A host’s guide to Airbnb’s cancellation policies

Hosts using Airbnb should be prepared for unforeseen circumstances that result in cancellations. Airbnb provides several different cancellation options that hosts can select for each listing, plus some stricter options that are only available by invitation. This article covers the pros and cons of each option plus tips to avoid host initiated cancellations that may result in penalites.

Recent Airbnb cancellation changes

On 1 October 2025 Airbnb reworked its standard cancellation policies for stays of fewer than 28 nights, shifting the balance a little further towards guest flexibility.

The main change is that every standard short stay policy that meets this criteria now includes a 24-hour cancellation period. Guests can cancel for a full refund, for up to 24 hours after the reservation is confirmed, as long as it was confirmed at least seven days before check-in.

Airbnb also introduced a new Limited policy, which sits between Moderate and Firm, and withdrew Strict as a standard option.

What are the Airbnb host cancellation options available?

Airbnb hosts have several options in terms of what cancellation policy they want to set for their listing, including:

• Flexible

• Moderate

• Limited

• Firm

• Strict (by invitation only)

• Super strict 30 days (by invitation only)

• Super strict 60 days (by invitation only)

• Firm long term

• Strict long term

• Non-refundable stays

Let's have a look at each one in more detail, including the pros and cons of each.

Flexible cancellation

With the flexible option, guests have up until 24 hours before the scheduled check in to cancel their booking. Guests that do this get a full refund.

If a guest cancels after this, hosts get paid for each night the guest stays plus an additional night.

Pros and cons of flexible cancellation

Flexible cancellations may result in more cancellations but could result in increased booking income too.

For a guest, this type of cancellation may be very appealing. If you want more bookings or are looking for a way to stand out from the competition, then this option may suit you, so long as you are aware of its potential pitfalls.

Moderate cancellation

With this version, guests have the option to cancel their booking up to 5 days prior to the scheduled check in.

If a guest cancels after this, hosts get paid for every night they stay as well as one additional night, and 50% for all unused nights.

Pros and cons of moderate cancellation

Moderate seeks to strike a balance between flexible and more strict cancellation options. As a host you could attract more guests by leaving it fairly close until check in date. It also gives you more time if the guest cancels before the 5 days. You'll be compensated better too.

Whether this is good enough for you will depend on your listing. Is your property regularly booked? If not a flexible cancellation policy may attract more bookings. A moderate one may offer more certainty if you're worried about cancellations.

Limited cancellation

Guests have to cancel at least 14 days before the scheduled check in date to be eligible for a full refund. If the guest cancels between 7 and 14 days prior to check in, and after the 24-hour cancellation period, you'll receive a 50% refund for all nights. Hosts will receive 100% of nights if the cancellation is less than 7 days before scheduled check in.

Pros and cons of limited cancellation

Limited sits between moderate and firm. It gives you two weeks' notice to re-let the dates, which is more breathing room than moderate, without asking guests to commit a full month ahead as firm does.

For hosts who found strict too tough but moderate too generous, this is the middle ground Airbnb added to replace it. It is only available on reservations booked on or after 1 October 2025.

Firm cancellation

Guests have to cancel at least 30 days prior to the scheduled check in date to be eligible for a full refund. If the guest cancels between 7-30 days prior to the local check-in time, hosts receive 50% for all nights. Hosts will receive 100% if the cancellation is less than 7 days before scheduled check in.

The 24-hour cancellation period also applies, so a guest can still cancel for a full refund within 24 hours of booking provided they booked at least seven days before check in.

Pros and cons of firm cancellation

If you're worried about losing income then a firm cancellation policy may compensate you better and give you more time to look for new bookings if a guest cancels at least 30 days prior.

The stricter your cancellation policy, the less appealing this may be to guests. But what if you are confident that you'll have plenty of guests booking anyway? In that case this option may work for you.

Strict cancellation

Strict is now only offered to certain hosts by invitation. For guests who cancel 7 or more days before check in, and after the 24-hour cancellation period, hosts are paid 50% for all nights. Hosts are paid for 100% of all nights if the listing is cancelled less than 7 days before check in.

Pros and cons of strict cancellation

Guests may be put off by the lack of flexibility if they change their mind after booking. But if protecting your income is important to you then this option may be more suitable if you are eligible.

Super Strict 30 days cancellation

Guests get a 50% refund for cancelling under this option as long as they do this at least 30 days before check in, and after the 24-hour cancellation period. Cancellation after this means that the host gets paid 100% for all nights. This is also only available to certain hosts by invitation.

Pros and cons of Super Strict 30 day cancellation

This option is only available through invitation only under special circumstances so it is not easily accessible for everyone. Like other stricter cancellation options it offers more protection for hosts but may not be appealing to guests.

Super Strict 60 days cancellation

This invitation only option is almost the same as the 30 day super strict option except that this time the guest has to cancel at least 60 days before arrival to get a 50% refund for all nights. Hosts get paid 100% for cancellations within less than 60 days of check-in.

Pros and cons of Super Strict 60 day cancellation

Similar pros and cons apply as mentioned in Super Strict 30 days above. Making your cancellation this strict may not seem that appealing to guests however unless you have a good reason to do this.

Firm long term

Like the strict long term version, this applies to stays of 28 days or over and overrides the standard cancellation policy for the duration of the stay.

Guests have to cancel at least 30 days before check in to get a full refund under this option. Cancellations after this mean that hosts get paid 100% for all nights spent plus 30 additional nights.

If fewer than 30 days remain on the booking when the guest cancels, hosts get paid 100% for all of the nights remaining.

Pros and cons of firm long term cancellation

Guests may incur costly penalties under this option, but unlike Strict Long Term below, guests don't have to cancel within 48 hours of booking. If a guest does cancel at least 30 days before check in, that may give you a reasonable time to find an alternative.

Strict long term

This long-term option applies to bookings that are 28 days or more and so standard cancellation rules don't apply here. To receive a full refund, guests must cancel within 48 hours of making their booking. For the full refund to be eligible this must also be at least 28 days before the scheduled local check-in.

What if a guest cancels after that? In those situations hosts are paid 100% for all the nights spent and 30 additional nights too. For guests cancelling with less than 30 days remaining, hosts are paid 100% for all of the remaining nights.

Pros and cons of strict long term cancellation

For longer term bookings, this protects the host a lot more. Some guests may be put off by the idea of not getting a refund if they don't cancel within 48 hours of booking. If they've already made plans to stay somewhere for a longer time (e.g. work) then this may not be an issue.

Non-refundable option

Hosts can add this as an option for guests for stays of less than 28 days in addition to their chosen cancellation policy. The guest can choose this option when booking for a slightly reduced rate in return for not receiving a refund if they cancel. The 24-hour cancellation period still applies with the exception of certain hotel listings, so a guest can cancel for a full refund within 24 hours of booking if they booked at least seven days before check in.

Pros and cons of non-refundable cancellation

Some hosts may earn more money by providing a non-refundable option. Guests could be attracted to paying less on a booking and hosts will not have to worry about losing money should they cancel.

Some guests may be put off by non-refundable cancellation, but the good news is that this is optional. Hosts considering doing this need to work out if they will get enough bookings to offset the slightly reduced rate for guests choosing this option.

Exceptions to cancellation policy rules

Sometimes standard cancellation rules do not apply. Guests can cancel bookings without adverse consequences and receive a full refund if there is a Major Disruptive Event.

Issues covered under Airbnb's Refund and Book Policy for Homes may also sometimes result in the cancellation policy being overidden and a refund issued to the guest.

What happens if a host cancels a booking?

Hosts cancellations are treated seriously by Airbnb, and the consequences go further than some hosts may expect. It's worth understanding them before you're in a position as a host where you need to cancel.

You won't be paid, and you'll pay a fee

You don't receive a payout for a reservation you cancel — the guest is refunded, so there's nothing to pay out. On top of that, Airbnb charges a cancellation fee, normally withheld from your next payout or payouts.

If a payout has already been released, which can happen where you cancel after check-in or part-way through a long stay, Airbnb withholds that amount from your next payout instead. The same applies where Airbnb later finds you responsible for a cancellation.

The fee depends on how close to check-in you cancel, and is calculated on the reservation amount:

• More than 30 days before check-in — 10% of the reservation amount.

• Between 48 hours and 30 days before check-in — 25% of the reservation amount.

• 48 hours or less before check-in, or after check-in — 50% of the reservation amount for the nights not stayed.

There's a minimum fee of $50 USD, and if the calculated fee comes to less than that, Airbnb rounds it up to tha amount. Note that Airbnb states these figures in US dollars even on the UK site.

For longer stays of 28 days or more, the percentages are applied differently: they're calculated against the non-refundable portion of the reservation at the point you cancel, up to the 30 days following the cancellation date, rather than against the whole booking.

The other consequences

Airbnb can block your calendar for the affected dates, so you can't simply cancel one booking and re-let the same nights to someone paying more. Beyond that, your listing or account may be suspended or removed, and Superhosts can lose their status.

You can be held responsible even if you didn't press cancel

This catches hosts out. Airbnb can treat you as responsible for a cancellation where it happens because the property is grossly and materially different from how you described it at booking — and the fees and consequences then apply regardless of who actually initiated the cancellation.

Airbnb gives double-booking as an example, along with substituting a different property for the one the guest booked, and significant listing inaccuracies that materially disrupt the stay. Advertising a pool that guests can't actually use is the example Airbnb uses.

You also can't sidestep this by nudging the guest into cancelling instead. Airbnb states plainly that a host may not encourage a guest to cancel, and providing false statements or materials in connection with the policy breaches the Terms of Service.

When fees are waived

Airbnb will waive the fees where you cancel because of a Major Disruptive Event or certain other valid reasons genuinely beyond your control. You'll be asked to provide documentation or other supporting evidence, and Airbnb decides based on what you submit.

Two things to be clear on if this applies to you. A waived fee doesn't necessarily mean no consequences — your calendar may still be blocked. And you still won't receive a payout for the cancelled booking, whatever else is waived.

If you can't honour a reservation for any reason, cancel promptly. Airbnb puts the responsibility on you to give your guest enough time to make other arrangements, and the earlier you act, the lower the fee band you fall into.

Tips for avoiding cancellations

Setting the right cancellation policy that works for you is the best way to avoid you having to make booking cancellations. But sometimes it can be unavoidable. Here are some things you can do in advance to make cancellation less likely.

Maintain your property

Would you like to stay at a property that was unclean or poorly maintained? Most would not. There will always be someone capable of being unhappy with even the most minor of issues but hosts still need to keep the basics right. Keep your property clean, tidy and maintained. Most guests expect this as a bare minimum.

In the event of potential property damage, you may want to check that you have the cover you require as some home insurance policies may not cover hosting as standard. Check out Pikl's Airbnb insurance page if you require dedicated cover.

Plan your calendar availability

Planning your calendar availability in advance is crucial in avoiding booking cancellations.

The first step you will need to take as a host is to establish the dates in the year where you can't rent your property and block out these dates. If you don't do this then you run the risk of accepting bookings on dates where you aren't able to fulfil this. This could be especially problematic if you have instant bookings turned on.

If you also list your property on platforms other than Airbnb, you may need to make sure that you are not overbooking on particular dates either. Booking and calendar management software may make this easier.

Communicate with your guests

As we've repeated elsewhere, communicating with your guest is important in case you need to cancel promptly, should an issue arise. The same applies to avoiding cancellations too.

Some disputes arise due to poor communication. If a guest has paid for a booking, they were probably happy with your listing. But don't assume they have everything they need.

Some guests may have particular needs or requirements and may appreciate it if you go out of your way to make reasonable efforts to accommodate them.

If a guest does not have any reviews, reach out to them. It's important however to follow Airbnb's non-discrimination policy when doing your due diligence on guests.

Make sure your listing is clear

Be sure to be as descriptive as possible when presenting your listing. As a host you can't mention or take a photograph of everything but make sure that the key facts are covered. Take clear photographs of the key areas in your property and mention key facts that potential guests may want to know about.

Set sensible ground rules

Your property, your Airbnb house rules. Setting house rules for the guest to follow is important so that both parties know where everything stands. At the same time, don't set rules that guests are unlikely to follow and may not appreciate.

Be honest

It's understandable that hosts want to present their listing in the best light possible but it's crucial not to be misleading. If you miss out something important or lie to the guest, they may not be happy if they find out.

Key takeaways

Whilst not the most exciting subject, choosing the right cancellation option for your listing could be important when it comes to both attracting more bookings and avoiding potential hassle later on down the line.

Knowing the potential penalties for cancelling a booking as a host and focusing on strategies that reduce the likelihood of this occurring may make your life much easier and allow you to focus on other things.