The Secret to Filling Units Faster AND Hundreds of Dollars in Extra Cash Flow is…Dogs

What a Pet Package Looks Like

According to RentCafe data, a standard pet package includes:

• Approximately $35 in monthly pet rent.
• Refundable deposits over $300.
• Nonrefundable fees that average $315.

Dog Breeds, Insurance, and Liability

The RentCafe report shows that dog breeds, insurance, and liability are among the concerns of many landlords. To address this, most rentals have targeted restrictions that limit the types of dogs allowed based on size and “aggressive” characteristics.

Although dogs are predominantly the main pets tenants have, they are not the only ones. However, bans on domestic cats are rare. Rather, restrictions focus on litter-box training and vaccination requirements.

The New York Times reported that of America’s renter population, 59% of whom own pets, the majority are likely to be lower income, and for them, the additional cost of owning a pet can present financial difficulties in the housing crisis. As such, state and federal bills targeting pet fees have become an issue for housing advocates. Colorado became the first state to enact a law capping pet rent and deposits and prohibiting home insurers from imposing breed-based restrictions.

“Unless you can afford to rent in a luxury building, or absorb potentially hundreds of dollars in monthly or one-time fees, you may be forced to choose between housing and your pet,” Barker of Michelson Found Animals told the New York Times. “It’s not just an animal issue; it’s equally a human issue.”

A Contentious Issue

This, along with other similar proposals across the country, has evoked a strong response from landlord groups, concerned about the damage pets can cause to their properties and the inadequate compensation pet caps could engender.

“There are bad people, and there are bad dogs, and our job is to screen that and make sure that we’re providing a safe environment for everyone,” Russell Lowery, executive director of the California Rental Housing Association, told Fox News in response to his state’s proposed legislation advocating for eased pet rental restrictions, which was withdrawn after considerable opposition.

Under the California proposal, landlords would have had to provide “reasonable justifications” for denying a pet.

“Chasing mom-and-pop landlords like myself—small investors like myself—out of California is not going to solve the high price of rent; it actually is going to make it worse,” landlord Ivan Blackshear told Fox News last year, before the bill was withdrawn.

It’s important for landlords to remember that, under the Fair Housing Act, landlords generally cannot charge pet fees for support animals.

Final Thoughts: Welcoming Fido Without Killing Your FICO

Landlords who want to make their rentals pet-friendly without incurring the financial setbacks that a cat-trashed or dog-demolished residency can cause should adhere to a structured, repeatable playbook. Here are some steps to take.

Create a formal written pet policy 

Such a policy standardizes the following:

• Permitted type of animal
• Size or weight limits
• Number of pets
• Required vaccinations and local registrations

RentCafe finds that landlords with such policies experience fewer disputes and insurance issues than owners with a more informal approach to tenants.

Set transparent pricing

Create a predictable set of costs that lets renters know what to expect. These should include:

• A refundable pet damage deposit.
• Modest monthly pet rent.
• One-time nonrefundable cleaning fee.

Demand documentation

Treat pet documentation in the same way as you would pay stubs: as a requirement, not an option. It will serve both as liability protection and as behavioral screening. Standard pet documentation should include:

• Proof of vaccination
• Local licenses
• Flea/tick treatment records
• Emergency vet information

Make low-cost, high-impact property upgrades

Making your property pet-friendly can be relatively budget-friendly. Common-sense, durable design choices will help limit wear and tear and are a good idea to incorporate, whether your tenant has a pet or not. These include:

• Semigloss or scrubbable paint in high-traffic areas
• Vinyl plank or tile flooring
• Door kickplates
• Corner guards
• Easy-to-clean baseboards