Spotting Housing Fraud: A Real-Life Example

There are many scams out there when it comes to housing. The transition from using real estate agents to using online listing platforms to search for accommodations has unfortunately opened the door for many scammers to take advantage of unsuspecting home seekers. These scams often take the form of fake listings on legitimate listing platforms. These listings may look strikingly similar to genuine home or apartment listings, but there are red flags you can watch for that may alert you to the fact the listing is not authentic.

This is a screenshot of a fake listing we came across while searching on Facebook. At first glance it comes across as a typical listing found in many Facebook groups. With its high quality photos and eye-catching text it is an enticing listing for those searching for housing. However, upon closer inspection, there are some red flags that become more obvious.

When taking a closer look at this home listing, there are a few things that seem suspicious:

1. Fake name: Take a look at the "person" who posted this. Rather than a first and last name, the name of a local property management firm, or the name of a real estate broker, it simply says "Local Rentals." It is a red flag if you come across a listing and it is not easy to figure out exactly who has posted it.

   
   

2. Too cheap: $850/month for a 2 bedroom home anywhere in San Luis Obispo County? What a good deal, right? Wrong! This home is being offered for way too cheap when compared to similar listings in the area. Always compare the prices of similar listings. If one seems significantly cheaper than the others, be aware that it may be a deal that is too good to be true.

   
   

3. No location: It is not uncommon for home owners or listers to refrain from sharing exact addresses in online listings due to security reasons. However, trustworthy listings usually give a general description of the area. They may include the neighborhood, street name, or close-by landmarks to give seekers an idea of where the home is located. While this listing says the home is near public facilities, it does not name them or provide any general location information.

   
   

4. Suspicious link: Finally, this post tries to direct people to a different website in order to get more information about this listing. Having a link to get more information isn't a problem, except that this post withholds important information--the location of the home. In doing so, they are trying to force you to click on the link, and that should make you suspicious. You should never click on links from untrusted sources; the "website" could lead to malware or a phishing scam!

Decoding Web Links

It's easier to identify suspicious links when you understand how website names work. In this example, the suspicious link begins with https://usarental.info. If this were a legitimate website, you would be able to type usarental.info into any web browser and find a finished site that would probably show you many listings; you'd probably have to search for the specific listing, since you'd only be on the home page. The photo on the left shows you what comes up after doing that. This is an undeveloped web address; what should be the home page for a website is blank/unfinished.

After typing out the entire web address provided in the post it takes you to the photo on the right, seemingly some sort of website for listing and searching for homes, but not the specific home pictured. Both of these results should raise suspicions to potential home seekers. These websites are strange, unfinished, and obscure. Do not click on them, or provide any personal information through them.

Study the Photos

Another red flag in this listing was the house’s architecture and surrounding geography. This is a nice looking house, however, it does not seem like a home you would find in the city or county of San Luis Obispo. The types of trees, the flat ground, and the expanse of green grass in the front and back yards are not features you would typically find in this area. Scrutinizing the photos included in a listing may expose oddities that may be cause for concern, such as in this case.

Use Reverse Image Search Features

A reliable way to confirm if a listing is real or a scam is to reverse google search the images provided in the listing. Oftentimes, scammers will take photos from a real listing and reuse them for their own fraudulent one. When reverse google searching the photos from this fake listing, the real listing for this home came up. Its true location is in Columbus, OH! Why would a home located in Ohio be listed on a Facebook group with a San Luis Obispo County audience and fail to mention that? Another reason to be cautious.

The fake listing we highlighted in this post is just one of many that can be found on all kinds of home/room listing websites. Although online listing platforms can increase accessibility for those listing and searching for homes, there are many scams that unfortunately pop up on them as well. (This particular posting was removed by the group administrators less than an hour after it went up). Always be diligent when looking at online home listings, and be ready to recognize any red flags. To learn more about recognizing and avoiding housing scams read our blog post here!