Have you ever had a guest request an unreasonable refund? How did you handle it?

Question

Full Refund Requested by Airbnb Guest – Fair or Not?

Recently, We dealt with a difficult Airbnb situation that raised a question for all hosts: when a guest requests a full refund, is it always fair?

Here’s what happened.

The Timeline:

Apr 25: Five families with 9 adults, 4 children and 2 infants checked into one of our properties.

Evening of Apr 26: They reported seeing a mouse.

Apr 27: They checked out and immediately requested a full refund for $1370.

This home is newly built in 2023, and this was the first-ever pest sighting reported. We take this issue seriously for sure, and we ordered pest control service right away.

Despite no earlier complaints and positive comments in their review about the home’s cleanliness, the guests demanded a full refund — even though they had used the home and all its amenities (including the hot tub) for the full weekend.

Our Response and Airbnb’s Decision:We respectfully but firmly explained to both the guest and Airbnb that a full refund was not reasonable under the circumstances. Airbnb reviewed the situation and suggested us to give guests a 30% refund, which they accepted.

But the issue didn’t end there.

The guest left a 1-star review, which appeared retaliatory rather than reflective of their actual experience. We formally appealed to Airbnb, making the case that:

• The guest used the threat of a bad review to demand a larger refund — a misuse of the review system.

• The 30% refund was Airbnb’s suggestion after their own investigation, not an admission of fault on our part.

Outcome: Airbnb agreed and removed the review.

Final Thoughts

This situation made me reflect on how important it is for both hosts and platforms to maintain fair boundaries. Guests should be able to report real issues — and be taken seriously — but not weaponize reviews or refunds as leverage after a full stay.

As hosts, we’re held to high standards. But we also deserve protection from unfair treatment.

Have you ever had a guest request an unreasonable refund? How did you handle it? Let’s share and learn from each other.

John Underwood · Answer

In over a decade I have never had someone ask for any sort of refund. I also don't have to deal with the Airbnb crowd since we get most of our bookings from VRBO.

Joseph Sauer · Answer

Great job on handling the situation. And I think the situation went about as well as you could hope for considering how Airbnb can tend to side with guests. I am sorry the situation took place though.
Did the pest control ever find the mice? Just curious

Carolyn Fuller · Answer

This past January I had a guest who booked my STR for a month. She was not even a week into her booking when she said her plans had changed and she would be leaving in 2 days. She wanted a full refund on the remaining part of her booking.

I told her I would refund her any portion that I was able to rebook. She ended up only getting about a 1/4 of her money back but I think she was Ok with it. She had total control over the situation. When no one was booking any of the days, she asked me to drop the asking price and I did. When that didn't work, she asked me to drop it even lower. I did exactly what she asked. I think the fact that I gave her that control, she was able to accept the fact that very little of her money was refunded.

By the way, this guest was from China and I think Asians might have different expectations about refunds.

I learned later that, by law, South Koreans can cancel a reservation and get a full refund on remaining days all the way up to the checkout day. Airbnb now won't allow a South Korean visitor to book instantly because the host must first agree to the South Korean refund laws. I agreed to a short stay South Korean booking in my shared space listing because it was both short and cheap but I would never agree to a longer stay South Korean booking or one that was for the expensive apartment. I'm guessing this law results in far fewer Airbnb options for South Korean travelers.

Michael Baum · Answer

Well handled @Jing Zhou. Came out as good as it could have.

I find the hantavirus mention funny. Less than 5 cases a year here in WA state.

Mike Grudzien · Answer

We never have had a full refund request, but in a couple of minor situations, after they stayed the full number of nights of the booking, I offered a "50% discount on their next stay".  And it worked.

Mike Grudzien · Answer

You did a great job documenting and detailing everything.  And that's what did the trick.

Robert Masucci · Answer

Great job in handling this situation!

Have you ever had a guest request an unreasonable refund? How did you handle it?

Final Thoughts

Most Popular Reply