Anyone who’s been a click away from booking a short-term rental on Airbnb, only to realize that the final price has been jacked up on surcharges, has experienced frustration with how the platform displays prices. That said, what are the cities with the worst Airbnb fees?
DEEPER DIVE: Are short-term rentals investors ruining Arizona housing market?
Forbes Advisor analyzed 32,000 listings in the 100 most popular Airbnb markets to establish regional trends for nightly rates, cleaning fees, and taxes.
Key findings for cities with the worst Airbnb fees:
• Nationwide, customers face an average of 36% in fees on top of nightly rates.
• In Phoenix, customers face an average of 47% in fees on top of nightly rates (2nd highest nationally).
• The average nightly rate in Phoenix is $202 with 20% average cleaning fees, 16% average service fees, and taxes of 10% on average.
• Four Arizona cities made the top 100 list (Phoenix #2, Scottsdale #7, Sedona #36, and Flagstaff #52).
“Arizona has investors who are buying homes that would’ve otherwise gone to families and turning them into long- or short-term rentals. One in five houses is bought for rentals throughout the country. Here in Arizona, 30% of homes purchased are for rentals,” says Greg Hague, CEO of 72 Sold, a real estate company that aggressively markets residences before they are shown to buyers.
Take a look at the full report.
