Students and house-seekers are being warned about sham online advertisements touting cheap flats, after a Dunedin-bound couple were nearly duped last week.
The Ministry of Consumer Affairs and the police have issued a warning to those looking for a flat, after a rise in scammers readvertising often legitimate properties online.
The ruse involves sham online advertisements for fake or recently advertised properties available for cheap rent.
Unsuspecting parties are asked by the overseas-based "owner" to pay their deposit and rent money via wire transfer.
One English couple were targeted after they advertised online for a Dunedin rental.
PropertyScouts owner Jeanette Aspin said the couple contacted her after they found her company was listing the same Mosgiel property for a higher rental than was the person who contacted them.
The couple, who had sent an application for the property and passport details, became suspicious after the person emailed them wanting rent before posting keys for the property.
Ms Aspin contacted police on the couple's behalf, as they were yet to arrive in the city.
She said it was a "huge concern" Dunedin properties were being targeted by scam artists. While no money exchanged hands, police were concerned the couple had sent their passport details, she said.
"To help them out, we are actively looking for a property on their behalf."
The Residential Tenancies Amendment Act (2010) meant if owners were based overseas for more than 21 days, they had to appoint a New Zealand-based agent, she said.
Consumer Affairs said the new year was a busy time for the New Zealand rental property market, and students and house seekers were reminded never to send money via a wire service unless they trusted the person.
They should also view the property in person, and report fake advertisements promptly.
"Use your common sense and do some research on the market. If something doesn't feel right, then it's probably a scam," the warning noted.
