Vrbo moves every host to one 12% commission on 29 October, and PMS-connected managers pay the most

Vrbo's updated Host Terms of Service and Accommodation Fee Collection Agreement take effect on 29 October 2026. The notice on Vrbo's own site states the date plainly, and the commercial change behind it is the one to read first: Vrbo told hosts in a 29 September email that they would move to a single 12% commission, replacing the mix of rates it has run for years.

For anyone connected through a property management system, that is the biggest jump in the market this autumn.

What the old rates were

Pay per booking without a PMS ran at roughly 8%, made up of a 5% commission plus about 3% in payment processing. Pay per booking through a connected PMS ran at 5%. A legacy annual subscription charged a flat yearly fee instead.

Under the new structure every host type pays 12%. On a 1,000 dollar booking, a PMS-connected manager goes from roughly 50 dollars to roughly 120 dollars. Hosts who were on the unconnected per booking rate see a smaller rise, from about 8% to 12%.

Two things Vrbo has not spelled out: whether legacy annual subscribers are grandfathered or simply moved across, and whether payment processing still sits on top of the 12% for per booking listings. The terms themselves say a pay per booking listing owes "a Commission, a percentage of the total rental amount paid by the guest" plus a payment processing fee, which suggests processing is still separate.

The detail in the terms

Commission is calculated on the total rental amount including mandatory fees the host charges, and excludes taxes and separately purchased products such as insurance. It is non-refundable once a booking is partly or fully completed.

Vrbo can change the commission again with at least 30 days of notice, and the new rate counts as accepted if you have not removed the listing by the time it takes effect. The same logic applies to the terms as a whole: keep using Vrbo after 29 October and you have accepted them.

A booking you complete directly with a guest within 30 days of a Vrbo lead can still attract commission or an off platform fee. Subscription listings keep their annual fee but Vrbo is not accepting new ones, and they are not available for properties in Brazil. The guest service fee stays in place, which is worth noting because Airbnb has gone the other way and shifted to a host only fee in most markets.

The clause people will skip

The content obligations are the quiet part of this update. Clause 4.5.7 requires hosts to give Vrbo content and host ancillaries that are "at least as complete, accurate, current, detailed, and favorable" as what they offer through other channels. Clause 12.7.2 goes further and says you must not present the same content in a materially more complete or useful way elsewhere, unless the law requires it or Vrbo approves in writing. Clause 9.2.14 allows Vrbo to amend, suspend or terminate the affected listings, or all of your listings, without refunding fees.

In practice that aims at the common setup where the direct site carries the full gallery, the extras and the better description, while the OTA listing gets the short version. If your PMS pushes a trimmed feed to Vrbo and a rich one to your own booking engine, that is now a terms question rather than a distribution preference.

What to do this week

Reprice. A move from 5% to 12% on Vrbo volume changes which channel is worth the inventory, and most PMS channel settings still treat Vrbo as the cheap one. Work out what share of your bookings comes through Vrbo, what 7 points costs you on that share, and whether your rates or your channel mix absorb it.

Smoobu published host guidance on 15 October, and Rental Scale-Up reported the 29 September host email and the rate detail. Vrbo's own notice is the document that binds you, and it is short enough to read before Thursday.