The Benefits of Renting to Tenants with Pets

Key Takeaways

• Pet-friendly rentals expand the tenant pool: Allowing pets can bring in more applications from renters who need pet-friendly housing.
• Pet policies can support income: Pet deposits, pet rent, or approved pet fees can add revenue while helping offset pet-related wear.
• Pet-owning tenants may stay longer: Moving with pets can be complicated, which may support longer tenancies and lower turnover costs.
• Clear rules protect the relationship: Structured policies and proactive management can help landlords and tenants communicate better.

While the landscape of residential leasing changes, few topics generate as much debate among property owners as whether or not to allow pets. Historically, the majority of rental policies have been restrictive, with property owners using concerns over property damage, noise, and liability as their rationale for restricting the ability of tenants to have pets.

However, a growing body of research indicates the benefits of allowing pets as a viable option and an increasingly popular option for many rental owners due to the changing demographic and lifestyle preferences of today’s tenant population.

At Keyrenter New England, we’ve found that adopting clear pet rental policies and properly managing pet-friendly rentals can lead to an increase in the potential overall value and resulting relationships between the owner and tenant of a pet-friendly rental.

Why Pet-Friendly Rental Properties are an Advantage

Here are some of the benefits that come with renting to tenants with pets:

Expanding Tenant Pool

Landlords can receive more applications from potential tenants who have pets. In addition, pet ownership is prevalent in the rental market. Thus, pet-friendly rental properties appeal to a larger number of prospective tenants than any other type of rental; therefore, allowing pets to be housed in a rental property increases the chances that a landlord will be able to screen tenants and rent their unit.

Pet-friendly rentals can accommodate a larger audience than non-pet-friendly rentals, making those properties accessible to multiple demographics

Increased Rental Income Opportunities

Landlords who allow pets to be housed in their rental property will often create additional revenue sources related to the pet. The most common form of this is through the use of pet deposits and/or increases in monthly rent. Pet deposits and pet fees should be handled according to applicable law and the lease, and the increase in rent for tenants renting a home with a pet is usually only a few dollars.

There are many purposes for these fees. Firstly, research shows there is a growing demand for pet-inclusive housing, secondly they create a financial cushion for landlords against damage to their rental property from the tenant’s pet. They also provide additional rental income to the landlord.

Promote Longer Tenancies

Tenants who have pets also tend to be more stable than tenants without pets. Moving with pets can be very complicated logistically and emotionally, causing many pet-owning tenants to want to stay in one place long-term. This tendency toward longer tenancies helps landlords reduce their turnover costs.

Turnover costs include expenses such as marketing a unit for re-rent, cleaning or preparing the unit for a new tenant, and more. Keeping tenants for a longer time reduces these costs and contributes to a more consistent stream of income for the landlord.

The Role of Responsible Pet Ownership

While it may be commonly assumed that pet owners are less responsible than those without pets, many responsible pet owners have a greater awareness of their tenant responsibilities due to the fact that there are fewer available dwelling types for pet owners/applicants. 

As a result of the desire to maintain a higher quality of life for themselves and their pets, responsible owners also tend to take better care of the property’s upkeep.

Differentiating Your Property From Others

When there is strong demand but limited supply of pet-friendly properties being offered, doing so can provide an effective market differentiation as compared to non-pet-friendly properties. When compared to other markets/areas with a large number of competing products in proximity, it becomes very valuable for a property owner to offer a pet-friendly property.

A property that allows pets is likely to receive increased attention from tenants who are looking for pet-friendly options. Having this additional visibility may contribute to a reduction in the time it takes to lease up a unit and will overall increase demand for the unit.

Fostering a Stronger Relationship Between a Landlord and Tenant

Allowing tenants to have pets can result in a more favorable relationship and atmosphere between landlords and tenants. By providing for an important factor in the tenants’ lives, landlords can show flexibility and understanding. This goodwill can develop trust and respect between both parties.

The appreciation that landlords receive from their tenants will make tenants feel more eager to openly communicate, to report issues promptly, and to comply with property policies and procedures. The transition from a transaction-based relationship to a cooperative one makes it easier for both landlords and tenants to resolve their disputes and to feel satisfied with the resolution.

Bottom Line

It is a strategic opportunity and not a compromise to rent your property to tenants with pets. Through a thoughtfully managed process, this will enhance revenue potential, expand the tenant pool, and support long-term stability. Most landlords discover that the benefits of renting to tenants with pets are enduring and measurable when they use structured policies and proactive management.

Contact our team today to learn about our property management services!