EDITORIAL: Rental scams, housing woes

The Criminal Investigation Bureau (CIB) is warning people about fake rental listings targeting students and other inexperienced renters as demand rises. Scammers often advertise properties below market rates, claim to be out of town and offer to mail keys via convenience stores for self-guided viewings before directing people to fake delivery Web sites.

A woman who lost NT$55,000 (US$1,746) after responding to a Taipei rental advertised at NT$10,000 a month, the CIB said. She was tricked into transferring NT$30,000 and buying NT$25,000 in game credits.

People should view properties in person, verify landlords’ identities and sign a lease before paying, it said, adding that legitimate delivery services never require bank transfers or online banking for real-name verification.

Scams are not the only challenge renters face. Despite the government doing more to help renters, rents continue to rise and markets remain tight — particularly in urban areas. Taiwan’s median monthly rent was NT$8,600 in the latest Ministry of the Interior data, up 1.2 percent from a year earlier, while median rents were NT$12,500 in Taipei, NT$13,000 in New Taipei City and NT$10,000 in Taoyuan.

The government has expanded its rent-subsidy program to NT$30 billion annually and promoted social-housing and subleasing programs to bring more homes onto the market.

However, the vacancy rate fell to 9.4 percent in the second half of last year from 10.4 percent in the first half, with rates below 8 percent in Taipei, New Taipei City and Hsinchu. Although a lower vacancy rate can reflect homes being brought into use, in high-demand areas it also points to tight markets in which government assistance has yet to make housing substantially cheaper or easier to find.

Greater government involvement could help address the problems. A government-run or certified rental platform could verify landlords’ identities and property ownership while requiring renters to verify their identities as well. With appropriate privacy and appeal safeguards, renters could potentially be flagged for documented histories of serious problems such as repeated non-payment of rent or significant property damage. Such a system could protect both sides while making it much harder for scammers to pose as landlords.

The platform could also allow verified landlords to list vacant units, giving renters a searchable source of legitimate housing and the government a clearer picture of available supply. It could be linked to rent-subsidy programs, allowing eligible students and low-income families to apply through the same system. The government could pay approved subsidies directly to verified landlords, reducing paperwork for tenants while ensuring public funds go toward legitimate rental arrangements.

There are precedents for greater government involvement. Singapore’s Housing and Development Board operates government-backed rental housing and requires some landlords to obtain approval and register tenants. The Netherlands has also moved toward regulation of private rentals, and proposed a national register for landlords and rental properties.

Taiwan could draw on those models while developing a system suited to its own housing market.

Another challenge is Taiwan’s aging housing stock, including buildings that might be vulnerable to earthquakes. Building renewal can be difficult when residents disagree over reconstruction or when elderly or financially vulnerable residents cannot afford renovation costs, higher housing payments or a new mortgage.

The government could consider lowering the resident-approval threshold for major renewal projects when buildings pose significant safety risks, combined with independent safety assessments and appropriate protections for dissenting residents.

Building renewal is not simply a property issue. For many long-term residents, an apartment is their home and largest financial asset. A policy that leaves people choosing between remaining in an unsafe building and taking on housing costs they cannot afford is unlikely to be sustainable.

The government could instead help balance residents’ property rights and financial circumstances with the broader need to ensure that Taiwan’s aging housing stock is safe.

Housing remains a challenge for many people in Taiwan, and greater government involvement could improve access to safe, affordable homes for those who need them most. Making greater progress on building renewal is particularly important. Replacing aging low-rise buildings with taller, modern buildings with elevators would make better use of Taiwan’s limited land, create more housing units and improve accessibility for an aging population.

Overcoming the financial and legal barriers to renewal while protecting vulnerable residents could help address Taiwan’s housing shortage, building-safety concerns and accessibility challenges at the same time.