72% of renters have pets, according to the Humane Society of the United States. Are you missing out by saying “no pets allowed”? If you're a landlord wondering whether to allow pets in your rental property, you're not alone. The majority of renters do own pets, and saying no might mean missing out on higher profits and more reliable tenants. But is it worth the potential headaches? Let’s consider the advantages and disadvantages of allowing pets – and how to find the perfect tenants, furry friends included.
The hidden profits of pet-friendly rentals: 5 reasons why rentals with pets are a win for landlords
You’ve probably heard all the horror stories about pets in rentals – chewed baseboards, barking dogs, and fur galore. But let’s flip the script because being pet-friendly might just make your rental the hottest property on the block. Here’s why:
- More responsible renters
If a tenant handles the responsibility of feeding, training, and caring for a pet, chances are they’ll be responsible renters, too. Because pets require patience, financial commitment, and routine maintenance – all great qualities you want in a tenant. Here’s an outcome: responsible pet owners are more likely to respect your property and follow lease agreements. - Higher rent
Pet owners are willing to pay more for a place that welcomes their furry companions. Landlords can quickly charge pet deposits, non-refundable fees, or even monthly "pet rent." These additional charges help cover potential risks and significantly boost your profit margin. Since most rentals don’t allow pets, those that do can charge a premium. That’s simple supply and demand that works in your favor. - On-time rent payments
Most often, pet owners are characterized as financially stable. It translates to reliable rent payments. Practical Apartment Management notes that over 65% of pet owners earn more than $50,000 a year. Given that level of financial stability, landlords often experience fewer missed payments and more consistent cash flow. - Tenants stay longer
Pet owners aren’t moving from rental to rental. They tend to stay put once they find a place that welcomes their pets. Why? Options are limited, and they’d rather avoid the hassle of searching for another pet-friendly home. This stability benefits landlords: it reduces vacancy rates and the costly process of finding new tenants. - Bigger tenant pool
When you open your rental to pet owners, you immediately get access to a much larger group of potential tenants. Did you know that 82 million U.S. households have pets? That’s a massive market! Thus, your decision to allow pets increases your chances of finding great tenants faster. This cuts down on costly vacancies.
Why some landlords still say no to pets: 5 cons of a pet-friendly rental property
As you’ve already seen, allowing pets brings in great tenants and higher profits; however, there are still valid concerns to consider. Let’s consider how to tackle them head-on and protect your property.
- Property damage
Pets can leave their mark – literally. Although there might be normal wear and tear in rentals, scratched floors, chewed wood, and lingering odors can wreak havoc if not properly supervised. The list of common complaints also covers damaged cables, torn walls, or ruined landscaping. But don’t let fear hold you back. The solution? Create an explicit pet clause in your lease that outlines tenant responsibilities and potential consequences for damage. Also, you can collect a refundable pet deposit to cover repair costs and conduct regular inspections to catch any issues early. - Increased vacancy rates
Some tenants may pack up and leave if they’re dealing with pet-related disturbances or have allergies. Noise and allergens can interfere with their peaceful enjoyment of the space. To avoid this, communicate your pet policy clearly from the start so non-pet owners can make an informed decision. Consider designating specific pet-friendly areas in multi-family properties to reduce conflict and retain tenants without pets. - Noise complaints
Barking dogs or noisy pets can become a nightmare for neighbors or tenants. This is especially true if pets are left alone for long periods without proper training. But there’s a fix. Before approving a tenant, meet their dog and ask about barking habits. Speak with their previous landlord to check for noise complaints. You can also require crate training or calming strategies for pets that may struggle with separation anxiety. - Physical injury
No landlord wants to deal with the liability of a dog bite or other injury caused by a tenant’s pet. The CDC reports nearly 1 million Americans receive medical attention for an animal bite each year, some of which require rabies-related medical care. Protect yourself by requiring tenants to carry renters’ insurance with pet liability coverage. Screen pets for signs of aggression, and where legally permissible, consider excluding high-risk breeds. - Pet allergies
Even long after a pet moves out, allergens can linger in carpets, air ducts, and shared spaces, creating discomfort for future tenants. The solution? Schedule a professional deep cleaning between tenants, including air duct cleaning and carpet treatment. Let potential renters know upfront that the property is pet-friendly so they can decide if it’s the right fit for them.
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How to properly screen tenants with pets (without the hassle)
Allowing pets in your rental property opens doors to a larger tenant pool and higher profits – but it comes with responsibilities. A straightforward screening process ensures you find tenants who will respect your property and, at the same time, manage their furry companions responsibly. Let's take a closer look at a brief three-step guide to get it right:
- Request a rental application & screening reports
Start with a detailed rental application where tenants indicate if they have pets. Include questions about the type of pet, breed, size, and age. Don’t forget to run standard background and credit checks as part of your due diligence. - Collect pet-related documents
Ask tenants for a “pet resume.” Yes, it's a thing! This document, as a rule, includes vaccination records, training certificates, and even photos of the pet. Meeting the pet in person is also a great idea – this allows you to assess its temperament firsthand. - Approve or deny the application
Once you have all the necessary information, review the details thoroughly and decide whether the tenant and their pet are a good fit for your property. Look for red flags like incomplete vaccination records or previous complaints about the pet’s behavior.
Questions to ask during the screening process
For an informed decision, ask potential tenants questions like:
- How many pets do you have?
- What breed and size is your pet?
- Has your pet ever shown aggression toward people or other animals?
- Is your pet trained and updated on vaccinations?
- Does your pet get along well with other animals and children?
What about service and emotional support animals?
It's important to know that service and emotional support animals (ESAs) aren’t classified as regular pets. Emotional Support Animals (ESAs) provide comfort to individuals with disabilities. Under the Fair Housing Act, ESAs have special legal protections, meaning landlords cannot discriminate against tenants who have them. Service Animals are trained to perform specific tasks for their owners and help with activities they can’t do on their own. They fall under the protections of the Americans with Disabilities Act (ADA).
Regardless of whether you have a no-pet policy or not, landlords are legally required to make reasonable accommodations for tenants with ESAs or service animals. Refusing a qualified renter because of these animals could be considered discrimination and lead to legal consequences. To stay compliant, it’s best to familiarize yourself with housing regulations and communicate openly with tenants about any reasonable documentation requirements. Doing so can prevent legal issues and foster a more inclusive rental environment.
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Final word: find the right tenants – with or without pets
It is no easy task to make a decision on whether or not to allow pets in your rental property. The benefits are apparent: more profits, longer tenancies, and a bigger pool of tenants. Unfortunately, these perks involve challenges in the form of property damage, noise, and liability risk. Your only choice ultimately depends upon your comfort level and ability to implement smart strategies. Most risks can be mitigated by crafting a well-thought-out pet policy, screening thoroughly, collecting appropriate deposits, etc.
If you’re still hesitant, remember that flexibility can be your most significant advantage as a landlord. Maybe you allow pets on a trial basis or limit certain types of animals. On the other hand, staying pet-free might be the best option if your property or personal preference demands it. The key is finding responsible tenants who respect your property – whether they come with wagging tails or just a suitcase in hand.
