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New ‘option’ for cancellation that you must opt OUT of starting June 3rd:
Introducing extended cancellation
Starting June 3, we’re testing a new policy option called extended cancellation, where guests can add more flexibility and your earnings will be protected. This allows guests to pay Airbnb for free cancellation up to 24 hours before check-in.
This doesn’t change your cancellation policy. If a guest cancels during the extended window, you’ll still be paid according to your existing policy.
Hosts who offer flexibility typically earn more, and many guests say it’s a key factor when choosing a place to stay.
Gee, cancelled dates will immediately open on your calendar, how awesome. I’m sure almost all hosts have no problem rebooking reservations cancelled 24 hrs. before check-in. And I so look forward to spending 2 hours cleaning and resetting the guest room and bathroom for a no-show.
Okay, this is confusing. There is a thread on the Airbnb CC dating from early April where hosts are discussing this, and one host posted a screenshot of the cancellation policy settings page which shows this “extended cancellation” option that you can turn off. But there is no such policy option on my edit cancellation policy page.
They’re probably rolling it out in different places at different times:
“ The extended cancellation option is currently available for eligible hosts and listings in: Argentina, Canada, Chile, Colombia, Ireland, Netherlands, Philippines, Poland, Sweden, Türkiye, US, and Vietnam”
I’m confused. Airbnb will charge guests a fee that enables them to cancel whenever. But assuming the host has a stricter policy in place, the payout will remain as expected even if the guest cancels? Why would Airbnb do this if it might end up costing them significantly? Or is it really the case that relatively few guests cancel at the last minute, even if they pay for flexibility just in case, so this is a way to make money.
But if it doesn’t change the host’s existing cancellation policy or payout, why it is being made a deal of? I’m wondering if this is an evidence building mission by Airbnb to support a future plan to remove all the less flexible cancellation policies…
So let’s imagine for a mo… my friend books our room for say, five nights. Then cancels 24 hours before kick off.
And we get a 50% payout.
No mess, no fuss.
Sounds kinda dreamy.
We should all start a syndicate to support each other.
Anyone for a week in the Shropshire hills?
I fancy 10 days in Mexico for starters.
Okay, so we get paid 50%. If we aren’t in a last minute booking market, and/or don’t like last mimute bookings, those cancelled dates don’t get rebooked. We end up with 50% of what we would have made. This starts to happen with alarming frequency. How is this no big deal?
Meantime, Airbnb has made money off the guest’s opting to go for “extended cancellation”. And is Airbnb going to refund their service fee portion of the booking, or just the nightly fee?
And I’d like to see the data on “Hosts who offer flexibility typically earn more.”
I suspect that the majority of hosts who have a flexible cancellation policy are those who have no issue with last-minute and same day bookings, which we know can be problematic, (bad guests, payment fails after guest is in residence, host has to scramble to prepare space, etc.) and are in a market where last minute bookings are their bread and butter, i.e. if they live near an airport or interstate, where road trippers may decide spontaneously they don’t want to drive anymore that day.
I don’t see how AirBnB doesn’t lose money on this. They are refunding the guest, and paying the host…and all for this whatever fee they are charging the guest to have the flexible cancelation? I bet this program doesn’t last long.
