This Act mandates that hotels and short-term rentals must advertise the total price, including all mandatory fees, upfront to consumers nationwide.
Amy Klobuchar
Senator
MN
The Hotel Fees Transparency Act of 2025 mandates that hotels and short-term rental platforms must advertise the **total mandatory price** for lodging upfront, including all service fees. This federal law prohibits hidden fees in initial advertisements, requiring the full cost to be clearly displayed throughout the booking process. The Federal Trade Commission (FTC) is tasked with enforcement, and the new rules preempt stricter state or local laws regarding lodging price advertising.
If you’ve ever booked a hotel or a short-term rental online and felt that familiar sting of hidden fees popping up right before you hit “purchase,” this bill is aimed directly at you. The Hotel Fees Transparency Act of 2025 is a straightforward piece of consumer protection legislation that demands what most of us already expect: the price you see is the price you pay.
This Act makes it illegal for hotels, third-party booking sites (think Expedia or Booking.com), and even short-term rental platforms (like Airbnb or VRBO) to advertise a price that doesn't include all mandatory charges. The core concept here is the Total Services Price, which the law defines as the base room rate plus every single mandatory service fee. If a hotel charges a mandatory "resort fee" or "amenity fee," that charge must be included in the price shown from the very first search result. You can still show the breakdown later, but the most prominent price must be the all-in mandatory cost. For the average traveler, this means budgeting just got a whole lot easier. No more getting blindsided by a $50-per-night fee that wasn't mentioned until the checkout page.
Enforcement falls primarily to the Federal Trade Commission (FTC), which can treat violations as standard unfair or deceptive business practices. This means they have the power to investigate and penalize companies that try to keep playing the hidden fee game. Crucially, State Attorneys General can also step in and sue on behalf of residents if they believe the rules are being violated. This dual enforcement mechanism gives the law some real teeth, ensuring that companies operating across state lines can’t just hide behind jurisdictional issues.
For major third-party booking sites, there's a practical challenge: they rely on hotels to provide accurate data. The bill acknowledges this by offering a defense for these intermediaries. If a booking site receives inaccurate pricing information from a hotel, they won't be held liable—provided they can prove they had systems in place to get updated info, relied on the bad data in good faith, and quickly fixed the price once the error was discovered. This is a necessary safety valve, recognizing that the booking ecosystem is complex, but it still puts pressure on those sites to maintain clean, fast data feeds.
It’s important to note what the Total Services Price doesn't include: government taxes and fees for truly optional extras (like paying for early check-in or ordering room service). Those government taxes still need to be disclosed before the final purchase, but they don't have to be in the initial advertised price. Regarding existing state laws, this federal rule generally overrides them, unless a state or local law is already just as strict or stricter about requiring the total mandatory price to be shown upfront. This creates a floor for consumer protection, ensuring that no matter where you book, you benefit from transparency.
These new rules won't kick in immediately; the Act sets an implementation period of 450 days after enactment. That gives the industry plenty of time—over a year—to update their advertising systems and price displays. For consumers, the wait should be worth it: clear, upfront pricing means less stress and more predictable travel planning. This bill is a win for anyone who appreciates knowing the real cost before they commit.