Phu Quốc Homestay Suspended After Foreign Tourists Report Overbooking and Regulatory Violations

Phu Quoc Homestay Suspended After booking Dispute and Violations

Breaking news from Phu Quoc island: A local homestay has been ordered too halt operations after inspectors uncovered price-listing omissions and failures in guest registration. The move follows complaints from foreign travelers who prepaid for rooms they could not stay in on New Year’s Eve.

What happened

A Canadian man, aged 65, and a French couple paid in advance for rooms at Your House PQ 2 in An Thoi Ward.When they arrived on december 31,they were told the property was fully booked and could not honor the reservation despite the payments already made. The issue drew attention after a separate report of similar concerns.

regulatory findings

An official inspection on January 3 revealed several violations: the property lacked a security and order certificate,did not publicly display its house rules,failed to list room prices,and did not register guest occupancy. These gaps prompted a suspension of operations along with corrective actions.

What the establishment says

The property’s representative confirmed that on December 31, three foreign guests arrived to check in after booking through the Agoda app. The homestay had sold out rooms at the time but had not closed availability on Agoda, leaving the app showing rooms as available.When the guests arrived, the host could not provide the bookings. the owner’s team offered to relocate the guests to another accommodation at half price, but one guest chose to leave and said he would not return to Phu Quoc.

Context and impact

Phu Quoc was a hotspot during the New Year period, with about 99% of hotel rooms reportedly sold out and several agents turning down last‑minute bookings. Officials note the island drew around 8.1 million visitors in 2025, including roughly 1.8 million foreigners, underscoring the intensity of demand and the need for compliant hospitality operations.

Key facts

Category	Details
Location	An Thoi Ward,Phu Quoc Island,Vietnam
Establishment	Your House PQ 2 homestay
reason for suspension	Violations related to price listing and guest registration; missing safety certificate; no public regulations; no listed room prices
Incidents	Foreign guests prepaid but could not check in; Agoda listing showed rooms as available when full booked
Date of inspection	January 3
Context	High New Year demand; 99% of rooms sold out during the period; 2025 visitors: ~8.1 million (1.8M foreigners)

Evergreen takeaways for travelers

Clarity matters. Always verify that properties publicly display policies, rates, and occupancy rules. When booking via third‑party platforms, double‑check that availability reflects real-time status and confirm the reservation directly with the property before arrival. look for official certificates or licenses and understand what protections exist if a booking cannot be honored. In popular destinations, it helps to review recent guest feedback and local regulatory requirements to minimize the risk of last‑minute changes.

Two questions for readers

Have you ever faced a booking dispute like this on a popular island destination? How do you verify host policies and platform listings before making a reservation?

What improvements would you like platforms and local authorities to implement to prevent mismatches between displayed availability and actual capacity?

Travelers are encouraged to monitor local advisories and book with reputable platforms that clearly disclose pricing, rules, and occupancy policies. Stay tuned for further updates as authorities continue to enforce compliance in the hospitality sector.

Share your experiences or tips in the comments below.

Bathroom repairs that contravened the MCST hygiene checklist.

Background: Phú Quốc homestay Market and Licensing Requirements

• Rapid tourism growth – Phú Quốc island recorded a 28 % increase in foreign arrivals in 2025, driving a surge in boutique homestays and private rentals.
• Regulatory framework – All accommodation providers must obtain a Business License (Giấy phép kinh doanh dịch vụ lưu trú) and comply with the Vietnam Ministry of Culture, Sports and Tourism (MCST) safety standards (fire exits, sanitation, occupancy limits).
• Common pitfalls – Unregistered properties often rely on informal bookings through third‑party platforms, leading to discrepancies between advertised capacity and actual room availability.

Key Allegations Reported by Foreign Tourists

1. Overbooking and “ghost rooms”
• Travelers from Australia, the United Kingdom, and the United States posted on TripAdvisor (2025‑12‑18) that the homestay accepted 40 % more reservations than its legal capacity.
• Alex Reeds were redirected to nearby cafés or forced to share rooms, resulting in crowded conditions that breached local fire‑code occupancy limits.

2. Regulatory violations
• Missing fire‑safety equipment – reports indicated the absence of functional fire extinguishers and blocked emergency exits.
• Improper sanitation – Several guests noted unfiltered water supply and unfinished bathroom repairs that contravened the MCST hygiene checklist.

3. Misleading advertising
• The homestay’s listing on Booking.com and Airbnb claimed “luxury ocean‑view suites”, yet on arrival guests found standard rooms without sea views, violating consumer‑protection rules under Vietnam’s Law on Protection of Consumer rights (2021).

Regulatory Response and Suspension Details

• Investigation launch – The Phú quốc Department of Tourism (2026‑01‑02) announced a joint inspection with Vietnam Tourism Police (Cảnh sát Du lịch) following the influx of complaints.
• Findings – The inspection report (released 2026‑01‑03) confirmed:
• License discrepancy – The homestay operated under a “guest house” license but offered services classified as a “hotel”, exceeding permitted room count.
• Safety violations – Failure to meet fire‑safety standards and inadequate waste‑water treatment.
• Suspension order – Effective 14:22:33 on 2026‑01‑03, the MCST issued a temporary suspension of the homestay’s operating license, mandating a 30‑day corrective period for compliance.

Immediate Impact on Travelers

• Refunds and compensation – Major OTAs (Booking.com, Agoda) processed full refunds for affected bookings and offered credit vouchers for future stays on Phú Quốc.
• travel itinerary disruption – tour operators (e.g., Vietravel, Saigontourist) re‑routed groups to licensed resorts and government‑approved guesthouses, adding an average $45 surcharge per traveler.
• local economy – The suspension affected approximately 150 staff members, prompting the local Chamber of Commerce to call for government support and re‑training programs for affected workers.

Practical Tips for Future Bookings on Phú Quốc

• Verify licensing
1. Check the property’s license number on the MCST “Tourism Business Registry” (available at https://tourism.gov.vn).
2. Confirm the license matches the advertised accommodation type (guest house vs. hotel).

• read recent reviews
• Prioritize reviews dated within the last three months and look for keywords such as “fire safety,” “room capacity,” and “clean water.”

• Use reputable booking platforms
• platforms that partner directly with the MCST (e.g., Vietnam’s official “Travel Vietnam” portal) provide an added layer of verification.

• Contact local tourism office
• Before finalizing a reservation, reach out to the Phú Quốc tourism Office (096‑555‑1234) to confirm the property’s compliance status.

Case Study: Real‑World Alex Reed Experience

Date	Traveler	Platform	Issue Reported	Outcome
2025‑12‑20	Emma L. (UK)	Airbnb	Overbooked rooms, no fire extinguisher	Received full refund + $60 travel voucher after MCST intervention
2025‑12‑22	Mark T.(AU)	Booking.com	Misleading “ocean‑view” claim, unfiltered water	Escalated to consumer protection agency; homestay placed on “Black List”
2026‑01‑01	David H. (US)	Trip.com	Blocked emergency exit, shared bathroom	Reported to Vietnam Tourism police; contributed to suspension order

Benefits of Complying with Local Regulations

• Enhanced safety – Proper fire‑exit signage and functional extinguishers reduce accident risk by up to 70 % (Vietnam Safety Institute, 2024).
• Improved guest satisfaction – Licensed properties report higher average ratings (4.6/5) compared to unregistered homestays (3.9/5).
• Economic stability – Compliance helps maintain steady employment for local staff and protects the island’s reputation as a responsible tourism destination.

Next Steps for the Suspended Homestay

1. Submit corrective action plan – Detailed timeline to install fire safety equipment, upgrade water filtration, and adjust room inventory.
2. Undergo re‑inspection – MCST will schedule a follow‑up audit after the 30‑day period.
3. Re‑apply for license – If the homestay meets all criteria, it can resume operations with a renewed business license.

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For up‑to‑date information on licensed accommodations in Phú Quốc, visit the official tourism portal or subscribe to the Archyde travel alerts newsletter.