Airbnb has announced it will ban 'party houses' following a mass shooting at a California home rented through the company, which left five people dead.

Three people died at the house in Orinda, California, near San Francisco, and two more died later in hospital.

It was reported that the house was booked ostensibly for a small group, before being publicised on Instagram as the venue for a Halloween party which drew a crowd of more than 100 people. The host did not authorise the party, according to Airbnb.

CEO Brian Chesky tweeted that the company would be taking steps to combat unauthorised parties and get rid of abusive host and guest conduct.

"What happened on Thursday night in Orinda, CA was horrible," he said. "I feel for the families and neighbors impacted by this tragedy - we are working to support them."

Brian Chesky co-founded Airbnb in 2008.

Chesky outlined a three-part plan to tackle the problem, starting by expanding manual screening of high-risk reservations flagged by Airbnb's risk detection software.

"Second, we are creating a dedicated 'party house' rapid response team," Chesky tweeted. "Third, we are taking immediate action against users who violate these enhanced guest policies, including removal."

All those who died were under 30, and police have not yet identified any suspects.

"We must do better, and we will," Chesky concluded. "This is unacceptable."