How to Add Deposit Fee to Airbnb?

Updated : Feb 13, 2025

A security deposit eases some worries about welcoming new guests every time in your vacation rental. For Airbnb hosts, the money collected gives a sense of protection in case there is any unforeseen damage to the home. You can always recover the repair costs from the deposit fees. The decision to add a deposit fee to Airbnb is totally up to you. If you, too, wish to have this financial safety net but aren’t sure where to start, we bring you the easy steps to add a deposit fee to Airbnb.

What is Airbnb Security Deposit? 

An Airbnb security deposit refers to a refundable amount hosts may request from their guests before arrival. Security deposits safeguard Airbnb hosts from covering the damages from their pocket. If the guests do any damage during their stay, you can deduct the repair amount from the safety deposits. In case of no damages, a complete refund is issued at the end of the stay. 

For example, if your guests are travelling with pets or service animals and the Airbnb requires additional cleaning due to pet-related messes, you can use a portion of the security deposit to cover the extra cleaning costs.

How to Add Deposit Fee to an Airbnb Listing?

If you are an Airbnb host and want to secure your home from any potential damages, here’s how to add a deposit fee to an Airbnb listing: 

1st Step: Go to your Airbnb account and select the listing you need to add the deposit. 

2nd Step: Select the ‘Manage Listing and Calendar’ option below the listing title. 

3rd Step: On the left-hand menu bar, select the ‘Pricing’ option. Scroll down to ‘Additional Pricing Options’. 

4th Step: Select the ‘Security Deposit’ box and enter the amount you wish to charge as a security deposit. 

5th Step: Save the changes; your security deposit should be added to the listing. 

Note: The Airbnb security deposit policy does not allow hosts to charge security deposits outside the Airbnb platform. However, if you manage a listing via API-connected software, you can set the security deposit.

Difference Between Host-Required Security Deposit and Airbnb Security Deposit 

Depending on who manages the deposit amount, there are two types of deposits to cover property damages: 

1. Host-Required Security Deposit: 

This is a refundable amount a guest sees during the booking. But it is not an advance payment deposit. Guests are only charged if the host sends a damage claim request.

Hosts can make a payment request directly to the guest. Although this type of security deposit gives the host more control, a guest can also reject the claim. In this case, the Airbnb support team has to be involved to resolve the issue.  

If the guests accept the claim, Airbnb collects the money. After processing, it will be reflected in your account in 5-7 days. 

2. Airbnb Security Deposit: 

In an Airbnb-required security deposit, the company places an authorization hold on the guests’s payment method. The amount covers the deposit, and the hold is placed two days before the booking date.

The guest is not charged for the deposit, but the funds worth the deposit amount are inaccessible for use during their stay. Hosts can make a claim within 14 days or before a new guest checks in. If there are no damages, Airbnb will lift the hold. 

For example, if a guest is paying via credit card with a $2000 limit and your deposit amount is $200, the authorization hold will increase their credit limit to $1800. If you make a claim for $150, the amount is charged to the credit card. 

In some cases, hosts can also collect a security deposit on-site, similar to an advance payment. You can collect the amount as part of the booking charges, and if there is no damage, the amount will be refunded. However, this can also lead to disputes that Airbnb cannot intervene in. 

Should You Charge an Airbnb Security Deposit? 

The decision to add security deposits to a listing is completely to the owner’s discretion. You may wonder if security deposits are necessary if you’re new to hosting. Here are some pros and cons to consider before adding Airbnb security deposit fees: 

Pros of Airbnb Security Deposits 

• Safety measure: The security deposit acts as a safety net in case of any damages. It prevents losses from your pocket for prompt repairs.
• Avoids severe violations: Adding a deposit fee to Airbnb will ensure guests are careful and responsible. They will try to avoid any accidents, damages, or house rule violations with money at stake.
• Easy refunds: The security deposit fee processing is simple. Whether you make a claim or want to refund the amount to the guests, you can do so easily.
• Flexibility: A host can set the deposit value depending on their property, amenities, and potential risks. 

Cons of Airbnb Security Deposits 

• Can deter bookings: Not everyone may be comfortable with paying an extra deposit. This can deter some from booking your property, especially for people looking for budget-friendly stays. 

• Trust issues: Guests may also perceive security deposits as a sign of mistrust from the host. If you and the guests disagree about the damage they caused, it can lead to further conflicts. 

• Hidden charges: Adding deposit fees in the later stage of booking can appear as hidden charges.

How to Claim Airbnb Security Deposit?  

If you add Airbnb deposit fees and the property is damaged, you will have to get the claim processed. It is best to approach via the Airbnb Resolution Center. 

• Inspect the property for any damage or vandalism within 14 days after the departure or before new visitor check-ins.
• If there is damage, raise a security deposit claim. You must provide proof of the damage and the amount required for repairs. Provide detailed receipts and invoices to calculate the deposit required. 
• Guests get 72 hours to reply to the claim. If the claim is accepted, you will get the money via Airbnb within 5 to 7 days. 
• If guests refuse to pay, Airbnb support team mediates for further resolution. 

How to Charge Airbnb Security Deposit? 

No fixed amount can justify a security deposit on your Airbnb. You must consider several factors like property value, neighborhood data, competitor prices, etc. As mentioned earlier, a deposit amount can also deter guests from booking a property but for seasonal pricing for peak seasons, you can always add deposits to ensure quick repairs. 

Deciding the price

Calculate the value of the entire property and the amenities provided. Also, compare the deposit amount against the average nightly rate of your listing. Generally, the security deposit should not exceed 20% of the total booking cost. 

Include it in Pricing Strategy

Make the security deposit option a part of your Airbnb pricing strategy. You can rely on specialized software like PriceLabs to make data-driven decisions on deciding the overall pricing for your property. Once you decide a competitive base price, it will be easier for you to decide on a security deposit. 

Adding Deposit Fees Via Booking Channels

PriceLabs will help you with more than just dynamically pricing your property and increasing your revenue. When you use PriceLabs for dynamic pricing, you get access to Neighborhood Data. In this dashboard, you’ll see a chart – future prices. We have a neat little feature there – Markup. 

Let’s say your ADR( Average Daily Rate) is $250 and you request a $140 security deposit. You can mention that in the dropdown. The graph will reflect the final amount along with the security deposit. This will help you understand your pricing and effectively benchmark against your competitor.

Conclusion: How PriceLabs Simplifies Airbnb Listing

When you add deposit fee to Airbnb, you are taking a step ahead in ensuring responsible behaviour from your guests for maintaining the property well. However, Airbnb only allows hosts to collect security deposits as offline fees if they integrate API-connected property management software. This is where PriceLabs can prove beneficial with our revenue management and dynamic pricing tools. 

Our platform helps individual hosts and hospitality professionals optimize their pricing and revenue management, adapting to changing market trends and occupancy levels. We have several customizations that help you simplify pricing or update minimum-stay restrictions. We operate on  Airbnb, Vrbo, and 110+ property management and channel integrations.

Frequently Asked Questions

1. How much fees does Airbnb charge?

Airbnb charges a 3% host fee (or 14%–16% for some listings). Guests typically pay 14%–16% in service fees. Some hosts use a host-only fee model (14%–16%). Additional costs may include cleaning fees and local taxes. Fees vary by location and listing type.

2. Does Airbnb put a hold on your card?

Yes, Airbnb may place a temporary hold on your card to verify funds before confirming a booking. This is not a charge and usually disappears within a few days, depending on your bank’s policies.