US: Short-term rental platform Airbnb has announced a series of updates to its cancellation policies, which will take effect on 1 October 2025, in a move to offer guests greater booking flexibility.
One of the key changes is the introduction of a 24-hour cancellation window, allowing guests to cancel within 24 hours of booking for a full refund, provided the reservation was made at least seven days before check-in.
Airbnb is also introducing a new “Limited” cancellation policy, which allows guests to cancel up to 14 days before check-in for a full refund. Cancellations made between seven and 14 days before check-in will result in a 50 per cent refund to the guest. Bookings cancelled within seven days of arrival will not be refunded.
The most significant change for hosts is the removal of Airbnb’s “Strict” policy. From October, the Strict policy will no longer be available for new listings, and existing listings will automatically transition to the “Firm” policy unless hosts choose to opt out by 1st October 2025.
Under the Firm policy, guests can cancel up to 30 days before check-in for a full refund. Cancellations made between seven and 30 days will result in a 50 per cent refund to the guest, while cancellations within seven days will not be refunded.
Airbnb has stated that more than 40 per cent of guests consider free cancellation a top priority when booking accommodation. The platform says the policy updates are intended to improve guest confidence and make listings more appealing to a wider range of travellers.
Highlights:
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Airbnb’s updated cancellation policies will take effect from 1 October 2025
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A new 24-hour cancellation window will apply to bookings made at least seven days in advance
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Airbnb introduces “Limited” policy and phases out “Strict” in favour of the “Firm” policy
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Hosts must opt out by 1 October 2025 if they wish to retain Strict terms
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Airbnb says 40% of guests prioritise free cancellation when booking
