What's a rental scam?

Fraudsters copy the images and description of a rental property ad and post it online with their own contact information to try to get money for a rental deposit or associated fees. Sometimes, fraudsters advertise fake rentals that don't even exist. Once they receive the money, they’ll disappear and leave you with no place to stay and you'll lose your money.

How rental scams work

  1. The fraudster copies an existing rental ad, changes the contact information and posts it on a different rental platform.
  2. When you contact the individual about the rental ad, the fraudster will ask you to pay for the rental upfront by wire transfer, before showing you the property or signing any agreement.
  3. Once the fraudster gets the payment, they’ll avoid all contact with you.

Common rental scams

Fraudsters try to swindle you into a fake rental deal to get payment for it. They may change the email address, phone number or name on an ad, or hijack the email accounts of property owners on legitimate rental websites.

Fraudsters advertise a vacation property and request payment in advance. After you make your payment, you find that the address doesn't exist or it's a home that's occupied.

Fraudsters target online booking sites to try to get your information and money. Since online bookings happen fast and instantly, it can be difficult to detect the scam at the point of purchase.

Warning signs of rental scams 

  • The rental listing has vague details
  • The rent is much less expensive compared to the market rate
  • The photos in the rental listing have a multiple listing service (MLS) watermark
  • The owner says they’re out of the country and are unable to show you the property
  • You’re asked for a security deposit or first and last month’s rent before signing an agreement
  • You're asked to pay upfront for the rental or security deposit by Interac e-Transfer or prepaid gift card, but the owner won't provide you with an invoice or receipt
  • You’re asked to wire money to pay for rent or associated fees

Stay safe with our tips

  • Be wary of rental ads on online classified advertising websites.
  • Research the landlord or the property through Google to find out if it's legitimate.
  • Ensure you visit the rental, if you can. Most fraudsters are unwilling to meet in person.
  • Be wary of applications that request your personal and banking information. This may be an attempt to steal your information.
  • Check the price range for similar properties in the same area. If the price seems too good to be true, it probably is.
  • Don’t rush into paying upfront fees for a property. Don't wire money or pay with cash. Use trusted payment methods that are traceable, like VISA or Mastercard.
  • Ask questions. Don’t be afraid to ask for more details about a rental, such as additional images. The true owner of the property may be able to provide more images that haven't been included in the ad.

Learn more about rental scams

Canadian Anti-Fraud Centre Opens in a new window.

Report fraud when it happens and track the latest data on fraud in Canada.

The Little Black Book of Scams Opens in a new window.

Download the Canadian Competition Bureau's guide to scams in 8 different languages.

Canadian Bankers Association Opens in a new window.

Read about the latest news and trends in fraud awareness and prevention.