Fraudsters trying to take advantage over lack of supply in student accommodation

Fraudsters are placing fake listings adverts online in a bid to cash in on the lack of supply in student accommodation, according to new data.

Figures from Action Fraud, reveal there were 5,751 reports of rental scams last year, a 23% rise compared to 2021.

Now the National Association of Property Buyers (NAPB) and Gumtree have teamed up to warn about student housing scams.

Finding student accommodation will be difficult

Joseph Rindsland, Gumtree’s head of trust and safety, warned that finding student accommodation this year will prove to be tough.

He said: “Given demand for rental properties and houses to share is up significantly in 2023, finding a new student home this academic year could be more difficult.

“As a result, fraudsters may try to take advantage of this situation so it is crucial to be savvy when house hunting.

“Be suspicious of any advert that sounds too good to be true, always visit the property in person, never pay an upfront fee and be wary if you aren’t asked to take part in any tenant screening.”

Landlords quitting the sector

The NAPB has warned that a lack of supply in student housing is being exacerbated by the soaring number of landlords quitting the sector.

Jonathan Rolande, from the NAPB, said: “Demand across the country has surged and as more landlords quit the sector creating even more scarcity in available property to rent. The rising popularity of short-term rentals has also seen many properties suitable for students disappear from the market.

“A post-Covid surge in students living close to their place of learning has further exacerbated the issue.

He added: “Desperation to find a home under these conditions makes it easier for fraudsters to take advantage with fake listings, multiple lets of the same property and off-site fraud where personal details are sought to exploit elsewhere.”

Demand for properties to rent in the UK has increased by 117%

Data by Gumtree of the 15 UK cities with the highest demand revealed that Edinburgh is seeing the biggest problem with supply.

According to Gumtree, there are an average of 25 replies to every property to rent listed in the city.

This was followed by Birmingham (19), London (18), Leeds (17) and Liverpool (16). Edinburgh also saw the highest average number of replies to listings for properties to share (25), followed by Glasgow (15), Leeds (8), Brighton (7) and Newcastle (6).

Gumtree says demand for properties to rent in the UK increased 117% in the first half of 2023 vs 2022 and properties to share saw a 34% increase over the same period.