Unless you have been living under a rock, you may have heard about this thing called the coronavirus. Like most, I bet your’re wondering how Airbnb’s cancellation policy works for coronavirus. And more importantly, if you will get a refund.
Airbnb stated they will not charge a cancellation fee for bookings between March 14 and April 14. This only applies for bookings made on or before March 14.
This may be welcome news for guests who have had their travel plans binned, but hosts are fuming. With so many guests cancelling and receiving full refunds, hosts are being hit hard. So where do you stand as an Airbnb host?
I have written this article to answer all your questions, as both a host and a guest. I’ll even show you 5 ways to make money as a host during this coronavirus panic.
What is Airbnb’s coronavirus cancellation policy?
Airbnb has updated their extenuating circumstances policy with the coronavirus, which you can read about here – Airbnb.com.
In summary, guests will receive a refund on bookings made on or before March 14th, 2020. It will cover reservations between the dates of March 14th to April 14th, 2020.
The hosts cancellation policy will remain as is for any bookings made after March 14th. It will also apply to bookings made before March 14th, but for stays beyond April 14th.
I have written a guide on Airbnb’s extenuating circumstances policy which covers this in more detail.
So to sum up, yes you will get a refund, only if you meet the above criteria.
How does Airbnb coronavirus refund work?
Both hosts and guests will be wondering how the Airbnb coronavirus refund works for cancellations.
Guests:
Airbnb will refund you in full if you cancel your covered booking during the coronavirus cancellation period. This also includes all service fees as well.
Hosts:
Airbnb will not charge you should you cancel a covered reservation during the time period stated. The good news is this will have no impact on your SuperHost status. In addition, you will receive a refund on all service fees.
So what is a covered booking? If your booking is not covered, the hosts cancellation policy will apply as usual. If this has happened to you, I would recommend reaching out to your host.
Airbnb coronavirus solutions for hosts
Yes, it is a terrible time if you are an Airbnb host. But don’t despair, as there are still opportunities for you to make money during this down period.
#1 – Long term rental
The Airbnb coronavirus is not going away anytime soon and you still need to pay your bills. One solution is to pull the plug and rent out your property the ‘traditional’ way. Turning to a long term rental is a way to have money rolling in for those bills. Sure, you’ll earn less than Airbnb, but at least you’re making money. Also, furnished places rent for a lot more than empty places.
#2 – Self isolation deal
Many countries are enforcing a compulsory 14-day self isolation period. You could advertise to travelers stuck in limbo and of need in a place to stay. This is a niche opportunity that will earn you money during these down times. Take the listing below, for example:
#3 – Offer credit for future stay
One good idea to avoid an Airbnb coronavirus cancellation is to offer a credit. Your guest can use this credit for a future stay, thus avoiding the need for a guest to cancel. The good thing with this idea is that it will open up your calendar for new bookings as well.
#4 – Ask a guest if they are coming
Why not just simply ask your guest if they are coming or not? Some guests leave it until the last minute to cancel a booking. With Airbnb offering free refunds for cancellations, this is a nightmare. If you ask a guest early enough, they may cancel, freeing up your calendar for local bookings.
#5 – Get good utility deals
Most businesses are struggling and big companies are not immune. Now is the time where you can take advantage of this. You may be able to snag some great deals on your utility bills while special promos are on. Check out deals on Wifi, gas and electricity and see if you can lock in a long term deal.
How is coronavirus effecting Airbnb hosts?
Hosts are livid with Airbnb’s handling of cancellations during this coronavirus outbreak. Bookings made months earlier are being cancelled the night before. What’s worse is there is no compensation for the host.
Many hosts have also complained about the speed in which Airbnb are dealing with things. I have seen hosts saying their calendar is still showing as full, even after a cancellation.
Other platforms, such as Booking.com, are not giving refunds for coronavirus cancellations. Meanwhile, HomeAway are actively calling hosts and working through solutions with them.
Which leads to the question, why aren’t Airbnb doing more to help hosts?
What does the future hold?
This coronavirus pandemic is not going away anytime soon. The virus will continue spreading and guests are going to be cancelling. Therefore you’ll need to be vigilant as a host.
Most countries have already closed their borders indefinately. It could be months before borders open up again and people start travelling again. This is going to leave hosts out of pocket.
With this thing moving so quickly and changing from day to day, who knows what will happen. Be sure to bookmark this page, as I will continue updating with new information.