Research cited in the article suggests a significant proportion of letting agents lack confidence in identifying suspicious client money transactions, with more than a third saying they could not reliably spot fraud. The report also indicates that agents perceive fraud risk to be increasing, with AI-enabled impersonation and deepfake scams seen as a growing threat alongside more traditional phishing and landlord or tenant impersonation.
Pegasus Insight research indicates that landlord use of lettings agents has risen to a two-year high, with two thirds now using an agent for some or all of the letting process. The increase is being driven mainly by demand for full property management, as landlords face growing regulatory complexity and higher time commitments in managing rental portfolios.
A letting agent has been sentenced after admitting 19 fraud offences involving landlords and tenants, with losses totalling more than £48,000. The case involved withheld tenant deposits, unpaid rent not passed to landlords, and a police proceeds of crime process now underway to seek compensation for victims.
The Property Ombudsman has expelled three registered property businesses after they failed to pay more than £1,000 in redress awards. The cases involved complaints about tenancy handling, a missing survey report and delays in transferring deposits and rent, with the Ombudsman stressing that compliance with awards is mandatory.
