As you begin planning your move to a new house or rental property, you may be thinking about how much fun it will be to live in a new city or suburb. You might think about how you’re going to decorate your new space. What you may not think about is the scams that you could fall victim to during this process. Once you’re aware of the scams that exist, you can protect yourself and enjoy the new life you’re building.

Real Estate Scams

You may wonder how someone can scam you out of a house. It either exists or it doesn’t. However, many property owners misrepresent the property or its availability for sale. Several scams have increased in recent years involving real estate property. A common scam happens when the scammer uses photos of a nice house on a website listing in place of the real photos of a rundown property. The person buys the property only to find out that what they purchased isn’t what they thought. They may also steal a listing of a real property and claim it as theirs. For this scam to work, the buyer must be willing to buy the property without touring the inside. The scammer will ask for payment for the closing process before disappearing with the money.

Other scammers see where a home is under contract and get contact information for the buyer. They send a letter as your title or escrow company, claiming they need money to open the escrow account. They hope you’ll send the money to the account listed, which is fake. You can avoid being a victim of this scam by contacting your title company directly and asking if they sent the correspondence. You can also call your real estate agent or mortgage lender if you receive any suspicious mail or email.

Rental Scams

Rental scams are just as prevalent as real estate scams. They may also be harder to identify. They occur when the property owner misrepresents the situation. A prime example is when someone advertises a rental property that doesn’t exist. They may place an ad online with photos of a property, hoping to get people who want to rent the place without seeing it first. The scammer collects the security deposit and first month’s rent, then disappears. For this scam to work, the scammer copies an ad of a real property that’s listed. They may leave out some details or change the contact information.

In another situation, the property is real, but it’s been rented. The property owner may take people to see the place before the new tenants move in. They collect the security deposit from multiple interested parties who never get any follow-up contact.

How to Identify Rental Scams

While these scams may seem legitimate, it only takes a little research to recognize them as fraud. Here are some tips:

• Check the address of the person or property management company who is listing the property. If you can’t verify the address, it may be fake.
  The property manager may ask you to wire money or send it in some odd way.
• Legitimate landlords and property management companies won’t ask for wire transfers or gift cards.
  The listing agent asks for money upfront. While you should expect to pay the security deposit and at least one month of rent before you move in, you shouldn’t pay before you sign a lease.
• The rent is lower than normal. This is a case of “if it’s too good to be true, it probably is.” Legitimate landlords and property management companies know what a property is worth and will charge accordingly.
• You can’t tour the property. If the manager makes up an excuse as to why you can’t tour a property before signing the lease, walk away.

Moving Scams

Even after you’ve purchased your home or signed the rental lease, you can fall victim to other scams. Moving scams can happen at any point during your move. One of the most common is when you get a quote over the phone from a moving company. They start by giving you an estimate which is reasonable or even on the low side. After the move, the price goes up well above the quote. To avoid becoming a victim of this scam you can ask for a free quote in writing. Make sure you read the fine print to determine if they leave any loopholes where the company can raise the price.

A company may use a bait-and-switch tactic. They give you an estimate prior to the move. You agree, and then the company moves your stuff. Afterward, they submit their invoice, including additional fees not mentioned in the original quote. To avoid this issue, ask for a detailed quote breakdown, so you know what’s included. As with any service, question a company that asks for a deposit. Reputable moving companies won’t require a deposit before they provide services.

Another scam with movers happens when they load up your belongings and disappear. In this situation, they have your money and your items, which they can sell for more money. This situation most often happens with a private company that you’ve never heard of before.

Making Moving Safe

Moving doesn’t have to be frightening or filled with worry about being scammed. You can avoid all of these situations if you stay alert. Be suspicious of anything that seems unusual or too good to be true. Ask a trusted friend or a professional you know about any situation that doesn’t make sense. Never agree to anything unless it’s in writing. And never pay for anything unless you know it’s legitimate.

If you’re working with a property management company or moving company, look them up on the Better Business Bureau. Ask for references or talk to others in the industry who should have heard of the company. Perhaps most importantly, trust your instincts if something doesn’t feel right. Avoid getting scammed by doing business with people who have a solid reputation in the business.