The consensus among most landlords is that pets significantly decrease the value of a rental property. This is due to the increased likelihood of damaged furniture, lingering odors, weird stains and loose fur. However, new research suggests apartment owners who ban pets could be missing out on up to 10 per cent in capital growth and rental yields; more than enough to offset a few torn cushions.
Naughty dog picture from Shutterstock
According to “pet industry consultant” and apartment project manager Susie Willis, Australian apartments that enact pet-bans could potentially be missing out on additional revenue from renters. This is mainly due to the fact that around two thirds of all Australians own pets whereas most rental apartments have a strict “no pets” policy in place.
“Research consistently shows us that people are prepared to pay a premium for apartments that allow them to keep their pets, in terms of both prices and rents,” Willis said in an interview with Fairfax Media.
“There’s no doubt that buildings where pets are allowed appeal to more people, and more buyers, both owner-occupiers and investors…In financial terms, it would make sense if body corporates agreed to admit them.”
In other words, if you’re a property investor looking to make some additional revenue, a pro-doggy policy could be the answer you’re looking for. (As to the property damage/bad odor risks, it’s worth noting that you often get this from human tenants too.)
[Via Business Insider]