Written by: Eric Davis
Photo of dogs enjoying the couch.
Two-thirds of households in America contain pets, yet it can be difficult for pet owners to find places that allow them. Owning a pet is a wonderful experience that brings joy, love, and companionship. However, finding a rental property allowing pets can be difficult and frustrating for pet owners. Landlords and real estate investors normally associate their potential tenants’ pets as a source of problems. However, there are many benefits to allowing pets that make it worth the effort.
1. Allowing pets can boost demand for your rental property.
Millennials currently make up the largest percentage of home buyers and renters in the US, and they love their pets—a lot. According to a recent survey, almost 70% of renters have pets. That number is the potential market you will open once you decide to allow pets in your rentals. Imagine missing out on seven of ten renters because of your no-pet policy. Your pool of candidates is the minority of renters in the market, so you will miss out on getting an opportunity to interview potential customers. You also need to consider the possibility of an existing tenant choosing to get a pet. That means you must terminate the current contract and go through the betting system again to replace that tenant.
2. Fees and Rent.
Additionally, many pet owners are willing to pay higher rent or fees for keeping their furry friends with them. This can lead to increased rental income and a higher return on investment for landlords and real estate investors.
3. Longer Tenancies.
In addition to increasing demand and rental income, allowing pets can lead to staying longer. This means less turnover, and less time spent looking for new tenants, saving landlords and real estate investors time and money in the long run.
4. Tenant-Landlord Relationship
Another benefit of having pets is that it can lead to better relationships with your tenants. Most pet owners consider their pets family members, and by allowing them to keep them with them, you show that you understand and care about their needs. This can lead to better communication, trust, and a stronger landlord-tenant relationship overall. Tenants who feel that their landlord is understanding and empathetic are likelier to renew their lease and recommend the property to others.
5. Business Strategy
Allowing pets can also be a responsible business decision. By requiring pet owners to sign a pet agreement that outlines their responsibilities and the consequences of any damage or noise caused by their pets, landlords and real estate investors can mitigate the risks associated with allowing pets. Additionally, pet owners are often more responsible and reliable tenants. They are used to caring for another living being and are less likely to engage in destructive or disruptive behavior.
Even though allowing pets is beneficial in rental properties, there are also some potential disadvantages that landlords and real estate investors should be aware of. These include:
• Damage: Pets can cause damage to the property, such as scratches on floors or walls, chewing on furniture or carpets, and accidents that may leave stains or odors. This can lead to extra cleaning or repair costs for landlords and real estate investors.
• Noise: Some pets, especially dogs, can be noisy and disturb other tenants in the building. Barking, howling, or whining can be disruptive and annoying to other tenants, potentially leading to complaints or conflicts.
• Liability: The Landlords and real estate investors will be held accountable for any injuries or damages caused by pets on their property. This could include dog bites or attacks, or damage to neighboring properties.
• Insurance: Allowing pets in a rental property can also affect the landlord or real estate investor’s insurance coverage. Some insurance policies may not cover damages caused by pets or may charge higher premiums for pet-friendly properties.
• Allergies: Some people may be allergic to pets, which can limit the pool of potential tenants or cause problems for existing tenants affected by pet dander or hair.
• Difficulty finding tenants: While allowing pets can increase demand for a property, some tenants may still prefer pet-free living environments. This can limit the pool of potential tenants and make it harder to find renters.
It is important for landlords and real estate investors to carefully consider these potential disadvantages before allowing pets in their rental properties.
MINIMIZING THE RISK
By implementing reasonable policies and requirements, landlords and real estate investors can mitigate these risks and ensure that pets are not a nuisance or a liability.
- Requiring pet owners to sign a pet agreement that outlines their responsibilities and the consequences of any damage or noise caused by their pets can help mitigate the risk of damage or noise complaints.
- In order to prevent behavioral issues like hostility and excessive barking, landlords and real estate, investors may also demand that pets be spayed or neutered.
- Requiring that pets are housebroken and up to date on vaccinations can help prevent accidents and the spread of disease.
- Landlords and real estate investors can require pet owners to provide references from previous landlords to ensure their pets are well-behaved and do not cause problems.
- Landlords and real estate investors can also consider implementing additional pet fees or deposits. This can help cover any potential damage or cleaning costs associated with pets.
It is important to note that allowing pets does not mean landlords and real estate investors must sacrifice their property’s cleanliness or integrity.
From increasing demand and rental income to building better relationships with tenants and mitigating risk, allowing pets can be a worthwhile investment for landlords and real estate investors. By setting acceptable policies and criteria, landlords and real estate investors can ensure their properties are well-maintained. So, if you are a landlord or real estate investor, consider the advantages of allowing pets and their positive impact on your business. DPM representatives are skillful and creative when dealing with all situations. We respond to each challenge using tools that ensure satisfaction for all clients. Call us now at 425-658-7471 or send us an email at firstname.lastname@example.org.
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