Property Management Best Practices
Managing Pet-Friendly Properties: Policies, Deposits, and Damage Control
Zac Maurais
March 10, 2025
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Pet-friendly rentals can boost profits and tenant retention, but they come with challenges. Here's what you need to know to manage them effectively:
Managing pets in rentals requires balancing tenant satisfaction with property protection. By setting clear rules, charging fair fees, and taking preventive measures, you can attract responsible pet owners and increase your property's value.
Pet policies are crucial for balancing tenant satisfaction and protecting property. With 66% of U.S. households owning pets [2], having clear and legally compliant guidelines is a must for effective property management. These policies help maintain property value while addressing tenant needs.
A solid pet policy should cover the following:
Pet Restrictions and Limits
Owner Responsibilities
"Clearly list owner responsibilities: keep pets controlled and leashed, ensure constant supervision, and maintain current vaccinations." [2]
It's important to note that different rules apply for assistance animals under federal law.
The Fair Housing Act (FHA) and Americans with Disabilities Act (ADA) mandate specific guidelines for assistance animals. Here's how they differ:
| Type | Definition | Documentation Required | Fees Permitted |
|---|---|---|---|
| Service Animals | Dogs trained for specific tasks | Limited to 2 questions about task/disability | No |
| Support Animals | Any animal providing emotional support | Documentation of disability-related need | No |
| Pets | Standard companion animals | Standard pet documentation | Yes |
For service animals, property managers can only ask two questions [3]:
Proper documentation helps avoid confusion or disputes.
Policy Integration
Required Documentation
"No company should welcome a one- or two-paw FIDO-rated pet into their community without thoroughly analyzing the pet profile as to why they scored this. I personally recommend to clients that if an animal has ever bitten a person, they should not welcome that pet into a rental. Should they bite someone again, it could be said you knew or should have known they posed a risk." [2]
Using pet management software can simplify recordkeeping and streamline processes [4].
Striking the right balance between protecting your property and setting fair pet fees is crucial. With around 86.9 million U.S. households owning pets [5], having a well-thought-out fee structure can help you attract reliable tenants while safeguarding your investment.
There are three common types of pet-related charges property managers can use:
| Charge Type | Typical Range | Purpose | Refundable |
|---|---|---|---|
| Pet Deposit | $200–$500 | Covers specific pet-related damage | Yes |
| Pet Fee | $100–$500 | One-time charge for wear and tear | No |
| Monthly Pet Rent | $25–$50 per pet | Covers ongoing maintenance and risk | No |
Adjust fees based on factors like the number of pets, their size, type, property features, and local market trends.
"The key is to charge enough pet rent to account for the additional wear and tear (short of actual damage) that may result from having a pet, while being reasonable. If it's a renter's market, you'll also want to remain competitive with other landlords. Allowing pets will create additional demand for your rental property." - Rocket Lawyer [7]
When setting pet fees, it's critical to follow legal guidelines, which may include:
For example, Denver's 2023 cap on pet deposits at $300 [5] highlights the importance of staying updated on local rules. Alongside legal considerations, check market rates to ensure your fees remain appealing to tenants.
Monthly Pet Rent
Typically, monthly pet rent is calculated as 1–3% of the monthly rent [1], with averages ranging between $25 and $50 per pet [8]. Charging per pet is a common approach.
Determining Deposits
Factors influencing pet deposit amounts include:
To protect your property and attract responsible pet owners, consider these best practices:
"Incorporating pet-friendly policies not only offsets costs but also attracts responsible pet owners, fostering a welcoming atmosphere for tenants and their animal companions." - LawDepot.com [5]
Strong policies and fees set the stage, but managing pet-related damage requires a practical, step-by-step approach to protect property value. A good plan includes regular inspections, preventive measures, and timely repairs. Property managers who stay proactive can cut repair costs while keeping tenants happy.
Regular inspections help catch and document pet-related damage early. Tools like UV lights and detailed checklists ensure nothing gets missed.
Once the inspection is done, take steps to prevent further damage.
Preventing damage is easier than fixing it. Victoria Cowart from PetScreening.com advises, "The best policies are the ones consistently applied. That's the greatest challenge I see in the industry" [10].
Here are some protection tips:
Even with preventive steps, some damage is inevitable. A survey found that 85% of property owners experience pet damage, with dog-related repairs costing an average of $850 per year [11].
| Damage Type | Professional Cost | DIY Solution Cost | Recommended Approach |
|---|---|---|---|
| Leather Scratches | $200–$350 | Less than $20 | Use a DIY repair kit for small issues |
| Fabric Damage | $200 | Less than $20 | Professional cleaning for tough stains |
| Wood Repairs | $75–$2,000 | Less than $20 (plus materials) | DIY for surface scratches; hire pros for major fixes |
To manage pet damage effectively:
Smart property design can help reduce repair costs and improve tenant satisfaction. Beyond managing potential damage, thoughtful features can protect your property while enhancing the tenant experience.
Dedicated spaces for pets help reduce wear and tear on shared property areas. A great example is Farrell Properties in Burlington, VT. They’ve added an indoor pet washing station with a groomer’s dryer and a fenced pet park stocked with complimentary waste baggies. After introducing a PooPrints program to track pet waste, they achieved a 95% drop in uncollected waste [13].
Here are some practical design tips:
These features not only protect your property but also create a more welcoming environment for pet owners.
Surveys show that non-pet-owning residents rate their comfort with pets at 6.3 out of 10. Common concerns include barking, off-leash pets, and waste management [15]. Addressing these issues can help maintain harmony:
| Concern | Solution | Implementation Method |
|---|---|---|
| Noise | Enforce strict policies | Document incidents and apply consequences |
| Off-leash pets | Create designated areas | Build fenced spaces for supervised play |
| Pet waste | Accountability measures | Use DNA tracking services like PooPrints |
Clear guidelines for pet owners are essential. Consider including the following:
For outdoor areas, hardscaping with brick patios or mulched sections can create low-maintenance, pet-friendly spaces [14]. Installing well-stocked waste stations throughout the property promotes responsible pet ownership and reduces conflicts between tenants [15]. These measures work together to effectively manage pet-friendly properties while keeping all residents satisfied.
Managing pet-friendly properties effectively requires clear rules, fair fees, and strategies to minimize damage. With 86.9 million households owning pets [5], property managers must adopt modern approaches to balance tenant needs with property care.
Here’s a quick breakdown of the core strategies:
Financial Protection: Setting up structured pet fees and deposits ensures coverage for potential damages while staying compliant with local laws [5].
Policy Implementation: Well-defined pet policies that outline behavior expectations, maintenance duties, and community rules help keep the peace among tenants.
"Handling pets in rental properties requires a balanced approach. By implementing clear policies and guidelines, property managers can allow pets and tap into a wider tenant pool" [1].
Property Protection: Using durable materials, offering pet-friendly amenities, and conducting behavior assessments instead of breed restrictions can lower maintenance costs. Regular property inspections and strict enforcement of policies also safeguard property value while supporting a pet-inclusive environment.
As Millennials and Gen Z continue shaping rental market trends, adopting pet-friendly policies is key to staying competitive.
"Incorporating pet-friendly policies not only offsets costs but also attracts responsible pet owners, fostering a welcoming atmosphere for tenants and their animal companions" [5].
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