Should I Allow Tenants with Pets?

Pros and Cons of Renters With Pets

As with any decision that you make regarding your rental property, there are pros and cons to having pet-friendly rentals. Property managers and property management companies often weigh the pros and cons of allowing pets when setting rental policies.

Conform to Fair Housing Laws

Under the Fair Housing Law, you cannot deny housing for a disabled person who requires a service animal, even if you have a no pet policy, as such policies do not apply to service animals. According to federal law, you cannot ask the person about their condition or what it is, but you can request a note from the individual’s doctor to verify that they do require a service animal. In addition to federal law, you must also comply with all applicable state and local laws regarding pets and service animals.

It is important to note here that “disabled” is a broad term and that the definition is expanding almost daily. The law does not specifically list all disabilities, but instead names a few and leaves it for interpretation. Some people with an “invisible disability,” such as depression, PTSD, and some forms of autism, may not appear disabled and may not be specifically named in the laws, but that does not mean the protection does not apply to them. When verifying documentation for a service animal or pet, you may also record the animal’s license number as part of the process.

Landlords should also be aware that they cannot charge pet rent for service animals or emotional support animals.

Insurance and Liability

When allowing pets in your rental property, it is crucial to address the increased risks of property damage and liability that can come with pet ownership. Many landlords find that a well-crafted pet policy, combined with the right insurance coverage, can help protect both the property and their rental business from unexpected costs or legal issues.

Start by reviewing your current insurance policy to ensure it covers pet-related damages, such as property destruction or injuries caused by a tenant’s pet. Not all insurance companies automatically include this coverage, so it is important to confirm that your policy addresses the specific risks associated with allowing pets in your rental. If your policy excludes certain dog breeds or other animals, make sure your pet policy aligns with these restrictions to avoid coverage gaps.

To further safeguard your rental property, consider requiring tenants to obtain renters insurance that specifically covers pet-related incidents. This extra layer of protection can help cover costs from pet accidents, property damage, or even medical expenses if another tenant or visitor is injured by a tenant’s pet. Many pet owners are willing to obtain renters insurance as part of a pet agreement, and this requirement can help ensure that both the property and other tenants are protected.

Financially, charging a pet deposit or monthly pet rent can help offset potential damages or additional cleaning costs associated with pets living in your rental unit. A pet deposit is typically refundable if no pet damage occurs, while pet rent provides ongoing compensation for the added wear and tear that pets may cause. These fees should be clearly outlined in your lease agreement and pet addendum, so tenants understand their responsibilities from the start.

It is also essential to comply with fair housing laws, which require landlords to make reasonable accommodations for tenants with service animals or emotional support animals. These animals are not considered pets under the law, so pet fees, pet rent, or breed restrictions cannot be applied to them. Make sure your pet policy distinguishes between pets and assistance animals to avoid potential legal issues and ensure equal access to pet-friendly housing for all tenants.

Regular property inspections and clear communication with tenants can help you identify and address any issues early, such as noise complaints or unauthorized pets. By enforcing your pet policy and maintaining open lines of communication, you can minimize the risk of property damage and ensure that responsible pet owners continue to be welcome in your rental property.

Ultimately, many pet owners tend to be responsible tenants who care for both their pets and the rental property. By taking a proactive approach to insurance and liability, and by setting clear expectations through your pet policy, you can enjoy the financial benefits of allowing pets while protecting your investment and maintaining a positive environment for all tenants.

Should You Have a Pet Addendum?

Your lease should have a pet addendum or pet agreement that clearly states your pet policy, including specific pet clauses in the lease agreement to clarify all pet-related rules. This applies to pet-friendly properties as well as those that do not allow pets. Either way, that information needs to be included in the lease and all tenants, including non pet owners, should be required to sign it to ensure everyone is aware of the pet rules.

Begin by defining your policy and stating whether pets are allowed or not. A no pets policy means that you do not allow pets under any circumstances. If a tenant brings a pet onto the property, it will be a breach of contract and the tenant can be evicted and may even be subject to certain legal ramifications depending on local laws.

If you do allow pets, there are several things to consider when writing your pet policy:

• Your pet deposit or pet fee – A pet deposit is a one-time fee that is refundable, while a pet fee is paid one time but is not refundable. These fees are typically paid when the lease is signed, at the same time that other deposits are paid. There is also the option of pet rent, which is a monthly fee that the tenant pays to keep a pet on the property.

• Types of pets you allow – Name them specifically, such as dogs, cats, fish, birds, hamsters, reptiles, gerbils, guinea pigs, etc.

• Number of pets you allow – Specify how many pets you allow in the rental such as one dog, two cats, etc. The policy should also address how new pets acquired after the lease is signed will be handled, and whether a grandfather clause applies to existing pets.

• Animal sizes – Some rentals do not allow dogs larger than 35 pounds. If you do not want to allow large dogs, that should be included in your policy.

• Dangerous dog breeds or breed restrictions – Check with your insurance company to see if they have a list of dangerous dog breeds. If you allow pets, you may be required to ban certain breeds to keep from violating your insurance policy.

• All animals must be approved by management – This prevents unauthorized animals from being brought onto the property and kept by tenants.

• Responsibilities of the pet owner – This can include vaccinations of pets, tags, registration, leash laws, cages for small animals, cleaning up after the pet, financial responsibility for damages caused by the pet, and keeping the animal from becoming a nuisance.

• Require renter’s insurance with liability coverage – You may recommend or advise this, but it may be in your best interest to require it.

• The lease does not change even if the pet is removed – The signed lease agreement stands even if the pet is no longer on the property.

• Consequences – Include any consequences or actions to be taken if any part of the pet addendum is violated.

• The landlord’s right to change the pet agreement with appropriate notice – Typically, reasonable notice is at least 30 days before any changes to pet rules or policies take effect.

Whether you choose to have a pet-friendly property or not, having the appropriate policies in place and including clear pet rules in the lease agreement will protect you as the landlord as well as your tenants.