When starting out as a landlord, there are certain questions you may find yourself asking. Including whether or not to allow pets into your rental property. But before you make that important decision, you must carefully weigh the pros and cons of doing so.
Fortunately for you, this blog has you covered. You’ll learn both the pros and cons of allowing pets, and how you can mitigate against potential issues. Keep reading to learn more!
Pros of Allowing Pets into Your Rental Property
If you are opposed to the idea of allowing pets into your rental property, then you may be losing out on some potential benefits. The following are some of the benefits you can realize by making your rental pet-friendly.
Opportunity to Raise Rental Income
Caring for a pet can be anything but easy. Between vet visits and providing food, water, and shelter, pet ownership requires a good measure of disposable income.
This means the average pet owner likely has a higher income and can afford the privilege of living in a pet-friendly rental.
Additionally, pet owners often appreciate well-maintained properties with strong curb appeal, making your rental more attractive. As a landlord, you can benefit from charging a pet fee, deposit, or recurring pet rent.
Be that as it may, ensure you comply with all applicable state and local landlord-tenant laws. In Tennessee, for example, landlords are able to collect an additional pet deposit. The only exception is for service animals.
Rent to Happy Tenants
One reason that people have companion animals is because pets can be great stress relievers. In fact, studies have shown that interacting with animals can help decrease levels of cortisol and lower blood pressure.
Other studies have also shown that pets can help reduce loneliness, boost someone’s mood, and increase feelings of social support.
With that in mind, making your rental unit pet-friendly can help make residents with pets feel happy and comfortable.
And when tenants are happy, it’ll also lead to a positive outcome for you as well. Specifically, the tenant may take better care of the property, and renew their lease multiple times, among other things.
Find Long-Term Tenants
Not all rentals are pet-friendly, and this can benefit your bottom line. How? Renting to a tenant with a pet increases the chances of retaining a tenant long-term, as they will likely stay for many months to continue enjoying the privilege.
On your part, low tenant turnover rates will mean less expense for you and optimum return on investment.
Rent to Responsible Tenants
Caring for a pet requires serious commitment on the part of the tenant. They have to, among other things, handle scheduled feeding, vet visits, and regular exercise.
By renting to such a tenant, you can trust that they will transfer the same level of responsibility to the property, which can lead to better upkeep and more reliable rent collection.
Charge More Rent
Pet-friendly rentals usually take on more risks than rentals with a “no-pets” policy. And due to this reason, landlords often charge relatively more rent.
But before raising rent on the tenant, make sure you comply with all applicable state and local laws.
Understanding how to set rental rates and implement rent increase strategies can help ensure a fair and effective approach.
Cons of Allowing Pets into Your Rental Property
Certain risks come with allowing pets into a rental property, there is no doubt about that! Luckily for such landlords, such risks can be managed with the right contingency plans.
Below are some issues that come with allowing tenants to live with their furry friends.
Risk of Property Damage
Allowing pets into a rental property can lead to an increased likelihood of property damage. Pets can chew on furniture and carpets. They can also cause damage through scratching doors and floors. Their urine and feces can also leave behind odors and damage the flooring.
Neighborhood Disturbance
This is something else that you may find yourself often dealing with after allowing pets into your property.
A good example is barking dogs. Their constant or excessive barking can disrupt the neighborhood’s peace and quiet, especially during nighttime hours.
Other noises that can be problematic are fighting cats and squawking birds.
Risk of Injury
This is another issue that may come up after making your unit pet-friendly. The injuries can range from minor to severe and can occur in various ways. Including bites and scratches from dogs, allergic reactions in some people, and zoonotic diseases that can be transmitted to humans.
Pet Odors
Pets are family, but nobody loves the odors that accompany them. If your rental property has common areas, for instance, you may find other tenants complaining about pet odors.
How to Mitigate against the Risks of Allowing Pets into Your Rental Unit
Luckily for you, you may be able to mitigate against the risks of making your unit pet-friendly by taking certain precautions. The precautions include the following:
- Comply with the fair housing laws. You must comply with your state’s Fair Housing Laws regardless of whether you allow pets into your property or not. Specifically, if you allow pets, then you must exempt disabled tenants from paying any extra fees or deposits. And if you don’t allow them, you must exempt tenants with companion animals, as theirs are not pets but working animals.
- Hire a property management company. A good property management company can help handle all your property management needs. Including, helping you draft a solid pet policy to help mitigate against potential issues that come with making a unit pet-friendly.
Bottom Line
Admittedly, there are risks to making your rental unit pet-friendly. However, with the right contingencies, you could overcome them all while maximizing your investment’s ROI.
Hiring the right property management company can ensure you get all the requisite help you need in this regard. Brentwood Square Management Services, Inc. is a full-service property management company. We’re ready to manage your entire investment portfolio. Get in touch to learn more!
