Beware of Sophisticated Property Scams

While digital and tech advancement has made property transactions faster and more accessible for buyers, sellers, and tenants, this convenience has unfortunately been undermined by sophisticated cyber criminals who are targeting property sales and rentals.

The property sector, attorneys, banks, and financial services' providers are all sounding the alarm and urging the public, buyers, sellers, landlords and tenants to be aware of the risks, the methods used by these cyber criminals, and how to avoid falling victim.

The aim of these criminals is to deceive and steal money. The scams are becoming more organised and sophisticated. Losing a rental or housing deposit, or the entire purchase price to these criminals can be financially devastating, and often irreversible. Vigilance is not only vital, but the only real defence against these invisible threats.

Understand How they Operate, and the Methods and Tactics Used

Criminal syndicates are using deception and fraud such as phishing, malware, and identity and information theft across platforms such as Facebook and Google, and are increasingly targeting both property sales and rentals. These scams are widespread, appearing on WhatsApp, Gumtree, and other platforms. Fraudsters even create duplicate or fake websites to expand their reach.

Fake profiles and property adverts - Fraudsters create nearly identical fake profiles and property listings. They duplicate or create fake listings, often even using real agent photos and logos to craft convincing adverts for properties which often do not even exist.

Deceptive rental tactics - Criminals exploit tenant urgency, often using discounted prices and pressure to make you drop your guard, demanding upfront payment to secure the rental (application fee, deposit and first month's rent), often without a viewing.

Convincing details and communication - Fraudsters often use email addresses closely resembling those of real agents. They provide fake bank details and may send blank or poorly formatted lease agreements to appear genuine.

Hacking property sales transactions - Criminals hack agent and attorney emails, intercept correspondence, and then send fake banking details, causing victims to instantly lose substantial sums of money, with little chance of recovery.

Be Extremely Cautious and Always Protect yourself!

Exercise extreme caution - Your primary defence is to check and verify everything before responding to an advert or payment request. Never click links unless you have verified the source. All property practitioners including rental agents must be registered with the Property Practitioners Regulatory Authority.

Verify the agent and agency - Verify the agent's identity and agency by calling the official branch number, not contact details from adverts or emails. Confirm their credentials on the PPRA website (https://theppra.org.za/) to ensure authenticity before proceeding.

Insist on a physical viewing - Do not pay an application fee, security deposit, or first month's rent if you have not physically viewed the property with a certified agent. Avoid excuses such as keys not available or the owners being out of the country.

Confirm banking details verbally - Do not click links or transfer money when requested by email or WhatsApp. You must call the known, trusted number of the attorneys or agency, and verbally confirm the payment details before initiating the transfer.

Scrutinise the email address - Inspect the sender's email address carefully. Fraudsters often use subtle misspellings or generic free emails (such as Gmail or Hotmail) instead of a professional, agency-specific domain.

Be wary of deals and urgency - Scammers often offer deals which seem too good to be true such as discounted rates. These are aimed at tricking you into a quick payment, so be aware, and never rush a payment. Always view the property and do not fall for excuses.

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