What deeply upsets us is the amount of holiday rental scams out there today. The stories we could share from people who have come to us scrambling after being scammed, reveal that scam artists are constantly evolving and, sadly, they are not going anywhere. Holiday rental scams also tend to spike towards peak seasons like school holidays, long weekends Christmas, New Year, etc.
So, we’ve put together some tips on how to avoid getting scammed before it’s too late. If you have anything you’d like to add to the list, please share it so we can help combat this together.
Use reputable agents/booking platforms
Verify the legitimacy of the agent you’re planning to book with. You should be able to find an established website with a security padlock (usually next to the web address), social media accounts and reviews online. Know that it’s easy to put up a website that looks authentic, but if you cannot find anything beyond this, it’s a red flag. Also, be wary of social media ads on groups that do not verify and charge businesses in order for them to advertise on the platform.
Scrutinise the company's contact details
Is there a working phone number and is it easy to get through to it? Is the company responsive? Is there an online chat function? If contact details don’t work as you would expect, it may be a scam.
Request additional information
Ask the agent questions about the property, the location, for local recommendations and for the booking Ts and Cs as well as property/booking rules and policies. Legitimate agents are usually willing to provide this sort of information.
If it seems to good to be true, it probably is
Many scams advertise rates that are way below the market average. So, do your market research on average pricing for similar properties over the same period.
Other ways to verify the agent
If the property is within a gated community, you may be able to call the estate offices and request the name and number of the agent who manages the property. Note that some properties may have more than one agent and not all estates require agents to register with them, so don’t solely rely on this approach.
Know how to spot red flags
These include being asked to wire money or pay in cash; inconsistencies between the bank account details and company details; spelling errors or poor grammar and urgency or pressure tactics that are not in line with industry standards.
Trust your gut
If something seems off, you may be right. Ask more questions, request more photos and rather be on the cautious side than assume you’re being silly.
You can still get scammed on reputable platforms
Scammers on platforms like Airbnb are always thinking of creative ways to collect payment outside of the platform (like offering a better rate or payment for value added services). Red flags to look out for include a recent joining date and no host reviews. Legit agents often manage more than one property and have multiple reviews spread over a relatively long period of time.
Report scammers
If you have been scammed or know of a scammer, this must be reported as soon as possible and ideally have a case opened. If you realise you have just been scammed, call your bank immediately to see if they can stop the payment. Falling prey to a scam is nothing to be embarrassed about as it could happen to anyone.
Last but not least...
Have your wits about you
Scammers are always coming up with new ways to cheat people out of money. Be vigilant and use the tips above to help guide you.