The Renters’ Rights Bill, which is expected to come into force in Summer 2025, is being heralded as an important move to create a more level playing field between landlords and tenants in the private rental sector in England. The Bill’s provision around pet ownership is an area where that balanced approach could be achieved with mutual benefits for all sides.
Landlord’s do face challenges from having pets in their properties including mitigating the cost any potential damage they might cause. But the move could lead to longer stays in properties leading to reduced vacancy rates and a potential increase in overall rental income. There is also the impact on overall mental health and well-being with pets providing emotional support and companionship and enhancing the quality of life for tenants.
Pet damage - a double-edged sword
As part of a recent study by Huddersfield University and Battersea Dogs Home [1] into the financial impact of pet ownership in rental properties, over 2000 private landlords and over 1000 tenants were surveyed. They found just under a quarter of landlords reported some form of loss from pet damage and, on average, the total reported cost by landlords of pet-related damage was £300 per tenancy.
Looking at the wider data, the University found that, in the long-term, on average, landlords can expect to gain more financially from renting to tenants with pets. Their data indicated that over the course of 12 years, the total monetary benefits exceeded the costs. Renting to pet owners can be financially viable and beneficial for landlords. Other benefits highlighted in the research include renters with pets reporting longer tenures in properties compared to those without, pets helping to foster improved relationships between landlord and tenant and a positive attitude towards the rental property.
Not all a walk in the park
There are still issues for the sector to navigate. The Huddersfield University study points to pet owners having difficulties in finding suitable rental property. This was echoed by charity The Dogs’ Trust in a recent edition of You and Yours, the BBC Radio 4 consumer programme, when they highlighted the lack of pet friendly rental stock in England. Wider international data points to issues including pet owners facing higher rents, pet surcharges, tenants being forced to accept sub-standard properties, hiding pets, increased rental insecurity, and anxiety and mental health problems.
Addressing the insurance gap
There is also the issue of finding affordable and relevant insurance protection. The inclusion of pet damage insurance in the Renters’ Reform Bill is presented as an important balance and should offer both landlord and tenant some certainty around mitigating damage. However, the gap in current insurance offerings where pet damage is usually excluded from landlords’ and tenants’ related cover, and most policies excluding damage to areas such as carpets through pet scratching and plucking, needs to be addressed to ensure relevant protection is available.
Addept Insurance has designed and developed a dedicated pet damage property insurance, called Not for Lions, to address this gap. It provides real peace of mind for landlords who want to protect their assets from pet damage, at an affordable cost for tenants. You can find out more about how our cover can help your landlord clients on our website
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