Scam Awareness Month is all about creating a network of confident, alert, consumers who are ready, willing and able to spot scams. So efforts throughout July are important as they will help spread the message that scams can be tackled if we all take a bit of time to spot the signs and share what we’ve learnt with our peers and others within the industry.
As we are all aware, the property industry is almost completely unregulated and therefore very appealing to scammers. So at Yellow Oak Inventories we have compiled the 5 most common property scams and how best to avoid them:
- Land Registry Fraud.
Through this awful scam, the crooks manage to transfer the ownership of your home to a completely different person. They do this by finding a property, often via the Land Registry’s own data, and then contacting the LR asking to change the ownership details of that property. Letters will then be sent out to confirm the change, and this is where the scammers will attempt to intercept that correspondence in some way. If they are successful in changing the ownership details of the property, they can then take out a new mortgage on it or sell it and disappear into the sunset with their ill-gotten gains.
Landlords can protect themselves from this scam by keeping their details with the LR up-to-date through their website; www.landregistry.gov.uk/propertyfraud.
- Phony NLA Members.
This scam involves fake landlords advertising imaginary rental properties on free listings sites, such as Gumtree. This scam is extra sneaky as these scammers have used the National Landlords Association (NLA) logo, and even in some cases mocked up NLA stationary to reel in more unsuspecting tenants.
Never pay up front for a home you haven’t even viewed, and confirm that your landlord is indeed a member of the NLA by visiting www.goodlandlord.org.uk.
- Lettings verification.
This involves a fake Rightmove verification service being created, where an interested tenant is provided with emails and a web page designed to look like they have come directly from Rightmove. They will claim that they have been ‘approved’ as a vendor, however Rightmove does not offer a verification process or ever request or accept money directly from tenants.
Those that think they may have been affected by this scam should report it to Action Fraud immediately, as well as reporting it directly to Rightmove: email@example.com.
- Property Investment Courses
As property TV programs increase, it would appear that fraudulent property seminars do too. In exchange for your money, they’ll offer you tips on how to “get rich quick” from the property industry and will then offer you the chance to purchase some property at an amazing discount.
As with all of these scams; if it sounds too good to be true, then it probably is. So don’t end up out of pocket by thousands of pounds, and steer clear of any “get rich quick” scheme.
- Rental Scams
These involve receiving an email from an “Ambassador” or “Noble person” who is trying to rent out his property. There are many variations of this scam, but they can easily be avoided simply by blocking the senders email address and immediately reporting it to Action Fraud. And always be wary if anyone is asking for money, a loan or offering suspiciously high and/or unrealistic rates of return.
Scams: ‘Don’t be rushed, don’t be hushed…’
We can’t image the pain caused to those victims of scams, which is why at Yellow Oak Inventories we wanted to make you aware of the most common scam’s around at the moment. Like in all industries there are good and bad businesses and it often take a small free to ruin the reputation of many. All the companies and landlords we work with provide a highly professional service and proud that our inventory is part of their service.