Taking Over 12 Unit with Under Market Rent and Pets

[Melissa N.]

Hello all, 

We are purchasing a 12 unit property. Each unit is about $100 under market. Also, the seller allows pets but charges no fees at all. This has turned the place into a "pet motel" (some having 4 pets in a 2 bed apartment). 

How would you approach raising rents and implementing a pet fee/pet rent? In our market almost everyone is charging a $150 non-refundable deposit and $25 pet fee. We would like to do that same but just wondering what everyone's strategy would be to tackle this. 

[Deanna McCormick]

Pets = Problems. 

I'd eliminate Pets from new leases at not accept any Pets. 

UNTIL you get this under control and then see if it makes sense. 

Once you start cleaning and fixing apartments that have had multiple pets for a period of time you'll appreciate not having any.

Start with the units that have the most pets FIRST

Do units with Dogs NEXT. 

if you change your mind in the future I'd limit it to cats and not more than 2 cats per unit and charge a hefty fee.

Give notice raise rent to what your comfortable with.