Share This Article
London’s rental market is competitive and expensive. Those two things together create the perfect conditions for fraud.
Every year, thousands of renters in London are scammed. They pay deposits on properties that do not exist, to people who are not landlords, for tenancies that are never real.
Here is how the most common scams work — and how to avoid them.
How Big Is the Problem?
According to Shelter and various consumer protection bodies, rental fraud costs UK renters millions of pounds every year. London accounts for a disproportionate share of reported cases, driven by high demand and the willingness of desperate renters to act quickly.
The pressure to secure a property fast — especially for people relocating from abroad or from other cities — is what scammers rely on most.
Common Rental Scam Types in London
The phantom property: a listing appears on Rightmove, Zoopla, or Facebook Marketplace for a desirable flat at a below-market price. When you enquire, you are told the landlord is abroad but can arrange everything remotely. After paying a holding deposit, communication stops.
The stolen listing: scammers copy genuine listings from letting agents and repost them directly, at lower prices, posing as private landlords. The property is real but they have no connection to it.
The HMO fraud: you move into a house in multiple occupation (HMO) and later discover the landlord has no proper licence for it. The property may be unsafe or may face closure by the council.
The illegal sub-let: your landlord is actually a tenant themselves, sub-letting without their own landlord’s permission. When the head landlord finds out, you face eviction even though you have done nothing wrong.
Warning Signs of a Fraudulent Rental
Price significantly below comparable properties in the area. The landlord refuses to conduct viewings in person or video call. Full deposit and first month’s rent demanded before signing any agreement. Communication only over email or WhatsApp, no phone calls. The landlord claims to be abroad and cannot attend signing. Pressure to pay quickly because of other interested parties.
How to Protect Yourself
Always view the property in person before paying anything. If you cannot view it yourself, have a trusted person go for you.
Verify the landlord’s identity. Ask to see proof of ownership — a mortgage statement, land registry document, or utility bill in their name at the address. Check the Land Registry at gov.uk to confirm ownership.
Use the Deposit Protection Scheme. UK landlords are legally required to protect deposits in a government-approved scheme within 30 days of receiving them. Ask which scheme they use before paying.
Never pay by bank transfer to a person you have not met. If you must transfer money remotely, use a letting agent who holds client money protection insurance.
Be suspicious of any landlord who discourages you from using a letting agent or who pushes for urgency.
If You Have Already Been Scammed
Report to Action Fraud at actionfraud.police.uk. This is the UK’s national fraud reporting centre. Contact your bank immediately — faster payments can sometimes be recalled. Report the fraudulent listing to the platform it appeared on. Get legal advice from Shelter or Citizens Advice if you are in a dispute over a deposit already paid.
Renting in London Safely
Use accredited letting agents registered with ARLA (now Propertymark). Check that any landlord is registered with their local council where applicable. Always get a written tenancy agreement before paying any money. Insist on deposit protection. Trust your instincts — if something feels rushed or too good to be true, it almost certainly is.
Internal links: https://dwellble.com/blog/pg-scams-india, https://dwellble.com/blog/how-to-verify-landlord-before-paying-deposit, https://dwellble.com/blog/rental-agreement-checklist
External links: actionfraud.police.uk, gov.uk/land-registry, shelter.org.uk
