The Promise vs. The Reality
Vacasa tells owners they’ll take a 25–30% commission on bookings. Sounds straightforward, right? But in their public investor calls, Vacasa discloses that their real “take rate” is closer to 42–45% of gross bookings.
That means owners are losing almost half of every guest dollar to Vacasa before a dime hits their pocket.
So where’s the missing money?
How Vacasa Pads Its Profits
Vacasa has built a system of fee markups and add-ons that shift revenue away from owners and into Vacasa’s pocket. Here’s how:
- Cleaning Fee Markups
- Guest pays: $500Cleaner receives: $230Vacasa pockets: $270 markup — plus they still take their 25% commission on the inflated $500.Net impact: On just 5 bookings a month, that’s $24,000/year stolen from owners in cleaning markups alone.
- Damage Waiver Fees
- Scottsdale example: $42 per night, per booking.
- Guests think it’s insurance. It’s not. Vacasa is not licensed to sell insurance. They self-insure and rarely pay out.
- Guests must “self-report” damage before checkout — and with no Vacasa staff on site, problems are ignored.
- Hot Tub, Pet, and Miscellaneous Fees
- In many markets, Vacasa layers on extra “amenity” fees.
- Owners don’t see these funds. Vacasa keeps 100%.
- Direct Booking Fees
- On their own booking platform, Vacasa charges guests additional fees.
- None of that revenue is shared with owners.
Why This Hurts Owners
This fee-stuffing model creates perverse incentives:
- Occupancy over ADR: Vacasa prefers lower nightly rates with high occupancy, because they make 100% on markups but only 25% on rent. Owners lose potential ADR gains.
- Poor Clean Quality: Contractors are paid bare minimum while guests are charged premium fees. Cleaners have no incentive to go above and beyond. Guest reviews suffer.
- No Oversight: In Arizona, Vacasa had only a handful of W-2 employees covering hundreds of homes. Most properties go months without a Vacasa staff visit.
- Opaque Reporting: Owners rarely see a full breakdown of what guests were charged vs. what Vacasa kept.
The result? Lower net revenue, declining property care, and slipping guest ratings.
Public Data Proves It
Vacasa’s own filings tell the story:
- In Q3 2023, Vacasa reported $379M in revenue on $830M in gross bookings — a 45% take rate, nearly double the commission they market to owners (source).
- Independent reviews show owners netting as little as 42% of guest spend after all Vacasa fees (Awning review).
The AZSTRM Difference
At Arizona STR Management (AZSTRM), we reject this fee-padding model. Our approach is simple and owner-focused:
- No Cleaning Markups: Cleaners get 100% of the cleaning fee.
- Transparent Accounting: Owners see exactly what guests pay, what goes to staff, and what AZSTRM earns.
- Local Boots on the Ground: We are in our homes multiple times a week, not once in a blue moon.
- Aligned Incentives: We earn when you earn. We don’t bury revenue in hidden fees; we maximize ADR and guest satisfaction.
- Better Guest Experience: Cleaners are treated as essential partners, not cost-cutting line items. That means higher quality turns, better reviews, and repeat bookings.
Switch from Vacasa and you’ll see:
- Higher net revenues
- Stronger ADR and occupancy balance
- Better property care
- More 5-star guest reviews
Owners: Stop Letting Vacasa Rob You
Vacasa isn’t “managing your property.” They’re managing their profit margins at your expense.
If you want true transparency, real local oversight, and net income that actually matches your property’s potential — it’s time to switch.
Contact Arizona STR Management today to reclaim your earnings and protect your investment.