Craigslist rental scam hits homeowner of New Castle

New Castle homeowner Mark Clark was sitting in his home on Sunday afternoon when he heard a knock at the door.

After saying hello, the visitor announced he was interested in renting the house. Clark, who has owned the property for 18 years and recently listed it for sale, was baffled.

“I said, ‘No, it’s not for rent; it’s for sale,’ but they said they had the ad right there from Craigslist, listing it at $700 a month,” Clark said.

After Sunday’s incident, Clark was able to locate the listing on Craigslist, which had copied the bulk of its information from the actual for-sale listing on other websites.

“Somebody had copied the picture and my verbiage but put the $700 rental price and their email address,” explained Clark’s realtor, Phil Weir, of the Western Slope Real Estate Group.

Since that first visit, Clark has received at least 10 hopeful renters on his front step, inquiring about the property and the shockingly low rental rate. With three bedrooms and two bathrooms, Clark said $700 was probably half the house’s monthly rental value.

“It’s a case where, if something looks too good to be true, it probably is not true,” Clark said.

In an effort to unveil the scammer, Weir decided to contact the email address included with the rental listing – cleanplace776@yahoo.com.

“I decided I would respond to that email address saying I was interested in renting the property,” Weir said. “They asked me to fill out a questionnaire, so I did, and the next day they said I had been selected as the renter.”

The first email sent by “Clean Place” included a lengthy explanation in broken English, stating the owners were going to be living in Los Angeles for four years and wanted to rent out the property.

The email was riddled with grammar and capitalization errors and included a questionnaire requesting information about the potential tenant. According to the email, potential renters were allowed to drive by the property but weren’t allowed inside.

Perhaps in an attempt to add validity to the email, “Clean Place” signed it with Clark’s name.

After submitting the questionnaire, Weir received another email, similarly formatted, requesting he send the $700 security deposit via MoneyPak, a payment service. The scammer said that, once he received the deposit, he’d send the keys and rental documents.

The email also included a disclaimer about the for sale sign in Clark’s yard, stating in all capitals, “You have nothing to worry about it belongs to our previous agent … You don’t have to call them because they don’t have access to the home anymore.”

By Monday night, Weir had flagged the rental listing on Craigslist, and it was soon removed from the website. As far as Clark and Weir know, no one has actually wired the money, and a number of individuals seemed wary of the bargain.

“I had about 15 people call me [about renting], because they’d either looked up the house on Google and found me listed as a seller, or they’d drive by the house and see the for sale sign with my number on it,” Weir said. “Most of the people calling thought it was a scam, so I was able to confirm that for them. Craigslist is notorious for scams.”

Research rental properties listed on Craigslist? Police Warn To citizens

Lake Havasu City Police warn to citizens to aware when responding to real estate advertisement on Craigslist, because it could be a scam.
Lake Havasu City Properties property manager Gail Francis, who manages about 65 properties in Havasu, said a recent fraudulent Craigslist rental listing has targeted one of her properties causing some confusion in town.
                                                                                                    
 
Lake Havasu City Properties owner Dean Baker said the company lists home rentals on Craigslist. The rental in question was advertised for $1,600. A scam cloned the listing and offered it for about $700 a month, requiring first and last month’s rent.
Francis said at least two people have called about the property— but it’s already been legitimately rented to two others.
“The majority of the scams have been found on Craigslist,” stated Lake Havasu City Police Sgt. Troy Stirling, department spokesman, in an email to Today’s News-Herald “We would ask people to do a little more research into a rental property instead of just responding to an ad.”
Francis said the scam targets home rentals in the upper-end categories of her inventory.
Stirling said the scam is nothing new and police are aware of this most recent strike.
According to a police report filed by Francis Monday, the online fraud resulted in a local woman and her daughter paying $766 to the scam to rent the home, which is in the 1800 block of Ambassador Drive, in Havasu. The duo were about the pay the online scammer $1,500, or the first and last month’s rent, before Francis advised them not to.

Email correspondence between the scammer and the woman and her daughter was turned over to police. The email was from sender “GOD IS GOOD”, email address GODISGOOD240@yahoo.com, and was dated Saturday.

The body of the email includes information from a person posing as the homeowner, who is moving to Texas for six or seven years because of a work transfer. The email sender asks individuals to drive by the home to see it from the outside, and then contact them back as soon as possible.
Anyone who has been a victim of this crime, pertaining to this particular listing, or any other suspected real estate listing fraud, is asked to contact local police 928-855-1171.

Trulia eyes revenue from rental business

Trulia's rental business is growing at about 100 percent a year and that is almost entirely on mobile devices such as smartphones and tablet computers, the CEO said at the summit in San Francisco.
"In the next couple of years we will focus on monetization," Flint said. "It's an important area for us to focus on. The market opportunity is several billion dollars."
Trulia vies with Zillow Inc (Z.O) in the U.S. online real estate sector, which is benefiting from a rebound in house prices and a move to the web by both real estate agents and buyers. Trulia shares have surged more than 80 percent so far this year, while Zillow's are up about 90 percent.
Rather than by passing real estate professionals, Trulia generates a lot of revenue by selling ads to agents and providing them with other marketing tools to reach home buyers.
Trulia's rental business provides similar services to landlords and larger property owners. But so far, the company has not done anything to generate revenue from this, preferring to build an online market first.
Craigslist is the leading U.S. online rental website. In October, Zillow launched a free rental listing service for property managers, rental agents and landlords.

News,Ohio AG Warns Of Craigslist Rental Property Scams

COLUMBUS, Ohio -

Ohioans looking to Craigslist for their rental home or apartment are falling prey to scams.

Craigslist is a hot spot to check out homes and apartments for rent; but for some people, their efforts to find the place they want to call home, are ending with losses.

Attorney General Mike DeWine says Ohioans are reporting losses ranging from $300 to nearly $2,000.  The average reported loss is about $1,000.

Pam Copley of Columbus says she was a victim of a Craigslist scam.

Copley says she was excited to find a Bexley area home to rent through an ad she recently saw on Craigslist.

The man who posted the ad told Pam she would have the keys to the rental home with a $600 down payment. The man had told Pam that his wife was a realtor.

"We actually called ReMax, which is the one that the realtor was through, and they said yes they heard of her and yes she works there so I thought it was all legit," said Copley.

She says the man told her his family was moving to Nigeria to do ministry work.

"He texted me and said we're a Christian faithful family and God will steer us through," added Copley.

The unidentified man reluctantly won her trust and Pam wired him $600 but she tells that wasn't enough, "they even actually called my fiance' and wanted us to send them $400 more and we said no."

"He kept emailing, texting and calling and I kept telling him send us back our money. We changed our mind on the house, we don't want it," said Bill Fox, Copley's fiance'.

Together the couple called, texted and emailed the unidentified man back saying if he sent their money back, they wouldn't press charges. They say sometimes they got cursed out and other times they got hung up on.

The Ohio Attorney General's Office says rental property scams are on the rise.

"I think the tight rental market sometimes causes people throw away caution," said Attorney General Mike DeWine.

Bill and Pam say they saw the home, did some research and made calls, but still got taken. They say it could have happened a second time.

"We actually had another guy do the same thing wanted to rent us a house. He said he was in Florida," added Fox.

Pam Copley filed a complaint with the Ohio Attorney General's Office and says she'll likely file a police report too.

Attorney General DeWine says consumers should report potential scams to his office at 800-282-0515 or OhioAttorneyGeneral.gov. 

How To Rent Right ( Tips )

Some tips for renting :

• For pricing, sample several properties in the area you desire and get a feel for the average rate. Someone who offers a low-ball figure is often a sign of trouble.
• Don’t pay with cash or personal check.  Use a credit card through a third party service like PayPal.
• Don’t rely solely on online reviews.  It’s always best to get recommendations through friends and family.
• Expect to pay a small portion upfront, and the balance about three months in advance.
• Consider paying a local realtor a one-time fee to physically check out the home you want to rent.

Renting Out Your Home

TIPS:

Renting out your property is no longer the luxury of land barons. Anyone can do it, and today’s Internet resources and real estate experts make it easier than ever—as long as you know where to start and what you want from the rental.

In 2012, approximately 80 percent of vacation home purchasers cited rental income as the main reason for their buy, according toHomeAway Senior Vice President Jon Gray. The Internet vacation rental website lists approximately 711,000 properties across 171 countries—and about half of HomeAway’s clients cover more than 75 percent of their home's mortgage with rental income.

Vacation home owners can also “rent away your retirement,” says Gray. “We’re seeing this more and more. According to the National Association of Realtors 2013 Vacation and Investment Home Buyers Survey, the median age of a vacation home buyer in 2012 is only 47 years old. Many people are discovering that you can buy your retirement home early and pay off the cost in the meantime by renting to travelers—while also using the home personally as a vacation home.”

Another reason to rent? Stave off foreclosure or ride out an upside-down mortgage while the market recovers.

“The ability to rent a home on a short-term basis not only garners higher return than a long-term rental, but it keeps the home in good shape for when you are prepared to perhaps sell it,” says Gray.

Mala Sander of Corcoran’s Sag Harbor, NY office in the Hamptons has seen some whimsical reasons for renting, including a mini-staycation. “One family I know likes to rent out their home and move out to Montauk because they enjoy surfing.

"Another family rents out the house for the explicit purpose of getting into a smaller, no-fuss home for a month, where they don't have to worry about all the to-dos of the bigger home.”

If any of these scenarios sound appealing, follow these tips for a hassle-free rental experience:  

Let go:  “You must be able to accept that your home will be used and lived in by others, and there will be normal wear and tear as a result,” says Sander.

Gray offers this list of to-dos: Get the property up to safety code, purchase vacation home insurance, and know how your taxes will be affected by the income.

Timing: Between Memorial Day and Labor Day is usually the best time to rent out a home because families have the most time to travel, says Gray. Bookings begin up to three months in advance.

Competition: What are your neighbors getting for their rental? Set your price accordingly, says Gray.

Spread the word: Advertise on sites like HomeAway.com, VRBO.com and VacationRentals.com, the three largest vacation rental sites in the U.S., says Gray. Also, “A good agent will match the prospective renters with the types of homes that will appeal to them, avoiding the constant stream of questions and showings for renters that your home won't be a fit for,” says Sander. “A good agent will also smooth and streamline the process, from listing to lease agreement to coordination of the renter's move in and move out.”

Vacation Rental

How to rent right

Renting a vacation home for a week can be a great alternative to a hotel.  You’re likely to get more room for less money (no more lining up the whole family to use one bathroom) and, with a full kitchen, you’ll save a lot of money cooking in – rather than eating out three meals a day.

Sounds great, until it isn’t.

The Internet is flooded with vacation home rental sites that feature luxury accommodations in almost any destination you can imagine.  But the problem is – how much do you want to rely on imagination?

Handing money over to a stranger for a place you’ve never seen can be risky, says local realtor Victor Nawrocki, who owns and manages three Orlando vacation rentals with his sister. 

“I get three calls a year from people who used Craigslist, and they will say, ‘We booked on Craigslist and now we realize the place is a fraud.’  They’re stranded,” says Nawrocki.

Nawrocki doesn’t advertise on Craigslist.  He chose vacationhomerentals.com to list his three properties. Each house tailored to tourists with themed bedrooms for kids and elegant master suites for adults.

“I’m booked through the summer solid,” he says.

His renters come from all over the U.S. and all over the world.

“One of my favorite customers was from Israel,” he says.

While Nawrocki has a thriving business and three meticulous properties to prove it, others in the vacation rental business do not and often their customers suffer the consequences.

“It’s a joke.  It’s unbelievable,” says Donna Bailey, who rented through a different online vacation rental site. 

Bailey and her friend, Connie Paxton, found a beachfront Oahu home on vacationrentalsbyowner.com.

“It was just perfect for us,” Paxton says.

They read glowing reviews and fell in love with the pictures.  The website put them in touch with the property owner. Bailey and Paxton signed a contract and started making payments, sending nearly $6,200.  But just after they sent the last check in January, they checked the website and reviews one more time.

“We were like, ‘Oh my gosh!’” says Bailey.

The reviews referred to roaches and other bugs, broken fixtures, busted windows, and other disrepair. Paxton was so concerned she asked a real estate agent in Hawaii to check out the property. The realtor found that the home had been vandalized.  The owner has promised a refund. But the promise came too late.  The couples landed in Hawaii to see the rental disaster for themselves.

“You know you just want to cry, but what good is that going to do?” Bailey says.  “He intentionally took our money knowing this place was a dump.”

The group ended up staying in a hotel, but the experience with the rental soured their vacation. 

Nawrocki advises renters who want to use an online vacation rental site to look for property owners who have been listed on the same site for a while.  The site he uses, vacationhomerentals.com, tells Local 6 it puts owners through a “rigorous screening process” including “automatic security checks..which end with a staff member manually approving each listing before it goes live on the site.”  Nawrocki says renters should seek the same guarantees from the sites they use.