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Home / Travel

Airbnb host cancels booking after Kiwi refuses price hike

Sarah Pollok
By Sarah Pollok
Multimedia Journalist·nzme·
18 May, 2023 08:57 AM6 mins to read

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The woman said she would not have used Airbnb had she known the issues that could arise with hosts. Photo / Unsplash, Airbnb

The woman said she would not have used Airbnb had she known the issues that could arise with hosts. Photo / Unsplash, Airbnb

A Kiwi woman was left upset and confused after seeing an Airbnb she had booked for a long weekend show up on a new listing for almost triple the price.

Unlike many people who scramble to sort long-weekend plans, Bridget was pleased to book a house in href="https://www.nzherald.co.nz/topic/tauranga/" target="_blank">Tauranga for Auckland Anniversary weekend 2024, at the end of 2022.

However, the forward planning was undone after a lengthy dispute with the Airbnb host, who asked for an extra $330 before demanding she cancel the booking.

“On March 2 the host messaged asking for more money,” Bridget told Herald Travel. “Clearly, the host made an error with our booking price and the owner was not willing to honour it.”

While an Airbnb host is often the owner or main resident of the property, this isn’t always the case. Other times, property owners outsource the renting to a third party, who manages the Airbnb listing.

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The host messaged Bridget saying they were “terribly embarrassed” but the rate was incorrect and she should have paid $595 a night, instead of the $380 rate she booked.

“The price you have booked the property for your stay in January is actually our winter rate, not the summer rate,” they wrote in a message seen by the Herald.

If Bridget could pay an extra $110 a night, that would be “an amazing act of kindness and a great relief”.

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Uncomfortable with the request, Bridget contacted Airbnb, which said she was not obligated to pay more. She kept the booking and did not respond to the host.

Weeks later, on May 5, Bridget saw the property listed again on Airbnb but under a new ID and different host. The price to stay during Auckland Anniversary weekend 2024 was $1000 a night.

On May 9, the host contacted her again with some “bad news”: the accommodation was no longer available.

“The property owners have decided this week to no longer list the property due to numerous incidents,” they wrote. “If you request a cancellation now you will receive a full refund.”

Bridget replied to say she would not cancel. “It does not seem that ‘the owners’ have chosen not to list the house. It seems that they want to relist the house for more money,” she wrote. After contacting the host of the new listing, they confirmed it was the same property.

She refused to cancel the booking as she believed the owners and host were trying to avoid cancellation penalties from Airbnb.

“I understand they get penalties if they cancel, which is why they want me to cancel.”

Fortunately, by May 21, the host cancelled the booking and Bridget received a full refund. However, she said she was confused about how Airbnb hosts could get away with demanding more money or relisting places for a higher rate.

“To me, it feels that Airbnb have no power with regards to owners changing hosts (for whatever reason) and not transferring the bookings if they can make more money,” she said.

“I just don’t understand how this kind of business conduct is allowed.”

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Why Airbnb prices change during the year

As goes the law of economics, when demand increases (as it does during summer, long weekends or major events) accommodation prices often do too.

Ideally, Airbnb hosts pre-empt these periods and set prices accordingly. However, travellers told the Herald they have seen accommodation hosts backtrack and raise prices after realising an event is taking place.

Christine Lambert said she requested an Airbnb as soon as the dates for Beach Hop (a music festival in Whangamatā) were announced.

Her booking request was denied and the accommodation showed up again with a “substantially” higher price.

“I understand that accommodation is a premium that weekend as there isn’t much about but it was truly frustrating,” she said.

Another traveller said warnings of this behaviour on Facebook made her hesitant to use Airbnb during December. Chantel Keith said she planned to spend Christmas and New Year in Sydney but had reconsidered using Airbnb after a Facebook group warned people about cancelled bookings and price hikes.

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Others said they had used the platform dozens of times without a hitch and that the problem was not specific to Airbnb.

“Don’t judge Airbnb by this and other examples. Most hosts are very ethical and this does also happen on other booking platforms,” said one Kiwi traveller.

After hearing Bridget’s story, Doug Menzies, who has stayed in more than 70 Airbnbs, said he had “never heard of this happening in New Zealand”. Sara Colson Ahola said she had used the platform several times with no problem.

Can an Airbnb host change the price after a booking?

If a host wants to change the price of a confirmed booking, they can send guests a “trip change request”. As the name suggests, this is a request and guests can decline or choose not to respond, in which case the reservation will “stay as is”, according to Airbnb’s website.

If the host cancels the booking within 30 days of check-in, Airbnb will provide a similar or better home or a refund.

Why Airbnb hosts may ask guests to cancel

If a host no longer wants to honour a booking’s date or price, there’s a good reason for asking a guest to cancel, according to one Kiwi Airbnb host.

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“If a host cancels a booking for any reason, those dates are automatically blocked on their calendar,” said Vicki Steven, who has been a top-rated “SuperHost” on the platform for more than five years.

“If you are genuinely sick or the house was damaged in a storm, that won’t be a problem, but if you just want to relet at a higher price you can’t.”

Hosts will face a fee if they cancel a reservation without proof of an approved reason, such as emergency repairs, serious illness or declared emergencies, according to Airbnb’s website.

The fee is between 10 and 50 per cent of the reservation amount (depending on when they cancel) and the date in the calendar may be blocked.

If a guest cancels the booking, the host avoids these penalties. However, hosts are under no obligation to accept the cancellation, in which case the booking must be honoured.

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