Let's talk about pets in your rental! How do you manage it?

Indianapolis, Indiana
General Real Estate Investing
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Let's talk about pets in your rental! How do you manage it?

Jaron WallingPro Member
Rental Property Investor 路 Indianapolis, IN 路 Member since 2018 路 4k+ posts 路 4k+ votes

After successfully deterring/denying dogs in our rental properties (we allow cats) one of our tenants brought a dog into our property. They were honest about it, called to discuss, and wanted my opinion of the situation. For context they have only lived in our rental for about 6 months.

My first thought was to say remove the dog or you're in violation of the lease, but then it dawned on me I could increase the rent, collect a pet deposit, make them sign a Pet Addendum, and require renters insurance. I weighed being vacant and finding new tenants going into the fall vs. allowing a dog.

They have accepted my terms. They already had renters insurance with a $300k policy (covers dogs). I invoiced them $200 for the deposit due by the Sept 27th. I'm changing the rent from $1325 to 1350 per month. My wife thinks I should have increased the rent more or just denied but this is where I'm at. 

What should I do better next time? How do you handle pets in your rentals?

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JD MartinBusiness Member
Moderator
Rock Star Extraordinaire 路 Northeast, TN 路 Member since 2015 路 10k+ posts 路 16k+ votes
6d
Quote from @Jaron Walling:

After successfully deterring/denying dogs in our rental properties (we allow cats) one of our tenants brought a dog into our property. They were honest about it, called to discuss, and wanted my opinion of the situation. For context they have only lived in our rental for about 6 months.

My first thought was to say remove the dog or you're in violation of the lease, but then it dawned on me I could increase the rent, collect a pet deposit, make them sign a Pet Addendum, and require renters insurance. I weighed being vacant and finding new tenants going into the fall vs. allowing a dog.

They have accepted my terms. They already had renters insurance with a $300k policy (covers dogs). I invoiced them $200 for the deposit due by the Sept 27th. I'm changing the rent from $1325 to 1350 per month. My wife thinks I should have increased the rent more or just denied but this is where I'm at. 

What should I do better next time? How do you handle pets in your rentals?

We allow pets without restrictions on a case by case basis. I have found this prevents people from lying on the front end, so we can typically find a better fit applicant anyway. Most people who apply with 4 dogs 2 carts and a lizard don't make enough money or have good enough credit or criminal record to clear our other hurdles so that's the out.

Most people would rather start by telling the truth and only begin lying when it becomes necessary for their own self interest (and most people will lie for that reason). So I take the approach of getting them to start with the truth and work down from there.

We generally have a 2 pet limit but like everything there are grey areas. We have a fantastic tenant - single, impeccably clean, always pays on time, keeps the house immaculate. She has 2 cats that are so clean I don't even notice it and I'm allergic to cats. She wanted to get an adult dog as a hiking companion. That's 3 pets. I allowed it. Not a single issue.

I have found that things just fit together. People who have their lives in order generally don't destroy houses.

Edit: I forgot to mention that we require all breedable animals (generally dogs/cats) to be fixed, up to date on shots and vaccinations, on a flea and tick preventative, and no purely outside animals are permitted. And all renters must carry renters insurance.

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  • Tyler Nash
    Forest Lake, MN 路 Member since 2017 路 21 posts 路 13 votes
    1w

    I think this is a solid approach if you're truly not super concerned about dogs, and they've been good tenants (sounds like they are). Allowing pets is a good way to keep tenants as not everywhere does. I lean more towards what you did, work with the tenants, hold them accountable, and put the proper guidelines in place. But, also don't let this be the start to them doing whatever they want, and just letting you know about it afterwards so keep an eye on that!

    2Reply
    • Jaron WallingPro Member
      OP
      Rental Property Investor 路 Indianapolis, IN 路 Member since 2018 路 4k+ posts 路 4k+ votes
      1w

      Agreed. We have allowed cats because we have two of our own and I don't want to be a hypocrite. I'm going to plan for an inspection in the next few months to see how it's going.

      0Reply
  • Jules Aton
    MD/DC 路 Member since 2024 路 1k+ posts 路 1k+ votes
    1w

    I'm both a dog and cat owner. I've always allowed pets with a non-refundable pet fee and haven't had any issues, knock wood. Worth noting I never have carpet and in my STRs I haven't allowed cats due to furniture scratching concerns.

    1Reply
    • Jaron WallingPro Member
      OP
      Rental Property Investor 路 Indianapolis, IN 路 Member since 2018 路 4k+ posts 路 4k+ votes
      1w

      We just replaced the carpet in two bedrooms (tenant turnover) which cost about $1100 so that was a concern but the rest of the property is pretty bullet proof. The fact they already had renters insurance was a nice surprise. Seems like they expected it or had it prior to moving into my property.

      0Reply
  • Hayden GrayPro Member
    Lender 路 Colorado / New Mexico 路 Member since 2024 路 30 posts 路 7 votes
    1w

    I do a non refundable deposit ($300) for pets - it's usually a win win situation for myself and the person renting

    [email protected]505-482-0999
    1Reply
    • Jaron WallingPro Member
      OP
      Rental Property Investor 路 Indianapolis, IN 路 Member since 2018 路 4k+ posts 路 4k+ votes
      6d

      I think moving forward I should require a larger deposit and maybe go non refundable. Here's the language in our lease. Maybe I should reword it as well.

      "PETS: No pets will be brought or kept on the premises without prior written consent from the Landlord in the form of an addendum to this contract. This includes dogs, cats, rabbits, birds, reptiles, any small mammals, and any wild animals. 

      If pets are on the premises at any time, there is a $50 fine. If pets continue to stay, there will be a $50 fine per month that the pet is kept. Tenants will bear the cost of damages if they occur. Any animal that causes or appears to be a threat to any person on the premises or any animal with a history of aggressive behavior will be considered a dangerous animal. The landlord retains the right to remove dangerous animals immediately. Honesty regarding pets with the Landlord will benefit both parties."

      0Reply
    • Drew SygitBusiness Member
      Property Manager 路 Royal Oak, MI 路 Member since 2012 路 12k+ posts 路 9k+ votes
      6d

      A nonrefundable deposit - isn't that an oxymoron?

      Just call it what it is - a fee!

      [email protected]248-209-6824
      Logical Property Management4.9451 Reviews
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  • JD MartinBusiness Member
    Moderator
    Rock Star Extraordinaire 路 Northeast, TN 路 Member since 2015 路 10k+ posts 路 16k+ votes
    6d
    Quote from @Jaron Walling:

    After successfully deterring/denying dogs in our rental properties (we allow cats) one of our tenants brought a dog into our property. They were honest about it, called to discuss, and wanted my opinion of the situation. For context they have only lived in our rental for about 6 months.

    My first thought was to say remove the dog or you're in violation of the lease, but then it dawned on me I could increase the rent, collect a pet deposit, make them sign a Pet Addendum, and require renters insurance. I weighed being vacant and finding new tenants going into the fall vs. allowing a dog.

    They have accepted my terms. They already had renters insurance with a $300k policy (covers dogs). I invoiced them $200 for the deposit due by the Sept 27th. I'm changing the rent from $1325 to 1350 per month. My wife thinks I should have increased the rent more or just denied but this is where I'm at. 

    What should I do better next time? How do you handle pets in your rentals?

    We allow pets without restrictions on a case by case basis. I have found this prevents people from lying on the front end, so we can typically find a better fit applicant anyway. Most people who apply with 4 dogs 2 carts and a lizard don't make enough money or have good enough credit or criminal record to clear our other hurdles so that's the out.

    Most people would rather start by telling the truth and only begin lying when it becomes necessary for their own self interest (and most people will lie for that reason). So I take the approach of getting them to start with the truth and work down from there.

    We generally have a 2 pet limit but like everything there are grey areas. We have a fantastic tenant - single, impeccably clean, always pays on time, keeps the house immaculate. She has 2 cats that are so clean I don't even notice it and I'm allergic to cats. She wanted to get an adult dog as a hiking companion. That's 3 pets. I allowed it. Not a single issue.

    I have found that things just fit together. People who have their lives in order generally don't destroy houses.

    Edit: I forgot to mention that we require all breedable animals (generally dogs/cats) to be fixed, up to date on shots and vaccinations, on a flea and tick preventative, and no purely outside animals are permitted. And all renters must carry renters insurance.

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    • Jaron WallingPro Member
      OP
      Rental Property Investor 路 Indianapolis, IN 路 Member since 2018 路 4k+ posts 路 4k+ votes
      6d

      JD, that's amazing. I agree with the people having there lives together. I realized that early on with our new tenants which is why I jumped to screen, background check, and get them approved.

      When you screen for new tenants does your listing say "pets allowed" or some other language? I rather not have dogs in my properties but it's something we have to contend with.

      1Reply
    • JD MartinBusiness Member
      Moderator
      Rock Star Extraordinaire 路 Northeast, TN 路 Member since 2015 路 10k+ posts 路 16k+ votes
      5d
      Quote from @Jaron Walling:

      JD, that's amazing. I agree with the people having there lives together. I realized that early on with our new tenants which is why I jumped to screen, background check, and get them approved.

      When you screen for new tenants does your listing say "pets allowed" or some other language? I rather not have dogs in my properties but it's something we have to contend with.

      We use "pets permitted and negotiable" or something similar in our ads. You'd be surprised how honest people are when they see this and inquire. I've had people tell me they have 5 well behaved pit bulls 3 birds and a gecko before.

      Generally I've found that if you give people a safe space on the front end to tell the truth they'll usually do so. Then you can pick a different qualified applicant and not even have to bother with it. When we get emails asking about pets we say "Yes, we allow pets! What do you have?" and that's when we hear about the 3 emotional support ponies, the two cats that are just staying temporarily until the kid gets his new apartment and the partridge in a pear tree 馃槄

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  • Theresa HarrisPro Member
    Member since 2019 路 15k+ posts 路 11k+ votes
    6d

    Rent increases depend on your market. As for pets, I am just turning over a unit where they had a cat and did quite a bit of damage to the floors. I have a property manager who handles it and they have $50 a month pet rent (that the PM normally keeps and the pool of money is used for instances like this, owners never see any of the pet rent). That money is going to be used to cover the damages caused by the cat (the other damages come from their regular deposit).

    Pets can be good or bad (just like tenants). Do regular inspections and go from there. Don't call it a pet deposit, rather pet rent-that way there is no expectation that they will get that money back.

    0Reply
  • Cody DrumhellerPro Member
    Investor 路 OR 路 Member since 2018 路 8 posts 路 2 votes
    6d

    Pets are almost slept on. I personally rented for several years and had a very lazy 60lb lab and had such a small selection of properties that would allow us. Now that I have a duplex I鈥檒l allow anything within reason. First I put all lvp flooring throughout the building so there鈥檚 no worry about weird smells, and wear and tear with carpet. I charge a $300 non refundable pet deposit along with $35 a month in additional pet rent. So $720 for the first year, that should cover minor damages to maybe base boards, trim, etc. also any damages will be taken from the security deposit if needed. As long as they don鈥檛 have a unreasonable amount of animals I鈥檇 say the extra rent is worth it.

    2Reply
    • Jaron WallingPro Member
      OP
      Rental Property Investor 路 Indianapolis, IN 路 Member since 2018 路 4k+ posts 路 4k+ votes
      6d

      I started thinking that once they agreed to my terms, increase in rent, and deposit. It seems like a risk vs. reward when allowing pets.

      0Reply
    • Cody DrumhellerPro Member
      Investor 路 OR 路 Member since 2018 路 8 posts 路 2 votes
      6d

      @Jaron Walling definitely a little risk vs reward at hand. As long as you're comfortable with the additional rent and the deposit amount I'd personally be okay with it. One other thing to consider is if the unit has any shared walls or if it's just a single family home. A dog barking all day when the owner is gone could create more headache than it's worth.

      0Reply
    • Ryan SpathBusiness Member
      Real Estate Agent 路 Boise, ID 路 Member since 2017 路 557 posts 路 376 votes
      6d

      We do something very similar, a non refundable up front and a monthly pet fee. To echo @Drew Sygit 60% of tenants own pets, not allowing them cuts your tenant pool dramatically.

      [email protected]208-600-2814
      2Reply
  • Drew SygitBusiness Member
    Property Manager 路 Royal Oak, MI 路 Member since 2012 路 12k+ posts 路 9k+ votes
    6d

    Almost 60% of tenants own a pet:

    https://www.multifamilydive.com/news/dogs-and-cats-are-priority-no-1-for-potential-renters/715772/

    So NOT accepting them can lead to longer vacancies.

    It's important to understand that there really are no BAD pets - only BAD PET OWNERS!
    In our experience, Class D tenants are terrible pet owners and their pets cause the most damage.

    If you allow pets, the whole goal of extra pet charges is to cover:
    1) Extra wear & tear
    2) Potential higher damages

    Pet Fee and Pet Rent can address #1.

    #2 can be addressed by a Pet Deposit, but check your state laws closely.
    EXAMPLE: in Michigan, any Pet Deposit is included in the state's SD max of 1.5 months of rent:(

    [email protected]248-209-6824
    Logical Property Management4.9451 Reviews
    WebsiteView Page
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  • Richard F.
    Honolulu, HI 路 Member since 2008 路 3k+ posts 路 2k+ votes
    6d

    Allowing/disallowing pets is a choice. You need to consider the specific property, and how it can be affected by pets. The figures vary by source, but the percent of US population that has varying degrees of sensitization to dog or cat allergens is between 16 - 20%, surprisingly, split about evenly between cats or dogs. If you do not perform a thorough cleaning prior to showing the vacant unit after allowing pets, you are also missing out on a significant pool of prospects. Carpet, draperies, and central HVAC system ducting are the obvious elements that can retain these allergens.

    There is also proper care and housing of the pets. Neighbors get upset if they get a knock on the door asking if they've seen a pet Python around their home. Proper care and feeding is critical for all animals, and many species have very narrow optimal conditions. Too many tenants move out and leave the animals, or fail to properly care for them while living there.

    At a minimum, if you want to allow pets, establish some standards and requirements. #1 should be a Veterinarian's report, documenting the current condition and overall health, as well as confirming appropriate vaccinations. These should be updated annually. Depending on species, establish limits for the number, size, and type of the animals and their enclosures. Aquariums that are not properly maintained and equipped will sweat a lot externally, without proper protection this can cause serious floor damage over the long term. Large tanks can be very heavy, damaging or overloading floors if improper stands are used. Birds can be very noisy, bothering neighbors. Especially peacocks. And "pot belly pigs" sometimes grow into huge hogs. Go ahead, ask me how I know about these things! Many pet enclosures, not properly maintained, can generate offensive odors that will affect neighbors and may require significant effort to eradicate after the tenant/animals vacate. Obviously dogs and cats also can create odors, and dogs can really tear up a yard if they are left to run amok, or on a short chain. Claw management and nuisance behaviors should be addressed.

    Dogs in particular can be very aggressive (although I've certainly run across a few aggressive, angry cats too!) which is a potential liability for you, regardless if tenant has "insurance". You should require all dogs and cats be spayed or neutered to greatly reduce their aggressive tendencies, and, this actually is well know to extend their lives and minimize risk of certain common cancers in them. There is also the problem of home-grown "puppy mills", which can generate a lot of cash, often completely at the expense of the animal that ultimately gets discarded like common rubbish.

    You should ensure your rental agreement spells out requirements for pet owners in multi-fam properties to clean up after their animals promptly, and to properly bad and dispose of the animal waste, prohibit any offensive odors from emanating from their residence.

    Most importantly, if you decide to have a NO Pets Policy. You also need to implement an Assistance Animal Policy to properly address these issues to ensure ESA's are properly authorized and meet a few key reasonable restrictions to protect you and their neighbors.

    0Reply
  • Diana Khan
    Attorney 路 10451 Mill Run Cir #755 Owings Mills, MD 21117 路 Member since 2024 路 360 posts 路 131 votes
    6d
    Quote from @Jaron Walling:

    After successfully deterring/denying dogs in our rental properties (we allow cats) one of our tenants brought a dog into our property. They were honest about it, called to discuss, and wanted my opinion of the situation. For context they have only lived in our rental for about 6 months.

    My first thought was to say remove the dog or you're in violation of the lease, but then it dawned on me I could increase the rent, collect a pet deposit, make them sign a Pet Addendum, and require renters insurance. I weighed being vacant and finding new tenants going into the fall vs. allowing a dog.

    They have accepted my terms. They already had renters insurance with a $300k policy (covers dogs). I invoiced them $200 for the deposit due by the Sept 27th. I'm changing the rent from $1325 to 1350 per month. My wife thinks I should have increased the rent more or just denied but this is where I'm at. 

    What should I do better next time? How do you handle pets in your rentals?

    @Jaron Walling, I鈥檝e seen this come up with landlords before, and I actually like that you worked with the tenant instead of jumping straight to enforcement, especially since they were honest with you.

    The one thing I would tighten up is the paperwork. If you are changing the rent, adding a pet deposit or fee, and allowing something the original lease did not allow, I would put all of that into one signed pet addendum or lease amendment with the effective date, the specific pet, the new charges, damage responsibility, insurance requirements, and what happens if there is a problem later. I would not rely only on an invoice or a verbal agreement. I work with landlords on situations like this, and clear paperwork up front usually makes these conversations much easier if something comes up later.

    0Reply
    • Jaron WallingPro Member
      OP
      Rental Property Investor 路 Indianapolis, IN 路 Member since 2018 路 4k+ posts 路 4k+ votes
      5d

      Diana, thank you for the reply! I drafted a one page pet addendum and entered it into our Innage software for the tenants to sign. Invoiced them for $200 as well. I'm waiting for them to "view" the document but they know it's coming. Have a nice day.

      0Reply
  • Marcus Auerbach
    Investor 路 Milwaukee - Mequon, WI 路 Member since 2010 路 5k+ posts 路 7k+ votes
    5d

    I'd rather have pets than kids, as the former actually cause less damage on average - looking back at 15+ years across our SF portfolio. We allow both of course, but for pets we ask for $25/$50 pet fee per month depending on size. And we do a pet "interview" and for dogs we require renters insurance.

    1Reply
    • Jaron WallingPro Member
      OP
      Rental Property Investor 路 Indianapolis, IN 路 Member since 2018 路 4k+ posts 路 4k+ votes
      5d

      That's exactly what I wanted to read this morning. Appreciate the response. Yes, next time I'm doing a pet "interview". I read that somewhere and will do that moving forward.

      0Reply
  • Matthew Tregoning
    Real Estate Consultant 路 Melbourne, FL 路 Member since 2019 路 225 posts 路 117 votes
    5d

    The honest phone call counts for something here. I鈥檇 want them comfortable telling me about a problem with the dog too, before it becomes a surprise at move-out. Following through on that inspection you mentioned seems more useful than debating another $10 of pet rent.

    1Reply
    • Jaron WallingPro Member
      OP
      Rental Property Investor 路 Indianapolis, IN 路 Member since 2018 路 4k+ posts 路 4k+ votes
      5d

      Agreed. Good communication is massive especially when my lease states no pets without consent from the landlord. The majority of people's comments are pro pets so which I find interesting. Nobody has stated we never allow pets.

      0Reply
  • Igor Ganapolsky
    Coral Springs, FL 路 Member since 2018 路 464 posts 路 90 votes
    5d

    i buy properties at tax deed auctions down here in florida and they usually need rehab before renting, so i haven't dealt with pet policies firsthand yet. but from what i've seen, the fee plus monthly pet rent approach makes way more sense than a deposit you're hoping to keep - covers your wear and tear without the awkward conversation about what's refundable. the fact your tenant called you first is a good sign though, means they respect you enough to ask.

    1Reply
  • Sara Serine Matthews
    Member since 2026 路 1 post 路 1 vote
    5d

    Renter POV - While I was married to man in the military we moved a lot and around the world. There was a lot of hesitancy for landlords to allow our two bigger dogs (german shepherd and golden retriever) and two cats. My father had owned residential income property and I remember him having the worst time with bad pet owners, so I understood. In the UK, I presented the agents and owner with my pet health records which were thick and detailed the money I have put into keeping them healthy, up to date with shots and even arrange for them to enter the UK via the Pets Scheme. When they were shown this we got the lease. Someone who has proof of up to date vaccines is more likely to not to let a pet destroy a place, IMO. We were also charged that initial pet fee (to cover extra normal cleaning costs attributed to pets) and then a modest monthly pet rent as well.

    1Reply
  • Andrew Horowitz
    Charleston, SC 路 Member since 2026 路 22 posts 路 8 votes
    5d

    I have been torn on this myself. Yes a pet deposit and an increase in rent (I think you could have gone up another $25, just my opinion). My concern is always when the tenant moves out and the potential damage from the pets, specifically flooring if there are accidents even with renters insurance. The cost of new flooring can eat away all the extra cash flow. I think this dilemma is something all investors have to confront, especially if you are not a pet owner yourself. Jaron, I think you approached this very reasonably.

    1Reply
    • Jaron WallingPro Member
      OP
      Rental Property Investor 路 Indianapolis, IN 路 Member since 2018 路 4k+ posts 路 4k+ votes
      5d

      Appreciate that. Considering everything going on right now having a vacant rental sounds terrible.

      0Reply
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