Real estate used to be all about location. Now? It’s about cybersecurity.
If you’re buying, selling, or managing property in today’s tech-driven market, cybercriminals have you on their radar. From wire fraud to smart home breaches, the industry is facing a rising tide of digital threats. The old lock and key just won’t cut it anymore.
Why Hackers Are Zoning In on Real Estate
Let’s be real: real estate is a goldmine for cybercriminals.
You’re dealing with large financial transactions, sensitive personal data, and often outdated tech systems. Add in a few rushed closings and multiple parties (agents, lawyers, lenders, title companies), and boom—you’ve got a perfect storm for cyberattacks.
1. Wire Fraud Is Exploding
Hackers love intercepting real estate transactions. They spoof emails from title companies, send fake wiring instructions, and poof—your down payment is gone. In fact, the FBI reported $446 million lost to real estate wire fraud in a recent year alone.
2. Smart Homes Are… Dumb About Security
That fancy smart lock or thermostat? It might be a hacker’s best friend. Many smart home devices lack proper encryption, making them easy entry points into home networks—and even personal bank accounts.
3. Weak Links in the Transaction Chain
Buyers, sellers, agents, lenders… everyone’s using different tech, often without strong cybersecurity protocols. It only takes one unencrypted email or one weak password to open the floodgates.
4. Real Estate Companies Aren’t Cyber Ready
Most small-to-mid-sized brokerages and property managers aren’t investing in cybersecurity. It’s not a priority—until it’s too late. But as attacks grow, regulators and insurers are starting to demand tighter protection.
So, What Can Be Done?
Here’s what every real estate professional and buyer/seller needs to do now:
- Verify everything: Always double-check wiring instructions with a phone call.
- Use secure portals: Ditch email for secure document-sharing platforms.
- Update software: Keep devices and apps patched and up to date.
- Train your team: Even a short cybersecurity training can stop major threats.
- Hire a pro: Consider a cybersecurity consultant if your firm handles large volumes of transactions.
Final Thoughts: Cybersecurity Is the New Curb Appeal
Whether you’re closing on a home, managing rental units, or selling condos in the city, cybersecurity is now part of your business. The real estate world has gone digital—and hackers know it. The question is, are you ready?