Landlords are often reluctant to allow pets in their properties due to concern over the damage, smell or disturbance to neighbours they might cause.

But there can be a number of benefits to allowing pets too, here are a few areas to consider.

Wider tenant pools

Vacancy rates are tight in most parts of Australia at the moment, but they’re even tighter for tenants with pets because not every landlord will allow them.

These days pets are considered an integral part of the family and many people won’t entertain the idea of leaving an animal behind when moving house.

By making your investment property pet-friendly, you open yourself up to a wider pool of potential tenants, who are highly motivated to secure a home for their animal.

Your property manager will still be able to filter out the most responsible pet owners to consider as your tenants by checking their past history and references.

Higher rent

The competition between emotionally charged tenants may allow you to command a higher weekly rent than you would be able to achieve with no pets.

It’s another simple case of supply and demand. Your property being one of a smaller pool of listings that will suit pet owners should put upwards pressure on your returns and boost yields.

Reduced vacancies

Once in a property, a pet owner is likely to want to stay for an extended period, as vacating would put them back into the stressful position of looking for a new home.

By reducing your chance of a vacancy, you are shoring up a consistent, steady flow of rental income, which acts as a buffer in times of economic uncertainty.

Pet owners may also be willing to take extra good care of your asset to make sure their lease is renewed.

Community building

A lot of people went through some serious strain during the Covid lockdowns and the mental and physical health benefits of pets became apparent.  Studies found that pets reduce stress, provide companionship and can boost peoples’ sense of purpose and responsibility. Having a happier and well-balanced tenant in place can help build a community that future tenants want to be a part of.

Insurance can protect against damage

If you’re worried about damage, ask yourself how much they can actually cause. Scratches on doors and walls? A smell that might need professional cleaning to freshen up at end of lease? Chewing through something important? These are pretty minor in the scheme of things and the costs of any repairs will be covered by your tenants and, landlord insurance if necessary. A standard policy can offer up to $70,000 in protection for damage caused by pets.

Strata considerations

In strata properties, the default position has generally always been that pets are not allowed, but that owners who want to allow tenants with pets can apply to the body corporate for approval.

Some states have changed the rule to make pets allowed as a default position, but only in newly built strata complexes going forward. These rules can differ across states and territories and also from complex to complex according to by-laws.

If your investment property is in a strata building, it’s best to get the low-down on what you can and can’t do before deciding to advertise your property as pet-friendly.