The Financial and Consumer Affairs Authority of Saskatchewan (FCAA) is warning residents about an online rental scam.

"One type of online scam that we are seeing is where fake landlords lure unwary would-be renters with pictures of properties they don't actually own. It's important to watch for red flags and make sure you are dealing with a legitimate person," explained FCAA Insurance and Real Estate Division Executive Director Jan Seibel in a news release.

The FCAA described the scam further.

"Fraudsters posing as landlords have been targeting hopeful tenants by creating fake listings. The "landlord" does not own the property, and the photos on the rental advertisement are typically downloaded from legitimate real estate websites. The fraudster asks the tenants to sign a fake lease agreement and send a payment to cover rent for the first month and provide a security deposit. Once the payment is received the fraudulent landlord disappears and either the victim does not receive access to the property or, in some extreme cases, a locksmith is contacted who grants access to the property causing issues for both the victim of the fraudulent rental agreement and the actual property owners."

Residents are being advised to exercise caution and vet both the persons with whom they are dealing and the properties they are considering.

FCAA has provided some tips to ensure that the rental is legitimate:

  • Meeting the landlord in person (being unavailable to meet in person is a significant red flag) or at least via phone call.
  • Always inspecting the property first and ensuring that the address represents the actual property. Whenever possible request to tour the premises with the landlord.
  • Being wary if the landlord requests money right away, without doing a background check or having a formal rental agreement in place. Security deposits and rental payments should never be paid until you have seen the rental property.
  • Ensuring that the rental price is in keeping with the going rate in the area. As with many other types of scams, if something seems too good to be true it generally is.
  • A legitimate landlord will be forthcoming with information about the rental process, ask questions and make sure to get clear information.

To date, the FCAA has been made aware of suspected cases occurring in several communities including Moose Jaw, Regina, Saskatoon, Prince Albert, Humboldt and Watrous.

If you or someone you know has fallen victim to either of these scams, contact the Canadian Anti-Fraud Centre at 1-888-495-8501 or the Moose Jaw Police Service at (306) 694-7600.

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