Airbnb is introducing significant changes to its cancellation policies, with a key development being the removal of the “Strict” policy for new listings from 1 October 2025. These changes are likely to materially impact hosts’ income and revenue predictability. BnBNews details what’s changing and provides helpful guidance on how owners and managers can protect their interests.
What changes from 1 October 2025
Abolition of the “Strict” policy for new registrations
As of October 1, hosts will not be able to choose the “Strict” policy for new registrations.
All existing registrations with the “Strict” policy will automatically be moved to the “Firm” policy, unless hosts actively choose to keep it (grandfathering).
How to maintain the “Strict” policy
Hosts wishing to maintain the strict policy must follow the steps below before the deadline of 1 October 2025:
Log in to your Airbnb account.
You will be notified of upcoming changes to the cancellation policy.
Click “Review and Confirm”.
Select “Keep Strict Policy“.
If no action is taken, Airbnb will automatically move your listing’s policy to “Firm”.
Comparison of Policies: “Strict” vs “Firm”
| Policy | 100% Refund | 50% Refund | No Refund |
|---|---|---|---|
| Strict (current) | – | ≥ 7 days before | < 7 days |
| Firm (new default) | ≥ 30 days before | 7-30 days before | < 7 days |
The “Firm” policy offers more flexibility to guests, which probably translates into less financial security for hosts, especially in markets with high seasonality.
New “Limited” policy for short stays
Airbnb introduces the “Limited” policy, which is positioned between “Moderate” and “Firm” and is mainly aimed at bookings under 28 nights.
| Policy | Full refund | Host payout if guest cancels after full refund period |
|---|---|---|
| Moderate | up to 5 days before | Nights stayed+ 1 additional night + 50% remaining nights |
| Limited (new) | up to 14 days before | 50% (7-14 days), 100% (<7 days) |
| Firm | up to 30 days before | 50% (7-30 days), 100% (<7 days) |
Universal 24-hour period for free cancellation
From 1 October 2025, a single 24-hour free cancellation period is introduced for all cancellation policies (including grandfathered Strict):
Valid for reservations confirmed at least 7 days prior to check-in.
Replaces the previous 48-hour period.
Guests can cancel without any charge within 24 hours of booking.
This adds another level of flexibility in favour of the guest, reducing the stability of bookings for hosts.
What applies to luxury and high-value accommodation
Historically, Airbnb has offered “Super Strict 30” and “Super Strict 60” policies only to select hosts with luxury properties.
If you own a high-value property or premium villa:
You can contact Airbnb and request activation of one of these policies.
This ensures greater revenue predictability and discourages last-minute cancellations.
Airbnb promises up to 10% revenue growth with “Firm”
The platform claims that hosts who switch from the “Strict” to the “Firm” policy earn on average 10% more. However:
No transparency has been given on how this average was calculated.
Market and location conditions play a key role in performance.
Conclusion: Before you accept the change, consider your stats and the type of visitors you’re attracting.
What hosts should do now
STEP-BY-STEP INSTRUCTIONS
Log in to your Airbnb account.
Check for the notification about changes to the cancellation policy.
Click “Review and Confirm”.
Select “Keep Strict Policy ” if you want to keep the existing policy.
Complete the process before October 1, 2025.
Airbnb’s changes to its cancellation policies confirm a broader trend for the platform to offer more flexibility to guests. For hosts, this means a greater need for strategic management and informed choices around cancellation policies.
👉 If you rely on your “Strict” policy for revenue security, don’t neglect to maintain it. If you still want to experiment with more flexibility to increase bookings, carefully evaluate the performance of the new “Firm” or “Limited” policy.
