LEASING
BY MICHAEL BANG , AZIBO . COM
Pets can create quite a conundrum for communities who want to appeal to a broad group of residents but are also concerned about potential damage to their rental property . However , 70 % of American households own at least one pet . Recent growth in pet ownership is partly because many households purchased or adopted pets to help combat the isolation of the pandemic . But even as the world reopened , 23 % of pet owners brought home a new pet in 2022 . This increase has made it more important for apartment managers and owners to consider having at least one pet-friendly rental property in their portfolio .
Here are the most common benefits and drawbacks of being a pet-friendly community .
The Benefits
Minimize Turnover
Pet owners have very specific requirements in a rental home . They need to make sure that the home has the necessary space , that the neighborhood they live in allows pets , that the neighbors are comfortable with their pets , and that their community approves of the pets they keep . In other words , it can be a challenge for pet-owners to find the right rental home .
This means that when they find a rental property that suits their needs , they may be less likely to leave unless it ’ s absolutely necessary . For communities this reduces resident turnover and encourages pet owners to renew their leases when they expire .
Maximize Profit
Due to the limited availability of rental properties that allow pets , pet owners are often willing to pay a premium for homes that accommodate their furry or feathery loved ones . Investors who wish to maximize their rental income can opt to charge a monthly pet fee to allow their residents to keep pets .
The United States Census Bureau found that 60 % of households with income over $ 80,000 own pets — meaning pet owners may be more likely to be able to afford these fees . However , even if communities don ' t choose to apply pet fees for residents with pets , pet insurance and security deposits are still a good idea .
Appeal to a Larger Group of Renters
As noted earlier , a significant proportion of Americans own at least one pet . As demand for rental property increases amongst pet owners , it may be unwise for communities to miss the opportunity to appeal to this group of renters . Communities that choose not to allow pets in their rental properties have a smaller pool of renters to choose from and can sometimes lose out on otherwise high-quality residents . www . aamdhq . org SEPTEMBER 2022 TRENDS | 21