I have been in the Houston Apartment Locating and Houston Real Estate business for almost 16 years now and I've seen it all. With the ability to search for anything on the Internet in seconds, many people innocently find themselves being victims of scammers and Craigslist is one of the platforms scammers use.
We became victims ourselves several years ago when we posted an ad to sell 3 Wii consoles. We got a buyer that wanted all 3 and decided to meet him at a gas station. (We always meet in an open, very well lit area where there are many people) Much to our surprise he arrived with a cashiers check rather than the cash we asked for. My wife did not feel good about this, we looked at the cashiers check carefully and reluctantly decided to take it. The amount was over $900. A few days later the bank informed us that the cashiers check was counterfeit. My wife was LIVID and was on a mission to find the scammer. She went back to the gas station and spoke to the manager. The manager pulled up the video of that exact day and time and the whole transaction was on video!!! She also checked all her phone records and found the man's phone number. We called him and he denied ever even speaking to us. We gave him a choice to come clean and pay the amount in cash or we would go to the police. Once again, he denied ever knowing us. The next day my wife went to the police station and spoke to a detective that took our case. With the man's phone number and the video tape he was able to find him in a couple of weeks. We went back to the police station where we were asked to pick him out from a line up, we both picked the same man. Apparently he had a police record as long as my arm! He was arrested, THEN he wanted to make things right but by then it was too late. The prosecutor asked us what we wanted. We said, "We want him to pay us the cash he owes us." He plead guilty, paid us the money and I have no idea whatever happened to him after that. But most stories don't end this way at all. Most of the time the victims never find the scammer and are left without their money and feeling very violated.
Our mission is to educate renters and owners on the many scams that are on the Internet today.
As far as renting a Houston Apartment...It's unfortunate that there are so many people out there preying on the more novice renter or buyer but there are. Believe it or not, some apartment communities actually post a picture of a unit and advertise it as a "Great Special" at an incredibly great price, the renter-to-be calls them and is told the apartment has been rented. These are called "bait ads." Bait ads are exactly what the name implies...they are simply placed there to get you to respond either by phone or by filling out a form so they can get your information and try to rent you a different unit in their apartment community or in their "sister" property. The ad might be 10 years old or might have at one point been a special for only one unit. The bait ad may also be placed there by a third party, perhaps a locating company that isn't too legit. Never-the-less, it's shady and meant to get the attention of the renter-to-be and you would be surprised at how successful this shady business is. (This is why I get the types of phone calls I mentioned at the beginning) Be aware of this. This goes for Apartment Guides as well. Remember this... if it's too good to be true ...then it probably is!!!
So what can you do to avoid being the victim of a fraudulent ad? Here are some basic tips to sidestep would-be scammers whenever using Craigslist:
- Search and browse within your own city or state limits. This will give you and the Houston seller the opportunity to meet in person. Following this alone can help you avoid most scammers.
- Counterfeit cashier checks, money orders & even CASH are common. Banks will cash them and when they discover they are counterfeit you do not get it returned and you are held responsible. Insist on cash.(And buy yourself a counterfeit marker at Walgreens so you can test the cash and make sure it's not counterfeit as only a very trained eye can spot it.)
- Never, ever wire funds via Moneygram, Western Union or any other service. Anyone who asks you to wire money is likely a scammer.
- Never give out financial information such as bank account number, social security number, PayPal,etc.
- Craigslist is not involved in any transaction and does not handle payments, guarantee transactions, provide escrow services or offer "buyer protection" or "seller certification." It's not like Ebay where you can contact Ebay to try to settle a dispute.
- Avoid deals involving shipping or escrow services and know that ONLY A SCAMMER WILL "GUARANTEE" YOUR TRANSACTION.
- DO NOT SUBMIT TO CREDIT CHECKS OR BACKGROUND CHECKS FOR A JOB OR FOR HOUSING UNTIL YOU HAVE MET THE INTERVIEWER OR LANDLORD/AGENT IN PERSON.
- Do not rent housing without seeing the interior, or purchase expensive items sight unseen(unless you are working with a Realtor) - in all likelihood that housing unit is not actually for rent and that cheap item does not exist.
- Many fraudulent ads on Craigslist are simply copied & pasted from elsewhere (eBay). By copying part of the ad and searching through Google you can quickly check to see if the post is one of them.
- Educate yourself on the area you're trying to move to. Do research. If the average price for a 2 bedroom apartment in that area is $1200 then know that any deal for $599 is most likely a scam.
- Our company; Innovative Realty Group, has been relocating clients to Houston for over 15 years. We know the apartment communities and Houston areas thoroughly. We know which management companies are great at what they do and which are not. Before wasting a lot of time searching on the Internet, please give us a call. We will ask you a few questions and make a customized list of apartments that we trust, that fit your criteria. If you're wanting to sell or purchase a home, we will guide you through the process every step of the way and make sure you get the most value for your home!
Who should I notify about fraud or scam attempts?
U.S. Federal
- Internet Fraud Complaint Center
- FTC Video: How to report scams to the FTC
- FTC online complaint form
- FTC toll free hot line: 877-FTC-HELP (877-382-4357)
- Consumer Sentinel/Military (for reports from services members or their families)
