Scammers Use Social Media to Connect with People Looking for Rentals

Queensland renters are being targeted by international criminal networks using social media platforms to find vulnerable victims. The state has seen a significant increase in rental scams, with Queenslanders losing more money than any other state.

Simon Alexander, 39, from the Sunshine Coast, is one of many Queenslanders who have fallen victim to these scams. He moved to the region from the regional town of Goomeri to pursue a nursing career, but his search for a home became desperate after he was forced out of his first rental property due to his housemate being found to be subletting without approval.

Mr Alexander eventually found another rental through Facebook, and the advertiser took him through a video walk-through of the property. However, when it was time to move in, he discovered that the property was already occupied by someone who had no idea a scammer was trying to rent out their home online.

A Desperate Situation

Mr Alexander's experience was not unique, and he became homeless after losing more than $4,000 due to repeated scams. He said seeking help while sleeping rough had been difficult, and access to community services and housing was almost non-existent.

"All these community services are stretched thin … [The Department of Housing] actually gave me a gift voucher to go buy a tent," he said. "I want people to learn from my mistakes. I want people to become more educated around how to avoid these things."

Rental Scams on the Rise

Data provided to the ABC by IDCARE, a non-for-profit national identity and cyber support service, exposed a notable increase in the amount of money Australians were losing to rental scams. Queenslanders are losing more money on rental scams than any other state.

Total monthly losses to rental scams nearly tripled in Queensland in the past year, with the average loss per scam case doubling in the five months from November to March from $2,280 to $4,683. Queenslanders are losing more to these kinds of scams than anywhere else in the country, with average personal losses about 60 per cent higher than the national average.

International Criminal Networks

IDCARE spokeswoman Kathy Sundstrom said more than 60 per cent of rental scams were on social media, with 80 per cent coming from organised crime groups overseas. "It's becoming harder for them [the scammers] to create new accounts so what they prefer to do is to compromise existing ones that take over your account and contact people pretending to be you."

Spotting a Scammer

Paula Ford, a Sunshine Coast grandmother and former Australian Taxation Office (ATO) debt collector, credits her time at the tax office for knowing how to spot a scammer. She turned to local Facebook groups because the National Rental Affordability Scheme (NRAS) was ending.

"I had to change jobs because this is an NRAS house," she said. "And the rent was doubling, so I needed to get a job where I could afford to pay the rent but, as it turned out, I was being targeted by rental scammers."

Red Flags and Protection

The Queensland's Rental Tenancy Authority (RTA) recommends that those who have experienced a rental scam report the matter to the Office of Fair Trading, or police if it involved fraud. They also urged people to look up the history of the property and the person who listed it before sending any money.

A copy of the tenancy agreement must be given to tenants before any money is paid, and a property owner or manager cannot charge a future tenant an "application fee". Facebook and its parent company, Meta, were contacted for guidance on protecting against rental scams.