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Vrbo Partner: Cancellation Policies

Learn about Vrbo's cancellation policy options, how cancellations are handled, and what happens when a guest or host cancels a reservation.

Written by Dawn Ginie Santoyo

Vrbo cancellation policies determine how much of a guest's payment is refunded when a reservation is cancelled before check-in.

If you're connected through the Vrbo Partner Connection, cancellation policies can be configured directly from your property's booking policies. Hospitable follows the cancellation policy that was active when the reservation was booked.

This article explains the available policy options, how cancellations are processed, and what hosts should know before cancelling a reservation.


At a Glance

  • Cancellation policies are configured at the property level

  • Each property can use a different cancellation policy

  • Vrbo offers standard policy options and custom policies

  • Guests typically cancel through Vrbo

  • Host-initiated cancellations may result in penalties from Vrbo

  • Refunds are processed according to the policy active at the time of booking


Available Cancellation Policies

When configuring a Vrbo property, you can choose from the following cancellation policies:

Non-refundable

Guests are not eligible for a refund if they cancel their reservation.

Strict – 60 Day

  • 100% refund if cancelled at least 60 days before arrival

  • No refund after that point

Firm – 60 Day

  • 100% refund if cancelled at least 60 days before arrival

  • 50% refund if cancelled at least 30 days before arrival

  • No refund after that point

Moderate – 30 Day

  • 100% refund if cancelled at least 30 days before arrival

  • 50% refund if cancelled at least 14 days before arrival

  • No refund after that point

Relaxed – 14 Day

  • 100% refund if cancelled at least 14 days before arrival

  • 50% refund if cancelled at least 7 days before arrival

  • No refund after that point

Custom Policy

Create your own cancellation rules using custom refund percentages and cancellation windows.

Custom policies can include multiple refund tiers to match your business requirements.

Cancellation policy selector displaying Non-refundable, Strict, Firm, Moderate, Relaxed, and Custom policy options


Configure a Cancellation Policy

To update a property's cancellation policy:

  1. Open Properties.

  2. Select the property you want to update.

  3. Navigate to Booking Policies.

  4. Open Cancellation Policies.

  5. Select the desired policy.

  6. Save your changes.

The selected policy applies to future reservations.

Changes to a cancellation policy do not affect reservations that were already booked. Existing reservations continue to use the policy that was active when the booking was created.

Relaxed 14 Day cancellation policy selected within a property's booking policy settings


Where to View the Cancellation Policy

The cancellation policy for a reservation is available from the reservation details in Hospitable.

Hosts can review:

  • The policy applied to the reservation

  • Applicable refund windows

  • Cancellation deadlines

  • Refund eligibility

This information can help determine what refund a guest is entitled to receive if they cancel.

Reservation financials on Inbox displaying the cancellation policy and refund eligibility information


When a Guest Cancels

Guests should cancel their reservation through Vrbo.

When a cancellation is submitted:

  1. Vrbo notifies Hospitable.

  2. The reservation is updated to Cancelled.

  3. Calendar availability is updated.

  4. Refunds are processed according to the cancellation policy that applied at the time of booking.

Guests receive confirmation of their cancellation and any applicable refund.

If a guest wants to cancel, ask them to cancel through their Vrbo account whenever possible.


Cancellation Requests

Some reservations may enter a Cancellation Requested status rather than being cancelled automatically.

In these cases:

  • The guest has requested a cancellation

  • The request may require host review

  • Approving the request is not treated as a host-initiated cancellation

This allows hosts to review the request before the reservation is cancelled.


When a Host Cancels

Hosts can cancel a reservation from Hospitable.

During the cancellation process, you'll be asked whether:

  • The guest requested the cancellation, or

  • You're cancelling on the guest's behalf

This distinction is important because Vrbo may treat host-initiated cancellations differently from guest-initiated cancellations.

Only mark a cancellation as guest-initiated if the guest actually requested the cancellation.

Reservation cancellation screen showing guest-initiated and host-initiated cancellation options


Host-Initiated Cancellation Penalties

Vrbo may apply penalties when a host cancels a reservation.

Potential consequences include:

  • Cancellation fees

  • Reduced visibility in search results

  • Temporary listing suspension

  • Loss of Premier Host status

The penalties applied depend on Vrbo's policies and the circumstances of the cancellation.

If you must cancel due to circumstances outside your control, contact Vrbo directly to discuss possible fee waivers within 10 days of cancellation.


Extenuating Circumstances

Vrbo may allow exceptions when cancellations occur because of circumstances outside the control of the guest or host.

Examples may include:

  • Natural disasters

  • Government travel restrictions

  • Certain emergencies or serious events

Eligibility is determined by Vrbo. Hosts and guests should contact Vrbo directly for guidance regarding extenuating circumstances claims.


Frequently Asked Questions

Can each property use a different cancellation policy?

Yes. Cancellation policies are configured independently for each property.

Do cancellation policy changes affect existing reservations?

No. Existing reservations continue to use the policy that was active when the booking was made.

Can I create my own cancellation policy?

Yes. Select Custom Policy to create cancellation rules with your own refund percentages and timeframes.

Should guests cancel through Vrbo or Hospitable?

Guests should cancel through Vrbo whenever possible but can also be initiated through the Hospitable Guest Portal.

Will I be penalized if a guest asks me to cancel for them?

Not necessarily. During the cancellation process, indicate that the guest requested the cancellation if that is the case.

Can Vrbo waive cancellation penalties?

In some situations, Vrbo may review requests for penalty waivers. Contact Vrbo directly for assistance.


Need Help?

If you have questions about a cancellation or believe a reservation was cancelled incorrectly, contact Hospitable Support and include:

  • The reservation code

  • The property name

  • A description of the issue

  • Any communication related to the cancellation

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