Greg's Corner

Rental scam continues to claim victims

Normally, we only post about online scams when either a new one turns up or there’s a new twist on an old scam. Unfortunately, consumers are still falling for one of the oldest online scams in the virtual book. So we thought we’d take another look at the old standby, the rental scam.

For those who may not know, the rental scam works like this. The scammer will find a house for sale, usually on the site of a reputable realtor. They’ll then copy that ad then change it from a property being for sale to one that’s for rent. They’ll then follow this up by posting their fake ad on an unmodertaed classifieds site like craigslist. The rent will also be listed at below market values. When a consumer responds to the ad, the scammer will try to collect some kind of upfront fee, usually disguised as a rental application fee or some kind of deposit. Usually, the scammers will make some kind of excuse as to why they can’t show you the home while still asking you for money. These scams are usually designed to prey on those who are desperate to resolve a housing situation crisis in their lives.

Recently, in Memphis, Tennessee, a scammer was able to con several people out of hundreds of dollars each for a property they did not own. The alleged scammer was said to have used the very same tactics we posted above. This is not an uncommon occurrence as it happens all over the country all the time. For example, here’s a similar report out of the Tampa, Florida area.

In order to avoid these scams we first recommend not using unmoderated classifieds site as they’re not reviewing ads for possible fraud. Secondly, if the rent seems too good to be true it probably is. Don’t ever give money to someone without being able to walk through the property. If the seller claims to be out of the area, pass on the property. Always check with the county appraiser’s website or office to see if the property is actually available for rent. Lastly, you may not be looking for a rental property, but if someone you know is, please share this post and this blog with them in order to help educate them about this prevalent scam.