How to Avoid Rental Scams

Finding the perfect apartment online can feel like winning the lottery, but what if it turns out to be a fake? The experience can be emotionally and financially crushing. 

Rental scams are becoming an increasingly sophisticated and all-too-common problem, with fraudsters tricking people out of thousands of dollars. It's a particularly cruel blow for young adults and anyone relocating to a new city, often when they're most vulnerable and need a new home urgently. 

Knowing how these scams work is a vital survival skill when navigating the rental world. Let’s explore some strategies to help you steer clear of scams and protect your wallet and peace of mind.

The Rise of Rental Scams

Rental scams have become more prevalent with the rise of the internet and online rental platforms. Scammers prey on the eagerness of renters to find affordable and quality housing, often using sophisticated tactics to deceive their victims. The cost of falling for these scams can be heavy, not just financially but also emotionally with the toll of feeling violated and the loss of valuable time.

How Rental Scammers Operate

There's no one-size-fits-all approach for rental scams. They come in different flavors, but they all have the same goal: to steal your money. Rental scammers have a few favorite plays in their deceptive playbook. They can hijack legitimate listings, create entirely fake posts, or even use phishing emails to lure victims. If you know how they do it and the red flags to watch out for, you can avoid falling for these scams.

Hijacked Listings

Hijacked listings are one of the most common and dangerous rental scams out there. This type of scam is especially sneaky because the listing itself is real—it’s just been taken over by a scammer. 

The scammer will take a legitimate rental listing and change the contact information to their own, “hijacking” the listing. Unsuspecting renters then contact the scammer instead of the actual landlord and may be asked for a deposit upfront before they realize the listing isn't real.

Red Flags of a Hijacked Listing: 

• Prices Too Good to Be True: If a listing's price seems unbelievably low for the neighborhood or size, it likely is.
• Refusal to Show the Property: Any excuses for not being able to show the property in person, such as the unit being 'currently occupied,' should raise suspicions.
• Pressure to Pay Upfront: Scammers often want your money ASAP before you have a chance to investigate the property or listing.

Fake Listings

These are completely fake ads for apartments that don't exist. Scammers often use stolen photos from legitimate listings to add a sense of authenticity.

Red Flags

• No Personalized Contact: If you receive a generic email response to your inquiry, it's likely not from a legitimate source.
• Poor Grammar and Spelling: Many fake listings are created overseas, leading to glaring errors in the language used.

Phishing Scams

Scammers send out emails posing as legitimate rental services, tricking you into giving away personal information like your Social Security number or bank account details. They might say it's for an application or reference check.

Red Flags

• Email Address Doesn't Match: Check the sender's email address carefully; often, it will differ slightly from a real rental company's email.
• Urgent Requests for Personal Information: Scammers rely on creating a sense of urgency to convince their victims to hand over personal information.

Bait-and-Switch Tactics

This involves advertising a desirable property and then changing the terms to something less favorable once the victim is interested. This can include higher rent prices than what is advertised online, additional fees to apply, or showing different locations than the address the victim is interested in. 

Tips to Avoid Rental Scams

Don't be the low-hanging fruit for scammers. The best defense against rental scams is knowledge and vigilance. Taking proactive steps to protect yourself can mean the difference between a smooth moving process and a financial disaster. Here are a few tips to stay sharp and protect yourself.

Verify the Listing Before You Pay

Always search for the property on multiple reputable websites. Cross-check details like the price, address, and contact information to ensure consistency. Never pay money upfront without proper legal documentation and a finalized lease in hand. Real landlords follow a structured process; scammers are eager to rush and grab the money.

Beware of Unrealistic Offers

Research average rental prices in the area to see if the listing is way off. Trust your instincts when deals sound too good to be true. If something seems too good to be true, it probably is. 

Conduct In-Person Inspections

Meet the landlord first. No shortcuts. Always meet the landlord or property manager and view the apartment in person, both inside and out, before any financial discussion. This is your best defense against false listings and invisible units.

Protect Personal Information

Your personal information is as valuable as your money. Don't share unnecessary details until you've verified the prospective landlord's identity.

Stick to Trusted Sources

There are numerous resources online, from apartment review platforms to local government databases that can help you verify the legitimacy of a rental listing. Use well-known rental platforms or listings from reputable local real estate agencies.

Secure Payment Methods

When it's time to make payments for applications or other fees, use secure methods like a credit card or checks. Avoid cash transactions whenever possible.

Dealing with Suspicious Rental Listings

So, you think you've spotted a scam? Great job! Spotting a scam is one thing; dealing with it is another. Here's how to fight back if you suspect you've encountered a fraudulent listing.

Report All Scams

Most reputable listing platforms have a feature to report scams. Do your part and report any suspicious activity to help protect others. You can also report scams to the Federal Trade Commission (FTC) or your local law enforcement agency.

Protect Other Renters

If you've encountered a scam, spread awareness by leaving reviews or sharing your experience with others. This will help prevent others from falling victim to the same fraudster.

Seek Legal Advice

If you've been the victim of a rental scam, consider talking to a lawyer. Don't hesitate to seek legal advice. You may have a chance to recover lost funds or prevent future scams by the same landlord.

Final Words of Advice

The internet can be a goldmine for apartment searching, but it also has its dark alleys, filled with traps for the unwary. Rental scams are unfortunately on the rise, but that doesn't mean you have to be a victim. Your new apartment should be the exciting start of a new chapter, not the frustrating end to a story of online trickery. 

Always remember: if a deal sounds too good to be true, it probably is. Trust your instincts and do thorough research before making any payments or sharing personal information. With these precautions in mind, you'll be well-equipped to avoid rental scams and find your dream apartment safely.