6 common rental scams and how to avoid them

Finding a rental home is an exciting experience, especially for people who are moving to a new city, as well as for those who are looking for a better place to stay. However, due to the increased demand for homes scammers are taking advantage of people who are looking for a place to rent. There are several types of rental scams, which include false rental listings, misleading information, and fake landlords.

The consequence of rental scams is that people may lose money and become frustrated. Therefore, it is important to be aware of common rental scams to avoid becoming a victim. The following are the common types of rental scams and how you can avoid them.

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One of the most common rental scams involves fake property listings posted on property websites or social media platforms. Scammers use attractive photos and offer properties at unusually low rents to attract quick interest. Once a potential tenant contacts them, they may ask for a booking fee or deposit before showing the property.

How to avoid it:

Always verify the listing before making any payment. Check whether the same images appear on multiple websites and confirm the ownership details. If possible, visit the property in person or request a live video tour before transferring any money.

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In some instances scammers may claim to be landlords and demand advance payments such as a security deposit or an application fee before a potential tenant has viewed the house. After making the payment, the scammer vanishes, and the house may not exist at all.

How to avoid it:
One should avoid making payments before viewing the house and meeting the landlord or an authorised agent.

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Some scammers impersonate property owners or real estate agents and claim they are managing a rental property. They may provide convincing stories and documents to gain trust, even though they have no legal authority over the property.

How to avoid it:
Ask for identification and verify ownership details through official property documents or housing society offices. You can also confirm whether the person is a registered agent or broker before proceeding.
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Some scams demand that the potential tenant fill out an application form requiring sensitive personal details such as bank details, identification numbers, and passwords. The details may be misused for phishing and identity theft in the future.
How to avoid it:
Be careful about sharing your personal and financial details online. Do not share sensitive details unless the landlord is verified. Do not share scanned copies of sensitive documents.
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Scammers may try to trick you into making an immediate decision by claiming that there are multiple interested tenants for the same property and that you should book it immediately.

How to avoid it:
Take your time to study the information provided about the property. Genuine landlords will give you time to assess the property and agree on the rental agreement before making any commitment.
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Scammers may avoid a written agreement and propose an agreement in an informal manner in order to expedite the process. If a rental agreement is not in place, the tenant would not have any leverage in case of a dispute.
How to avoid it:
It is always advisable to have a written agreement in place that specifies the amount of rent, deposit amount, duration of tenancy, and terms of tenancy.

Rental scams have become more common with the rise of online property listings. Genuine properties are available for rent, but a tenant must always be aware of all the facts and circumstances of the property they are about to rent. Some of the steps that can be taken by a tenant to avoid rental scams include visiting the property and verifying the owner of the property, as well as not paying anything in advance.

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