Rental apartment scams typically occur when demand is high, and right now, the New York City rental market remains red hot. Demand is outpacing the supply, and rents continue to climb to new highs.
So if you’re among the droves of renters looking to sign a new lease, it’s important to identify situations where you might be vulnerable to fake listings or other types of fraud. Most scammers create a sense of urgency by telling you that the apartment won’t be available if you wait, causing you to hand over money quickly before you can think clearly and sense that something is not right.
As more people search for apartments online these days, that’s where con artists lurk too—and not just on Craigslist.
“With how competitive and expensive the rental market has become, a lot of renters are eager to move quickly on anything that looks even remotely affordable, which unfortunately makes them more susceptible to these kinds of schemes,” said Amanda Baum, an agent at Corcoran.
She recounted speaking to several renters who lost thousands of dollars. And one of her own listings was duplicated last summer. “So I’ve seen firsthand how damaging it can be. It highlights the importance of transparency, education, and collaboration with verified professionals,” Baum said.
The most common scams are discussed below, along with Brick Underground’s best advice on protecting yourself and your money.
[Editor’s note: This article was previously published in June 2024. We are presenting it again with updated information for June 2025.]
A fake listing presented by a fake broker
This scenario can unfold in various ways. These days, it’s all too easy to spoof an apartment listing or create an agent bio that appears legit.
Some scammers attempt to impersonate landlords or brokers, leading renters to believe they are dealing with a legitimate property owner or representative. In doing so, they may try to trick you into forking over a deposit with misleading or illegal listings, as well as photos that have been stolen.
Other scammers promise you an apartment but claim they “can’t yet show it because tenants are living there.” Or they might say something like, “We are building a waiting list, and you’ll be the first in line if you pay a deposit.” Either one is a huge red flag.
“Fake rental listings are especially common on social media, where people will take real listings posted by agents, change the description and pricing to make it seem like a great deal, and then attach a fake application link,” Baum said, adding that these are often scams designed to collect personal information.
What can you do to vet rental listings? Begin by confirming that the listing provides a real, verifiable address and not just a street name or intersection. Then cross-reference that address online.
As in any situation, “if something is too good to be true, most of the time it isn’t,” said Gary Malin, chief operating officer at The Corcoran Group.
Next, check to see if the listing agent is affiliated with a brokerage; if not, that’s another red flag.
Then, research to ensure it is a credible firm, Malin said. Check the website—is it up to date or filled with outdated listings with broken links?
Also, see if the agent has any other listings on the search platform—it’s not a good sign if they all look the same or have the same address.
“Your own due diligence is obviously very important,” Malin said. “You can go on Yelp. You can also ensure the agent doesn’t have any complaints filed against him or her.”
When you contact an agent about a listing, have a list of questions to ask a broker over the phone before meeting them in person. The more questions you ask, the more opportunity you have to see if the representative you’re dealing with is fully informed and professional.
“If someone’s intent is to scam you, typically the more questions you ask—they start to back away from you,” Malin said.
When you meet an agent in person, ask to see their real estate license, which should display their photo, the name of their firm, and the date of issue. All agents are required to carry their license, so they shouldn’t balk when asked to present it. You can also look up their license through the New York Department of State’s online registry.
Additionally, ask them to describe the terms of the lease and provide details about the building, landlord, and previous apartment tenants. A professional agent should be able to walk you through the rental process and have answers to your questions. (These same guidelines apply when looking for a short-term rental, too.)
‘Bait-and-switch’ apartment listings
“Bait and switch” refers to a scam where you see pictures of a seemingly great apartment, but when you ask to see it in person or obtain the keys, the agent shows you a different place.
If you are trying to find a rental before moving to NYC or are otherwise only able to view places virtually (such as when traveling), you are especially vulnerable to this kind of scam.
Renting without physically touring the space in advance isn’t unheard of, but it is far from ideal. You can try to negotiate a clause in the lease to protect yourself from bait-and-switch schemes. Malin suggests language along the lines of “if for any reason the representations that were made by the virtual showing are not accurate,” you have a certain amount of time to terminate the lease.
Other possible bait-and-switch scenarios might involve marketing materials that misrepresent the listing, such as basement apartments that don’t meet building codes.
According to Baum, vague or misleading descriptions are ubiquitous. For instance, many listings will say there’s “laundry in the building,” but in reality, the laundry might be in a neighboring building or in a non-functioning room that technically exists but isn’t usable. Another common example is when a one or two bedroom that could accommodate a temporary wall is advertised as a real two- or three-bedroom.
“That flex wall usually comes with an added cost and changes the layout significantly,” she added. And not all buildings allow these features.
Yet another bait-and-switch occurs when a broker promises to lease you an apartment but then actually gives you a sublease for a condo or co-op, which could mean you’d only be able to renew the lease for a limited number of years.
“While great photos are important for marketing, they can also be misleading. You want to make sure what you’re seeing online actually matches reality,” Baum said. “That’s why seeing a place in person—or working with someone who has—is so crucial. As agents, it’s super easy for us to immediately point out what’s edited and what’s real, especially if we’ve also been to the building.”
And by all means, read the fine print in the lease agreement before signing the dotted line.
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A demand for cash before seeing the unit
Let’s say you attend an open house, and the person showing you around asks for a non-refundable cash deposit. That’s a huge no-no.
Similarly, if you are asked to send money via wire—or, increasingly, via an app—for an apartment before you’ve even seen it, don’t do it.
Renters need to know that no reputable agent or broker in NYC will require payment to show them a property—it would be illegal for them to do so.
“If someone is asking you for a cash deposit, they are looking to take your money and move on,” Malin said. “If they look like they are pocketing the money, it tells you they are not doing something above board. Put the brakes on.”
As of June 11th, broker fees are all but certain to be eliminated by the FARE Act for agents hired by a landlord to market a listing. Those owners will now be responsible for paying the commission. But if you agree to work with an agent who takes you around to multiple listings, that is a different scenario and you will owe a fee, likely around 12 percent of the annual rent. Although an agent can request a broker’s fee, you won’t pay until you’ve signed the lease. Know, too, that agents cannot request that checks be written out to them as individuals. Payment must go through a brokerage.
Furthermore, an owner can only request the first month’s rent and a security deposit, which cannot exceed one month’s rent. And note: Rental buildings cannot charge a larger security deposit for pets. That said, you may see additional fees from the board, but not the broker, if you are renting a condo or co-op from an individual owner.
And be aware that your application fee for an apartment is capped at $20. (You can also request copies of your background or credit checks, which the fee covers, to use for applying to other apartments.) So if you see an attractive apartment on Instagram or TikTok, read the caption. If it lists an application fee of more than $20, don’t get scammed—keep on scrolling.
Relisting apartments to make them seem new
Beware of an apartment that’s been on and off the market several times. Some brokers will relist an apartment with a slight modification to the unit number to make it seem newer—say, switching #A1 to #1A—even though this practice violates the Real Estate Board of New York’s policy.
Before viewing a place, familiarize yourself with the typical asking rent in the neighborhood. This way, you can gauge whether the rent for the new place is significantly below an area’s market rate—and a warning sign that something is not right.
If a listing doesn’t include a floor plan, ask to see one, as it can provide crucial information before you waste time on a visit. Specifically, ensure it meets the three requirements of a legal bedroom: Walls should be at least eight feet in length in every direction, and there must be a window and a door.
Renting a fake sublet
Sometimes, scammers will try to sublet a place (either for a weekend or an entire year), first collecting deposits and then disappearing without notice.
Current laws prohibit New Yorkers from renting their apartments for fewer than 30 days, unless the owner or leaseholder is present during the stay.
Moreover, many co-ops and condos have a strict no-subletting policy. You’ll typically need to submit to a board interview in these buildings. (If not, that could be a warning sign because some owners misrepresent sublets to the board, but if caught, you’re the one who will be out on the street.)
If something seems off about a sublet—and even if it doesn’t—you should ask for a copy of the lease from the current tenant (or house rules if you’re renting from an owner in a co-op or condo) to confirm they have the ability to sublet.
Using ‘net effective’ to advertise an apartment
You may see the term “net effective rent” while scrolling through NYC apartment listings. This is the discounted rent that factors in a concession a landlord may offer, like a free month or two, into the overall term of the lease. These concessions are offered to entice you to sign a lease and advertising the deal isn’t necessarily a red flag.
If you are offered a concession, what typically happens is the renter gets a “free month” in the beginning, and then pays a higher gross rent for the rest of the lease term. When this happens, you need to figure out your gross rent for the year.
For example, if your budget is $3,300, and you search accordingly and find a place with a net effective rent of $3,300 with one month free on a 12-month lease, your gross rent—the amount you actually pay each month (except for the free one) would be $3,600.
This is not a scam, but it can be confusing for even seasoned NYC renters, so pay attention to the numbers to avoid a nasty surprise. Using Brick Underground’s Gross Rent Calculator, you can easily figure out the monthly rent you’ll actually pay.
Moving company hustles
There are a few things to watch out for when hiring a mover: Moving companies also have their own version of a bait-and-switch, when a mover offers you a great estimate but jacks up the price during the move, essentially holding your belongings hostage until you agree to fork over more money. Worse still is a “phantom delivery,” in which the movers will pack up your stuff, take your money, and disappear.
Even established companies don’t always play by the rules. There are also “rogue operators” that place fake ads and reviews on their websites, provide a free estimate over the phone or email, and come in with a lowball offer—and then outsource the work after taking the down payment, leaving you at the mercy of potentially shoddy movers.
As with your broker, research your mover: Get a recommendation from someone you trust, check reviews online, make sure their website has a legitimate address and contact information, and ask them for references.
For moves within NYC, check to see if they are licensed to operate by the New York State Department of Transportation (for verification, call 800-786-5368). The Better Business Bureau is another good source; you can search for a company by name or see a listing of all accredited movers in the area (you want to see at least an A rating). Any cost estimates should be given to you in writing, and you shouldn’t pay upfront or give any type of deposit.
The state Attorney General’s office recommends getting estimates from different movers based on a physical inspection of your home or apartment. Their guidance also suggests that you ensure the mover provides you with a written “Order for Service” before any items are moved. This document should outline the probable cost of the move and the amount you will need to pay to have your items unloaded if the actual cost exceeds the estimate.
When something just doesn’t feel right
In all cases, trust your gut. If anything seems shady, proceed with caution. Do your due diligence before handing over any money or financial information, and just walk away if something doesn’t seem right.
If you’ve stumbled across a suspicious listing on a particular listing site, alert the site’s administrators through the help or FAQ sections that cover how to flag questionable listings.
“If you feel uneasy, the best thing to do is put the brakes on and take some time to reflect and maybe go in a different direction,” Malin said.
And if you do get scammed, it’s essential to take action by filing a police report, allowing the authorities to track and potentially catch the scammers.
—Earlier versions of this article contained reporting and writing by Emily Nonko, Nikki M. Mascali, and Emily Myers. This post was updated for June 2025 by Evelyn Battaglia.
JKDS is a licensed New York State real estate brokerage firm. #10351200205