Scams involving rental apartments are becoming more prevalent as the rental market in major German cities becomes more competitive. What can you do as an expat in Germany to avoid becoming a victim of these scams?
I was in search of a new apartment in Munich after the arrival of our baby in 2021. A fake advertiser contacted me offering a rather costly apartment for a lower price in a relatively expensive area. As I read the emails received from the advertiser, I understood the scam and played him a little bit. After a couple of emails with me, he should have realized that I found out about his foul play, so he stopped contacting me.
Beware of fake advertisers
A common scam involves advertising for apartments that don't exist. It has been found that these types of ads appear on all of the major rental portals, including Immowelt and immobilienscout24. In order to attract potential victims, fraudsters often advertise apartments for surprisingly low rents in relatively hot areas.
It might be a good idea to be skeptical if the rent offered is much lower than similar offerings in the same area. Additionally, read the description carefully and compare it with the images in the advertisement. There is a high chance that the advertisement is fake if the images and the description contradict each other.
Furthermore, do your research before contacting the advertiser for a viewing appointment.
A fraud involving an advance payment
The practice of requesting advance payments is particularly prevalent in Germany.
Often fraudsters request the victims to transfer a portion of the deposit to their bank account or paypal in order to offer a viewing. They convince you by telling you that the deposit is to filter and reduce the number of people coming for the viewing. In addition, you will be told that if the apartment isn't offered to you, the money will be refunded.
You should never pay anything before the contract is signed. No legit owners ask you to pay in advance before signing the contract.
Unless you are absolutely sure that the owner is legit, do not pay by cash. Instead, use bank transfers. It is very unlikely that you will get your money back if you pay in cash or use another form of money transfer.
Taking advantage of your identity
This is what I was asked to do by the fake advertiser. They do not ask you to transfer money to a bank account abroad. You are instead asked to provide copies of your passport, visa, pay stubs, and bank statements.
Additionally, you will be asked to send a picture of yourself holding your passport or national ID and claim that this is for verification.
This personal information can then be used by fraudsters to open bank accounts, obtain loans, apply for credit cards and leave you high and dry.
These kinds of scams are very difficult to identify at an early stage as some of these documents are often requested by landlords and other real estate agencies before preparing the contract.
Therefore, it is recommended that personal documents are not shared unless the landlord specifically requests them. Make sure that the person asking for your passport and visa is trustworthy before sharing them.
What should I do if I believe I have been scammed?
If you are contacted by a scammer, or if you’ve come across a potential fake advertisement on an online portal, make sure to report it at the earliest. Thus, you are probably taking precautions to ensure your safety and that of others using the platform as well
In the event that you have been the victim of a scam, you should contact the police immediately. You can either walk into a nearest police station or file a complaint online.
Some frequently asked questions (FAQ) about the rental scams in Germany
How can I protect myself from rental scams in Germany?
To protect yourself from rental scams in Germany, always research the landlord or agency before making any payments or signing contracts. Additionally, be wary of unusually low prices or requests for upfront payments.
What documents should I ask for before signing a rental contract in Germany?
If you suspect a scam, before signing a rental contract in Germany, ask for a copy of the landlord's ID, proof of ownership or authorization to rent, and a detailed rental agreement that includes the rental period, deposit amount, and payment schedule.
Should I use a real estate agent to find a rental property in Germany?
While using a real estate agent can be helpful, it's important to do your own research and verify any information provided by the agent. Be wary of agents who demand upfront fees or pressure you into signing a contract without sufficient time to review it.
What steps can I take if I suspect a rental scam in Germany?
If you suspect a rental scam in Germany, report it to the police and relevant authorities immediately. Additionally, inform the rental platform or website where you found the listing to prevent others from falling victim to the same scam.
How can I verify the legitimacy of a rental listing in Germany?
To verify the legitimacy of a rental listing in Germany, research the landlord or agency online and check if they have an official website or social media accounts. You can also check if the rental property is listed on multiple websites or if the price is in line with other similar properties in the area.
Should I wire money or use cash to pay for a rental deposit in Germany?
It's best to avoid wiring money or using cash to pay for a rental deposit in Germany. Instead, use a bank transfer or payment platform that offers buyer protection, and make sure to keep a record of all payments made.
What are my rights as a renter in Germany?
Renters in Germany have various rights, including the right to a livable rental property, the right to privacy, and the right to receive proper notice before any changes to the rental agreement. Familiarize yourself with your rights as a renter before signing any rental contracts.
Can I negotiate the rental price in Germany?
In some cases, it may be possible to negotiate the rental price in Germany. However, this largely depends on the rental market and the landlord's willingness to negotiate. Be prepared to provide evidence to support your proposed rental price.
Is it possible to find a rental property in Germany without a real estate agent?
Yes, it is possible to find a rental property in Germany without a real estate agent. You can search for listings on various rental platforms and websites, or ask friends or colleagues for referrals. However, using a real estate agent can be helpful in navigating the rental market and negotiating rental terms.
