With pet ownership, the labor intensive time and effort that it takes to care for them is part of the deal. It can seem, if you happen to miss a day, as though the mess made by pets can become overwhelming. Because of this reality, when somebody decides to rent out a property, the first instinct is often not to allow pets. It is hard to trust tenants to properly care for the pets and the mess they inevitably make. The concern is that the property value could decline because of damage and additional wear and tear caused by the animals. These feelings are often justified, but they don’t necessarily have to be. There are many times when things actually go in the opposite direction. In this blog post, we are going to go over a few of the reasons why allowing pets can be quite benefiical.
Increase the pool of prospective tenants for your rental
Statistically speaking, right around 50% of rental properties allow pets. When a landlord decides not to make their property pet friendly, they are effectively joining a group of properties that a large segment of tenants cannot even consider renting. Conversely, by deciding to have a pet friendly property, a landlord is dramatically increasing their pool of potential renters. Certain studies have shown that up to 75% of renters are pet owners. They are well aware that finding a rental that allows pets can be a daunting task. For a property owner, allowing pets decreases the likelihood that a rental property will remain unoccupied for any significant amount of time. The shortage of pet friendly rentals will also help to drive up both the price of rent and the demand to occupy these properties.
Increase your renewal rate
When good and trusted renters decide to move out, it starts the stress filled process of finding new tenants. Part of the worry is that the new renters might not take as good care of the property as the previous ones. They might not pay as promptly. They might be less responsible or responsive to landlord requests. There is also the stress of having to go without rent payments for a period of time while searching for new tenants. Having a pet friendly property helps to foster loyal and long term tenants. Most renters are all too familiar with how challenging it can be find a new pet friendly place. The probability of them renewing their lease is far greater when they have found a good property that allows animals.
Increase your earning potential
Part of being a successful real estate investor is looking for ways to increase revenue. If your property is pet friendly, there are a couple of ways to easily accomplish this. The majority of landlords charge an additional pet deposit due on the date tenants move in. Typically, this deposit is nonrefundable or only partially refundable. Its principal purpose is theoretically to pay for a more thorough cleaning of the property when the tenants move on. However, many times the tenants have taken such good care of the property that the additional cleaning might not even be necessary. In these cases, the nonrefundable deposit becomes additional revenue for the landlord. A growing number of pet friendly properties also charge an extra “pet rent” fee every month. Even a seemingly small amount such as $30 a month adds up to be an additional $360 in yearly revenue.
Increase the quality of tenants that your property is attracting
Pet owners are most often found to be in the more conscientious and responsible segment of the population. It takes a great deal of time and effort to care for pets, and those willing to do so often excel in other aspects of their life as well. These types of individuals will more often take pride in caring for your property and treat it like they would treat their own home.
When debating whether or not to allow pets in a rental property, don’t forget to consider the many reasons that it is actually very beneficial to do so. If you are worried about managing a pet friendly property or have questions about how to structure everything properly, don’t hesitate to call your local St. Paul property management company PMI Twin Cities.