SHS047: Strict Cancellation Policy For Airbnb Hosts Is Gone! Host Are Now Responsible For Chargebacks!?
Intro
Airbnb is making major changes…
And depending on how you run your business:
👉 These changes could either hurt your profits
👉 Or position you to win long-term
In this episode, Elijah Bilel brings together experienced operators to break down what’s really happening—and how to adapt.
Panel Cast
Host:
Elijah Bilel – Founder of The Side Hustler’s Society
Panelists:
Micheal Brown – Founder of PBD Stays
👉 Learn more about his business hereFederico Zimerman – Founder of Black Bird Hospitality
👉 Connect with him and his work here
Episode Overview
In this panel discussion, we break down:
Airbnb’s new cancellation policy changes
Why hosts are now responsible for chargebacks
How pricing strategy ties into policy changes
The shift toward more “professional” hosting standards
Why many operators are moving toward direct bookings
How to compete with hotels (not just other Airbnbs)
Listen to the Episode
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Why This Panel Matters
Elijah Bilel intentionally brought on operators with larger portfolios and different business models to give a more complete perspective.
Because Not All Hosts Are the Same
Small operators → fewer units, simpler systems
Large operators → teams, systems, scaling challenges
The Key Insight
👉 The bigger your operation, the more these changes matter
If you’re newer to Airbnb or looking to build a stronger foundation before navigating changes like these, you can get access to a free 5-part video series on getting started as a host by joining The Side Hustler’s Society newsletter Here .
Breaking Down Airbnb’s Policy Changes
This episode focuses on three major updates:
1. Cancellation Policy Changes
Airbnb is removing the strict cancellation policy
👉 Hosts now have less control over refunds
What This Means
Previously:
Hosts could keep more revenue on late cancellations
Now:
Guests have more flexibility
Hosts take on more risk
Why This Is Controversial
👉 It directly impacts profitability
Especially for:
Larger properties
Higher nightly rates
Perspective Shift: Not Everyone Sees This as Negative
Federico provides a contrarian perspective:
👉 Airbnb may just be catching up to the rest of the industry
His Take
Other platforms already prioritize flexibility
Flexible policies can increase booking volume
Pricing strategy should adjust accordingly
Meanwhile, Micheal Brown Adds Another Layer
Micheal Brown highlights that operators also need to think beyond just Airbnb policies and focus on:
👉 how they generate and control their own demand
His Focus
Direct outreach (cold + warm)
Retargeting past guests
Building B2B relationships
Why This Matters
👉 If you rely ONLY on Airbnb…
You’re more exposed to platform changes
The Bigger Lesson: Adaptation Over Complaining
Across the panel, there’s a shared theme:
👉 The operators who win are the ones who adapt
What That Looks Like
Adjusting pricing models
Understanding booking behavior
Diversifying lead sources
Reality Check
👉 The platform will change whether you like it or not
Why Flexible Policies Can Increase Bookings
Federico emphasizes:
👉 Flexibility lowers friction
Consumer Psychology
People are more likely to book when:
Risk is low
They have options
They feel protected
Additional Insight from the Panel
Even when cancellations happen:
👉 Listings may get boosted again in visibility
Micheal Brown’s Strategy: Control the Demand
While policy changes matter…
Micheal Brown focuses on something deeper:
👉 Not relying on platforms alone
His Approach Includes
Direct marketing to businesses
Outreach to corporate clients
Following up with past guests
Key Insight
👉 The more control you have over your leads…
👉 The less these changes affect you
You’re Not Just Competing With Airbnb Hosts
This was one of the biggest insights from the discussion:
👉 Your real competition is hotels
Why This Matters
Hotels offer:
Flexible cancellations
Consistent experiences
Predictability
So If You’re Competing…
👉 You need to match or beat that experience
Example: Why Strict Policies Can Hurt You
Elijah Bilel shares a real experience:
Launched a listing
Used a strict cancellation policy
Got no bookings
What Changed
👉 Switching to a more flexible policy
Result
👉 Immediate booking activity
Understanding Customer Behavior
The panel also highlights how people actually book travel:
Typical Booking Flow
Flights
Events
Accommodation last
Implication
👉 Many bookings are last-minute
So If Your Policy Is Too Strict
👉 You miss those opportunities
Advanced Strategy: Competing Smarter
Federico shares a powerful positioning strategy:
Example
Offering 1-night stays
Capturing overlooked demand
Charging premium pricing
Meanwhile, Micheal Reinforces
👉 Demand isn’t just captured—it can be created
Through:
Outreach
Relationships
Strategic targeting
The Bigger Trend: Professionalization of Airbnb
A core theme throughout the panel:
👉 Airbnb is evolving into a more structured marketplace
What That Means
Less flexibility for hosts
More standardization
Closer alignment with hotels
Why This Is Happening
Shareholder pressure
Customer expectations
Market maturity
Final Thoughts
This panel makes one thing clear:
👉 Airbnb is changing—but opportunity still exists
Key Takeaways
From Federico:
👉 Adjust your pricing and strategy
From Micheal:
👉 Build systems outside the platform
From Elijah:
👉 Understand the customer and adapt
Because at the end of the day
👉 The operators who win aren’t the ones who resist change
👉 They’re the ones who move with it
If you want a step-by-step breakdown of how to actually get started and position yourself as a host in today’s market, you can get access to the free 5-part Airbnb starter video series by joining The Side Hustler’s Society newsletter Here .