Should you take bookings outside of Airbnb? A pro hosts perspective
There is a lot of discussion in the Airbnb community about accepting reservations outside of Airbnb. Some hosts feel that it’s a way to avoid Airbnb fees, occupancy taxes, and fill up the calendar, but is it really worth the risk? In this blog post, we will explore the pros and cons of taking bookings outside of Airbnb and give you our recommendation on what we think is the best course of action for hosts.
I get it, you’re looking at open days on your calendar and a potential guest reaches out to say they would love to book your place but can you do it outside Airbnb? Sometimes these requests are detailed from people saying it’s “just out of my budget” and the message is filled with compliments about your space or your reviews, and you have to decide what you’re going to do. Unlike a regular job each of your guests is like a new sale and you need a certain amount every month to pay your bills and hopefully save some money.
How do guests ask Airbnb hosts to book outside of Airbnb?
Before we get into the pros and cons, let’s briefly explore how these requests come about. In most cases, guests will reach out to Airbnb hosts directly through the messaging feature on Airbnb. They may mention that they’re having trouble with the Airbnb website or that they’re trying to avoid Airbnb fees and occupancy taxes so they would like to just “pay you.”
If a guest is new to asking hosts to book offsite they will typically type personal information like phone numbers and email addresses which Airbnb blocks. They’ll say please “call me at (BLOCKED BY AIRBNB) and we can discuss payment.” Then they realize the message is censored and they try to type their information more cryptically.
If an Airbnb guest regularly asks to pay hosts outside Airbnb they are well aware their personal information is screened before booking so they will just come out and directly say “I would like to pay you directly my number is Nine 1 seven 45 one two 3 four 1.”
Pros of taking bookings outside of Airbnb: avoid fees and taxes
Now that we understand how these requests come about, let’s explore the pros of taking bookings outside Airbnb.
- The first and most obvious pro is that you will avoid paying Airbnb fees. Airbnb charges a 3% fee to hosts on every reservation made through their platform. If you’re able to collect payment directly from guests, then you will no longer have to pay this fee.
- The second pro is that you may be able to avoid occupancy taxes. Airbnb collects occupancy taxes in some jurisdictions and remits them to the appropriate tax authority on behalf of hosts. If you’re not using Airbnb to collect payment then you may be able to avoid paying these taxes. However, it’s important to note that Airbnb is required by law to collect occupancy taxes in many jurisdictions, so hosts who don’t collect and remit these taxes themselves may be subject to penalties.
- The third pro is that you may be able to fill up your calendar. Airbnb has a search feature that guests use to find available listings on the dates they want to travel. If your calendar is open, your listing will appear in more search results, making it more likely that you’ll get a reservation.
- The fourth and final pro is that you may be able to charge guests a lower rate. Airbnb charges guests a service fee of 6-12% on every reservation. This fee is in addition to the rate that you charge as a host. If you’re able to collect payment directly from guests, you may be able to offer a lower rate and still earn the same amount of money.
Cons of taking bookings outside of Airbnb:
Now that we’ve explored the pros of taking bookings outside Airbnb, let’s take a look at the cons.
- The first and most obvious con is that you risk getting suspended by Airbnb. Airbnb’s terms of service explicitly state that hosts are not allowed to collect payment outside of the Airbnb platform. If Airbnb finds out that you’re doing this, they may suspend your account.
- The second con is that you won’t be covered by Airbnb’s Host Guarantee. Airbnb offers a $1 million USD guarantee that protects hosts from damages caused by guests. This guarantee is only valid if the reservation was made through Airbnb and the guest used Airbnb to pay for the reservation. If you book a guest outside of Airbnb, you will not be covered by this guarantee.
- The third con is that you won’t be able to take advantage of Airbnb’s customer support. Airbnb has a team of customer support agents who can help hosts with problems that arise during a reservation. If you book a guest off the Airbnb platform, you will not have access to this team.
- The fourth con is that you may end up with a bad guest. Airbnb has systems in place to screen guests and make sure that they are trustworthy. If you book a guest off Airbnb, you will not have access to these screening tools. This means that you may end up with a guest who damages your property or causes other problems.
So, should you accept bookings outside of Airbnb? Weigh the pros and cons carefully to decide what’s best for you. But keep in mind that Airbnb does not allow hosts to collect payment outside of their platform, so if you do choose to do this you risk getting suspended.
Our recommendation:
In my experience, great guests will never ask you to change your rates, request shady discounts, or knowingly violate the rules of the platform you are using. People asking for a discount for booking directly outside of Airbnb are only hoping to save money themselves. Aside from POTENTIALLY filling a couple of dates on your calendar, you are only going to get a 3% discount which is what Airbnb charges hosts. Occupancy taxes help your local town and city as well. No one loves paying taxes I get that but your guests should be reminded, in a friendly way, that those taxes really help your city.
Please friends DON’T ACCEPT BOOKINGS OUTSIDE OF AIRBNB. It’s just a headache with little to no benefit to you.