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• October 2025
• Changes to Airbnb's fee model in 2025 – what does it mean for hosts?

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Airbnb is introducing global changes to its commission structure. Find out who the new rules apply to, how to adjust your pricing, and what steps to take to maintain your revenue and stay competitive.

New Airbnb fee model: What’s changing?

The short-term rental world was shaken when Airbnb announced a global shift to the “host-only fee” — meaning the full commission, now increased to 15.5%, is covered by the host. It’s worth clarifying some common misunderstandings — “host-only fee has not yet been officially introduced for all – the split-fee model is still available for those who don’t use a Channel Manager.

Currently, Airbnb offers two billing models:

• Split-fee model – used by hosts who do not use a Channel Manager. In this model, the host pays approx. 3% commission, while the guest pays a separate service fee (usually 14–16%)
• Host-only fee – implemented since 2020/2021 in Europe for hosts using a Channel Manager. The full commission (until now 15%) is paid by the host, and guests no longer see additional fees. The biggest 2025 change affects hosts outside Europe who have been using a Channel Manager but could still operate under the split-fee model

In practice, if a host sets a nightly rate of 500 EUR:

• under the split-fee model, the guest pays around 570 EUR (500 EUR + 70 EUR in service fees), and the host receives 485 EUR (after the 3% commission)
• under host-only fee, the guest pays 500 EUR, and the host receives 425 EUR (after the 15% commission)

The new 15.5% rate is only a minor adjustment for most hosts in Europe using a Channel Manager. Hosts not using a Channel Manager and still relying on the split-fee model should already start rethinking their strategy to prepare for the likely upcoming unification of pricing models.

Key dates to remember:

To better understand the context of Airbnb’s strategic changes, let’s organize the key dates and officially announced decisions that will impact the short-term rental market:

• August 25, 2025 – all new hosts registering on Airbnb and using a Channel Manager will only be able to choose the host-only fee
• October 27, 2025 – Hosts using a Channel Manager and still operating under the split-fee model will be automatically switched to the host-only fee (primarily outside the EU). At the same time, the commission rate for most hosts already using simplified pricing will increase from 15% to 15.5%
• December 1, 2025 – the new 15.5% rate will also apply to hosts using the host-only fee without a Channel Manager (those who previously opted into the simplified model voluntarily)

Let’s now look at how different types of hosts should respond to these changes:

Perspective 1: Transitioning from the split-fee to host-only fee

For hosts not using a Channel Manager, switching to simplified pricing would mean an increase in commission from 3% to 15.5%. While this isn’t mandatory yet, all signs suggest the host-only fee will eventually apply to this group as well. Without adjusting prices, this leads to a real drop in payouts:

• Nightly rate set by the host: 500 EUR
• Previous earnings after Airbnb commission (3%): 485 EUR
• New earnings after simplified pricing (15.5%): 422 EUR
• To maintain a 485 EUR payout, the price must rise to approx. 574 EUR

It’s worth planning the increase in advance and – if you’re nearing the VAT exemption threshold – discussing the implications with your accountant.

Perspective 2: Hosts already using the host-only fee

For most hosts in Europe using a Channel Manager, Airbnb has already applied simplified pricing (15%) for several years. The change to 15.5% may seem minor, but it should still be factored into your pricing strategy.

If you’ve been using a markup (e.g. adding +15% to your Airbnb price), simply adding +0.5% won’t suffice, because the commission is calculated as a percentage of the final price — not a direct margin.

What should you do in IdoBooking?

• Go to the “OTA Price and Promotion Settings” in the Offer > Rate plans tab and check your current markup for Airbnb
• Increase the markup by approx. 0.6–0.7 percentage points to match the new commission rate (exact value depends on your current settings). You can also switch from markup to margin when setting prices for OTA. Learn more about this setting in our article.
• Also check additional fees (e.g. cleaning) – if they are set separately in Airbnb, it’s worth recalculating whether they still cover your costs after the commission is deducted.
• If add-ons are managed centrally in IdoBooking, it’s best to use a safe margin level that covers the new costs and keeps pricing consistent across channels.

Making this adjustment usually takes just one click – just edit the price rule assigned to Airbnb. This way, your earnings will remain stable despite the commission rate change.

Make sure you’re not making this mistake:

A common mistake is to add a percentage markup to your base price that matches the platform’s commission. In practice, this is not enough to fully cover the cost as desribed below:

• Base price: 100 EUR
• Markup 15.5% → price sent to platform: 115.5 EUR
• Airbnb commission: 15.5% of 115.5 EUR = 17.90 EUR
• Host payout: 97.60 EUR

As a result, earnings are lower than expected, which can be especially problematic if you're a property operator or a co-host. If you’ve been using a markup in IdoBooking, switch to margin in your OTA pricing configuration – the system will automatically calculate the correct price so the commission doesn’t reduce your final earnings, ensuring the following outcome:

• Base price: 100 EUR
• Margin 15.5% → price sent to platform: 118.34 EUR
• Airbnb commission: 15.5% of 118.34 EUR = 18.34 EUR
• Host payout: 100 EUR

Host concerns and industry reactions

Analyzing discussions among hosts on industry forums (Facebook, Reddit), there are many recurring concerns and reactions to Airbnb’s commission changes. However, some of these are based on incomplete analysis or misinformation — especially where hosts overlook the fact that guests were already bearing a similar cost through service fees. As a result, some fears about decreased demand or loss of competitiveness may be exaggerated. Let’s take a closer look:

• Impact on prices and demand – forum discussions, especially among U.S. hosts affected by the change (mostly those using Channel Managers), show concerns about fewer bookings after price increases. In practice, guests were already paying similar amounts – part of it was just added as a separate service fee. The new model simplifies pricing communication: guests now see one full amount without hidden fees at checkout. Industry experts and experienced hosts point out that such transparency may even improve conversion. Eventually, as all hosts follow the same rules, prices will become clearer and more comparable between listings.
• Host perception – some hosts fear they’ll now be associated with the full cost, not just a portion. Airbnb promotes “0% guest service fees,” which might suggest that the host is artificially inflating prices. In reality, guests don’t analyze fee structures – they simply compare final prices across listings. Still, it’s wise to be ready to explain the change clearly to loyal customers.
• Multi-channel strategy – Airbnb’s commission now matches that of Booking.com, which for many hosts is a reason to diversify. If customer acquisition costs are similar across OTAs, it makes sense to be where your guests are – on Booking.com, Slowhop, Expedia, and also to build your own direct booking sources.

What should you do now?

In light of these changes, proactive adaptation is key. Here are a few practical steps and strategies to help minimize negative effects and turn this change into an opportunity to improve your business:

1. Recalculate your pricing – analyze what actions are needed to maintain your current income level, both in the 15% to 15.5% scenario and in the shift from 3% to 15.5% (if you decide now to start using a Channel Manager). Don’t forget to factor in additional charges, which are also subject to Airbnb’s commission.
2. Watch the market – monitor competitors’ pricing and guest behavior. If occupancy drops, consider flexible promotions or price adjustments. Transparent pricing may actually work in your favor, and Airbnb might also adjust its ranking algorithms based on these systemic changes.
3. Diversify your channels – Airbnb is no longer significantly cheaper than other OTAs, so consider expanding to Booking.com, Expedia, Agoda, or local platforms. This broadens your reach and reduces dependency on one provider.
4. Use a Channel Manager – this is a game changer that simplifies managing prices and availability across multiple channels. It also lets you set separate margins for each OTA, helping you better control your profitability.
5. Boost direct bookings – having your own website with a booking engine lets you take reservations without OTA commissions. It’s a chance for higher profits and guest loyalty.
6. Communicate the change – Guests don’t need to know the details of Airbnb’s pricing model, but it’s worth keeping them informed. An FAQ on your site, social media updates, or brochures at your property can smartly and clearly explain price differences between channels.

What’s Next?

Airbnb’s commission changes are not just a challenge — they’re also a chance to streamline your pricing strategy and gain better control over your income.

• Check your pricing settings in IdoBooking – make sure commission isn’t reducing your profit
• Switch to margin so the system can automatically adjust for Airbnb’s commission
• Consult with us if you want to ensure everything is configured correctly

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