Benefits of letting your tenants have pets
After taking out a home loan and committing to an investment property, you may think the worst is over. And you'd be right - purchasing property can be a difficult experience. However, once you become a landlord, there are a whole host of important decisions to be made that will set the precedent for your rental and play directly into how profitable your slice of Australian real estate is in the near future.
Of course, the decision is entirely up to you. Whether or not to allow pets into investment property is a dividing issue between landlords, with both sides having a number of good points for their own point of view. But one thing to remember is this: Saying no to pets is saying no to a big chunk of the potential tenant market, as now many people will be willing to get rid of their cat or dog just to secure a place in your home.
However, if you're willing to open up your property to the possibility of pet owners, you stand to gain quite a bit from the choice. For one, the number of potential tenants you can choose from will grow exponentially. This means your choices are less limited, allowing you to continue the search until you find the perfect tenant for your home, regardless of whether they have a pet or not.
Pet ownership shows a degree of responsibility
While this isn't a hard and fast rule, it can be generally assumed that those who take good care of pets often translate into brilliant tenants, as well. With the amount of responsibility involved with looking after and maintaining a pet, people are often good at looking after themselves, their pets and their homes. This could be a wonderful change of pace, especially if you've had terrible tenants in the home previously.
Furthermore, they're more likely to stay in your home for a longer period of time. Due to the difficulty of finding properties that allow pets, if you're accommodating and build a good relationship with your tenant, they could be more inclined to stay in your investment property for an extended timeframe, which works out perfectly for you if they're responsible in the way they care for the property and pay their rent in full, on time.
Potentially increased rent
One thing that comes with allowing pets into your home could be an increase in initial tenant competition. Once people notice that your property will allow them to bring their pets, the demand will begin to grow.
This leads to a number of benefits for you. For one, you'll have your pick of the tenant pool. If you're in an area that has a high concentration of pet owners, the amount of people who could potentially be applying for residency in your home has the chance to be huge. This will cut down on the amount of time your home is on the market, as well as give you a wider range of people to choose from.
Furthermore, the increase in demand could potentially lead to setting a higher rent. With the inherent risks of having an animal on the premise, taking this into consideration and discussing the possibility with your tenants could open the door to a slightly higher weekly income from the property.
Of course, this depends on the type of animal involved. Increased rents for cats and birds doesn't compare to a slightly higher weekly charge for those with large dogs, so take this with a grain of salt and if in doubt seek legal advice before committing to the rise.
Image credit: jajamuho