Fake rental listing scams are on the rise, with the FBI reporting real estate fraud losses exceeding $275 million in 2025. The number of fraud complaints jumped from 9,359 in 2024 to 12,368 in 2025, indicating a growing trend in fraudulent schemes targeting individuals seeking housing.
These scams often involve criminals copying legitimate property listings, including photos and video tours, and reposting them with false contact information. Renters are pressured to act quickly due to high demand and rising prices, leading them to pay deposits and application fees for properties that are not actually available. The Federal Trade Commission (FTC) warns that scammers may collect funds from multiple individuals before the fraud is discovered.
Scammers are also leveraging technology to make their schemes more convincing. The use of professional-looking photos and videos, sometimes copied from old listings, combined with AI tools to improve communication and create polished documents, makes it harder for victims to distinguish legitimate offers from fraudulent ones. In 2025, the FBI recorded 115 real estate fraud complaints that referenced AI, resulting in nearly $2.7 million in losses.
"Fake rental listing scams succeed because criminals borrow real property advertisements and add a story that explains why you cannot tour," according to Kurt "CyberGuy" Knutsson. "The strongest defense is verification. Confirm who owns or manages the home before you complete an application or send money."
Authorities advise renters to be wary of listings where the rent is significantly below market value, the landlord refuses an in-person tour, or payment is requested before verifying ownership. Warning signs also include a listing disappearing from a platform while the supposed landlord continues private communication, or a demand for payment via gift cards, cryptocurrency, or wire transfers.
To avoid falling victim, consumers are encouraged to perform thorough due diligence. This includes searching the full property address on multiple search engines, comparing listing details with other sources, and conducting reverse image searches of property photos to see if they have appeared in previous, unrelated listings. It is crucial to tour the property in person before paying any money and to independently verify the owner or property manager's identity through county assessor records or official leasing office contact information.
Victims of rental scams are urged to act quickly. This involves contacting their bank and payment service immediately to report the fraud and attempt to recall the transaction. Saving all evidence, including screenshots of listings, messages, and payment receipts, is essential. Reporting the scam to the website or platform where it was advertised, local law enforcement, and the FBI's Internet Crime Complaint Center (IC3.gov) is also recommended. Additionally, filing a report with the FTC at ReportFraud.ftc.gov is advised. If sensitive information like a Social Security number was shared, victims should initiate identity theft recovery plans through IdentityTheft.gov and consider placing freezes with credit bureaus.