Finding a rental property that suits your needs can already be challenging enough, and now applicants also have to worry about rental scams spreading across the internet. These forms of fraud are spreading, especially in Tennessee, and fraudulent listings are becoming more sophisticated. As a renter, here are warning signs to spot so you can avoid rental scams.
Key Highlights:
- Rental scams are on the rise in Tennessee, with fraudulent listings becoming more sophisticated and harder to detect.
- Common red flags include intrusive personal questions, poor spelling and grammar in listings, low-quality or stolen photos, incomplete lease agreements, and requests for upfront or unconventional payments.
- Deals that seem “too good to be true,” such as below-market rental prices, are often signs of a scam.
- Renters can minimize risks by researching listings, working with licensed professionals, visiting properties in person, and verifying details with current tenants or trusted contacts.
- Victims of rental scams should act quickly by contacting their bank, suspending accounts if necessary, and reporting the fraud to authorities like the FTC, state Attorney General, or IC3.
Rental Scam Red Flags
1. Intrusive Questions
It's normal for a landlord or property manager to ask for your personal or financial information, such as your name, your payment method, and your account number. However, you must only do so after you sign a lease agreement. Review the contract carefully, which is an advisable practice, whether it's fraudulent or not.
2. Spelling Errors
In many instances, rental scammers don't put a lot of effort into the fake listings they post, which means they often fail to perform spell checks or use poor grammar, and may even employ excessive punctuation. Legitimate landlords tend to polish their rental listings to appear more professional and appealing to potential tenants, and build a better reputation for their rental business.
3. Poor Quality Photos
Many scammers simply search online for photos they can use for a convincing rental listing, so you should immediately suspect fraud if the image quality is poor. Although they can sometimes source clear images, a simple reverse image search can help you determine whether the listing photos are genuine.
4. Incomplete Lease
Some fake landlords go so far as to draft a fake lease agreement to strengthen their ploy. A complete lease should include basic information, such as the names of the tenant and landlord, property address, type of lease, lease term, monthly rent, due date for rent payments, accepted payment methods, and other crucial policies.
5. Advance Payment
A property owner or rental company will not ask for money up front for the first month's rent, security deposits, or other fees before negotiations even begin, apart from the rental application fee. Since credit checks and other criteria in the screening process are necessary, it's easy for a victim of a rental scam to lose money this way.
6. Too Good to Be True
If you find rental listings with cheap prices that don't match the rental property, it's likely a rental scam. This is the most common warning sign, and the scammers usually steal your money right at the beginning of the rental process. Always watch out for great deals that ask below market rate.
7. Using Unconventional Payment Methods
Scammers have more ways to steal money from you than asking you to send cash via wire transfer, but even then, wiring money may still be dangerous. If they ask you to pay through alternative methods, such as cryptocurrency or gift cards, you should already consider this a red flag.
These alternatives are often untraceable, meaning you'll likely never recover your money, even if you report it to local authorities. Avoid sending money through unconventional means whenever possible.
How To Minimize Risks with Rental Listing Scams
- Do your own research. Learn the common signs of rental scams before you sign a lease or send money. Some fraudsters use more elaborate schemes, which can be harder to discern from legitimate listings. Stay alert. If something feels off, it's best to find other properties to inquire about.
- Work with professionals. You can consult real estate agents who have proven themselves by presenting licenses, or browse rental properties through rental companies or property management companies that have online reviews, proving their legitimacy. Neither typically asks you to send money before you sign a lease, so it's easy to spot scammers.
- See the property in person. You can typically coordinate with landlords or property managers so you can attend an open house event, ensuring that the listing is real. Even without an open house invitation, you can see the property in person based on the address on the listing.
- Ask other renters. You can ask other tenants who live in the rental property about the listing, which can help you uncover if there are inconsistencies you should be aware of. Check the contact number of the landlord or property manager, and compare whether the listing has a different contact information.
- Get references from a trusted friend. If you know someone in the area and they live in a multi-unit rental, ask if there are vacant units you can rent. It's almost a guarantee that the rental will be legitimate.
What To Do If You Get Scammed?
Contact your bank immediately and ask if you can reverse the payments. If you lost a huge amount or accidentally gave away your bank details, have your account suspended in the meantime before the issue is resolved. The scammer will work fast, so you need to act faster before they manage to cash out.
The next thing you can do is report the incident to the proper authorities to prevent others from being victimized as well, such as the Federal Trade Commission (FTC), the state's Attorney General, or the Internet Crime Complaint Center (IC3) if the rental listing is posted online.
Rental Listing Scam FAQs
What are the most common warning signs of a rental scam?
- Red flags include unusually low rent prices, intrusive personal questions before signing a lease, poor spelling or grammar in listings, low-quality or stolen photos, incomplete lease agreements, and requests for upfront or unconventional payments.
Should I ever pay money before signing a lease?
- No. Legitimate landlords may only charge an application fee during screening. Security deposits, rent, and other payments should only be made after a lease agreement is signed. Wiring money before finalizing the lease is never advisable.
How can I tell if rental listing photos are fake?
- Perform a reverse image search. If the photos appear on unrelated listings or stock image sites, it’s likely a scam. Poor-quality or inconsistent images are also suspicious.
What payment methods are risky when dealing with landlords?
- Avoid wire transfers, cryptocurrency, and gift cards, as these are untraceable. Stick to secure, documented payment methods like checks, money orders, or verified online platforms.
A Rental Listing Site You Can Trust
You can leave your worries behind as you look for suitable rental units on our site. We personally work with property owners, ensuring that each rental listing leads you to a vacant unit that is true to its images. We do everything by the book to avoid any issues from arising.
Green Tree Property Management offers you an extensive selection, where you can filter by location, property type, number of beds and baths, and price range. You can apply on the website and access the rental qualifications you might need.
Want a more hands-on inquiry? Contact us!
