Apartments that allow pets, especially complexes that offer a no breed restriction apartment option, are relatively few and far between. So why should you allow pets in your apartment complex? One reason is that this decision can help you to increase revenue. Here are a few examples of how you can increase revenue by offering pet-friendly apartments.
Market to another demographic
Renters who live with a large breed dog aren't going to be especially interested in any no-pets-allowed apartments that you own. So if you offer a pet-friendly apartment option, you can tap into an entire additional segment of the population full of people looking for apartments.
This isn't a small segment, either. Over two-thirds of American households include pets of some kind. So tapping into this additional market for apartments can provide you with a lot more potential renters, which could help you fill apartments more quickly to reduce vacancies and thus increase overall revenue.
Charge pet rent
If you use common sense precautions (such as covering damage risk with nonrefundable pet deposits and requiring all pets to be well-behaved), you may not need to charge pet rent to cover your bases financially. However, since you're providing a premium service, you can still charge more than for a non-pet-friendly apartment.
Pet rent (charging each renter a little extra per month per pet) is a common way to do this. You can even charge more for a larger animal such as a large-breed dog. This could add to your revenue considerably. Your agent can help you to decide how much pet rent to charge for each type of pet based on the demand and the cost of living in your area.
Upsell pet services
Pet bathing stations, pet walking services, dog parks, and other amenities can provide additional money-making opportunities for your facility. These opportunities don't exist for apartments that don't allow pets. Your real estate agent can help you think of additional ideas for upselling opportunities and decide which ones could be right for you and your facility.
These are just some examples of how you can use pet-friendly apartments to increase your total revenue. While allowing pets in your apartment complex does carry some risk, you can typically cover any financial liabilities with things like additional insurance and nonrefundable pet deposits.
Your real estate agent can provide information on the types of insurance you'll need and how large of a pet deposit you'll typically need per pet. Contact your real estate agent today to learn more about the pros and cons of allowing pets in your apartments, and other exciting opportunities to increase the productivity of each apartment complex you own.