There are pros and cons to everything in life. And that includes the issue of renting housing property to pet owners.  

Did you know that in 2020, pet ownership in the U.S. rose from 67% of households to an all-time high of 70%? That’s according to Steve King, president, and CEO of the American Pet Products Association (APPA), in a preview of the association’s “2021-2022 APPA National Pet Owners Survey.” King went on to note that “Pets have played a central role in comforting Americans during the COVID-19 pandemic.” Indeed, they have.  

 That makes for pretty simple math, doesn’t it? Landlords who allow pets in their rental units will have nearly three-quarters more tenants interested in their property. Other benefits to allowing tenants who are pet owners include— 

• • • Happy tenants who appreciate the opportunity to have their pets with them  
    • Tenants with pets tend to stay longer, leaving the landlord with fewer vacancies 
    • People mature enough to take proper care of a pet tend to be responsible in general  

Consider how these tips can assist landlords in managing the cons of renting to pet owners. 

Collect a pet deposit 

It is reasonable to assess a higher security deposit to renters with pet(s). The higher amount can be an incentive to be attentive to the pet even as it protects the landlord from the cost of repairs if the property sustains damage due to the pet. Remember that, by definition, a deposit is refundable per the specifics of the lease.  

 Consider “Pet Rent”  

While a “pet fee” is a one-time charge, “pet rent” is an ongoing monthly throughout the lease.  This may be a turn-off for some pet owners, but others may view this added expense as a reasonable expenditure for the opportunity to live with their pets. This added income not only boosts the property owner’s bottom line but also realistically addresses the fact that over time, pets may cause more wear and tear than expected in a non-pet unit.  

Be sure to check for state and local ordinances that may prohibit an added amount for a pet. And be advised that service, guide, signal, or support animals are not “pets” according to the Americans with Disabilities Act (ADA), as long as the tenant is using the animal to support a disability or handicap, or the tenant is training the animal(s).  Find additional information on service animals at http://www.hud.gov. 

Create a detailed pet policy as an addendum to the lease 

This must-have document should cover things such as— 

• • • A pet limit – A dog or cat is one thing; a pack or litter is an entirely different story. 
    • Types of pets allowed— For instance, are you comfortable with a large pet snake or a pot-bellied pig? 
    • A “noise clause” clearly stating expectations and the consequences that will be enforced. 
    • Details about periodic inspections. 
    • Specifics about what will be considered “pet damage” and how repairs will be handled. 

Allowing tenants to have pets can be a win-win situation if managed proactively.  

 About Rentals America 

Rentals America provides full-service property management for residential rental properties. Our team is completely dedicated to property management and we’re here to help landlords navigate the rental market.