Tips to Avoid Being the Victim of a Real Estate Scam
Rental scams are far more common than we might think unfortunately, and if you are searching for a new home rental it’s important to be informed. Use these tips to make sure you don’t become the victim of a rental scam. If you are looking to rent, you can also rely on the reputable real estate agents at Platinum Equity Property to help you find your next rental!
Do Your Research and Search on Reliable Websites
There are many websites that rentals can be listed on now, if you are looking on Realtor.com at a lease or rental it is likely being listed by a real estate agent and it’s easy to determine they are legitimate as the people listing on there need to be a member of a real estate board. If you are looking on websites such as Kijiji, Prop2Go, etc. you can still find authentic rentals but it’s important to take steps to ensure that it is the real landlord, or owner listing it.
Meet the Landlord and View the Property
Be careful of the landlord or tenant who is “Out Of Country”, as this is very common with scams. If it’s a scam sometimes they won’t be able to meet you or show you the home, and won’t have anyone in the area who is available to do so. They will invite you to drive by the home to see the area and the outside but say they won’t be able to show you inside.
Ask for References that You Can Contact Yourself
References can be requested by the landlord or the tenant! Just because you are the one looking to rent doesn’t mean you can’t ask them for previous tenants contact information and hear from them if they were happy with their landlord. We recommend that you reach out to tenants yourself because it would be easy to create a fraudulent letter of recommendation.
Make Sure the Residence is Real
Sometimes scammers will post fake properties that don’t exist, or they’ll use Realtor® listings that are active or sold and they’ll list them at a lower price. Make sure you do your research to ensure that the property is in fact real, and that you are speaking to the real owner.
Be Aware of Suspicious Requests or Complicated Instructions with Money
Scam artists will often be very pushy, and even though you haven’t met them or seen the home they will ask you for large sums of money to secure the home. A major red flag is that they may ask you to pay an illegal security or holding deposit, a full years rent or other upfront fees. They continue to say that, or if you are asked to wire money, it’s very likely a scam.
If you think you have been the victim of a rental scam it’s important to file a report with the police and keep all correspondence you’ve had with the fraudster. If you’ve sent them money, or if you’ve deposited money from them then contact your bank as soon as you can to advise them you have been the victim of a scam.