If you didn't already know, dogs are the most popular pet, owned by 69 million households with cats as a distinct second. Because pets are so popular, it's safe to say that prospective tenants will have at least one.

So, should you allow pets in a rental property? Before you make a decision, read this guide to learn five things you might not know.

1. Higher Rent

When you allow pets in a rental property, you can charge higher rent amounts. Market value still determines the amount you can set your rent, but allowing pets, especially when other properties don't, commands a higher rent price.

Additionally, if your rentals are in an area where most units aren't pet-friendly, you get a leg up on the competition.

In Oregon, you can charge a pet rent every month. If pets are service animals or emotional support animals, charging this rent is illegal under Fair Housing Laws.

2. Longer Tenure

68% of households in the United States own a pet. The way a pet can make a rental feel like a permanent home cannot be understated. The more a tenant considers a rental unit as a home, the more likely they are to renew their lease.

It can be difficult for pet owners to find alternative rentals that allow pets. If you can keep good tenants longer by allowing pets, you'll save money and time you would otherwise have to use on tenant screening services.

3. Larger Applicant Pool

Prospective tenants with pets are more attracted to properties that allow them to have their animals. If you become a 'no pets allowed' rental business, your applicant pool will decrease.

Applicants with pets will immediately move on from rentals that don't allow them. Since pet ownership is at an all-time high, it's in your best interest to allow them.

4. Responsible Pet Owners = Responsible Tenants

Tenants who follow pet guidelines are more likely to be responsible tenants overall. Taking care of a pet requires a lot of time and attention which can translate to treating your property with the same energy.

If pets do damage your property, you can use part of the security deposit to pay for damages. Certain behaviors from pets are associated with property damage, such as:

Urinating on carpets
Chewing on property
Destroying landscaping

There is also a higher risk of physical injuries to other tenants. To mitigate this risk, you can ban certain dog breeds on your property rather than all pets.

5. Pet Policies

If you are concerned about allowing pets on your property, include a pet policy to address pets in a lease agreement.

Provide all tenants with a copy of the pet policy in case those without animals decide to get one later on. This way, everyone is clear about what you expect from pets on your property.