: Channel manager Airbnb new host fee calculation

A: Same principle: adjust your Airbnb markup to 15.5% (instead of 3%). Or, if your PMS doesn’t allow it, increase base rates in your pricing tool.

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5. Profitability / payout focus

Q: How to keep my payout the same with Airbnb’s new fee?

A: Multiply both nightly rates and cleaning fees by 1.1479. This ensures your payout remains stable.

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Q: How to calculate Airbnb host payout after 15.5% fee?

A: Host Payout = New Price x 0.845
Example: $114.79 × 0.845 = $97.

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Q: What should my nightly rate be on Airbnb now?

A:New Nightly Rate = Old Nightly Rate x 1.1479

So if your old rate was $200, your new rate should be ~$229.58.

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6. Airbnb’s Single Fee Impact

Q: If Airbnb now takes 15.5%, how much should I charge?

A: Multiply your current nightly rate and cleaning fee by 1.1479.

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Q: How to increase my Airbnb prices to cover new fees?

A: Use the formula above or simply add ~15% to your nightly rate and cleaning fee to offset Airbnb’s new commission.

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Q: Airbnb host-only fee: how do I update my listing price?

A: Log in to Airbnb, edit your listing, and update:

• Nightly Rate = Old × 1.1479
• Cleaning Fee = Old × 1.1479
• Extra Guest Fee = Old × 1.1479

This ensures your net payout is unchanged.