Rental Scams: How to recognize and avoid being a victim.
Updated 2/26/2023
If a listing feels too good to be true, it probably is. Make sure to do your due diligence when contacting landlords and viewing properties. Finding a long-term rental in an inflationary market is really a challenge, and scammers know that and are taking advantage of this vulnerability.
Finding a long-term rental in an inflationary market is really a challenge, and scammers know that and are taking advantage of this vulnerability.
Whether you are looking for an apartment or a house, scammers are trying to fool you in a bunch of deceptive ways. The good news is that these are the best ways to identify and fend off these criminal swindlers.
If a listing feels too good to be true, it probably is. Make sure to do your due diligence when contacting landlords and viewing properties. Finding a long-term rental in an inflationary market is really a challenge, and scammers know that and are taking advantage of this vulnerability.
Finding a long-term rental in an inflationary market is really a challenge, and scammers know that and are taking advantage of this vulnerability.
Whether you are looking for an apartment or a house, scammers are trying to fool you in a bunch of deceptive ways. The good news is that these are the best ways to identify and fend off these criminal swindlers.
- Property is too cheap. Everyone loves a good deal, but if a property is well below market value, there must be something wrong with it. Rental scammers will often list a property at a low price to get prospective renters interested. Then they will pressure the renters to pay a deposit and the first months’ rent to secure the property.
- The person showing you the home is not the owner. In this scenario, an individual claims to be helping someone else rent the property. The property is usually a vacation rental, foreclosed home or has owners that are out of town.
- Charging extra for a background check. Landlords usually ask for a fee to perform background checks on tenants. This cost ranges from $35-$75 per applicant. If a landlord is asking you to pay more than this, it’s probably a scam.
- Nigerian rental scam. In this common scam, you may be contacted by someone after posting that you are looking for a place to rent. They will send you home details and say you can go look at the exterior of the home, but no one is available to show you the interior.
- Lease isn’t available. In this rental scam, the agent will not have an official lease or will not make it available to you. A lease is required when renting any property, even if it’s short term. If there is no signed lease available to you, then you’re probably being scammed.
- If you're looking in a specific area for a place to rent, and you notice that there is one listing that is significantly lower than the other listings in that area, it could be a scam. The scammer might advertise that they are giving potential renters a rare opportunity that is going to disappear fast, hoping to draw in first-time renters, out-of-state renters or renters who are in a rush to find a place.
- Check that the listing is legitimate.
- One big clue to a rental listing being a scam is if you come across the same listing on a different rental site, and the name of the person who listed it is different from what you originally saw. A scammer can easily get the information for a legitimate listing and change the contact information to make it look like they listed it themselves.
- Always check to see if a rental you are interested in appears on various sites online and if the contact information is different for each one, then it's probably a scam.
- Take note of how the listing asks for payment.
- If a landlord or property manager requests that you pay for the rental in cash, wire transfer or money order, that is a big scamming red flag. Once you send money in those ways, you’ll have difficulty tracing any payment if the property turns out to be a scam.
- Many legit rental listings will ask you to make a payment via electronic deposit from your bank account or with a credit card or check. Some other larger properties may even have a website with a portal where you can pay online. These are all traceable options where there is little to no room for you to be scammed.
- Do not give personal information.
- You should never give away your personal information before viewing a property. It is commonplace for potential renters to be allowed to view a property without providing any personal information like a social security number, date of birth or credit card number, and you should not be asked to make any type of payment before viewing the rental either.
- If you are not able to see the property in person, request an online tour, or send an agent or a friend on your behalf.
- Make sure it's not a phantom property
- Some scammers will go as far as giving virtual tours to potential renters in places where properties are not up for rent at all. This is so that the potential renter believes that the property is real and then becomes willing to hand over a security deposit.
- Listings are copied. Many rental scammers will copy a legitimate listing and just change the contact information. Before letting those interested view the home, they request a deposit or the first month’s rent. Look out for multiple listings on the same site that look identical.