Social media seems to be the hunting ground for scamsters who prey on those desperate for housing.
Beside the advertising of illegal sale of RDP housing based on the stipulations of authorities, residents are also promised a quicker delivery on new houses in exchange for an amount of money.
A resident who contacted People’s Post was one such victim.
The resident, who asked not to be named for fear of further victimisation, had reached out to People’s Post in the hope of exposing an agent who had made off with her money. She was unaware of the popular scam.
“I posted an ad on one of the local Facebook groups looking for a wendy house to rent because I had to leave my place at the time. I got a call from someone claiming to be from the department of housing. He said he could get me an RDP house, because they are building currently,” she says.
The resident says she was asked to pay R5 000, but because she could not afford that at the time, the man instructed her to give what she could as a down payment.
For around seven months, authorities have been warning residents of housing scams in the area with some operating on WhatsApp and Facebook. The Western Cape Department of Human Settlements released a statement in September and again in January, with the City of Cape Town’s housing directorate releasing similar statements in November and February.
The City and department both build housing in different projects and areas.
According to the department, in September a WhatsApp message had been circulated, claiming to assist residents to receive a house within two weeks, in exchange for R2 300 for the approval letter and title deed.
Areas targeted Khayelitsha, Stellenbosch, Montana, Paarl and Mitchell’s Plain. Similarly, the City released a statement reminding residents that no payment is required for housing opportunities or to be placed on the housing needs list.
The resident says she has been on the waiting list for six years and has lived in backyards for much longer than that.
“I am an older lady already and I was getting impatient. This man was legit in my eyes. He had all the answers,” she says.
“I paid R1 800 in December. He kept telling me excuses after excuses and then eventually I was blocked and he was gone.”
The resident has since made a case with authorities.
Some of the common modus operandi of scammers are through creating fake social media accounts.
The City in February confirmed a fake profile of the then Mayco member for human settlements, Malusi Booi had been created on Facebook.
“The City is aware of a scammer that is impersonating the City’s Mayoral Committee Member for Human Settlements, Councillor Malusi Booi on social media platforms. The scammer is asking residents to pay for housing opportunities as well as to assist with housing related enquiries,” read a statement.
Tertius Simmers, minister for the department of Infrastructure, says last year several Facebook accounts were created.
“Vulnerable residents often fall prey to these scams in the hope of being assisted, or bumped up on the waiting list, for a government housing opportunity. In most cases, money exchanged due to fraudulent scams is not recovered. To be considered for a government housing opportunity, citizens need to be registered on the housing database at their local municipality,” he says.
The Department’s acting director for Communication, Muneera Allie says scammers are convincing because they have some knowledge of how government housing works and go as far as to create fraudulent approval letters and correspondence that may appear authentic and lawful.
“While some residents are also aware of how the system works, the mere suggestion of being bumped up on the waiting list prompts them to find the means to pay a requested fee to fast-track the process. During 2022, one victim arranged for a R2 000 loan in order to pay for an ‘approval letter’. Due to the nature of these scams and false social media accounts created to rip-off residents, it is challenging to crack down on these con artists,” she says.
The resident says that she is not the only one who had fallen prey to the scammer. She is aware of at least two others, one who she had referred.
“It is easy to say that we should not be stupid and fall for scams. I never thought I would be scammed. But they come to you with such a great pitch and all the answers. Just be careful. It is an expensive lesson to learn,” she says.
- Be a South African adult citizen older than 18 or have a permanent residency permit.
- Be married or living with a partner. Be single or divorced and have proven financial dependents permanently living with them.
- Earn a household income of R3 500 or less, before deductions.
- Not be current or previous property owners and not have received a housing subsidy from the government before.
The Department also has various subsidies available for residents with gross earnings between R3 500 and R22 000 per month. Enquiries can be made at any municipal housing office.
- To update your details on the City’s housing list, visit https://web1.capetown.gov.za/web1/HWL2012Online/
