Buying a home puts Aussies at significant risk of being scammed, new research shows.
Buying a home significantly increases the risk of being scammed, with up to one in five Australians falling prey to cyber criminals while purchasing property, exclusive research shows.
Digital protection provider TrendLife has revealed scammers are targeting Australians at key life moments, with buying a home presenting one of the greatest risks.
Twenty per cent of Australians have been scammed, or know someone close to them who has been scammed, while making a major purchase such as a property or car, TrendLife’s research showed.
Other major risk activities included job hunting (18 per cent), applying for government benefits or income tax support (17 per cent), moving address (15 per cent) or starting new employment (13 per cent).
TrendLife consumer education and marketing vice president Lynette Owens.
With many choosing to navigate these high-stake moments online, often under pressure and involving negotiation with unfamiliar parties, TrendLife consumer education and marketing vice president Lynette Owens said there was a significant chance of being exploited.
In many instances, scammers would monitor home buyers for months, Ms Owens said, gathering information about preferred property types, locations and financing options before launching a cyber attack.
“(Scammers) create a fear of missing out – (they will say), ‘This is (a) very popular (property), there’s lots of people looking at (it) so if you want the chance to see it you need to put down a deposit so you can be first-in-line’,’’ Ms Owens said.
“Or they may have figured out you are in conversation with a real estate agent or you have already potentially looked at taking out a loan for a large purchase.
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“Then they will impersonate the bank and potentially say some (identification) information is missing and they need this otherwise the purchase will not go through or that you are short some of the deposit they need to move the purchase forward.’’
Ms Owens also described a “cottage industry’’ of “secondary’’ scammers that pounced once a legitimate property purchase was finalised – including phony furniture removalists and homewares providers.
Scamwatch confirmed cyber criminals often impersonated real estate agents, landlords, conveyancers, solicitors and financial institutions to request money transfers or personal information.
Scammers target people making big life decision, like buying a home.
Renters were also targeted, the watchdog said, with scammers posting ads for rental properties they did not own or did not exist and requesting a bond or rent to be paid in advance of even inspecting the property.
As scams became increasingly sophisticated and difficult to detect, Ms Owens urged Australians to refrain from sharing personal information on social media that could draw the attention of fraudsters.
Digital security tools should be installed across all devices, she said, including mobile phones that were often used for property searches but typically overlooked when it came to protection software.
A National Anti-Scam Centre spokesperson said homebuyers should be especially vigilant when expecting emails, invoices or payment instructions for a property.
“Scammers can create convincing emails and documents that appear legitimate so independently verifying requests before transferring money can help prevent significant financial losses,’’ the spokesperson said.
– by Lauren Ahwan
English (US) · 