New AirBNB Policies, and Concerns about that Platform

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New AirBNB Policies, and Concerns about that Platform

Account Closed
Member since 2018 · 58 posts · 24 votes

For all of you STR owners out there, does anyone share my concern that AirBNB's policies are increasingly becoming too problematic?

My STRs are marketed toward the middle class, as opposed to really high end. I want affordable options for all. But within that price point are a segment of guest that think re-negotiating the rate after the stay is an acceptable practice. I'm concerned about many trends I have seen with AirBNB's practices and policies. 

I'm concerned about having a business that is dependent on any platform. But while I try to build an independent business, will using AirBNB be feasible. Although I know others have concerns (there is a strike to pause listings on AirBNB in protest happening on May 18, 2022), I'm not certain if I am overreacting.

It is my feeling that within the STR arena, there are diehard AirBNB loyalists that will act against their own best interest in their devotion to AirBNB. I tend to agree with the more pragmatic owners, that are more business minded, than culture acolytes.

I think I am in need of perspective.

Julia Ferris

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Ryan MoyerBusiness Member
Property Manager · Orlando Kissimmee Davenport Salt Lake City, Park City · Member since 2019 · 991 posts · 1k+ votes
4y

Most people worrying about this don't realize that almost all of the things mentioned already existed, and weren't actual changes.  The only changes were guests having 72 hours to report the issue instead of 24 (which I agree is a dumb change) and hosts being responsible for covering the cost of guest re-location.

However, they've already walked back the relocation thing, so the only change is the change from 24 hours to 72.  But if you're worried about a guest lying and saying the fridge or hot tub doesn't work and they should get to leave and get a refund, they could already do that. 

Cosmic Vacations4.9174 Reviews
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  • John UnderwoodPro Member
    Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
    4y

    I prefer Vrbo and luckily the large majority of my guest do also. 

    2Reply
  • Account Closed
    OP
    Member since 2018 · 58 posts · 24 votes
    4y

    I much prefer VRBO too. I'm just not certain that one platform will give me the production I am used to. I also, have a new property in a market new to me. Are you on AirBNB at all?

    0Reply
  • John UnderwoodPro Member
    Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
    4y
    Quote from @Account Closed:

    I much prefer VRBO too. I'm just not certain that one platform will give me the production I am used to. I also, have a new property in a market new to me. Are you on AirBNB at all?

    Yes, but I get 7 or so bookings a year on there. Vrbo accounts for 95% of my annual bookings.
    1Reply
  • Lauren Kormylo
    Rental Property Investor · Phoenix, AZ and Rehoboth Beach DE · Member since 2019 · 1k+ posts · 1k+ votes
    4y

    I just bought a property and will be listing it soon, and I am concerned about Airbnb,  as you are. Besides their Covid refunding last year and their lax attitude toward guests scamming hosts, their announcement last week about making owners pay the difference for relocating a guest made me want to avoid them all together. Fortunately, they walked that back after the uproar from hosts. I’ve got a 4 bedroom in a seasonal beach market, and if someone had to be relocated at the last minute, the cost could be astronomical. Like John, my area is booked mainly through VRBO and local property management companies.  I intend to also list it on Houfy, where it’s free to list and is a way for guests to book directory with you. You set your own rules and deposits, no one forces you to give refunds or anything else. Houfy doesn’t advertise, so you have to do marketing yourself to drive guests there. 

    2Reply
  • Account Closed
    OP
    Member since 2018 · 58 posts · 24 votes
    4y
    Quote from @Lauren Kormylo:

    I just bought a property and will be listing it soon, and I am concerned about Airbnb,  as you are. Besides their Covid refunding last year and their lax attitude toward guests scamming hosts, their announcement last week about making owners pay the difference for relocating a guest made me want to avoid them all together. Fortunately, they walked that back after the uproar from hosts. I’ve got a 4 bedroom in a seasonal beach market, and if someone had to be relocated at the last minute, the cost could be astronomical. Like John, my area is booked mainly through VRBO and local property management companies.  I intend to also list it on Houfy, where it’s free to list and is a way for guests to book directory with you. You set your own rules and deposits, no one forces you to give refunds or anything else. Houfy doesn’t advertise, so you have to do marketing yourself to drive guests there. 


     I have not heard about them walking back the policy. I am setting myself up to take direct bookings now, and plan to use Houfy. I am happy with VRBO,  and have used it too. I'm just worried that launching my new one, and keeping occupancy at 99% in my first one may not be possible without a second, high-traffic platform.

    1Reply
  • John UnderwoodPro Member
    Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
    4y
    Quote from @Lauren Kormylo:

    I just bought a property and will be listing it soon, and I am concerned about Airbnb,  as you are. Besides their Covid refunding last year and their lax attitude toward guests scamming hosts, their announcement last week about making owners pay the difference for relocating a guest made me want to avoid them all together. Fortunately, they walked that back after the uproar from hosts. I’ve got a 4 bedroom in a seasonal beach market, and if someone had to be relocated at the last minute, the cost could be astronomical. Like John, my area is booked mainly through VRBO and local property management companies.  I intend to also list it on Houfy, where it’s free to list and is a way for guests to book directory with you. You set your own rules and deposits, no one forces you to give refunds or anything else. Houfy doesn’t advertise, so you have to do marketing yourself to drive guests there. 


     How does Houfy make money? Can you synchronize calendars between them and Vrbo/Airbnb?

    0Reply
  • Ryan MoyerBusiness Member
    Property Manager · Orlando Kissimmee Davenport Salt Lake City, Park City · Member since 2019 · 991 posts · 1k+ votes
    4y

    Most people worrying about this don't realize that almost all of the things mentioned already existed, and weren't actual changes.  The only changes were guests having 72 hours to report the issue instead of 24 (which I agree is a dumb change) and hosts being responsible for covering the cost of guest re-location.

    However, they've already walked back the relocation thing, so the only change is the change from 24 hours to 72.  But if you're worried about a guest lying and saying the fridge or hot tub doesn't work and they should get to leave and get a refund, they could already do that. 

    Cosmic Vacations4.9174 Reviews
    WebsiteView Page
    2Reply
  • Account Closed
    OP
    Member since 2018 · 58 posts · 24 votes
    4y

    @Ryan Moyer

    The changes are actually more extensive and subtle than your description. For example, The definition of “Travel issue” was changed to not only broaden it, but make it more vague, and subjective. Read this article https://vrmintel.com/risky-business-using-airbnb-for-bookings-just-got-even-riskier-for-vacation-rental-owners-and-managers/

    3Reply
  • Account Closed
    OP
    Member since 2018 · 58 posts · 24 votes
    4y

    @John Underwood

    Houfy is not so much a platform as it is a listing site. Basically, same as listing on Craigslist or Facebook. If you use ownerrez or guesty, etc. sync and you can use it for direct booking.

    0Reply
  • Ryan MoyerBusiness Member
    Property Manager · Orlando Kissimmee Davenport Salt Lake City, Park City · Member since 2019 · 991 posts · 1k+ votes
    4y
    Quote from @Account Closed:

    @Ryan Moyer

    The changes are actually more extensive and subtle than your description. For example, The definition of “Travel issue” was changed to not only broaden it, but make it more vague, and subjective. Read this article https://vrmintel.com/risky-business-using-airbnb-for-bookings-just-got-even-riskier-for-vacation-rental-owners-and-managers/


    I mean, they literally made 3 changes.

    - Changed the word "vermin" to the word "pests"

    - Changed the term "reasonably clean" to "generally clean"

    - Changed the sentence “safety or health hazards that would be reasonably expected to adversely affect the Guest’s stay” to “They contain safety or health hazards.”

    That's seriously it, other than the things I mentioned above.  THAT is what all the fuss is about.  Only most of the people fussing don't realize that's what they're fussing about, and they think all that talk about general cleanliness and pests and appliances working is all new stuff.

    Those teeny tiny changes listed there have zero real effect.  Either way it was super vague and something that had to be handled on a case by case basis.  It certainly is not anywhere near this insane characterization that all of the sudden guests are going to start inventing issues that fall within those clauses.  They could have done that just as easily any time over the last 10 years.

    If someone walked into your house and said "the fridge doesn't work I want a refund" or "the house isn't clean enough I want a refund" they could have done it all along.  That's not new.  The only issue that actually matters at all here is the new timeline that gives them more time to do it, which I agree is a very bad change.

    Cosmic Vacations4.9174 Reviews
    WebsiteView Page
    1Reply
  • Lauren Kormylo
    Rental Property Investor · Phoenix, AZ and Rehoboth Beach DE · Member since 2019 · 1k+ posts · 1k+ votes
    4y
    Quote from @John Underwood:

     How does Houfy make money? Can you synchronize calendars between them and Vrbo/Airbnb?

    Here’s what the owner of the site says as far as making money: https://www.houfy.com/help/wha...

    Syncing calendars https://www.houfy.com/help/cal...

    0Reply
  • John UnderwoodPro Member
    Investor · Greer, SC · Member since 2014 · 13k+ posts · 17k+ votes
    4y
    Quote from @Lauren Kormylo:
    Quote from @John Underwood:

     How does Houfy make money? Can you synchronize calendars between them and Vrbo/Airbnb?

    Here’s what the owner of the site says as far as making money: https://www.houfy.com/help/wha...

    Syncing calendars https://www.houfy.com/help/cal...


     Thanks Lauren!

    Guess I need to put an add on Houfy.

    1Reply
  • Scott K.
    Member since 2020 · 223 posts · 233 votes
    4y

    Personally I prefer airbnb. I've found that people who try to extort me after the booking making up things, airbnb takes it more seriously, whereas vrbo customer support is way worse, and is unable to help. VRBO also has a ton of glitches with their system that causes guests to for some reason, to constantly inquire again, after they've already booked, and say stuff like 'i can't find my booking, can you help?' but I'm unable to, because they're requesting a inquiry, which means I can't send them my phone number, or send them links. And for some reason, they can't find their booking conversation. It's really strange and seems to keep happening lately.

    I would 'never' book direct. Try getting your money from someone who caused anything in damages. I'd have to start taking damage deposits, and even then, the rare problem guest causes way more than $500 in damages. It's a lose/lose. At least with airbnb, if a guest causes damages, no matter what they'll pay me for it. Regardless of what the guest does (use fake IDs from another country for instance)

    1Reply
  • Ken Boone
    Investor · Greenville, SC · Member since 2015 · 1k+ posts · 1k+ votes
    4y
    Quote from @Scott K.:

    Personally I prefer airbnb. I've found that people who try to extort me after the booking making up things, airbnb takes it more seriously, whereas vrbo customer support is way worse, and is unable to help. VRBO also has a ton of glitches with their system that causes guests to for some reason, to constantly inquire again, after they've already booked, and say stuff like 'i can't find my booking, can you help?' but I'm unable to, because they're requesting a inquiry, which means I can't send them my phone number, or send them links. And for some reason, they can't find their booking conversation. It's really strange and seems to keep happening lately.

    I would 'never' book direct. Try getting your money from someone who caused anything in damages. I'd have to start taking damage deposits, and even then, the rare problem guest causes way more than $500 in damages. It's a lose/lose. At least with airbnb, if a guest causes damages, no matter what they'll pay me for it. Regardless of what the guest does (use fake IDs from another country for instance)

     Wow - it's so funny how varying the opinions are on each platform and the reasons why.  @Scott K. It is just funny because we prefer VRBO over AirBnb all day long for very similar reasons you mentioned just about the opposite platform. ;)  I personally think AirBnb tends to over extend their reach into how I manage my STRs and I think they are a pain in the butt to work with.  Instead of just being a listing platform, IMO they want to try to manage the host too.  Fortunately for me, the majority of my bookings come from VRBO which is my platform of choice.  Outside of political reasons for liking one platform over the other it most likely comes down to luck of the draw as to which specific agent happens to answer the phone on a support call.  For us, with VRBO, we normally get someone on the phone quickly who knows what they are doing and knows how to fix the issues.  That just doesn't normally happen for us if we call AirBnb. Generally any VRBO issues we have are resolved during that conversation, with AirBnb it seems to always require multiple phone calls, multiple agents and several days to get an issue resolved.  I'm sure that situation may be reversed for others.  

    I do agree about the direct booking though.  I won't say I will never do it, but as long as the listing platforms keep me at an 85-90% occupancy rate I have no need to exert energy down that path.  I just don't see the benefits at this point in time.

    2Reply
  • Account Closed
    OP
    Member since 2018 · 58 posts · 24 votes
    4y

    I cannot relate to any of @Scott K. comments. When you mention guests' extorting you, do you mean reviews? My priority is Guests' not being able to extort money $$$ by lying; which they can never do on VRBO, and easily do on AirBNB. Glitches on AirBNB have changed settings.

    But with regard to direct bookings, I am cautious about making certain I set it up properly; and mindful of risks. But I don't feel my business is MY business when I am dependent on platforms. Furthermore, I want to expand. With one property I probably wouldn't. I think the platforms are giving a false sense of security against damage or loss. But maybe a short term rental business is not feasible without the platforms.

    1Reply
  • Ken Boone
    Investor · Greenville, SC · Member since 2015 · 1k+ posts · 1k+ votes
    4y

    @Account Closed As far as direct bookings go, that has always been the argument - right - safety net if something happens to the big platforms.  It would take a tremendous amount of effort to try to even compete.  Sure it is easy to get repeats guests to direct book, but that is a small percentage of your yearly bookings.  Your direct bookings site will never be able to compete with the SEO of the big players.  I am not saying it is not possible but it will take a tremendous amount of effort to do that to the point where you don't need them.  In my market, both platforms take care of collecting and remitting my taxes as well.  For my situation, I don't have the time or energy or want to take on the additional risk factor of trying to focus on growing a direct booking website, when the two main platforms give me  80-90% occupancy on my properties.  I am not saying don't do it, lots of people do and that is fine.  I am just telling you why I don't do it.

    1Reply
  • Michael BaumPro Member
    Olympia, WA · Member since 2016 · 8k+ posts · 7k+ votes
    4y

    I am now getting about 35% of our bookings with AirBNB with the rest VRBO. I haven't really had much trouble with either of the platforms. I don't allow instant booking and chat with each and every potential guest. I also have a minimum stay of 3 days. I think that cuts down on problems.

    2Reply
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