8 reasons why you should consider renting to pet owners....
1) Lower vacancy rates…..65% of people have pets according to Human Society per their 2015-16 Survey. This is the majority of your market and audience when renting a property.
2) Pet owners are happier.....Happier people are more successful, make more money, treat property and people nicer. Happier tenants are better tenants.
3) Pet owners are generally more responsible since caring for the pet requires responsible behavior.
4) Reduced turnover..... pet owners want longer leases, renew leases more frequently, and generally stay longer in a home. Once settled in, pet owners do not want to put the stress on their pet or their family to find another pet friendly home and risk losing their current home where their pet and family are happy and comfortable.
5) Non-refundable pet fees and larger security deposits can be used to offsets risks....Non-refundable deposits are direct income to the owner and do not affect the usage of security deposit for damages. At The Home Store we charge between $250 and $350 per pet as a non-refundable pet fee. You can also charge as much as 1.5 month's rent for a security deposit.
6) The benefits outweigh the risks…..Potential damages caused pets are offset by risking more turnovers and vacancy by limiting your market and leasing to shorter term tenants.
7) In single family homes in particular, there is no negative impact on the rest of your portfolio no matter what happens (i.e. barking) since single family home investments do not depend on one another.
8) Tenants can bring pets whether you allow them or not..... They can sneak them in! Especially in a single family home. Its much better to know about pets in advance and be able to charge fees or security deposits and make other preparations to offset risks.
Thank you for your time and good luck with your property investments! Brad