Airbnb has rolled out a 'Reserve Now, Pay Later' feature in the US, allowing guests to secure accommodation without immediate payment amid growing demand for flexible booking options. Olivia Palamountain reports

Airbnb has launched a payment feature allowing US guests to reserve domestic accommodation without paying anything upfront, addressing traveller demand for greater booking flexibility particularly for group trips requiring coordination between multiple parties.

The "Reserve Now, Pay Later" option applies to eligible listings with moderate or flexible cancellation policies, with payment due shortly before the end of the property's free cancellation period. The timing ensures hosts retain opportunity to secure alternative bookings if guests cancel whilst providing travellers extended payment flexibility.

The feature addresses coordination challenges identified in recent survey data, with 42% of US travellers reporting they have delayed or missed preferred accommodation due to time spent arranging payment with co-travellers. The survey of 2,159 US adults, conducted by Focaldata in July 2025, also found 60% consider flexible payment options important when booking holidays.More than half of respondents (55%) use flexible payment methods when available, with one in ten always selecting such options where offered. The findings suggest payment flexibility has become a significant factor in accommodation booking decisions.

"Reserve Now, Pay Later" joins Airbnb's existing flexible payment suite including "Pay Part Now, Part Later" - allowing partial payment at checkout with remainder due closer to check-in - and "Pay Over Time with Klarna" for instalment payments. The expanded options reflect platform efforts to reduce booking friction whilst potentially increasing host reservation volumes.

Host cancellation policies remain unchanged under the new system, with payment timing structured to protect property owners' ability to rebook cancelled reservations. The approach balances guest flexibility with host revenue protection, addressing concerns about potential booking abandonment.