House-Level Overbooking
How House-Level and Unit Group-Level Overbooking Work Together
Example Scenario
Setting House-Level Overbooking Limits
How Availability Is Calculated
Important Considerations
Best Practices
Troubleshooting
House-level overbooking is a property-wide control in Apaleo. It allows you to define how many additional units you can sell above your total physical capacity.
It works together with unit group-level overbooking limits to give you precise control over your inventory.
Understanding House-Level Overbooking
The house-level overbooking limit sets the maximum number of units your property can sell in total, including any overbooking above your physical room count. It is a property-wide ceiling that applies on top of whatever limits you have set at the unit group level (for example, Double, Suite, or Single).
Apaleo always uses the lower of two values when deciding how much capacity to make available: the house-level limit, and the sum of all unit group limits. This is true whether or not you have configured overbooking at all.
Even if you have never set a house-level overbooking value, the availability logic described in this article is always running. Without an overbooking value configured, the effective house-level cap is your total physical unit count by default. Apaleo distributes availability proportionally across unit groups up to that cap and will not allow sales beyond it.
How House-Level and Unit Group-Level Overbooking Work Together
The system always uses the more restrictive value between:
- House-level overbooking limit – The maximum overbooking allowed for the entire property
- Total unit group-level overbooking – The sum of all overbooking limits across unit groups
The effective overbooking capacity is always the lower of these two values.
Example Scenario
Assume your property has:
- 50 physical units
- House-level overbooking limit set to 5 units
- Unit group overbooking limits totaling 8 units (Double: 4, Single: 2, Deluxe: 2)
Even though unit groups allow 8 overbooked units, the effective limit is 5, because the house-level limit is lower.
Your total sellable capacity is 55 units (50 physical + 5 overbooking).
Setting House-Level Overbooking Limits
To set a house-level overbooking limit:
- Go to the Availability view.
- Select the time period.
- Enter the property overbooking limit.
- Save your changes.
How Availability Is Calculated
When the house-level cap is lower than the sum of unit group capacities, Apaleo uses a proportional allocation to decide how much of the house-level capacity each unit group receives. This ensures the property-wide limit is always respected while distributing capacity fairly.
Step 1: Determine the Effective Overbooking Limit
The system compares:
- House-level overbooking limit
- Total unit group-level overbooking limits
The lower value becomes the effective limit.
Step 2: Proportional Allocation
If the house-level limit is lower, the system distributes the available overbooking capacity proportionally across unit groups based on their share of total availability.
Proportional Allocation Example
Property setup:
- Total physical capacity: 50 units
- Standard Double: 20
- Deluxe Double: 10
- Suite: 10
- Single: 10
- House-level overbooking limit: 2 units
- Total unit group overbooking limit: 14 units
Process:
-
Calculate each unit group’s proportional share:
(Physical Units + Unit Group Overbooking Limit) × House-Level Sellable Capacity ÷ Sum of (Physical + Overbooking) across all Unit Groups - Round down to whole units.
- Distribute remaining units to the groups with the largest decimal remainder.
| Unit Group | Physical + Overbooking | Proportional Share | After Floor | Decimal | Units Added | Final Allocation |
|---|---|---|---|---|---|---|
| Standard Double | 25 | 20.31 | 20 | 0.31 | 0 | 20 |
| Deluxe Double | 13 | 10.56 | 10 | 0.56 | 1 | 11 |
| Suite | 14 | 11.38 | 11 | 0.38 | 0 | 11 |
| Single | 12 | 9.75 | 9 | 0.75 | 1 | 10 |
Result:
After floor rounding, 50 units are allocated, leaving 2 units unassigned (52 − 50 = 2). These remaining units are distributed to the unit groups with the largest decimal remainders:
- Deluxe Double → +1 unit
- Single → +1 unit
The final allocation totals 52 units, matching the house-level sellable capacity. This ensures availability is distributed proportionally while respecting the property-wide overbooking limit.
Real-Time Availability Updates
As reservations are created, the system continuously tracks:
- Total units sold
- Remaining house-level overbooking capacity
- Remaining unit group-level overbooking capacity
A unit group becomes unavailable when:
- Its unit group-level limit is reached, or
- The house-level overbooking limit is reached
This prevents the property from overselling beyond the stricter limit.
Important Considerations
- Combined inventory (virtual units) is not included in house-level overbooking calculations.
- Group block reservations take priority over house-level overbooking limits.
- Privileged users can exceed limits but will receive a warning.
- To reset the house-level limit, clear the field. Setting the value to 0 does not reset it; it blocks all overbooking at the property level.
Best Practices
- Use for high-demand dates: Apply stricter control during peak periods.
- Align with unit group limits: Make sure both settings support your strategy.
- Integrate with your RMS: Allow your revenue management system to adjust limits automatically when possible.
Troubleshooting
Why can’t I sell more units even though availability appears open?
Check whether the house-level overbooking limit is lower than the total unit group limits. The system always uses the lower value.
How can I close my property for a specific date?
Set a negative house-level overbooking limit equal to or greater than your total physical capacity (for example, -50 for a 50-unit property).
Can I set different limits for different date ranges?
Yes. You can define house-level overbooking limits for any time period within your booking horizon.
I set overbooking to 0 and now nothing is bookable
A value of 0 caps the property at its physical capacity with no tolerance for overbooking. This is different from clearing the field. If your unit group overbooking limits push the total above your physical unit count, a house-level value of 0 will block those extra units. Either increase the house-level value to match your group totals, or clear the field to remove the house-level cap.