Property management software sits at the heart of modern real estate operations. It stores rent histories, social security numbers, bank details, and even access credentials for smart devices. That makes it a magnet for cybercriminals. In 2024, cyberattacks on real‑estate data increased by 15%, with smaller firms particularly at risk. Poor encryption, outdated software and weak access controls leave sensitive tenant data exposed. Violations of regulations like GDPR and CCPA add another layer of risk and can lead to costly fines. Many organisations underestimate the cost of a breach. The average global cost of a data breach rose to $4.88 million in 2024. Thirty percent of real‑estate firms reported a cybersecurity incident in the past two years, yet only half feel prepared to handle such threats. Unpatched software vulnerabilities account for 60% of breaches, and companies that delay updates are seven times more likely to face ransomware attacks. Third‑party integrations and IoT devices introduce additional attack vectors, while human error and phishing scams remain common causes of data exposure. Common Vulnerabilities and Mitigation Strategies Risk factor | Evidence | Recommended control --- | --- | --- Unauthorized access | Weak authentication measures allow intruders to infiltrate sensitive tenant information | Implement role‑based access control (RBAC) so users only see data needed for their job; enforce strong password policies Poor or no encryption | Many systems fail to encrypt data at rest or in transit, leaving credit card numbers and personal information exposed | Encrypt all data in storage and during transmission; use industry‑standard encryption protocols Outdated software | Unpatched vulnerabilities account for 60% of data breaches | Maintain regular update schedules; apply patches promptly, even if downtime is inconvenient Third‑party integrations & IoT devices | External platforms and smart devices may lack robust security features | Vet vendors for security compliance; enforce encryption for all data exchanges; limit integrations to trusted providers Human error & social engineering | Insider mistakes and phishing attacks are leading causes of breaches | Provide cybersecurity training; use multi‑factor authentication; establish clear protocols for handling sensitive data A Blueprint for Secure Operations • Conduct a security audit. Identify where sensitive data resides and who has access. Document third‑party connections and IoT devices. • Implement RBAC and MFA. Role‑based permissions reduce insider risk, while multi‑factor authentication adds an extra layer of defence. • Encrypt everything. Protect data at rest and in transit; ensure backups are also encrypted. • Patch relentlessly. Treat updates as essential maintenance. Outdated software is a door left open to attackers. • Vet your vendors. Demand evidence of GDPR/CCPA compliance and ISO 27001 certification from software providers and integration partners. • Train your team. Regularly educate staff on phishing scams, password hygiene and incident reporting. Why It Matters • Protect tenant trust. Tenants entrust you with their personal data. Breaches damage reputation and erode relationships. • Avoid regulatory fines. Non‑compliance with GDPR, CCPA and other data privacy laws can lead to substantial penalties. • Reduce financial risk. Preventing a data breach saves millions in remediation costs, legal fees and lost revenue. • Strengthen operational resilience. A secure tech stack withstands disruptions and ensures business continuity. Final insight: Data security isn’t a feature—it’s a foundation. In an industry built on trust, securing tenant information is the only way to scale PropTech without exposing your business to catastrophic risk.