Think renting is as easy as seeing a place and signing a lease? This is the case most of the time, but it is a space that is quickly becoming overrun with scammers because of websites like Kijiji and Craigslist. To avoid a rental scam, we at Woolcott Real Estate have put together our essential list of things to watch for when searching for your perfect rental! Familiarize yourself with these so you won’t be the next victim.
Price Compare
If the price seems “too good to be true”, chances are it is. The rental market is a competitive market so make sure you do your research. If you find a nice property significantly below market rate, it could be a scam. Never deal in cash or wire transfer as these forms of payment are impossible to track.
Check Photos
If there are not very many photos or they are just of the exterior of the unit, there is a higher chance that it is a rental scam. Another thing to look for is a ‘For Sale’ sign, as scammers will often use photos of properties that are currently listed for sale to draw attention and be convincing. It’s also a great idea to google search the address to see if there are multiple postings for it or if it is listed for sale.
See the Space in Person
Never rent sight-unseen. Make sure that you visit the rental to ensure that it actually exists and is an accurate depiction to its online ad before signing anything or making a payment. If you are unable to see it in person, have a trusted friend or family member view it for you.
Always, Always Sign A Lease
Demand a written lease agreement. The province of Ontario has made this super easy by crafting a standard residential tenancy agreement that must be signed by all parties (or the landlord will face major repercussions). This document outlines the rights and responsibilities of both parties. Ensure that you receive a copy of the signed agreement before you move in or pay first and last month’s rent.
You can access the standard lease here
Meet the Landlord Face-To-Face
Meet the landlord in person as a lot of scammers will say that they are “out of the country” or “out of town”, which can usually be a dead giveaway for fraud. It’s highly unlikely that a landlord would list a rental and then leave town. Meeting your landlord lessens the risk of a scam and usually leads to a better relationship. An exception to this is if the home is listed by a property management company and not the landlord directly. In this case, Google the property management company to check their reputation.
Only Provide Essential Information
When you are renting, be careful in what information you provide to a potential landlord. If someone is asking for your SIN number or banking information, seriously question why they would need this. A landlord is able to check your credit history with just your full name, current address and birth date. It is always smart to do your credit check yourself ahead of time and to have it ready for when you begin your search. This will not only give you control over who sees it but also shows that you are responsible and are able to move quickly should an opportunity arise.
Know Your Tenant Rights
There are multiple resources available online that outline the legal rights of a tenant. The government of Ontario has set strict guidelines and provides plenty of information about the rental process as well. By becoming informed, you are protecting yourself from potential wrongdoings throughout the process and for future.
Use a Real Estate Agent
First off… it’s FREE! Realtors have front of the line access to any new available rentals that come on to the market and they’ll send them to you right away (yes, that means an end to hours searching Kijiji!) An agent will provide you with all of the knowledge necessary – what documents you’ll need to qualify, what to expect throughout the process, what your rights are as a tenant, etc. Finally, you have an almost 100% chance of avoiding a rental scam. Landlords that choose to post their rental on a real estate board have gone through a process of filling out accurate paperwork, having photos taken and are also being represented on their end by another agent.
Have more questions about renting that we didn’t answer? Have no fear! At Woolcott Real Estate, we have a full-time leasing specialist on-hand to answer any questions you may have and guide you through the process. Just fill in the form below and we’ll be in touch.