Community warned of local rental scam

LAKE COUNTY, Calif. – A rental scam that has been going on in different areas for years has come to Lake County, according to local Realtors.

Prospective tenants are at risk of being victimized by this scam and are being advised to take great care to confirm that they are dealing with the actual landlord or legitimate rental agency prior to paying any money.

“We have heard of this being a common scam in other areas, but recently there has been a rash of these happening here in Lake County,” according to Phil Smoley, broker of Country Air Property Management. “Prospective tenants need to familiarize themselves with the scam so they can avoid being one of its unwitting victims.”

The scam goes like this: A scammer finds a property, pretends to be the owner, lists it online, then communicates with the would-be renter and takes a cash for the deposit and first month’s rent.

The renter is left with nothing or ends up squatting on someone else's vacant property while paying "rent" to a fraudster, all unbeknownst to the property's real owner.

There are some common “red flags” to look for when negotiating a rental:

– They tell you to wire money or will take cash only. There’s never a good reason to wire money to pay a security deposit or first month’s rent, or vacation rental fee. That’s true even if they send you a contract first. Wiring money is the same as sending cash – once you send it, you have no way to get it back.

– They require a deposit or first month’s rent before you’ve signed a lease or even met. It’s never a good idea to send money to someone you’ve never met in person for a rental you haven’t seen. If you can’t visit the rental yourself, ask someone you trust to go and confirm that it’s for rent, and that it is what was advertised. In addition to setting up a meeting, do a search on the owner and listing. If you find the same ad listed under a different name, that’s a clue it may be a scam.

– They claim they’re out of the country. But they have a plan to get the keys into your hands. It might involve a lawyer or an “agent” working on their behalf. Some scammers even create fake keys. Don’t send money to them overseas. If you can’t meet in person, see the rental, or sign a lease before you pay, move on.

Scammers will often entice tenant prospects with great terms, low rent, or easy qualifying. But that could be another red flag, according to Smoley. “If it sounds too good to be true, it may not be true.”

An assessor record search can determine who the owner of record is. This can be done by calling the county assessor, or most any real estate office can look it up. If the names don't match, it could be a scam.

Once you conclude you are dealing with a scammer, to keep others from falling victim to them you should take additional action. Report it to your local law enforcement agency and to the FTC. Contact the Web site where the ad was posted, too.

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