OTAs
Vrbo FAQ: Everything You Need to Know Before Listing Your Property
Thinking about listing your vacation rental property on Vrbo to reach more travelers worldwide? Most likely, you have lots of questions. In this article, we answer some common questions that will help you understand how this platform works for property owners.
Thinking about listing your vacation rental property on Vrbo to reach more travelers worldwide? You likely have lots of questions about hosting on this popular OTA platform with over 50 million monthly visitors.
A good idea is to explore the Vrbo website and, in particular, the Owner Help section, where you can find helpful information and answers to the Vrbo FAQ. In this article, we answer common questions to help you understand how this platform works for property owners.
You may also want to check out our article about Vrbo rules for owners.
Vrbo Owner Questions
If you are interested in hosting guests in your vacation rental property, getting started on Vrbo is simple. Check out this list of Vrbo owner questions to get a better idea of what it takes to become a Vrbo host.
How does Vrbo work for property owners?
Vrbo is a vacation rental platform where property owners list their homes directly and rent them out short-term to travelers worldwide. Now there are more than 2 million different property listings.
Property owners who want to rent out their vacation rental homes on Vrbo can create a hosting account. From there, they can create listings that appear in search results on the Vrbo website. Travelers looking for vacation rentals can create a guest account on the platform. Then they can browse available rental homes.
Guests can book the property and pay for it on the Vrbo website. Vrbo processes the payment, and the host receives it in their bank account from Vrbo.
Airbnb vs. Vrbo: Which platform is better for my STR business?
Both platforms have a lot in common. The biggest difference between Vrbo and Airbnb is the type of property owners can list. Vrbo allows hosts to list stand-alone vacation homes only and doesn’t allow shared spaces.
Owners can list villas, townhouses, cottages, bungalows, lake houses, cabins, lodges, farmhouses, castles, yachts, mills, and much more. Vrbo properties tend to be more attractive for larger families and more suited for longer stays.
Airbnb lets you list stand-alone vacation homes, shared spaces, and even hotel rooms. Hosts can list houses, villas, mansions, castles, etc. The platform suits solo travelers and small groups best.
If you want to rent out an entire place, list your property on both platforms. This will boost your property’s occupancy rate and will help maximize your revenue. Listing on multiple channels means more work and implies the risk of double-booking. Thus, you will need a reliable channel manager.
How much does Vrbo charge property owners?
In the past, hosts could choose between two Vrbo fee models: pay-per-booking and pay-per-subscription. But now, the pay-per-subscription model is no longer available as a pricing plan for new Vrbo hosts or listings. Only hosts who already have at least one Vrbo listing on the pay-per-subscription model are eligible to use it.
With the pay-per-booking model, hosts only pay for the bookings they receive. The pay-per-booking fee consists of a 3% payment processing fee and a 5% commission fee. Vrbo charges a 5% commission on the rental amount and any additional fees hosts charge travelers (such as cleaning fees and pet fees). Vrbo charges a 3% payment processing fee on the total payment amount hosts receive from guests, including taxes and refundable damage deposits.
If you manage your Vrbo listings using property management software, Vrbo doesn’t process guest payments, so you’re only charged a 5% booking fee. Your PMS collects the guest credit card information from Vrbo and processes the payment via your payment processor, and you become the Merchant of Record. That means you are responsible for handling chargebacks and remitting Vrbo taxes.
Currently, Hospitable is the only PMS that can act as Merchant of Record for bookings that you get on Vrbo. As Merchant of Record, Hospitable processes guest payments, sends payouts to you, manages chargebacks, absorbs dispute losses, and collects and remits taxes in supported jurisdictions.
Under the new Vrbo Partner Connection, Hospitable supports Merchant of Record services in the United States, the United Kingdom, and Australia. If you choose Hospitable as your Merchant of Record, you’ll pay a 5% Vrbo commission and a 3.9% Hospitable Merchant of Record fee.
What do I need to create a Vrbo listing?
Before you start listing your property, you need to gather the following information:
The address of the property
Basic info that describes your property (its type, size, the number of rooms)
Your prices and additional fees (like a cleaning fee or pet fee)
Digital photos of your property
Your banking information, including your bank’s name, the type of your account, and account number.
With Hospitable's listing management, you can create and publish Vrbo listings directly from your Hospitable account. You don’t need to manually set up everything on Vrbo if you meet the following requirements:
You have a listing for your property on Airbnb.
You have received at least 3 reviews on any other booking platform.
You have connected your Vrbo account to Hospitable using Vrbo Partner Connection.
You have added your bank account or connected Stripe to your Hospitable account for payment processing.
You also need to set a valid address for your property, upload at least 6 photos, and configure amenities.
To start the creation process, select the property in your Hospitable account, then click Continue next to “Create a new Vrbo listing.” We will automatically transfer your listing details.
How can I improve my Vrbo listing to attract more guests?
After you create a listing on Vrbo, you’ll be competing with a lot of homeowners, so it’s critical to optimize your listing to rank higher in Vrbo search results. This will improve your property's visibility and attract more guests. Here is what you should do:
Upload stunning photos of every room of your home and the surrounding neighborhood
Create a catchy title that highlights the strengths of your property and write an engaging description that sells your listing
Keep your prices and calendar updated to avoid double bookings and cancellations that will frustrate your guests
Ensure perfect communication with your guests to provide them with the best experience and get positive guest reviews
These best practices will help you win more bookings. But over time, you may realize that managing your listings, assigning tasks to your team, and communicating with travelers takes up a lot of your time. Luckily, you can automate these routine tasks with Hospitable and have more time to focus on growing your STR business.
Final Thought
Vrbo is one of the biggest platforms, helping owners in 190 countries promote their vacation rental properties and reach millions of travelers worldwide. We hope the information in our Vrbo FAQ answers helps you learn what Vrbo offers and get started on this well-known website.
You may also want to check out our blog article to find practical Vrbo tips for owners that can help you differentiate your listing and maximize the potential of your Vrbo property.
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Common questions
How does Vrbo work for property owners?
Vrbo lets property owners create listings for standalone vacation homes, appear in traveler search results, accept bookings, and receive guest payments. Guests browse and book on Vrbo, and the platform processes payments and sends payouts to the host unless the listing is managed through a PMS that handles payment processing instead.
What should property owners know before listing on Vrbo?
Vrbo only accepts standalone vacation homes and does not allow shared spaces. Before listing, owners need core property details, pricing and fees, photos, banking information, and an understanding of how they will manage calendars, guest communication, and payments. Listing on multiple channels can expand reach, but it also increases the risk of double bookings if availability is not synchronized.
What are the main costs of hosting on Vrbo?
For new hosts, Vrbo uses a pay-per-booking model. The standard structure includes a 5% commission on the rental amount and additional host fees, plus a 3% payment processing fee on the total guest payment. If a PMS processes the guest payment instead, Vrbo charges the 5% booking fee and the host or PMS takes on payment processing and Merchant of Record responsibilities.
What are the main advantages of listing on Vrbo?
Vrbo gives owners access to a large global audience and is especially suited to standalone vacation homes. It can complement other booking platforms by expanding reach and giving hosts another source of reservations, which can help reduce dependence on a single OTA and improve overall booking opportunities.
What are the main challenges of hosting on Vrbo?
The main challenges are managing pricing and availability, avoiding double bookings, maintaining strong guest communication, keeping listings competitive, and handling the additional operational work that comes with another booking channel. Payment processing can also become more complex when using a PMS because the host may become the Merchant of Record and take responsibility for chargebacks and tax remittance. With Hospitable, hosts can assign the Merchant of Record role to us.