For property managers targeting family vacations and larger group stays, Vrbo (part of the Expedia Group) is a dominant platform. But understanding how much Vrbo charges hosts is vital for setting competitive rates. Vrbo offers hosts a choice between two distinct fee structures: the Pay-per-Booking model and the Annual Subscription model.
The Pay-per-Booking Fee Breakdown
Most independent hosts opt for the Pay-per-Booking model, which involves zero upfront costs. Under this model, Vrbo's fee consists of two parts:
- 5% Commission Fee: This is calculated based on the rental amount and any additional mandatory fees you charge, such as cleaning or pet fees.
- 3% Payment Processing Fee: Because guests pay through Vrbo's secure payment platform, a 3% credit card processing fee is applied to the total transaction amount (including taxes).
Combined, you can expect about an 8% total deduction from your gross bookings. Our Vrbo host fee calculator automatically separates these to give you an accurate net payout.
The $499 Annual Subscription Model
If you run a high-performing property, the Pay-per-Booking model can become expensive. Vrbo offers an alternative: pay a flat $499 annual fee, and you will pay 0% commission on your bookings for the entire year. You will, however, still be responsible for the 3% payment processing fee on each transaction.
Frequently Asked Questions (FAQ)
When should I switch to the Vrbo Annual Subscription?
The break-even point is roughly $10,000 in gross annual revenue. If your property generates $10,000 or more per year specifically on the Vrbo platform, paying the $499 upfront will save you money compared to giving up 5% on every single booking.
Does Vrbo charge commission on taxes?
Vrbo does not charge the 5% commission on taxes or refundable damage deposits. However, the 3% payment processing fee does apply to the total amount processed, which includes taxes and deposits.
Vrbo vs Airbnb Fees: Which is cheaper for hosts?
Generally, Vrbo is cheaper for the host. Vrbo takes around 8% total, whereas Airbnb's standard host-only fee is 15.5%. However, Airbnb typically provides a much higher volume of bookings for most urban and smaller properties.