Rental Fraud

The golden rule not to fall into any type of scheme is to take your time when doing background checks. If something feels off and too good to be true, it probably is. Always conduct basic research and identify the owner of the property or the rental agent who’s responsible for the ad online. If they claim to be a professional agent but don’t have a proper website online or other listings with the same contact information, it’s a red flag. 

Always check if the agent has a license and consider ordering from known, larger landlords that already have a positive recommendation list. Also, look out for high-pressure sales tactics, such as claiming that the rental will soon be more expensive, etc. Be aware of the market rates.

No. You should never wire any funds before viewing the property, even if the person appears to be a trusted agent or landlord. Additionally, never send cash through anonymous transfer services and avoid sending scanned IDs to someone who you haven’t yet. Proper identity verification often forwards you to a trusted third-party site or app. 

No. Professional landlords have a screening process that’s backed with proper verification procedures because they are interested in receiving their money on time and have a maintained, well-kept property. If a landlord skips the rental application and credit check, it’s a potential sign of fraud or inexperience in the property renting process. 

Typically, no. Providing proof of income documents is a standard security protocol and a way for high-risk industries, such as fintech, e-commerce, and other regulated entities to comply with stricter compliance and fraud prevention requirements. That’s why landlords ask for bank statements or pay slips for verification, seeing if the person hasn’t forged their records and is able to stick with their financial operations in the future. 

The most basic form of rental fraud happens when people interact remotely, for example, on an online marketplace. The scammer then contacts the person interested in a property, asking them to pay up in order to prevent no-show viewings or secure the place. Once the victim wires the money, the scammer disappears, and they never get to see or actually rent the property. That’s why rental fraud is dangerous because it results in both unwanted emotional and financial negative effects. 

You can do a quick Google search online for free. Additionally, some countries have specialized databases that can be accessed for a small fee. For example, the UK’s Land Registry Database holds relevant information about landlords and their properties, allowing you to download reports. On top of that, you should ask the landlord to provide you with copies of the tenancy agreement and safety certificates (such as electricity or gas).