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Beware The Craigslist Rent Scam

By
Real Estate Broker/Owner with Mike Bell, REO Broker - Realty World MBA

Regretfully, all is not what it seems on Craigslist.  On a recent REO listing we received numerous calls inquiring whether the property was for rent or for sale.   Shortly after we posted the home on the multiple listing service someone posted a Craigslist ad offering the property for rent at a ridiculously low price.  The ad actually copied our MLS headline and verbiage word-for-word.  This was an upscale property in remarkably good condition for an REO.  We expected a lot of inquiries, but not from renters.

Some of the callers had driven by the property, noticed our lawn sign, figured the spoof and called to tip us off.  One of the parties answered the ad and received a response from an “absentee owner” with elaborate instructions regarding deposit, credit check, keys, etc.

This isn’t the first time someone rent-spoofed one of our REO listings.  The last time we got tipped off, one of my staff posed as a prospective renter and carried on a clever reverse spoof with the scammer by email.  She filled out a long application under a celebrity name, answered by a request for a photo.  She sent a photo of another celebrity, answered by a request for a money order for the deposit.   The scammer explained how they really wanted someone who would take good care of their home while they were overseas, how they would take time out of their busy schedule to fly home and deliver the keys once the deposit had cleared.

 

 

Game on.  The scammer fell for the spoof, apparently not picking up on the celebrity name or photo.  This is where it got interesting.  My assistant crafted a passable, but obviously mocked-up money order and sent it.  After a couple of days, the scammer responded furiously, all upset that the money order was a fake, going on and on about how someone would take advantage of him that way.  Finally I weighed in and emailed the fellow explaining the spoof, how much fun we had, and the implications of the fraud he was attempting.  He wrote me back telling me to “go and die.”

Although we’ve been tipped off to only a couple of instances over the last three years, it’s probable that this goes on all the time.  The sad part is, like all internet scams, they must work sometimes.  If people didn’t fall for them, they would stop.  Beware the Craigslist rent scam, and warn everybody you know:  don’t pay for anything you can’t verify!  If you are even slightly suspicious, consult a professional.

 

Craigslist


The Craigslist Rental Scam takes America! (dougfrancis.com)

 

Show All Comments Sort:
Margaret Goss
@Properties - Winnetka, IL
Chicago's North Shore & Winnetka Real Estate

I hate scammers - they prey on the elderly and the gullible.  Good for you for being vigilant and passing on your experience.

Mar 13, 2010 05:25 AM
Drick Ward Property Management / Broker Assoc
NEPTUNE REALTY - Virginia Beach, VA
"RealtorDrick" - Experienced Representation

Because it's free, Craigslist is a breeding grounds for scams. From what I've heard, propety managers in New York convinced craigslist to charge a fee for listings in an attempt to cut down on bogus ads.  From my experience, the only tenants I've found via CL were not worth the trouble - we ended up having to evict them after the owner approved them against my recommendation.

Mar 13, 2010 05:28 AM
Kathy Opatka
RE/MAX CROSSROADS - Ocean City, MD
Serving Ocean City, MD, & The Delaware Beaches

Mike,

Our Board is "water marking" all of the pictures that are uploaded in hopes of stopping the Craig's List renter Scams.  I'm not sure if it's working, but we're at least trying to stop it!

Mar 13, 2010 05:29 AM
Jim & Maria Hart
Brand Name Real Estate - Charleston, SC
Charleston, SC Real Estate

I love that you guys played around with this creep, and that you were able to make him so furious!  Good for you!  I wish they would get a real job and stop preying on people like they're trying to do.

Mar 13, 2010 05:31 AM
Jeana Cowie
RE/MAX Real Estate Limited - Paramus, NJ
Broker Associate, ABR, CRS, GRI, SRES

Mike,

That is crazy. Thanks for the heads-up about craiglist scammers.

Mar 13, 2010 05:31 AM
Jeana Cowie
RE/MAX Real Estate Limited - Paramus, NJ
Broker Associate, ABR, CRS, GRI, SRES

Mike,

That is crazy. Thanks for the heads-up about craiglist scammers.

Mar 13, 2010 05:32 AM
Mike Bell
Mike Bell, REO Broker - Realty World MBA - Santa Clara, CA

Great idea, Kathy.  The rent scammers don't post pics, though.

Mar 13, 2010 05:32 AM
Jim & Maria Hart
Brand Name Real Estate - Charleston, SC
Charleston, SC Real Estate

I love that you guys played around with this creep, and that you were able to make him so furious!  Good for you!  I wish they would get a real job and stop preying on people like they're trying to do.

Mar 13, 2010 05:33 AM
Michael A. Caruso
Surterre Properties - Laguna Niguel, CA

This is a great story. Its even better that you actually got to mess with one of the scammers. Im glad you posted this. Thanks! Have a great weekend!

I hope you'll remember me if you learn of anyone moving to "The OC" and I will do the same!

Best regards,

Michael Caruso, Broker ABR ABRM CRB CRS GREEN GRI

2007 President, Orange County Association of Realtors           

Mar 13, 2010 05:47 AM
Wallace S. Gibson, CPM
Gibson Management Group, Ltd. - Charlottesville, VA
LandlordWhisperer

I'm reposting to the Craigslist group * this is FUN!!!!

Mar 13, 2010 06:12 AM
Jason Ellis
Coastal REO Solutions - Myrtle Beach Short Sales & REO's - Myrtle Beach, SC

yeah... Several scammers got two of my property's -- luckily nobody bought the scan!!  Great post!

Mar 13, 2010 04:25 PM