Rental scams increasing as landlords sell up warns estate agent

Rental scams are on the rise as supply dwindles ahead of the Renters’ Rights Act, claims an estate agent.

Essex and Suffolk estate agents Boydens warn that rental scams have become more widespread as landlords sell up ahead of the Act coming into force.

The estate agents urge tenants to look out for warning signs when searching for a property.

Never known the issue to be this widespread

Paul Buck, director of sales and lettings at Boydens, says rental scams are increasing as the amount of rental stock available declines, partly linked to landlords selling up ahead of the implementation of the Renters’ Rights Act on May 1.

Mr Buck explains the key ways rental scams can be spotted.

He said: “I have been in the industry for 26 years, and I have never known the issue to be this widespread.

“Many scams involve properties that have been copied from genuine listings, are advertised at unrealistically low rents, and are said to be let by a private landlord who avoids using local agents.

“They often put tenants under huge pressure to act quickly, with common phrases being ‘there is lots of interest, so you need to pay today’ or ‘the property will be gone unless you act now’. Scammers will also come up with reasons why a property can’t be viewed in person.

“Other red flags include being asked to pay via personal bank transfers, payment apps, gift cards or cryptocurrency.

“It is illegal for landlords or agents to charge tenants for applying to rent a property, viewing a property or administration costs.”

Use trusted sites

Mr Buck adds there are steps that tenants can take to protect themselves.

He said: “We have a policy of always calling a tenant if their application for a property has been successful and, if people have any doubts, they can always come into one of our branches to see us in person.

“Similarly, with any payments, we will always call a tenant and explain the process with payments by card or bank transfer.

“We would also encourage tenants to use trusted sites such as one of the main property portals or a lettings agent’s own site to search for properties rather than marketplaces.”