Airbnb has long been the darling platform for hosts, offering high returns for a modest ~3% fee, plus handling lodging taxes. That model made it a no-brainer and it’s no wonder hosts have come to rely so heavily on the platform. But starting October 27, 2025, Airbnb is rolling out a 15.5% host-only fee for PMS-connected listings (with Brazil at 16%)—eliminating the guest fee entirely and fundamentally shifting the cost structure for hosts.
To put it in perspective, short-term rental companies typically budget around 9% for marketing, yet now hosts are effectively paying double that per booking just to be visible on an oversaturated OTA. So this fee hike? That’s not a cost—it’s a budget bomb. If you’re not crystal clear on your break-even rate, you could already be losing money without realizing it.
Short answer: Yes—substantially harder.
For professional hosts operating with ~15% net profit margins per night, this new fee has the potential to erase profits outright. The sting doesn’t stop there. Airbnb still owns the guest relationship, handles refunds and cancellations, and you’re left holding the operational bag for compliance and service.
“Hosts are covering the bill while Airbnb still owns the guest relationship… guests don’t see this—they still expect the host to solve every problem, but our hands are tied to Airbnb’s policies.”
It’s not just a fee increase, it’s a heavier burden with no corresponding control or articulated upside to the host.
Technically, yes Airbnb is now structured more like Booking.com and Expedia. All platforms now charge hosts directly, shifting the guest-facing model to an all-inclusive price. The battlefields are narrowed to fee rates and guest experience.
But Booking.com may have just scored a strategic win. Its integration with TikTok—allowing users to book without leaving the app and empowering creators through the TikTok Go program gives it a product edge Airbnb currently lacks. Airbnb now risks looking dated, especially as hosts reel from fee hikes and RevPAR softening. In other words, Airbnb might lose supply if hosts pivot away due to economics, not loyalty.
Guests probably won’t notice the fee shift—most never understood that Airbnb handled payouts or what it covers. What they’ll see is rising nightly prices.
But here’s the real danger:
Some hosts may price themselves out of their local market.
If most hosts raise their rates, the entire market inflates, dampening demand.
Yet, with the checkout interface simplified “one price shown” guests will psychologically feel better about paying more. It’s cleaner. But that doesn’t mean they’re getting more.
From the trenches, here’s my battle-tested advice for staying profitable and resilient:
This fee overhaul isn’t just a shift, it’s a wake-up call.
Airbnb’s move may bring parity with OTAs like Booking.com and Expedia, but without innovation on the guest journey front, hosts could view it as a defensive retreat, not a strategic advance.
But this change doesn’t have to sink your business. With strategic pricing, multi-channel diversification, content-driven trust, and unwavering guest experience, you can take back control.
This is your moment, not just to survive, but to evolve into a brand, not just a listing. From what I’ve seen on the front lines, that evolution isn’t just possible, it’s already happening.