When you're excited to move into the perfect apartment or need a new home fast, it’s easy to miss red flags about a listing or a landlord. Learn how common rental scams work and what steps you can take to avoid them before you sign a lease.
Phantom Rentals
You respond to an apartment ad with amazing views, low rent and large closets. The person posting the listing asks for the deposit and first month's rent immediately. After your payment is cashed, the contact disappears — and the listing was likely fake.
Multiple Rentals
You tour a great unit and pay the deposit and first month's rent, only to discover the landlord accepted money from multiple renters and skipped town. This is a common "multiple rentals" scam.
Renting for the Owner
Someone shows you an apartment claiming the owner's permission to rent it. You pay a deposit, but the actual owner never authorized the transaction and the person who showed you the unit is gone.
How to Protect Yourself From Rental Scams
- Search for the property online. In a few minutes you can discover if the apartment is listed on multiple sites and verify the legitimacy of the listing and the seller.
- Never wire money. Legitimate landlords normally accept checks or other traceable methods rather than wire transfers.
- Sign a lease before you send payment. A lease is a legal document that helps confirm the landlord can rent the unit and that you are the legal tenant.
- Meet the landlord. Insist on meeting the actual owner or a verified property manager. If the owner lives far away and refuses to communicate directly, consider passing on the deal.
- Don't share personal information. There’s rarely a reason for a potential landlord to need your Social Security number, bank account, or credit card numbers up front.
- Avoid doing business with anyone who claims to be affiliated with Zillow or another listing site; those databases do not manage rentals or collect deposits for landlords.
- Report suspected scammers to your local police and the Federal Trade Commission.
Apartment hunting can be stressful, so take your time and watch for warning signs. For information that relates to habitational coverage and risks that affect apartment properties, see Apartment rental scams, flood insurance & habitational insurance.
If you live in subsidized housing or are seeking specialized coverage, review Apartment Subsidized Housing Insurance for guidance that may apply to your situation.
Once you find a place, protect your belongings with renter's insurance and, if you want help evaluating options, talk to an agent about the right coverage for your needs.
Frequently Asked Questions
How can I verify a rental listing is legitimate?
Compare the listing across multiple websites, confirm the property address with public records, and meet the landlord or property manager in person before paying anything.
What payment methods are safest when renting?
Use checks or other traceable payment methods and avoid wiring money, which is commonly requested in scams and is difficult to recover.
What should I do if I already sent money to a suspected scammer?
Contact your bank immediately to attempt a stop or reversal, file a police report, and report the incident to the Federal Trade Commission.
Do I need renter's insurance for an apartment?
Renter's insurance protects your personal property and liability; many landlords require it, and it’s generally affordable relative to potential loss.