Skyrocketing apartment costs are pushing would-be renters to resort to document forgery and identity theft, turning multifamily leasing into a high-stakes game of cat and mouse. The latest State of Multifamily Fraud Report from Snappt highlights a surge in sophisticated scams, with fraudsters leveraging AI-driven tools to churn out fake documents that slip past property managers undetected.
Fraudsters use a range of schemes to deceive property managers. Some applicants engage in first-party fraud, directly altering pay stubs and bank statements to inflate their income, while others impersonate a third party by using stolen identities or forged documents. A newer and more sophisticated threat is synthetic fraud, where fraudsters create entirely fictitious identities with fake supporting documents generated by AI tools like FraudGPT.
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