What is a host fee on Vrbo: US guide

Navigating Vrbo’s fee structure is essential for any US vacation rental owner looking to maximize their profits.

But what exactly is a Vrbo host fee, and how does it impact your revenue?

In this comprehensive US guide, you will learn how these fees are calculated, what they cover, and strategic ways to manage them to keep your business profitable.

We'll also introduce the Wise account, which allows you to send, spend, and receive your money across the globe in over 40 currencies – all at the fair mid-market rate.

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What is Vrbo & why is it popular among American hosts?

Vrbo is a pioneering online marketplace that connects property owners with travelers seeking unique accommodations.

Unlike competitors that list individual rooms or shared spaces, Vrbo exclusively features whole-home rentals, such as standalone cabins, beach houses, and condos.

This distinct focus makes Vrbo incredibly popular among American hosts. By catering primarily to families and larger groups looking for multi-day stays, the platform attracts guests who generally have higher travel budgets and a respect for private property.

For US hosts, this translates into longer average bookings, higher average daily rates (ADR), and less frequent turnover compared to platforms dealing in single-room rentals.

What types of fees do the US-based hosts need to deal with on Vrbo?

Here is a comprehensive list of the different types of fees you need to manage as a US-based Vrbo host.

Let’s take a look at the detailed breakdown:

1. Platform fees

Vrbo currently operates on two fee models, though one is largely a legacy program.

Pay-per-booking model¹:

This is the default fee structure for the vast majority of hosts. It costs roughly 8% per booking and is split into two separate charges:

• Commission fee (5%): This is calculated based on your nightly rate plus any mandatory host-defined fees you set (such as cleaning or pet fees). It is not applied to local taxes or refundable security deposits.
• Payment processing fee (3%): This covers the cost of handling credit cards securely. Unlike the commission, this 3% fee applies to the entire checkout amount – meaning it is charged on your nightly rate, your host fees, taxes, and refundable damage deposits.
• Note: If you connect your listing to Vrbo using third-party Property Management Software (PMS) and process guest payments through your own gateway, you only pay the 5% commission to Vrbo.

Annual subscription model²:

• Annual Fee ($499 - $699): This is a flat, yearly rate paid per listing that completely eliminates the 5% per-booking commission.
• Payment Processing Fee (3%): You are still required to pay the 3% processing fee on every transaction processed through Vrbo's system.
• Note: Vrbo is no longer accepting new subscribers for this model. It is currently only available for hosts renewing an existing, active subscription.

Expanded distribution fee¹:

Non-Standard Checkout Fee (10%): If a booking originates from one of Vrbo’s expanded distribution partner sites but is not routed through Vrbo's standard checkout flow (usually only applicable to certain PMS-connected hosts), the standard commission jumps from 5% to 10%.

2. Host-Defined Fees (What You Charge the Guest)

Vrbo allows you to set additional mandatory or optional fees to cover the operational costs of your rental. Keep in mind that Vrbo applies both the 5% commission and 3% processing fee to these charges\1.

Standard fees:

• Cleaning Fee: A one-time charge to cover turnover, laundry, and sanitization after a guest checks out.
• Pet Fee: A flat fee or nightly charge to accommodate guests traveling with animals.
• Extra Guest Fee: An additional nightly charge triggered when the guest count exceeds your defined base capacity.

Custom / administrative fees:
You can create custom line items to charge for specific amenities, services, or business rules, such as:

• Pool / Hot Tub Heating Fee
• Linens / Towel Fee
• Early Check-In / Late Check-Out Fee
• Property Management / Administrative Fee

3. Deposits, taxes, and guest fees

While these are not traditional "host fees" that you keep, you must account for how they are processed, as they affect your payouts and the final price your guest pays¹.

• Refundable Damage Deposits: You have the option to require a security deposit. While Vrbo does not charge their 5% commission on this, they do charge the 3% payment processing fee when they collect it. If you refund the deposit to the guest after a clean checkout, Vrbo will reimburse you for that 3% processing fee.
• Occupancy / Lodging Taxes: Depending on your local jurisdiction, Vrbo may collect and remit taxes automatically, or you may be responsible for doing it yourself. Importantly, Vrbo applies the 3% payment processing fee to the tax amount before it is remitted.
• Guest Service Fee: Vrbo charges the guest a separate, variable fee at checkout. While Vrbo does not publish the exact formula, it typically ranges between 6% and 15% of the booking subtotal (higher percentages for smaller bookings, lower percentages for larger ones). You do not pay this out of pocket, but it inflates the final bill, which can impact your listing's competitiveness.

Getting paid on Vrbo with Wise

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*Please see Terms of Use for your region or visit Wise Fees & Pricing for the most up to date pricing and fee information

Bottom line

Mastering host fees is an important strategy for remaining competitive and adapting to current Vrbo market trends.

Because these charges directly impact your take-home pay, a clear understanding of them empowers you to make informed, data-driven decisions that safeguard your long-term success.

🚀 Get started with Wise

Sources

1. Vrbo – pay-per-booking fees
2. Vrbo – subscription

Sources checked 06/29/2026