supply chain risk in real estate sector

Supply Chain Attacks in Real Estate 2024

The real estate sector in Australia has been undergoing significant digital transformation in recent years. With the increasing reliance on technology partners, supply chain attacks in real estate is a growing focus of risk management.

The real estate sector in Australia is a complex industry that requires the involvement of various suppliers. These include property valuers, settlement agents, and building inspectors. The number of suppliers involved in a real estate transaction means that there is a higher risk of a cyber attack caused by a supply chain breach. 98% of organisations have integrations with at least one third-party vendor that has been breached in the last two years. Other reports suggest a 225% increase in cyber attacks originating with suppliers in Australia between 2022 and 2023. This highlights the need for real estate agents to prioritise supply chain cyber security to protect their businesses and clients.

How to manage growing threats?

To effectively manage cyber security risks in the real estate sector, it is essential to establish a risk management framework that includes an analysis of potential threats and vulnerabilities. This framework should also address the steps that real estate agents can take to minimise their exposure to cyber risks. Agents can request that their suppliers have robust security measures in place, such as two-factor authentication, encryption, and regular vulnerability assessments.

One of the most effective ways to protect against supply chain attacks in real estate is to implement a vendor risk management program such as provided by Secure Konnect. This program can help identify high-risk suppliers and ensure that they have appropriate security controls in place. Regular assessments of suppliers can also help identify any potential security weaknesses or vulnerabilities.

Secure communication channels

Another essential aspect of supply chain cyber security is the use of secure communication channels. Real estate agents must ensure that they use secure communication channels when exchanging sensitive information with their suppliers. Encryption of sensitive data should be mandatory, and passwords should be complex and changed regularly.

It is also important for real estate agents to educate their employees on cyber security best practices. Employees should receive regular training on identifying and reporting potential cyber security threats.

In conclusion, supply chain cyber security is a critical aspect of risk management for real estate agents in Australia. The number of suppliers involved in a real estate transaction means that there is a higher risk of a cyber attack caused by a supply chain breach.

To protect themselves and their clients, real estate agents must prioritise supply chain cyber security. By following best practices for vendor risk management, secure communication channels, and employee education, real estate agents can reduce their risk of a cyber attack and protect their business and clients from harm.