Tenant fraud gets worse with AI-generated fake documents
Summary
Goodlord says AI-generated fake documents and fabricated identities are driving a rise in suspected tenancy fraud across the UK private rented sector. Its analysis suggests the issue could expose landlords and agents to significant direct losses, with London identified as a fraud hotspot and the NRLA urging stronger, regularly reviewed referencing checks.
Why it matters
Residential property surveyors involved in lettings, valuation or portfolio risk assessment should note the growing prevalence of sophisticated tenant fraud and its potential financial consequences. The findings may influence due diligence expectations, risk management advice and the robustness of referencing processes used by landlords and agents.
Key points
- Goodlord estimates up to £4.1 billion in annual direct losses from fraudulent tenancy applications.
- Suspected fraud was flagged in 41 per 1,000 tenant references between July 2025 and June 2026.
- Fraudsters are reportedly using AI to create fake payslips, references and full identities.
- London emerged as a fraud hotspot in the confirmed-case data.
- The NRLA advises landlords to report suspected fraud to police and Action Fraud and to review referencing systems regularly.
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