by Terry Phillips
With home prices high in Los Angeles, renters are finding it
challenging to find a good rental, the right rental and now, one that
isn’t a simple scam.
The search for housing can be tedious and frustrating. In addition to the
hundreds of available properties, one has to also be aware of fraudulent
“landlords” whose sole purpose is to scam and steal. These “sellers” claim that
they are unavailable to show the house and that they will mail the keys once
they have received a deposit. However, once they receive the payment, they
disappear and leave the prospective tenant empty handed.
There are many possibilities for various scams. For example, an owner with a
foreclosed house may put up their property for rent and pretend that the house
is in good standing. As soon as the tenant is all moved in, they will disappear
with the money. Weeks or months later, the new houseguests are without a home and
money when they find out that their new residency is foreclosed. Other frauds
may break into a house and show it to potential renters as their own. Once the
money exchange is complete, the fraud disappears without a trace.
A young woman, Sheila, recently reported to the Los Angeles Times that
she was looking at a couple of homes
in Atwater Village after seeing ads in Craigslist. The “owner” told
her the rear door was open, that he couldn’t meet with her and that she should
inspect the home. She liked what she saw and agreed to pay six months in
advance for a lower rent plus a security deposit. She left a money order and
her application at the house only to find later that the so-called “owner”
didn’t own the home.
The “owner” set up a “rent to own” contract with Chet whereby he could live
in the home with his family, make high rental payments and end up owning the
home. Nine months in, the “owner” had disappeared and the bank had foreclosed
on the property, forcing Chet and his family out.
There are many proactive steps to be taken in order to stop these fraudulent
acts. One of the most efficient tools to utilize is a website titled
“CheckYourLandlord.com”. This website is inexpensive and full of detailed
information regarding landlords, their history, and available properties.
However, there are many “free” precautions that can be taken in order to avoid fraud.
The easiest way to avoid scams is to ask for identification. If someone
refuses to flash their driver’s license or identification, their credibility is
minimal. Some people worry about offending their seller, but this is a routine
procedure in high-end business transactions.
Once the seller’s identification is cleared, it is necessary to ensure that
they are the correct owner and that the property is not in foreclosure. This
information can be found online on the county’s website. The assessor’s office
or recorder of deeds will have the correct information on the owner and any
“lis pendens” against the property.
The next step is to ensure that the owner is not stuck in any financial
trouble. There are many facets to check. There may be unpaid dues filed by the
homeowners association or a government jurisdiction from unpaid property taxes.
If previous tenants filed any civil cases or criminal actions against the
owner, this is evidence that the owner is not in reliable financial standing.
Finally, check to see if there is a lien against another property with the
same owner. This could indicate that the owner is struggling financially and
may be trying to con money. If this information is not found online
,
any county courthouse will have records of property listings and owners.
Los Angeles Housing Rental Scams: Don’t Become a Victim
Posted by CB Blogger
Blog, Updated at: 1:58 AM
