Landlords Who Allow Pets Are Likely to See 20-30% More in Rent Than Those Who Do Not
Palm Springs- Those in Palm Springs who own investment property may be overlooking a way to increase their profitability by not adding pet-friendly units to their investment portfolios. A nationwide study conducted by FIREPAW, a non-profit organization dedicated to handling animal welfare services, found that property managers who allow animals in their rental properties are seeing an increase in their bottom line profits. Their research found that the biggest reason pet owners gave up their pets was housing issues where pets are not allowed. Even though pet owners are willing to pay more in rent to keep their animals, there is still a shortage of landlords willing to accept pets. “Because of their ability to charge a separate pet deposit that can range anywhere from 40-85% of the rent up front, property owners who allow pets in their properties are seeing their bottom lines increase substantially,” said Lukas Krause, Chief Executive Officer of Property Management Business Solutions, the franchisor of Real Property Management. “Real Property Management encourages Palm Springs property managers to allow pets whenever possible as a means to assist them in achieving financial goals faster.” The study also clearly indicates the rent differential between housing accepting animals and those who do not was 20-30% higher on average, which equates to an average overall rent for participants in the study coming in at $1070 per month. Other benefits for landlords that allow pets include:- Longer lengths of tenancy
- Lower vacancy rates
- Less marketing needed per unit
- More applications received per unit