The lowdown on avoiding property rental scams
Category News
While landlords prioritise the need to avoid difficult tenants, those looking to rent property need to be equally careful of avoiding rental scams. We are living in an age of unprecedented scams and the real estate industry is not immune to unscrupulous people who will try to con and steal using any means possible. By understanding a little about how the rental property market works, you can prevent yourself from falling prey to a scammer. Jawitz Properties provides the lowdown on what you need to know.
- No deposit is payable until you have seen the property and decided to rent it
A legitimate property practitioner will not ask you for any money until you have physically seen the inside of the property and decided that you want to rent it. Scammers, on the other hand, will frequently ask for some kind of "deposit" or "application fee" before you have seen the property. This may come hand in hand with a plethora of excuses as to why you can't immediately see the inside of the property. The rule here is simple. If you haven't inspected the interior and exterior of the property, don't pay a cent and be aware that if an "agent" is asking you to pay any money in these circumstances, that "agent" is almost definitely a scam artist.
- Rental prices should be similar to other properties in the area
If the average rental for a two-bedroom house in the area you want to rent in is R12 000 to R15 000 and you suddenly see a similar rental offered for R8 000, be very suspicious. It is likely that the "agent" is either promoting a property that doesn't exist or has poached the images from a legitimate listing and posted their own fake advertisement for the property.
- Look for telltale signs of a legitimate business
If the "agent" that you are communicating with is emailing you from a Gmail/Yahoo/AOL account and provides only a cellphone number rather than any office details (office number and business address), you should be suspicious. Ensure that they are communicating with you through a reputable brand domain. A great way to check whether or not any property practitioner is legitimate is to check if they have a valid Fidelity Fund certificate - and double check that the person you are speaking to is who they say they are.
Similarly, be extremely wary of property adverts you find on Facebook Marketplace, Gumtree, or other free classified websites. Reputable property practitioners seldom make use of such platforms. Rather look on the websites of recognised real estate agencies or on reputable property portals to find your new home. A common website that has proven to house scamming actions is www.rentuncle.co.za and unfortunately many are taken victim as a result of this website.
A great way to check the legitimacy of a real estate agency is to check its ratings, both on Google and on Hello Peter. If people have posted negative reviews or made claims that they have been scammed by the organisation in question, take heed.
- Be aware of this common new-development scam
Newly completed or soon-to-be-completed developments provide an opportunity for scam artists, who will invite you to view a unit but then mysteriously misplace the keys when you arrive. They will then invite you to view the place through a convenient window or view a similar incomplete unit. If you like what you see, you will then be encouraged to sign a contract and pay your deposit (often under pressure, because the agent will tell you there is a long line of people interested in renting this property). When you arrive to move in, you'll discover that the property was never available and that the "agent" has disappeared - and so, of course, has your money.
- Verify the bank details before paying
Only once you have viewed the property and decided to rent and completed the required application forms will your deposit become due. Beware of fake banking details - ensure that you receive proof of banking details that are verified by the bank (no less than 3 months old) which is obtainable from your agent/agency and that you confirm the details telephonically with the agent/agency before making payment.
There's one sure-fire way to avoid scams when you're looking for a property to rent - and that's to trust the process exclusively to a well-respected real estate agency like Jawitz Properties. You can trust our rental agents to find you a home in any corner of South Africa. Contact us now and let's find you your next rental home.
Author: Jawitz Properties
