Online scam leaves renters out of pocket

[Wayne]

http://www.news.com.au/money/property/o ... 6261518883

POTENTIAL renters are being warned of an online scam that could cost them thousands of dollars.

Scammers have begun targeting potential tenants, and victims are losing out big time.

It seems too good to be true; a luxury house, in a great location, for a fraction of the market cost.

Consumer Protection industry and consumer services director Dave Hillyard has warned potential renters that the scam is real.

"You're being conned, it's a professional con, it's a scam that's going on," he said.

Perth resident Gaye Thompson was one potential tenant conned out of $600.

"I felt sick ... it's something you don't expect," she said.

The scam is quite simple, using popular websites such as Gumtree and Flatmates.com.

Posing as landlords, the scammers say you can't meet with them to view the property, usually because they're overseas, but demand a payment to secure the rental.

"People are spending good money on these things, and yet what we haven't done is see the property, we haven't inspected it, and we haven't met anyone," Mr Hillyard said.

"Once the money's sent out of Australia by wire transfer, the trail usually goes cold."

The scam is particularly efficient in today's tight rental market.

"In desperation, a lot of would-be tenants are prepared to hand over money without seeing the property," Mr Hillyard said.

Last year, 220 people were scammed, with almost $40,000 sent to overseas bank accounts.

The latest victim was a Japanese student, who'd just arrived in Australia.

This week, she handed over $1400 trying to rent an apartments in East Perth.

Consumer Protection says tenants should always meet with the landlord face to face, don't rely on photographs and view the inside of the property, before paying anything.

For more information visit http://www.commerce.wa.gov.au/consumerprotection

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