Generating income through Airbnb hosting can be highly lucrative, with hosts pocketing up to
80% or more of the total guest payment. However, Airbnb does apply various commissions
and service fees to each booking.
Understanding the exact Airbnb pricing structure and what percent Airbnb takes from your earnings is key, allowing hosts to accurately forecast potential returns.
Airbnb Host Earnings Breakdown
When a guest books your listing, they pay the nightly rate you set plus:- Cleaning fees
- Any extra guest charges
- Airbnb service charges
- Taxes
Airbnb Host Commission Rates
Airbnb typically applies a 3% host service fee to each reservation. This fee is based on the subtotal of the nightly rate, cleaning fees and extra guest charges only. For example:- £100 x 7 nights = £700 (Nightly Rate Subtotal)
- £60 Cleaning Fee
- £0 Extra Guest Charges
- £760 Subtotal
- 3% of £760 = £22.80 (Airbnb Host Service Fee)
Airbnb Payment Processing Fees
When a guest pays for your reservation via Airbnb, the company collects payment then credits your account minus their commission. They process earnings direct to your connected bank account or PayPal weekly. Airbnb does not charge any specific payment processing or transfer fees for host payouts in the UK market. Your only direct expense to Airbnb is their variable host service fee.Does Airbnb Take a Percentage of Refunds Too?
If a guest cancels under your listing’s policy, Airbnb refunds them the amount paid minus their own service charge. As a host, Airbnb will only deduct their commission from any portion of funds you must refund guests under cancellation policy rules. For example, if a guest cancelling 3 days before check-in is entitled to 50% refund of amounts paid based on the cancellation policy, Airbnb will:- Refund 50% to the guest
- Deduct their 14% fee from that refunded portion
- Deduct 3% commission from the 50% you must refund as the host
- The remainder is credited to your account
Maximising Host Revenue Share
While Airbnb’s host commission is lower than many platforms, hosts naturally want to maximise their rental income. Strategies include:- Set competitive nightly rates to attract bookings
- Add cleaning fees to increase your subtotal
- Enforce stricter cancellation policies to prevent refunds
- Ensure accurate listings and good reviews to drive bookings
Letting 53 Degrees Property Maximise Your Revenue
Trying to master Airbnb hosting solo can be extremely time consuming. Handing over day-to-day management to short term rental specialists like 53 Degrees Property is the best way to optimise earnings. Our AirBnB property management Birmingham team will handle pricing strategies, booking optimisation, guest communications, cleaning, restocking and 24/7 support. We maximise occupancy and revenue for owners. With round the clock assistance for guests and our five star service raising review scores that attract more bookings, we drive higher returns from your property than self-managing. To discuss outsourcing hosting duties to rental experts so you earn more as an Airbnb owner, contact us today!Get your FREE Airbnb Valuation below!
Please fill out the form below and we’ll get back to you within 24 hours by call or email with an estimate of what your property could make you as an Airbnb managed by 53 Degrees Property.
You have nothing to lose and everything to gain!
