The Benefits of Allowing Pets in Your Rental Property in the UK

The UK rental market is more competitive than ever, and landlords are continually looking for ways to stand out and attract quality tenants. One of the easiest ways to do this is by allowing pets in your rental property. As pet ownership continues to rise, properties that accommodate animals are becoming increasingly desirable. In this blog, we’ll highlight why allowing pets in your house or property could be a game-changer—and how you can make the most of it.

1. Expand Your Tenant Pool and Fill Vacancies Faster

Did you know that around 40% of households in the UK own at least one pet, according to the Pet Food Manufacturers' Association. That’s a huge portion of the population actively searching for homes that will welcome their furry friends. By excluding pet owners from your rental property, you’re automatically narrowing your tenant pool by almost half.

Properties that allow pets are in high demand, especially in urban areas where space is limited. According to research, 43% of tenants owning a pet and a further 33% aspiring to own a pet now or in the future means that three in four tenants are looking for somewhere they can potentially take on a pet. In fact, pet-friendly homes rent faster, as tenants with pets are often more committed to staying long-term. By allowing pets, you not only attract more potential tenants, but you also reduce vacancy times significantly, ensuring your property stays occupied.

2. Higher Rental Income and Extra Revenue

Allowing pets in your property doesn’t just fill vacancies faster—it can also increase your rental income. Many landlords charge a non-refundable pet fee or monthly pet rent, which can add an extra £25-£75 to your monthly income. This is more than just pocket change. For example, if you charge £50 extra per month in pet rent, that adds an additional £600 per year for each pet.

Additionally, pet owners are willing to pay more for rental properties that accommodate their animals. Research shows that 62% of tenants would pay a higher rent for a pet-friendly home, making it an easy way to boost your earnings. Plus, landlords can increase the security deposit to cover any potential damages caused by pets, offering further protection for your property.

3. Longer Tenancies and Tenant Retention

Once tenants find a pet-friendly home, they are less likely to leave. Pet owners are 20% more likely to stay longer in a rental property compared to non-pet owners. Moving with a pet can be a stressful and costly process, so when pet owners find a property they love, they often stay for the long haul. This means less turnover, fewer void periods, and reduced tenant acquisition costs.

Not only are pet owners more likely to stay longer, but they are also often more responsible tenants. Pet owners tend to have a better track record when it comes to paying rent on time and maintaining their properties. This translates into higher-quality tenants who are more invested in the property.

4. Create a Pet-Friendly Community

Pet owners tend to form bonds with other pet owners, and by allowing pets, you can create a more vibrant, community-focused environment. Many pet owners are actively looking for properties with pet-friendly amenities like dog parks, walking areas, or even pet washing stations. Providing these features can set your property apart from others, making it a highly desirable location for pet owners.

In fact, tenants between the ages of 18-24 report that finding a pet-friendly community is a top priority when choosing a rental property. As well as this, older tenants in 40s, 50s and 60s also report that pet friendly homes is a top priority for them. So, not only do you attract more tenants, but you also foster a more engaged and loyal community.

5. Manage the Risks with Clear Policies

Allowing pets in your rental property comes with some risks, such as potential property damage. However, these risks can be minimized by setting clear pet policies. Research shows that a minority of 5% of landlords who implement specific pet policies—like charging pet rent or requiring insurance—report issues related to pets causing damage, therefore an overwhelming majority of landlords display that their property has had no significant pet damage.

Here’s how you can effectively manage a pet-friendly property:

• Set Clear Pet Policies: Define the types of pets allowed (e.g., dogs, cats, small animals), set size or breed restrictions, and limit the number of pets per tenant.

• Charge a Pet Fee or Pet Deposit: A non-refundable pet fee or an increased security deposit helps cover potential damages and acts as a financial safeguard.

• Require Pet Insurance: Pet insurance can help cover damages caused by tenants’ pets and offer extra peace of mind.

• Regular Inspections: Conduct regular property inspections to spot any issues early on and maintain the quality of your property.

6. Legal Considerations and Compliance

The UK’s 2023 Renters' Reform Bill gives tenants in England the right to request permission to keep a pet. As a landlord, you can only refuse if you can prove the pet would cause significant damage to the property. The bill also ensures that tenants with assistance animals (e.g., guide dogs) are legally protected under the Equality Act 2010, so they cannot be refused accommodation based on their animal.

Make sure your pet policy is clearly outlined in the tenancy agreement to avoid misunderstandings and ensure compliance with the law.

Conclusion

Allowing pets in your rental property in the UK offers numerous benefits, from expanding your tenant pool to increasing rental income and fostering longer tenancies. With pet ownership on the rise and more renters seeking pet-friendly properties, you can tap into a highly profitable market by simply adjusting your policies.

With the right allowances and clear policies in place, you can effectively manage a pet-friendly property while protecting your investment. Allowing pets not only gives your property a competitive edge but also attracts high-quality tenants who are more likely to stay long-term and maintain your property. Make your property stand out in today’s rental market—allow pets, and watch your rental business thrive!

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