Airbnb Strict Cancellation Policy — How it Works

Hosts and guests using Airbnb for renting and booking travel accommodations should be aware of the Airbnb strict cancellation policy. This is different than the company’s standard cancellation policy.

The cancellation policy is actually three policies based on different time frames. Airbnb has three different cancellation policy options: Flexible, Moderate and Strict. The Airbnb strict cancellation policy also has three options: Strict, Super Strict 30 day and Super Strict 60 day.

Airbnb Strict Cancellation Policy

Cancellation is free if the guest cancels within 48 hours of booking their reservation, and at least 14 days prior to check-in time listed in their email confirmation. The guest also is able to cancel 7 days prior to check-in for a 50 percent refund of their nightly rate, as well as the cleaning fee, but they will be charged for the service fee. If the guest cancels less than 7 days prior to check-in or leaves early after check-in they will be charged for the full rate of the initial booking.

This means that as a host, even if a guest cancels, you still might be able to get all or a portion of the payment you were due. This prevents guests from affecting your income too drastically if they cancel at the last minute and you are unable to re-book your property.

It also should be noted that a guest is only allowed a refund for three cancellations within a 12 month period of time. The guest will also not be granted a refund if the canceled reservation overlaps with an existing reservation. For additional information regarding this policy please see the Airbnb web page with FAQ.

The goal is to prevent guests from abusing the ability to cancel on hosts. Airbnb understands that its hosts are not multi-million hotel chains and they cannot afford to have guests acting as if they are. They’ve built some safeguards to prevent guests from “destroying” an Airbnb hosts business with any irresponsible behavior or overuse of the ability to cancel a reservation.

The Airbnb Super Strict Cancellation Policy Further Enforces this for Hosts and Guests

Airbnb Super Strict 30 Day Cancellation Policy

With this policy there is no full refund after booking a reservation. The guest is able to cancel 30 days prior to check-in for a 50 percent refund of their nightly rate, as well as the cleaning fee, but they will be charged for the service fee. If the guest cancels after 30 days prior to check-in there is no refund granted.

Airbnb Super Strict 60 Day Cancellation Policy

With this policy there is no full refund after booking a reservation. The guest is able to cancel 60 days prior to check-in for a 50 percent refund of their nightly rate, as well as the cleaning fee, but they will be charged for the service fee. If the guest cancels after 60 days prior to check-in there is no refund granted.

It also should be noted that a guest is only allowed a refund for three cancellations within a 12 month period of time. The guest will also not be granted a refund if the canceled reservation overlaps with an existing reservation. For additional information regarding this policy please see the Airbnb web page with FAQ.

Most hosts do not implement the Super Strict policy because it can backfire. It offers protection, but it can also serve as a deterrent when trying to attract guests. This is because guests fear being refunded if something comes up and they need to cancel. The Super Strict 30 and 60 day cancellation policies are quite rare and are only available to certain hosts under special circumstances.

In most cases, the hosts that have the option of and choose to implement these policies do so because their properties are easily rented and are almost always booked. There might also be circumstances in which a host wouldn’t normally use the Super Strict policy, but chooses to do so because of a specific situation. There might be a special event in the area or a high risk for cancellations to occur. They would implement the Super Strict policy so they can rest easy knowing their property is booked during that time period.

Another time when the Super Strict cancellation policy might be implemented is similar to the scenario noted above. If a host is able to charge a higher than usual amount based on circumstances, it might be a good idea to implement the Super Strict policy. For example, if there is a nearby special event and it’s reasonable to charge three or more times the usual rate for a rental, a host would want to do everything in their power to discourage cancellation during that time because their loss is three times greater. It just makes sense to do whatever possible to prevent such a great loss.

If you are a guest, whether or not you want to choose properties that feature the Super Strict cancellation policy is up to you. There are many instances in which it would not be recommended. But there are also times when you might not have a choice because the only property available has implemented the Super Strict policy. Or you might be convinced that nothing will interfere with travel, so you are willing to take the risk on the Super Strict option. Essentially, it’s best to decide on a case by case basis what is right for you as a guest.

Should You Use the Super Strict Cancellation Policy as a Host?

The best answer to this question is “maybe.” You really need to evaluate your situation and determine if the additional protection of the Airbnb cancellation policy provides is worth the risk of driving away potential guests. You only need to attract one guest per booking period, so if your goal is to avoid cancellation issues than it might be the right option for you. If you’d rather throw out a wider net to more potential guests, the regular cancellation policy might just be enough.