Real estate professionals are issuing a warning about a burgeoning rental scam on TikTok that preys on individuals seeking affordable housing. The scheme involves scammers stealing legitimate property listings and reposting them on the social media platform with significantly reduced rental prices.
Once potential renters express interest and inquire about a viewing, scammers request upfront application fees, often through payment apps like PayPal or Venmo. After collecting these fees, the perpetrators vanish, leaving victims out hundreds of dollars. This tactic has reportedly surfaced across various real estate markets nationwide.
Northern Virginia realtor Dell Jeanty stated that while his office has not yet encountered the scam, it is "making its way around." He advises prospective renters to "trust but verify" by searching for the property address online to find the original listing agent and initiate direct contact. "The listing always has the listing agent's phone on the listing page. The buyer can contact an agent to verify the listing's authenticity," Jeanty said.
TikTok has indicated that its Safety Center provides guidance on identifying and responding to scams. A spokesperson for the platform stated that they remove 99 percent of videos violating fraud and scam policies in the first quarter of the year before they are reported. However, scammers can quickly create new accounts or move to other platforms like Instagram after being flagged.
As the competition for affordable housing intensifies, budget-conscious shoppers are particularly vulnerable. Tom Dati of Keller Williams Realty reported a scammer using his photos and intellectual property to create a fraudulent listing for his apartment, offering it at half the actual cost. Dati filed a police report and contacted TikTok, but claims no action was taken.
Real estate experts emphasize that legitimate realtors will never charge an "application fee" solely to view a property. Broker Jeff Lichtenstein noted that while some rental transactions may involve more phone communication, charging a fee just to see a home is a red flag. He also suggests a "double safeguard" of Googling the realtor to check their website and credentials.
Experts urge renters to protect themselves by insisting on an in-person viewing before sending any money and approaching deals that seem "too good to be true" with extreme caution. Housing experts also warn that first-time renters, students, and those relocating to new areas may be less familiar with local rental prices, making them easier targets for such fraudulent listings.
