What Is the VRBO Service Fee and Why Do I Have to Pay It?
(Want to know how to avoid VRBO service fees? Skip to the end!)
We hear these questions all the time! With ski season in full swing and beach season just around the corner, it’s the perfect time to clarify what the VRBO service fee is, why it exists, and—most importantly—how you can avoid it.
Understanding the VRBO Service Fee
The vacation rental industry has seen massive changes over the past few years. Major consolidations have reshaped the landscape: Airbnb skyrocketed from a small startup to a multibillion-dollar company, Expedia spun off TripAdvisor and FlipKey, and HomeAway acquired VRBO—only for Expedia to later purchase both VRBO and HomeAway.
With all these shifts, major online travel companies have found new ways to increase their revenue—often at the expense of both vacation rental owners and guests.
Why Does VRBO Charge a Service Fee?
Many vacation rental websites, such as Airbnb and FlipKey, charge percentage-based service or booking fees. Historically, VRBO and HomeAway operated on a subscription-based model. However, after Expedia acquired these platforms, they introduced a service fee to maximize revenue—without eliminating the subscription fees that owners and managers were already paying. This change left both owners and guests frustrated.
According to VRBO, the service fee helps cover the cost of running their platform, including transaction security, customer service, and their “Book with Confidence” guarantee. However, it’s worth noting that most of these benefits are already included when booking with a credit card, thanks to consumer protection policies offered by credit card companies.
How to Avoid Paying the VRBO Service Fee
Now for the part you’ve been waiting for—how can you skip the VRBO service fee (or similar fees on Airbnb and FlipKey)? The answer is simple: Book directly through the owner or property management company!
VRBO is no longer just “Vacation Rentals by Owner”—it has essentially become “Vacation Rentals by Expedia.” Like any middleman, they take a cut of every booking. But savvy travelers can avoid these unnecessary fees by booking directly with the owner or a reputable management company.
Most legitimate owners and management companies have an established online presence with verified reviews and their own website. If you find a property you love on VRBO, Airbnb, or booking.com, take a few extra minutes to search for the owner or company directly. This simple step could save you hundreds on your next vacation rental!
Final Thoughts
Booking directly not only saves you money but also allows for better communication with the property owner or manager. You’ll often get access to more flexible policies, insider recommendations, and even potential discounts.
At Ski Sand Seas, we believe in making vacation planning as seamless—and cost-effective—as possible. If you’re looking for a hassle-free booking experience with no unnecessary fees, explore our direct booking options today!
