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Realtor group warns of rental scam

Posted Mar 30 2009, 12:19 PM by Karen Datko
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This post comes from partner site ConsumerAffairs.com.

Scammers have learned that using the name of a legitimate business or organization often helps deceive victims. The National Association of Realtors is warning that its name is being used as part of a property-rental scam.

Victims targeted by scammers are led to believe that NAR is functioning as an intermediary to receive rental deposits from prospective tenants. NAR says nothing could be further from the truth.

"NAR is not involved in this business and has contacted law enforcement officials to request that the matter be investigated. We encourage any consumers who may be affected to file a complaint," said NAR president Charles McMillan.

The scammers claim that on receipt of a deposit, NAR will deliver the keys to the property to the tenant. Prospective tenants are instructed to send money via Western Union to NAR's purported agent in the United Kingdom.

Some of the listings have been posted on Craigslist, which reportedly has had difficulty in tracing the original listings. NAR does not have an escrow service, or function as an intermediary to receive rental deposits.

Some of the scam listings also refer to a "Residential Lease Package" that includes a form lease identified as a document prepared by or otherwise associated with NAR. NAR was not involved in creating or producing the package or lease form, and does not recommend, support or encourage use of those documents.

Consumers who have encountered this scam may file a complaint with the Internet Crime Complaint Center, sponsored by the FBI and the National White Collar Crime Center.

"Our mission is not only to protect consumers in the real estate transaction, but also guard them against fraud," McMillan said.

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Comments

 

Not surprisingly, given how the value of their portfolios has shrunk, “Affluent investors losing faith in advisers.” A recent U.S. survey shows that “36% of ‘millionaire households’ were unhappy with their adviser’s performance, while only 14% said they planned to make more use of advisers in the future.”

Via Stock Research Portal (www.stockresearchportal.com)

Can't trust anyone these days

ehoyle80 (Posted 03.31.09 9:27 AM ) Report Abuse

Beware of any offer coming out of the United Kingdom(UK)..These shysters are fishing for 2 things.Money or your personal information.What to look out for: Any e-mail originating in the UK stating you have won anywhere from a half million dollars to 10 million dollars.Alll they ask for is your name address,age occupation and your bank.My advice:hit the delete button.There are so many scams coming out of the UK that I believe some people have moved from Nigeria to continue their scams.Also, if  you get an e-mail from Nigeria: Don't even read it. Just hit your delete button.

Joseph (Posted 03.31.09 9:40 AM ) Report Abuse

Madness

Cool and Happy (Posted 03.31.09 9:53 AM ) Report Abuse

I don't think it matters where an email originates; if someone you do not know is asking for your personal information or money then delete the message. Fishing is the same regardless of the pond. Accountability and responsibility is yours; don't give it to another, be diligent.

Bill (Posted 03.31.09 9:53 AM ) Report Abuse

And do not send money via Western Union to someone you don't know.  And remember:  If it's too good to be true, it usually is.  

Robin (Posted 03.31.09 10:00 AM ) Report Abuse

It wouldn't surprise me if some realtors were behind it, most of them will rob you and each other blind and naked if you let them.  Probably an agent who thought of the idea, let's sell leases, make them sound legitimate, then tell them wire us the money and we will send them the keys, then nothing...Most of the best scammers are professionals, look at Wall Street CEO's, hedge fund managers, the whole market is based on give me your worthless paper (money), and I will give you even more worthless paper(stock, bonds, CDO's, etc), figure out how to fee that money to death to get rich if companies do good, if the stock goes to zero, cut and run and find another sap..or ask the government to give you the money, they are as dumb as the investor who lost it all, the writing is on the wall

Scott (Posted 03.31.09 10:03 AM ) Report Abuse

I have come across a lot of ads on CraigsList for rentals that when you send off an exploratory email to get more info, the response is that the owner is "...living in Africa with his missionary spouse, blah, blah, blah..." It is amazing that there are people out there that don't think twice (or even once) before sending someone money...

Rick (Posted 03.31.09 10:20 AM ) Report Abuse

They call this a scam? Who in their right mind would wire money overseas for a local rental property down the street? Scott wants to blame a realtor? Try looking at the idiots who have nothing better else to do but wire money to a complete stranger or business. After 20+ years in real estate I have never heard of such a thing. But then again some of us are ethical and do things the RIGHT way!

John F (Posted 03.31.09 10:26 AM ) Report Abuse

Scott, Let's not denegrate the name of Realtors just to sling mud. FYI, Realtors are members of the National Association of Realtors, and are held to higher standards than real estate agents who chose not to join the NAR. There is a difference. We pay to have the right to call ourselves Realtors. Yes, I will agree, absolutely, that there are indeed real estate agents that operate in unethical and corrupt ways. I've known several and I keep hoping that they will have their licenses stripped permanently because they give the rest of us a really bad name. Unfortunately, they know just where the line is that would subject them to prosecution, and tiptoe up to that line. They'll even cross it if they think they won't get caught. The majority of us out there are HONEST, HARDWORKING REALTORS who absolutely put the best interests of our customers first. If we do that, everything else falls in line behind it - happy customers, decent income, referrals from our past customers. I live my life by the Golden Rule, and will NEVER CHEAT A CUSTOMER - EVER! I would also NEVER be party to a shady deal. I work too long and too hard to cultivate a good reputation. I agree that a lot of the scammers are professionals, but a lot are just lazy, immoral people who have no desire to work for a living and prey on those folks out there that are less informed than others and will believe in those "too good to be true" deals.

Rhonda (Posted 03.31.09 10:31 AM ) Report Abuse

Sending money to complete strangers without investigating and then blaming someone else, corporation, government entity, or the alignment of the stars for your own misfortune is part of the problem with our nation today. Whatever happened to personal responsibility and accountability.

Robert E (Posted 03.31.09 10:36 AM ) Report Abuse

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