How does one maximize on allowing pets?

[Travis W Condon]

A long time tenant is moving out and we just posted the home will be available for rent. The first family that responded is asking about allowing a cat. I realize most people will say they wouldn't allow pets. However my question is how does one maximize pet allowances? Add on an additional $50-100 per month? A one time pet deposit seems like it possibly can't cover the cost of damage a dog/cat is capable of doing. I've been investing for almost 3 years and haven't had to deal with pet issues. 

Thank You!

[JD Martin]

#1: All renters carry renter's insurance for liability & damage (this usually starts at 100k), with you listed as additional insured/additional interest (this depends on your state).

#2: Charge a non-refundable additional fee on the front end, generally reasonable for additional cleaning and turnover costs you will absorb.

#3: Add an additional amount as "pet rent".

I avoid #2&3 by simply increasing my rent charges on the front end whenever a unit turns, so that I don't have to worry about all the "emotional support animals" and "service animals" that magically appear on applications or in the property as they try to do an end-run around additional fees/charges. I just bake the extra $50/100/150/whatever into the price of the rent and then take any extra money as a refundable deposit. Then if they don't have an animal, great - I make more money. If they do, well I'm getting paid every month for it anyway.