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So You Want to Invest in UK Property? Avoid These Common Scams

Posted by Block Land on 19 August 2025
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UK property has long been one of the most attractive investment options for both domestic and international investors. With strong rental demand, stable long-term growth, and tangible assets to hold, it often seems like a safe bet compared to stocks or crypto.

But where there is money, there are scams. Fraudsters and opportunists know that investors, especially cash-rich ones, are eager to find the next big opportunity. When a deal promises “guaranteed returns” or “risk-free income,” it can be tempting to let your guard down.

Even seasoned investors have fallen prey to scams that look legitimate on the surface but unravel over time. In this guide, we highlight the most common property scams in the UK and how to protect yourself.

Off-Plan Developments That Never Get Built

 

The scam

Developers promote “luxury apartments” with glossy brochures and high projected yields. Investors pay large deposits, only to see projects endlessly delayed, abandoned, or completed far below promised standards.
 

How to avoid:

  • Research the developer’s track record.
  • Confirm planning permission is approved, not pending.
  • Ensure deposits are protected in an escrow account.
  • Visit previous projects delivered by the developer.

Guaranteed Rent Schemes Too Good to Be True

 

The scam:

Some companies promise landlords fixed rent payments every month, regardless of occupancy. At first, the income flows — but many of these companies collapse or walk away, leaving investors without rent and often with damaged properties.
 
Red flag: Anyone who uses the word “guaranteed” should set alarm bells ringing. In property, there are no true guarantees.
 

How to avoid:

  • Request audited financials from the company.
  • Speak with other landlords who’ve used the same provider.
  • Confirm any “guarantees” are insured, not just a promise.

Phishing and Conveyancing Fraud

 

The scam:

Criminals intercept email chains between solicitors and investors, sending fake bank details for deposits or completion transfers. Investors who fall for this lose vast sums that are rarely recovered.
 

How to avoid:

  • Always confirm bank details with your solicitor over the phone.
  • Use only phone numbers from official documentation.
  • Treat last-minute changes to payment details as suspicious.

High-Pressure Sales Seminars by Property Trainers

 

The scam:

Free “investment seminars” run by property trainers are usually sales funnels into overpriced mentorship programmes. These trainers often push “exclusive deals” that are inflated in price and unsuitable for most investors.
 

How to avoid:

  • Never sign contracts or transfer funds during the event.
  • Question whether the seminar is genuinely educational or just an upsell.
  • Remember: if the deal was truly exceptional, it wouldn’t be sold in a seminar room.

Overinflated Returns — The Most Common UK Property Scam Today

 

The scam:

Investors are promised “20% net returns, with no management costs, no maintenance, and no effort.” Often marketed as social housing or supported living investments, these claims are completely unrealistic.
 
Why it’s dangerous: These scams are convincing because they’re based on genuine housing needs, making them harder to spot.
 

How to avoid:

  • Compare promised returns to market norms — typical UK yields are far lower.
  • Seek independent valuations, not just operator figures.
  • Stick to the golden rule: if it sounds too good to be true, it probably is.
 
📌 This scam is so widespread that we’ve dedicated a full article to it.
The UK property market offers genuine opportunities, but it also attracts fraudsters. Protect yourself by:
 
  • Watching for red flags: words like “guaranteed”, inflated returns, or pressure to act fast.
  • Doing your due diligence: check financials, developer history, and independent valuations.
  • Working with established, regulated professionals.
 
At BlockLand, we specialise in connecting investors with real opportunities in apartment blocks and rental property. Our focus is transparency, diligence, and value — not hype. If you’re ready to invest with confidence, reach out today.

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