Realtors association warns of rental scam in Hamilton

With vacancy rates in the Hamilton area plummeting to some of their lowest levels in a decade, the local realtors association is warning of a rental scam taking advantage of people who may be desperate to find a place to live.

According to the Realtors Association of Hamilton-Burlington (RAHB), realtors in the area are finding their for-sale properties posted without permission for lease on websites like Kijiji.ca and prop2go.com.

RAHB CEO George O'Neill told CBC News people are essentially copying legitimate listings and reposting them with different contact emails and phone numbers.

Then, he said, the person posting the ad is asking interested people to send along cash to secure it sight unseen, before vanishing.

"We've noticed that since the rental market in Hamilton has become more challenging with a lack of rental inventory, these scams have increased in frequency," O'Neill said in a statement.

Insist on seeing the property and meeting someone directly.- RAHBCEO George O'Neill

"People are renting properties in Hamilton without conducting proper research because there are not enough rentals to serve the need and some people are even renting properties sight-unseen to ensure they have a place to live."

The Canada Mortgage and Housing Corporation Rental Report for the Hamilton CMA, which includes Burlington and Grimsby, found the average cost of rent was $1,077 in October 2018.

The overall vacancy rate was 3.1 per cent during the same period, which is below the 10-year average for the area.

"It's a sign of a tighter market, especially in the rental area," O'Neill said. "Housing affordability is the back issue to this whole thing."

Hamilton police say that while this issue isn't widespread in the city, it is a problem that exists.

The service's latest figures show there were 17 rental scams reported to police in 2017, compared to 32 reported in 2018.

"If you have been fraudulently misled somehow, please give us a call," Const. Lorraine Edwards said.

O'Neill is advising renters to be careful and do their research when looking for an apartment.

"Insist on seeing the property and meeting someone directly," he said.

adam.carter@cbc.ca