Renting in a new city is when you are most likely to be scammed, because you do not yet know the prices or the neighbourhoods. Below are seven types of deposit scam that the press and the authorities often warn about, with how to spot and avoid them. The general rule: do not transfer money before you have seen the place and verified the person renting it out.
7 common scams
1. Unusually cheap listings with photos taken from elsewhere
Nice photos and a price far below similar places in the same area. Warning sign: the person posting refuses an in-person viewing and only communicates by message. How to check: do a reverse image search with Google Lens; if the photos appear in several different listings or in another city, move on.
2. A request for a “holding” deposit before the viewing
The usual excuses: “lots of people are asking about it”, “the owner lives far away”. Do not transfer money before you have met them and seen the place.
3. The person renting it out is not the owner
Someone rents the property and then takes deposits from several people, or pretends to be the owner. Ask to see their documents, check that the name matches the holder of the bank account receiving the money, and if they say they act for the owner, ask for the written authorisation.
4. Renting out a property that cannot legally be rented
The apartment is mortgaged, under dispute, or the building’s rules do not allow renting. For an apartment in a residential building, ask the building management.
5. A deposit agreement with no refund terms
It does not say when or under what conditions the deposit is returned, so if you change your mind you cannot get it back. Put the terms in writing.
6. A middleman charges a fee and disappears
They collect a “viewing fee” or “holding fee” up front and then stop answering. Only pay a brokerage fee after you have signed the rental contract and received the keys, and agree the amount clearly from the start.
7. Fake messages from the “landlord” about a new bank account
After you have reached an agreement, a message or call tells you the “bank account for payment has changed”. Always confirm by calling the phone number you had from the start.
How to protect yourself
- Meet in person and view the real place, inside the room and not only from the gate.
- Check that the bank account holder’s name matches the landlord’s documents.
- Do a reverse image search on the listing photos.
- Make a written deposit agreement signed by both parties.
- Pay by bank transfer (which leaves a record) rather than in cash without paperwork.
- Compare the price with other places in the same area; see the post on rent prices by area.
What a deposit agreement should include at minimum
- Full names, ID document numbers (ID card or passport) and phone numbers of both parties.
- The property address and a description of what is being rented.
- The deposit amount, the date it was received, and how long the place is held.
- Rent, rental term and move-in date.
- The conditions for refunding the deposit and the cases where each party loses it.
- Signatures of both parties.
If you have been scammed
- Keep all the evidence: messages, screenshots of the listing, transfer receipts, phone numbers, account numbers.
- Tell your bank immediately so it can help freeze or trace the transaction.
- Report it to the ward police where it happened or where you live. The exact procedure can change, so ask the office that takes your report.
Frequently asked questions
Is it safe to pay a deposit online?
Only after you have seen the place, verified the owner and have a deposit agreement. Do not transfer money to someone you have not met.
How do I know the person renting it out is the owner?
Look at the property documents or the original lease, and check that the name on them matches the name of the person receiving the money.
Can I get a lost deposit back?
Your chances depend on whether you have paperwork and evidence, and how quickly you report it. Tell your bank and the police as soon as possible.
See also: rental viewing checklist.