Airbnb Host Fees: What Property Managers Need to Know

September 9, 2025

Thais Mattos| Blog, Blog top | No Comments

Airbnb Property Manager Fee Changes 2025

Airbnb is enacting significant fee structure changes in 2025 that particularly affect hosts using Property Management Software (PMS). Combined with fresh updates to cancellation policies, these shifts have strategic implications for pricing, guest experience, and profitability for property management Airbnb operations. For full details, you can refer to the official Airbnb announcement.

1. Airbnb’s Mandatory Single-Fee Model — What’s Changing?

Airbnb is phasing out its traditional split-fee model (where hosts pay ~3% and guests pay ~14–16%) and replacing it with a single, host-only fee of 15.5% (16% in Brazil). This structure will be mandatory for PMS-connected hosts and will later extend to virtually all listings.

Key Dates for Property Managers (PMS-hosts):

August 25, 2025: New PMS-connected hosts must adopt single-fee.
October 27, 2025: Most existing PMS-connected hosts are automatically shifted.
December 1, 2025: Rollout expands to nearly all listings.

2. Impact on Payouts & Pricing Strategy for Property Management

Under the new single-fee model:

Old model: Host lists at €1,000 → Guest pays ~€1,140 → Host nets ~€970 after 3% fee.
New model: Host lists at €1,000 → Guest pays €1,000 (no guest fee) → Host nets ~€845 after 15.5% fee.

That’s a ~12–13% drop if pricing is not adjusted.

Solution for Property Managers: Raise prices by ~14.8% (multiplier = 1.1479) to preserve margins across nightly rates, cleaning fees, and extras.

3. Why Airbnb Is Making These Moves

Streamlined guest experience: Removes hidden fees at checkout.
Competitive alignment: Matches Booking.com’s host-only commission model.
Increased transparency: Shows guests an all-inclusive price.

4. What Property Managers Should Do

Adjust Rates Strategically
Use your PMS to apply the 1.1479 multiplier across listings.
Keep Owners in the Loop
Explain the financial impact to landlords so expectations are managed.
Rebalance Channel Mix
Explore alternative OTAs like Vrbo (~8% host fee) or invest in direct bookings.
Leverage PMS Tools
Platforms like Hostaway, Smoobu, or 365Villas can automate adjustments and reports.

5. Airbnb’s Cancellation Policy Updates — Effective October 1, 2025

Airbnb is revising cancellation terms to favor guest flexibility:

Standard: Full refund within 24h of booking (if booked ≥7 days before check-in).
Limited: Full refund up to 14 days; 50% refund 7–14 days; no refund inside 7 days.
Firm: Replaces “Strict” policy. Full refund up to 30 days; 50% refund 7–30 days; no refund inside 7 days.

Existing Strict listings will be migrated to Firm unless hosts opt out by October 7, 2025.

Why it matters: Guests want flexibility, but hosts can still balance revenue risk. Airbnb data suggests “Firm” hosts may see ~10% higher earnings.

Conclusion

Airbnb’s single host-only fee and cancellation policy changes mark a shift in how hosts—especially Property Management Airbnb professionals—must operate. While the changes simplify the guest side, they also squeeze margins for hosts.

By raising prices strategically, managing owner expectations, diversifying channel strategy, and leveraging PMS tools, property managers can adapt successfully and safeguard revenue in 2025 and beyond.

Why Choose Property Management in Malta with us

We deliver a comprehensive property management solution for short-term rentals across Malta, Gozo, and Sicily. Here’s what sets us apart:

Maximizing Occupancy and Revenue

Our experts are well-versed in the vacation rental market and proficient in managing your property across various Online Travel Agencies (OTA’s) with the help of an efficient Channel Manager. By utilizing data-driven strategies, including insights from tools like Airdna for pricing optimization, we ensure your property consistently maintains high occupancy rates and maximizes revenue potential. Your listings will appear on multiple OTA’s, not just Airbnb, expanding your bookings and revenue opportunities.

Guest Satisfaction and Reviews

Delivering an unforgettable guest experience is key to securing positive reviews and repeat bookings. We understand the importance of guest satisfaction and go the extra mile to ensure your guests leave with fond memories of their stay.

Airbnb Regulations

Navigating the legal and regulatory aspects of Airbnb, including compliance with the MTA License, can be daunting. Our Airbnb property management in Malta services keep you informed and help you remain compliant, allowing you to focus on providing exceptional guest experiences.

Selecting Your Airbnb Property Management Partner

Choosing the right property management partner is crucial. Here are some factors to consider:

Experience: Look for a company with a track record of success
Services: Ensure they offer a comprehensive range of services to meet your property’s unique needs.
Client Testimonials: Positive feedback from satisfied property owners is a strong indicator of a trustworthy partner.

Ready to Elevate Your Airbnb Experience?

Contact us today to learn how our Airbnb property management services can enhance your vacation rental business. Maximize your revenue, boost guest satisfaction, and stay in compliance with Airbnb regulations. Let’s make your Airbnb hosting a resounding success!

***We operate in Malta, Gozo and Sicily. Remember to follow us on* Facebook and Instagram *to stay up-to-date with our latest blogs and guides.***

FAQ: Airbnb Property Management 2025 Fee & Policy Changes

Q1: What is the difference between Airbnb’s split-fee and single-fee model?

Split-fee: Host pays ~3%, guest pays 14–16% at checkout.
Single-fee: Host pays 15.5%, guest sees no service fee.

Q2: Will all hosts be forced into the 15.5% host-only fee?

Yes. PMS-connected hosts move first (August–October 2025). Non-PMS hosts transition by December 2025.

Q3: How should Property Managers adjust pricing to offset Airbnb’s higher fees?

Apply a ~14.8% increase (1.1479 multiplier) across nightly rates, cleaning fees, and extra charges.

Q4: How will this affect Property Management Airbnb search rankings?

Listings that raise rates sharply may slip in Airbnb’s price-sensitive search algorithm. Balanced adjustments and competitive positioning are key.

Q5: What options remain for cancellation policies?

Standard, Limited, Firm, plus optional non-refundable discounted rates.
Strict will no longer be available for new listings after October 2025.

Q6: Is Airbnb becoming more like Booking.com?
Yes. By charging host-only commissions, Airbnb aligns with OTA practices, aiming for simpler guest pricing and parity across platforms.

Q7: How can Property Management Airbnb teams protect profitability?

Adjust rates proactively
Communicate with property owners
Diversify booking channels
Use PMS automation for pricing and reporting

Tagged:

Airbnb, airbnb property managament, Malta, Property Management

About Thais Mattos

Welcome to Casa Rooms! My name is Thais, and I'm a marketing specialist with extensive expertise in social media. My proficiency in creating high-quality textual content significantly contributes to our growth and ensures our audience remains engaged.