Avoid Vacation Rental Scams: The $20K Mistake and Key Red Flags

“In retrospect,” says Melany Robinson, “the pricing was too good to be true.” Robinson, a hospitality publicist and seasoned traveler who lives in Birmingham, Alabama, was surfing Craigslist in the summer of 2020, looking for a ski-season rental in Park City, Utah. She came across a five-bedroom, five-bath chalet with panoramic views, a wood-burning fireplace, and an outdoor deck complete with a hot tub. It looked perfect for her family and was available for her dates in February and March of this year.

Robinson e-mailed the contact listed and quickly heard back from someone calling himself Thomas. Using public records, she matched that name with the property’s deed holder and began discussing rental terms. Thomas promptly answered all her questions, and, in July, she wired him a first installment of $6,700. Over the next few months, as Robinson underwent treatment for cancer, Thomas frequently checked in by e-mail. In the fall, she sent the balance of $9,700 — plus a $3,600 deposit for a 2022 rental. Nothing seemed amiss.

However, in January, Thomas e-mailed to say someone had died of COVID-19 in the house. He said he would need an additional $14,000 for cleaning — and asked Robinson to wire $8,000 on top of what she’d already paid. At that moment, Robinson realized she had been scammed. Law enforcement advised her to continue corresponding with Thomas in order to gather more evidence of criminal activity. Unfortunately, Thomas eventually stopped replying entirely.

Eventually, Robinson tracked down the actual owner of the home, who had no knowledge of the scam. The fraudster had created a fake Craigslist post by copying photos and information from a legitimate property listing. Unfortunately, Robinson has yet to recover any of the $20,000 she lost.

“The personal violation was by far the hardest part,” she reflects. “Even harder than the money.”

Watch for Red Flags

Protecting yourself is paramount when renting vacation properties. Michelle Couch-Friedman, executive director of the consumer group Elliott Advocacy, advises renters to watch out for several key indicators of potential fraud.

• Urgency from the host, insisting you must decide quickly.
• Requests for payment via wire transfer or cash apps like Zelle.
• New listings with no reviews.
• Low-quality photos that appear to be screenshots from other sites.

Think Small

Couch-Friedman suggests utilizing a reputable brick-and-mortar agency for vacation rentals. “The opportunity for vacation-rental scammers to operate through a small, well-regarded agency just doesn’t exist,” she states.

Boutique agencies often have personal relationships with property owners, enhancing security. For instance, Homebase Abroad specializes in luxury villa rentals in Italy, ensuring direct communication with property owners.

Play by the Rules

Large rental platforms such as Airbnb and Vrbo boast comprehensive security measures. For example, according to spokesperson Alison Kwong, Vrbo offers payment protection against listing fraud and significant misrepresentations, alongside 24/7 customer service. Airbnb also safeguards payments and personal information while providing refunds or reaccommodations if issues arise.

“It is virtually impossible to be scammed using Vrbo or Airbnb if you follow all the rules of the sites,” Couch-Friedman assures.

Despite her negative experience, Robinson remains hopeful, stating, “I will definitely rent homes again — but this time I’ll insist on talking to the owner, touring the home, paying via credit card, and booking through a small firm for better protection.”

A version of this story first appeared in the June 2020 issue of iBestTravel under the headline The Case of the Disappearing Vacation Rental.