72% of apartment renters have pets. Yet they struggle to find pet friendly rental apartments for their pets. If you allow tenants with pets, you can greatly increase your pool of apartment applicants.
However, by allowing pets in a rental property, you take on a lot of risks as well. You may find that these risks greatly outweigh the benefits. Before you make that change in your lease, you need to be sure it's worth it.
Read on to learn more about the pros and cons of a pet friendly apartment.
Pros of Pets in a Rental Property
To put it simply, having a pet friendly rental can increase the return on investment (ROI) of your investment property. Tenants with pets are willing to pay more, stay longer and take better care of your apartment.
More Responsible
Owning a pet takes a lot of responsibility. That responsibility can translate into how well your tenant takes care of your apartment. So you won't have to put a lot of money into cleaning and repairs.
Not all pets are responsible, of course. But you can easily screen any irresponsible pet owners. Just look at the overall health of their pet.
Higher Rent
Pet friendly apartments are less common than apartments that don't allow pets. This puts them more in demand. You can use this higher level of demand to your advantage.
Consider charging your tenants with pets higher rental rates. Many of these tenants will pay these rates to keep their pets with them.
Less Turnover
People in pet friendly apartments also move less. This is because tenants with pets have fewer options to choose from.
This is very advantageous to you. Having high turnover rates can be costly. You have to pay to prepare apartments for new tenants.
Plus, the longer apartments stay empty, the more money you lose. Keeping tenants for longer periods is the better option.
Cons of Pets in a Rental Property
However, tenants with pets can also be a liability in a few ways. Their pets can annoy other tenants and can destroy your property.
Annoying Other Tenants
Rental property pets can create noise and bad odors. This can annoy other tenants in an apartment building. If these tenants get too annoyed, they may move out.
You can mitigate the noise issue with a "no noise" rule. If tenants with pets violate this rule, you may need to kick them out.
Destroying Investment Property
Animals can scratch, chew on, and soil parts of your investment property. It will take money for you to repair these issues. Charging a pet security deposit to the tenant may help you pay for any damages.
Let Us Manage Your Investment Property
In summary, most of the downsides of pets in a rental property can be lessened. If you're able to successfully do this, you can reap great rewards.
Also, are you a real estate investor who needs help managing your properties? Then talk to the representatives at our property management company. Schedule your free consultation on this page.
