Airbnb vs VRBO for Hosts in 2025: Which Platform Wins?

Which platform is really better: Airbnb or VRBO?‍

Both platforms have evolved in the past few years, adapting to changing markets and introducing new features.

But the truth? Neither of the two short-term rental options is truly “better” across the board. The right choice depends on your property, your ideal guest, and your market.

Let’s break down how each platform stacks up and compare fees, cancellation policies, revenue, market share and more— so you can decide where to focus your efforts. (And maybe realize the real answer is “both”).

Market Share: Airbnb Still Wins (But VRBO Is Catching Up)

Airbnb still dominates STRs, with an estimated 44% of the global market. They’ve got the widest reach and the most listings. Plus, brand recognition is so strong that people say “I booked an Airbnb” even when it’s not one.

But don’t write VRBO off just yet. With ~9% global share (and a much larger footprint in the U.S.), VRBO is growing fast in urban markets.

A bigger market share doesn’t always promise more bookings. In mountain or lake areas like Gatlinburg or the Blue Ridge Mountains, VRBO often brings more bookings for big cabins than Airbnb does—without the competition from oversaturation.

Audience: Who’s Booking Where?

Airbnb and VRBO draw in different guests.

Airbnb Guests: Younger travelers, couples, digital nomads, and people chasing quirky or “Instagrammable” experiences. Great for apartments, tiny houses, treehouses, or unique listings. Also, the kind of people who make last-minute bookings.

VRBO Guests: Families, wedding parties, multi-generational trips. Great for large homes, spacious cabins and beach houses.

If your listing is a chic city loft, or your guest avatar is young people and couples → Airbnb likely wins.

If your listing is a 6-bedroom lake house and you’re targeting families → VRBO could out-earn Airbnb.

But as both platforms grow and change, the line between their audience is starting to blur.

VRBO & Airbnb Rules & Policies

Here’s where the difference between Airbnb and VRBO really shows:

Airbnb is more “guest-friendly”.

• Flexible cancellation options. The most flexible option allows full refunds up to 24 hours before check-in.
• New features like Reserve Now, Pay Later and the new single-fee model favor guests. They can book a stay months in advance without upfront costs, while hosts foot the bill for fees.
• As of October 1, 2025, Airbnb is removing its Strict cancellation policy and replacing it with a more relaxed Firm one for stays under 28 days. Another potential win for guests. If you're creating a new Airbnb listing now, the Strict policy won’t be available.
• Airbnb hosts face penalties for canceling reservations and more pressure to resolve guest complaints quickly before support steps in.

VRBO is “host-friendly”.

• Stricter cancellation policies. Most flexible policy only allows full refunds up to 14 days before check-in.
• Hosts can collect deposits up front on the platform.
• More control for hosts over calendars and availability (with fewer penalties).
• Guests expect professionalism and contracts, so it feels less casual. VRBO owners enjoy more freedom, but also more responsibility.

Airbnb vs VRBO Fees

Airbnb Fees

• Split-fee model: Guests pay most of the fee, host pays 3%.
• Host-only/ single-fee model (New): Host pays 14–16%, guests pay no service fee.

VRBO Fees

• Hosts pay ~8% (5% commission + 3% processing).
• If you use a Property Management System, you only pay a 5% commission fee.
• Guests pay a separate service fee.
• Hosts can also pay an Annual Subscription ($499-$699) to cover service fees for the year. (Cheaper for high-traffic rentals)

Revenue Potential: ADRs and Bookings

Airbnb → Lower ADRs (Average Daily Rates) but higher occupancy. More bookings, shorter stays, faster turnover. Offers more opportunities for budget-friendly listings.

VRBO → Higher ADRs, longer stays, fewer bookings. Better for large homes in vacation markets. Wins for booking quality, not quantity.

Host Protection & Screening: AirCover vs VRBO

Airbnb AirCover → $3M damage protection + $1M liability. Covers guest damage, extra cleaning, and even lost income if a guest wrecks your stay. Guest ID verification included.

VRBO protection → $1M liability only (for injuries or damage to guest property).  Any property damage is on you unless you ask for a deposit or add your own insurance.

👉 Airbnb offers more built-in safety for hosts. VRBO leaves protection and screening up to the host.

Shifts in 2025: Airbnb and VRBO Switch Lanes

For years, VRBO dominated vacation homes and Airbnb crushed the urban market. And that was it. 

In 2025, they’re changing it up and competing for each other's slice of the pie.

According to AirDNA, VRBO is growing faster than Airbnb in urban markets. They’re closing the gap in urban markets where families and groups want larger spaces.

Airbnb isn't taking it lying down. They're growing faster than VRBO in destination and rural markets, especially with unique stays and shorter trips.

👉 The lesson? Don’t put either of these platforms in a box. If you ruled one out in 2023 for being a bad fit for your property and market, check again.

Choosing the Right Platform for You

The smartest hosts don’t just ask “Is VRBO or Airbnb better?”. They ask: Which platforms fit my property well?  The answer will probably be more than one.

Airbnb is great for volume and visibility.

VRBO stands out for family/group properties.

But don't stop there. Consider niche online travel agencies (OTAs) too.

Here are two great options for glampsite hosts:

• Hipcamp → camping, glamping, and land stays.
• Glamping Hub → domes, yurts, eco-retreats.

How to Diversify your Short-Term Rental Portfolio

The best way to stay booked and grow your short-term rental business is to diversify across multiple OTAs. If you’re ready to expand, here’s a simple roadmap:

1. Look at your bookings and see where you’re underperforming (last-minute cancellations, only short stays, lack of high-value guests, etc.).

2. Do your research and find a platform that can work well with your property and market, but also helps you address those gaps and issues.

3. Over the first few months, look at the data. Decide if this new platform is worth it, or if it’s better to move on. Make an effort to optimize and improve your listing to get better data and results before you decide.

4. Once you have your OTA’s, you need to automate your STRs. Use a PMS to sync calendars and stay on track. Our expert pick? Guesty. Use code ROBUILT50 to get 50% OFF Guesty Lite.

5. Now that you're on multiple OTA's, make sure you get the best daily rate. Use a dynamic pricing tool that will work well with your chosen platforms. Reliable and popular options are PriceLabs and Wheelhouse. Use promo code HOSTCAMP to get 50% OFF Wheelhouse. And click here to get 1 month free + $10 credit on PriceLabs.

Just because something works for everyone, doesn't mean it has to work for you. Feel free to switch platforms if you don’t feel they’re compatible with your setup.

👉 Diversification isn’t about being everywhere. It’s about being where it counts.

Final Thoughts: Is VRBO or Airbnb Better?

So, which platform wins? For most hosts, the best strategy isn't to choose one. It's to use both, plus a direct booking site.

Ultimately, your livelihood shouldn't hinge on a third-party platform that can alter its policies, increase fees, or de-list you without warning.

Diversify your audience across multiple platforms. Then, use tools like a Wi-Fi login to collect guest emails and build a system for direct repeat bookings. Your guests avoid fees, and you reclaim control of your business and brand.

You’ve Found Your Platform, Now Find Your People

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