What You Need to Know About Booking.com Fees for Hosts

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The Insider @ Houst
Last updated on
June 20, 2024

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What You Need to Know About Booking.com Fees for Hosts

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Booking.com fees can be a real challenge for hosts. With every rental site having its own fee structure, figuring out the pricing on each can be quite a headache for any vacation rental manager.

The fees on Booking.com can vary based on several factors like location, property type, and cancellation policy. This makes it tricky to wrap your head around all the different fee combinations. However, don’t let these fees discourage you from listing your property there. Booking.com has over 6 million listings and gets 100 million visitors every month.

If you're excited to list your property and want to learn about Booking.com fees for hosts, make sure to check out this guide. Let’s get started!

Table of Contents

What are the Booking.com Fees for Hosts?

For property hosts, Booking.com uses a commission-based system to charge fees. That means that every time you get a reservation through the Booking.com app or website, you pay a percentage of that booking.

These commission rates can range from 10% to 20%, and sometimes even up to 25%, based on several factors including:

  • The country where you're registered
  • Your property's location
  • The type of property you have
  • Your cancellation policy
  • The payout method you choose

While your property's location and cancellation policy plays a big role in determining the fees, it's also important to note that the type of property, such as whether it's an apartment or villa, can affect the rates.

Also, if you use Payments by Booking.com, which handles all transactions for hosts and guests, the cost can vary. The bank processing fees for this service range from 1.1% to 3.1%, depending on your property's location.

Booking.com's Commission Rates 

Booking.com charges a commission based on the room rate, ranging from 10% to 25%. This percentage depends on various factors such as location, peak seasons, the number of rooms, and the length of stay. Alternatively, hotels can choose a commission-free model, paying a fixed fee per booking instead of a commission percentage.

Booking.com's commission rates are relatively high compared to other online travel agencies (OTAs) like Expedia and Airbnb. Expedia charges between 10% and 15%, and Airbnb charges between 3% and 5%. However, Booking.com’s higher commission rates are balanced by its massive user base and extensive marketing efforts, which can help landlords reach a wider audience.

Booking.com Cancellation Fees

If you decide to list your property on Booking.com, there are a few important things to consider regarding cancellation fees.

How to Set Up a Cancellation Policy

Many property managers prefer to offer non-refundable bookings. However, when using Booking.com, it’s important to know that if guests cancel or don’t show up, you, as the host, will still be charged the commission.

If you cannot charge a guest who didn't show up, you can cancel their fee by marking them as a no-show on the extranet

Mark Guests as No-Shows in the Extranet

Here’s how you can mark guests as no-shows:

  • Log into the Extranet and go to the Reservations section.
  • Find the guest’s reservation number and open the details.
  • Click the “Mark as No-Show” button.
  • You and your guest will get emails confirming the cancellation because of the no-show.

Please report any no-shows promptly. The option is available from midnight on the check-in date until 48 hours after the planned check-out date.

How Do Booking.com Hosts Get Paid?

Booking.com offers various ways for hosts to receive payments, giving both hosts and guests flexibility. Here’s a breakdown of the options:

Online Payments:

  • Credit, Debit, and Prepaid Cards 
  • Digital Wallets
  • WeChat, iDeal, Sofort, Klarna, PayPal Credit

Cardless Payments:

  • PayPal
  • Sofort

Pay on Site:

  • Credit/Debit Card
  • Cash

Avoid Booking.com Fees with Direct Bookings

Listing your properties on Booking.com gives you access to a huge audience of potential guests. But did you know you can also get direct bookings through your business website, Facebook, or phone?

Property managers can avoid the fees charged by big platforms like Booking.com or Airbnb by taking direct bookings. 

How to Set Up Cleaning and Damage Deposit Fees on Booking.com

Setting up cleaning fees and damage deposits on Booking.com is a bit trickier than Airbnb, but the platform offers more flexibility for these extra charges.

Here’s how you can do it:

  • Go to the Property tab in the Extranet.
  • Go to the Policies section.
  • Look for the option to create additional fees.

How to Avoid Payment Method Issues on Booking.com

Unfortunately, guests may use false credit cards on Booking.com. To minimise the chances of fraudulent bookings, it is highly recommended that a deposit be charged upfront.

Another option is to verify the credit card details provided by the guest using a payment processor like Stripe. 

Conclusion 

Booking.com's fee structure for hosts can be quite complex. Various factors like location, property type, and cancellation policy affect the percentage charges. These fees can range from 10% to 25%, but the average is around 15%.

Fees can vary based on how you set up your property and guests' choices. To manage your commission levels effectively, it’s crucial to regularly update your listings and reservations on the Booking.com extranet. 

Managing them all can get quite complicated for professional hosts with multiple listings. To stay ahead of your competitors, consider hiring property managers like Houst!

The Insider @ Houst

The Insider @ Houst

The Insider team at Houst is dedicated to providing up-to-date and relevant information on short-term rentals. If you have hosting inquiries, please write to us at expert@houst.com. For guest inquiries, reach out at guest@houst.com. We are here to help you navigate the world of short lets and look forward to assisting you with your needs.

The Insider @ Houst

The Insider @ Houst

The Insider team at Houst is dedicated to providing up-to-date and relevant information on short-term rentals. If you have hosting inquiries, please write to us at expert@houst.com. For guest inquiries, reach out at guest@houst.com. We are here to help you navigate the world of short lets and look forward to assisting you with your needs.

Commission-Based
Pricing From

12%
of your
rental revenue
The commission depends on
the property profile and location

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