How to spot an apartment rental scam

​It's got off-street parking, an in-unit laundry, upgraded finishes and even a nice nook for your work-from-home desk. And best of all, it's priced about $200 a month lower than other apartments in the neighborhood.

If only it were real.

In competitive rental markets, scammers know just the right hooks to reel in renters for properties they don't own or that don't exist.

How rental scams work

While details vary, the theme is often the same: A landlord or broker posts an apartment ad for what seems like a great deal. So good, in fact, they'll need you to sign an agreement, pay an application fee or put down a deposit before they even show you the apartment. After all, with demand so high, they can't waste time with a renter who isn't serious!

The trouble is, the "landlord" is actually a scammer with no legitimate connection to the apartment. Or, best case, the ad is a bait-and-switch designed to rope you in to a much less desirable or more expensive place than promised.

Either way, you'll already have parted with some cash or valuable personal details (that could be used later for identity theft) before you learn the truth.

Tipoffs to a scam

• Watermarked photos. Scammers can copy legitimate ads and repost them with their own details and price. Another company's watermark on the photo means they don't have access to the original themselves. Check trusted sites like Zillow and Trulia to see if you find photos of the same apartment (likely advertised at the going market rate). Also check sites to see if the property is listed for sale, making it highly unlikely that it's also for rent. As with email phishing, poorly written descriptions that contain grammar and spelling errors often indicate a scam.
  

• Deposits or signed paperwork in advance. You should be able to tour the promised apartment in person before making any kind of written or financial commitment. That includes deposits or paying a fee (sometimes high) so the landlord can check your background. If you're asked for your bank information or Social Security number or if wiring money is part of the deal, it's almost certainly a scam.
  

• An absentee landlord. If they say they're unable to show you the property because they're too sick, out of town or overseas in the military, move on. Legitimate absentee landlords work with local property management agencies to ensure prospective renters can view their apartments.
  

• A landlord who seems vague on details of the property. That includes information that anyone familiar with the neighborhood should know (and that you can verify yourself) like surrounding businesses and amenities.
  

• Any kind of rush, sob story or access problem. That includes needing to rent quickly because they're dealing with an illness in the family or postponing because they don't have the keys to let you in.
  

• Special super-secret deals. Beware of brokerages that, for a fee, offer to give you the inside track on properties before they're listed on mainstream sites. That might include properties billed as rent-to-own. The listings are usually fake or expired.
  

• No lease required. Even month-to-month leases require some kind of commitment between renter and landlord. Absence of an agreement likely means the landlord has nothing to protect.
  

• No background check required (ever). Similar to not requiring a lease agreement, landlords normally require a background check to safeguard their investment from what could be a deadbeat or dangerous tenant.
  

If, after checking things out, your dream deal still seems like the REAL deal, see if there's any room for negotiation (yes, you can do that!). And make sure you protect your new home-sweet-home with renter insurance, ideally bundled with your auto insurance for even greater savings.