The Pros and Cons of Pet-Friendly Rentals

Renting out property involves more than just finding paying tenants — you also have to decide what rules you’ll set in your lease. One hot topic is: should you allow pets? With about 62% of U.S. households owning a pet, according to Pew Research, this question matters — both for landlords and renters.

Here’s a breakdown of what to consider, along with tips for doing it well.

The Upsides: Why Making Your Rental Pet-Friendly Can Pay Off

1. More potential tenants: A lot of renters have pets, or hope to. Accepting pets opens your market, letting you reach more applicants.

2. Better tenant retention: Those with pets often stay longer, because pet-friendly housing is harder to find. Once someone finds a place that works for their animal, they’re less likely to move.

3. Higher income possibilities: Depending on your area and laws, you might be able to charge slightly more in rent, or require a larger security deposit to cover extra wear and tear.

The Risks: What Could Go Wrong When You Allow Pets

• Damage to the property

  Chewed floorboards, stained carpets, scratched surfaces — pets, especially dogs or curious cats, can cause damage that adds up.

• Noise, odor, or behavior conflicts

  Barking, accidents, odors, or pets disturbing neighbors can lead to complaints. Keeping peace becomes more complicated.

• Legal obligations and complexity

  You can’t treat service animals or emotional support animals like pets under law. There are rules about what you can require or restrict. Messing this up can lead to fair housing violations.

Building a Strong Pet Policy: How to Do It Right

If you decide to allow pets, having a clear, enforceable policy is key. Here are some best practices:

POLICY ELEMENT	WHY IT MATTERS
Screen pets individually	Breed or size isn’t always a good predictor of behavior. Better to know vaccination history, behavior, etc.
Talk to previous landlords	You can learn whether the pet caused damage, was disruptive, etc. Helps flag potential problems.
Require additional security deposit (if legal)	Helps protect you financially. Note: In some places, you may be limited in how much extra you can require.
Never deny service or emotional support animals	Under U.S. law, you must accommodate qualified animals. You can’t charge fees or deposits for them or impose the same restrictions as for pets.
Health, vaccinations, sterilization	Ensures the pets are maintained properly; spaying/neutering can reduce some problem behaviors.
Define acceptable behavior in the lease	Clean up after pet, no tying them outdoors, indoor-only cats, quiet hours, etc. Clear rules reduce misunderstanding

Making the Decision: What You Should Ask Yourself

• What is local law? Some jurisdictions limit deposits, breed restrictions, etc.

• What kind of property do you have? (E.g. single family home vs apartment building).

• Are there insurance implications? Some insurance may have restrictions or higher costs if pets are allowed.

• Are you prepared to enforce the policy? Having rules is one thing; being consistent matters.

Going Pet-Friendly Is Often Worth It — If You Do It Wisely

From what I’ve seen, letting pets often yields benefits that outweigh drawbacks — more applicants, longer tenancies, and happy tenants. But, you must plan for the downsides. The properties which do best tend to have:

• robust screening,

• clearly written lease terms,

• fair but protective financial arrangements (deposits, pet rent if allowed, etc.),

• and good communication with tenants about expectations.

Source: AAO