Property scams are climbing sharply across Australia, and Perth buyers and sellers are firmly in the firing line. Industry experts say a cooling market, recent tax changes and increasingly convincing AI tools are combining to create the perfect conditions for fraud and unethical sales tactics.
Whether you’re selling the family home, hunting for your first investment property, or simply trying to secure a rental, understanding how these scams work is now essential. This guide breaks down exactly what’s changing, why it matters for the Perth market, and how to keep yourself safe.
Why Property Scams Are Surging in a Cooling Perth Market
For the past few years, hot property markets across Australia gave buyers little room to negotiate and sellers little reason to worry. Strong demand meant offers came quickly and vendors rarely needed convincing.
That’s shifting. As markets soften and buyer interest becomes harder to secure, industry insiders say some agents and operators are turning to more aggressive — and sometimes dishonest — tactics to get deals over the line.
Ben Williams, CEO of property transparency platform Unreserved and a practising auctioneer, says he sees manipulative sales behaviour play out regularly.
He describes it as “very, very prevalent,” noting he witnesses questionable tactics from agents virtually every weekend of auction and sale activity.
The common thread across the current wave of property scams is pressure. Sellers are pressured to lower their price expectations. Buyers are pressured to act fast on new developments. And everyday consumers are pressured into transferring money before they’ve had time to think it through.
The Negative Gearing Shake-Up Fuelling New-Build Spruikers
A major driver behind the renewed scam risk is the Federal Government’s decision to scrap negative gearing benefits for established homes, while retaining them for new builds. On paper, the policy is designed to boost new housing supply.
In practice, quantity surveying veteran Tyron Hyde — CEO of Washington Brown, who has worked in the property sector for 35 years — warns it could have unintended consequences. He believes the change may open the door wider for so-called “property spruikers”: high-pressure operators who push buyers toward off-the-plan or new-build properties, often for a hefty personal payday.
Mr Hyde says commissions on new-build sales can reach extraordinary levels, with some operators offered as much as $100,000 to move a single property. That kind of incentive, he warns, changes behaviour.
He also expects established agents — who may have previously steered clear of new-build sales — to start pivoting toward that side of the market as commissions become more attractive.
What This Means for WA Buyers
For Perth buyers considering new-build or off-the-plan property, this is a timely reminder to slow down. A property being “recommended” doesn’t mean it’s right for you, and a compelling sales pitch is not the same as sound investment advice.
| Established Homes | New-Build Properties |
|---|---|
| Negative gearing benefits removed | Negative gearing benefits retained |
| Typically lower agent commissions | Commissions can run into tens of thousands of dollars |
| More transparent comparable sales data | Harder to verify true market value |
| Lower spruiker activity historically | Higher spruiker activity historically |
Buyers weighing up a new-build purchase should get independent advice from a source with no financial stake in the sale — not solely from the person selling it to them.
Inside the Seller-Squeeze: How Some Agents Manipulate Vendors
One tactic Mr Williams describes as “the oldest trick in the book” involves agents deliberately understating genuine offers to sellers, then gradually “revealing” higher numbers over time to make it look like negotiations are progressing.
In the industry, it’s known by a blunt, unofficial nickname — essentially a “less-than-pleasant sandwich” — because vendors are fed bad news, then a slightly better number, then more bad news, softening their expectations bit by bit.
The effect is powerful. A vendor who believes they’re watching a bidding process unfold, with offers steadily climbing, is far more likely to accept a sale than one who is simply told the true opening offer upfront.
It also creates an illusion of effort — making it look like the agent is working hard to extract a better price from a buyer, even if little real negotiation is happening at all.
Mr Williams notes that agents are generally far more confident pushing sellers down in price than pushing buyers up, so a disproportionate amount of “negotiation” effort goes into managing vendor expectations rather than genuinely testing buyer appetite.
He says this behaviour has increased “massively” as the market has cooled, because in hotter conditions there was rarely a need for it — genuine buyer competition did the job on its own.
For sellers, the lesson is simple: ask your agent for evidence of actual offers, not just verbal updates, and don’t assume a slow negotiation means a weak market.
AI Is Making Property Scams Harder to Spot Than Ever
Beyond agent behaviour, a separate and rapidly growing threat comes from digital fraud. Lynette Owens, Head of Consumer Education and Marketing at digital safety firm Trend Micro, says AI has fundamentally changed how scams operate.
A recent global study by her organisation — surveying more than 10,000 consumers across nine markets, including over 1,000 Australians — found roughly one in five Australians had either been scammed themselves, or knew someone close to them who had, during a major purchase such as a property or vehicle.
Ms Owens says property purchases are a particularly vulnerable moment. Buyers are often under time pressure, emotionally invested, and anxious not to miss out on the right home — all conditions scammers are known to exploit.
The old advice of “watch for spelling mistakes” no longer holds up. AI tools have eliminated the poor grammar and clumsy brand impersonation that once made scam emails and messages easy to spot.
Scammers are also using AI to scale up operations, automating attacks across multiple countries and demographics simultaneously, then refining their approach based on which tactics succeed. In short, today’s property scams are tested, optimised and improved almost like a legitimate marketing campaign — just with fraudulent intent.
Ms Owens’ core advice: independently verify any payment instructions using a phone number you already know and trust — never one supplied in an email — and never rely solely on email communication for financial instructions.
She also recommends getting a second opinion whenever something feels slightly off. A friend or family member may spot inconsistencies you’ve missed, particularly if they’re more familiar with common scam tactics.
Rental Scams on the Rise in WA — By the Numbers
Western Australia has its own local data confirming the trend. WA ScamNet, part of the state’s Consumer Protection division, has recorded a clear rise in rental scams over the past two years.
| Period | Victims Reported | Total Losses |
|---|---|---|
| 2024 (full year) | 16 | $39,935 |
| Last year | 20 | $51,875 |
These scams typically follow a familiar pattern. Fraudsters pose as private landlords and advertise real properties — using stolen photos of genuine homes — at prices below market rent to attract interest quickly.
Prospective tenants are often invited to do a drive-by inspection but are given excuses when they ask to see inside. Once a would-be tenant is hooked, they’re pressured to transfer a bond and rent in advance, sometimes backed by fake tenancy agreements that even carry a copy of the WA Government logo to appear legitimate.
The scam usually only becomes apparent when the “tenant” turns up to collect keys, only to find the property is already occupied, listed for sale, or was never available to rent in the first place. By then, the scammer is long gone and the money is very rarely recovered.
For Perth renters, the message is clear: never transfer a bond or rent before you’ve physically inspected the inside of a property and verified the identity of the person you’re dealing with.
Red Flags Every Perth Buyer and Seller Should Know
| Situation | Warning Sign | What It Might Mean |
|---|---|---|
| Buying a rental | Rent priced well below market for the area | Possible listing scam using stolen photos |
| Buying a rental | Can’t view inside, only a drive-by | Property may not be genuinely available |
| Selling a home | Agent reports vague or slowly “increasing” offers | Possible vendor expectation manipulation |
| Buying new-build/off-the-plan | High-pressure pitch, urgency to sign quickly | Spruiker tactics, high commission incentive |
| Any transaction | Payment instructions changed via email | Classic redirection scam, always verify by phone |
| Any transaction | Documents look official but details feel “off” | AI-generated fake paperwork is increasingly common |
If more than one of these appears at once, it’s worth pausing the transaction entirely until you’ve had it independently checked.
How to Protect Yourself From Property Scams
There’s no single fix, but a combination of good habits and healthy scepticism goes a long way. Ms Owens argues that education alone is no longer enough on its own, given how quickly scam tactics are evolving — it needs to be paired with genuine verification habits.
| Step | Why It Matters |
|---|---|
| Verify payment details by phone, using a number you already have | Prevents redirection scams via fake emails |
| Never rely solely on emailed banking instructions | Emails can be intercepted or spoofed convincingly |
| Get a second opinion from someone you trust | Fresh eyes often spot inconsistencies you’ll miss |
| Physically inspect rental properties before paying | Confirms the property and listing are genuine |
| Ask your agent for evidence of offers, not just verbal updates | Reduces risk of vendor expectation manipulation |
| Use independent, licensed conveyancers and solicitors | Adds a professional check outside the sales process |
| Be wary of unusually high-pressure or urgent sales pitches | Urgency is one of the most common scam tactics |
| Question commissions or incentives that seem unusually large | Large commissions can encourage pushy recommendations |
None of these steps are complicated, but together they close off most of the common entry points scammers rely on.
The Holdsworth Approach: Transparency in a Riskier Market
As property scams and questionable sales tactics become more common across Australia, choosing who you work with matters more than ever. A softening market can create pressure for some operators to cut corners — but it doesn’t have to affect how your sale or purchase is handled.
At Holdsworth Real Estate, that means genuine offers presented honestly, clear communication with vendors at every stage, and no pressure tactics designed to manage your expectations rather than genuinely represent your interests.
Whether you’re considering selling in the current Perth market, thinking about a new-build purchase and want an independent read on the numbers, or simply want a straightforward, no-pressure appraisal, our team is here to help you make decisions with confidence rather than anxiety.
If recent headlines about scams and dodgy sales tactics have made you cautious about your next move, get in touch with Holdsworth Real Estate for a transparent, obligation-free conversation about your options.
