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LexisNexis Risk Solutions True Cost of Fraud Study: Real Estate Report Reveals Every $1 of Fraud Costs Depository Originators $5.34

LexisNexis Risk Solutions True Cost of Fraud Study: Real Estate Report Reveals Every $1 of Fraud Costs Depository Originators $5.34
PR Newswire
ATLANTA, May 17, 2022

Mortgage-Related Fraud Increases Over Past Three Years as Online and Mobile-Only M…

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LexisNexis Risk Solutions True Cost of Fraud Study: Real Estate Report Reveals Every $1 of Fraud Costs Depository Originators $5.34

PR Newswire

Mortgage-Related Fraud Increases Over Past Three Years as Online and Mobile-Only Mortgage Transactions Increase

ATLANTA, May 17, 2022 /PRNewswire/ -- LexisNexis® Risk Solutions today released the inaugural edition of the True Cost of Fraud™ Study for Real Estate. The newest addition to the True Cost of Fraud™ suite of reports, the study surveyed 360 risk and fraud executives in the industry to analyze current fraud trends in the United States mortgage originator, mortgage services and title/settlement markets. The report also explores key industry pain points related to fraud detection, prevention and the customer experience. In addition to analyzing the cost of fraud with the level of successful attacks, the study explores the time and resources that mortgage originators and services applied to prevent attacks.

A large majority of firms report that overall fraud has increased during the past 1-3 years with consumer fraud accounting for about two-thirds of lender and servicer fraud losses over the last 12 months. A significant majority of firms indicated that the pandemic increased application fraud across channels, not just for online and mobile. As the front end of the mortgage process, application fraud is a key entry point for fraudsters.

Key findings from True Cost of Fraud Study for Real Estate:

  • Attacks and Costs: The cost and volume of mortgage-related fraud is high for originators, servicers and title/settlement firms, with labor for fraud detection, investigation, reporting and recovery being a significant part of these costs. Depository originators have the highest cost, where every $1 of fraud costs them $5.34. Non-depository originators (mortgage lending companies) realize an average cost of $4.66 for every $1 of fraud, a significantly smaller figure.

  • Digital Transactional Impacts on Fraud: Fraud costs are largely coming from consumers seeking to purchase a new home through online and mobile transactions. Direct-to-consumer (retail) and correspondent lending are the leading transaction types, with direct-to-customers representing a larger share of fraud costs and average monthly attacks. However, depository originators and title/settlement companies also experience a sizeable portion of fraud losses from construction-related loans.

  • Top Fraud Challenges: Identity verification is a top challenge for mortgage originators, servicers and title/settlement companies. The challenge involves assessing digital identity attributes such as email/phone number and identifying synthetic identities. This contributes to other issues related to customer friction, the inability to detect malicious bots and difficulties distinguishing between legitimate and fake consumers. The pandemic and growing mobile channel have added fuel to these issues and increase risk of fraud with call center/phone-based interactions.

  • Best Practices: Findings show that firms using a multi-layered solutions approach integrated with cybersecurity and digital customer experience operations can lower fraud and subsequent costs while improving identity verification and fraud detection effectiveness. Integrating fraud prevention with cybersecurity operations throughout the digital customer experience and layering in supportive capabilities such as artificial intelligence and machine learning further strengthens fraud prevention.

"Although the future is uncertain, it's safe to assume that the accelerated movement to online/mobile transactions will continue to grow and that mortgage originators, servicers and title/settlement companies should build out and enhance the digital customer experience while protecting against fraud," said Dawn Hill, director of real estate fraud and identity strategy at LexisNexis Risk Solutions. "A successful fraud detection and prevention approach involves an integration of technology, cybersecurity and digital experience operations in a way that addresses the unique risks from different transaction channels and payment methods, as well as by individuals and types of transactions."

Download a copy of the True Cost of Fraud Study for Real Estate.  

About LexisNexis Risk Solutions 
LexisNexis® Risk Solutions harnesses the power of data and advanced analytics to provide insights that help businesses and governmental entities reduce risk and improve decisions to benefit people around the globe. We provide data and technology solutions for a wide range of industries including insurance, financial services, healthcare and government. Headquartered in metro Atlanta, Georgia, we have offices throughout the world and are part of RELX (LSE: REL/NYSE: RELX), a global provider of information-based analytics and decision tools for professional and business customers. For more information, please visit www.risk.lexisnexis.com and www.relx.com.

LexisNexis and the Knowledge Burst logo are registered trademarks of RELX Inc. Copyright © 2022 LexisNexis Risk Solutions Group. 

Media Contact: 
Marcy Theobald 
678.232.0948 
marcy.theobald@lexisnexisrisk.com 

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Economics

Global IT Consulting Sourcing and Procurement Report with Pandemic Impact Analysis, Supplier Evaluation and Price Trends | SpendEdge

Global IT Consulting Sourcing and Procurement Report with Pandemic Impact Analysis, Supplier Evaluation and Price Trends | SpendEdge
PR Newswire
NEW YORK, July 3, 2022

Over 200 Forbes 2000 companies rely on our actionable insightsMore than 100 CPOs…

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Global IT Consulting Sourcing and Procurement Report with Pandemic Impact Analysis, Supplier Evaluation and Price Trends | SpendEdge

PR Newswire

  • Over 200 Forbes 2000 companies rely on our actionable insights
  • More than 100 CPOs and 500 category managers use our insights daily
  • SpendEdge has the fastest growth rate in number of reports and client base

NEW YORK, July 3, 2022 /PRNewswire/ -- The IT Consulting market size is expected to grow by USD 131.35 Billion by 2025, at a Compound Annual Growth Rate (CAGR) of 9.19% during the forecast period. To know more about this market.

Request For a Free Sample Report

IT Consulting Market Analysis

Analysis of the cost and volume drivers and supply market forecasts in various regions are offered in this IT Consulting research report. This market intelligence report also analyzes the top supply markets, market opportunities, challenges and the critical cost drivers that can aid buyers and suppliers devise a cost-effective category management strategy.

The report provides insights on the following information:

  • Regional spend dynamism and factors impacting costs
  • The total cost of ownership and cost-saving opportunities
  • Supply chain margins and pricing models
  • Competitiveness index for suppliers
  • Market favorability index for suppliers
  • Supplier and buyer KPIs

Get detailed insights on the COVID-19 pandemic crisis and recovery analysis of IT Consulting Market

www.spendedge.com/report/it-consulting-services-market-procurement-research-report

Related Reports on Professional Services Market:

Detect blind spots in your revenue decisions by analyzing interconnected unknowns around the "IT Consulting Market."

Report Metrics

Details

Base year considered

2021

Forecast period

2021 - 2025

Forecast units

USD Billion

Geographies covered

North America, South America, Europe, Middle East and Africa, and APAC

Leading IT Consulting suppliers

Deloitte Touche Tohmatsu Ltd., PricewaterhouseCoopers International Ltd., and Ernst & Young Global Ltd.

Top Pricing Models

Flat-fee model, hourly rate model, and cost-plus model

This procurement report answers help buyers identify and shortlist the most suitable suppliers for their IT Consulting Market requirements following questions:

  • Am I engaging with the right suppliers?
  • Which KPIs should I use to evaluate my incumbent suppliers?
  • Which supplier selection criteria are relevant for?
  • What are the workplace computing devices category essentials in terms of SLAs and RFx?

Table of Content

  • Executive Summary
  • Market Insights
  • Category Pricing Insights
  • Cost-saving Opportunities
  • Best Practices
  • Category Ecosystem
  • Category Management Strategy
  • Category Management Enablers
  • Suppliers Selection
  • Suppliers under Coverage
  • US Market Insights
  • Category scope

Appendix

About SpendEdge:

SpendEdge shares your passion for driving sourcing and procurement excellence. We are the preferred procurement market intelligence partner for 120+ Fortune 500 firms and other leading companies across numerous industries. Our strength lies in delivering robust, real-time procurement market intelligence reports and solutions.

Contact
SpendEdge
Anirban Choudhury
Marketing Manager
Ph No: +1 (872) 206-9340 
https://www.spendedge.com/contact-us

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Spread & Containment

Visualizing A Decade Of Population Growth And Decline In US Counties

Visualizing A Decade Of Population Growth And Decline In US Counties

There are a number of factors that determine how much a region’s population…

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Visualizing A Decade Of Population Growth And Decline In US Counties

There are a number of factors that determine how much a region’s population changes.

If an area sees a high number of migrants, along with a strong birth rate and low death rate, then its population is bound to increase over time. On the flip side, as Visual Capitalists Nick Routley details below, if more people are leaving the area than coming in, and the region’s birth rate is low, then its population will likely decline.

Which areas in the United States are seeing the most growth, and which places are seeing their populations dwindle?

This map, using data from the U.S. Census Bureau, shows a decade of population movement across U.S. counties, painting a detailed picture of U.S. population growth between 2010 and 2020.

Counties With The Biggest Population Growth from 2010-2020

To calculate population estimates for each county, the U.S. Census Bureau does the following calculations:

      A county’s base population → plus births → minus deaths → plus migration = new population estimate

From 2010 to 2020, Maricopa County in Arizona saw the highest increase in its population estimate. Over a decade, the county gained 753,898 residents. Below are the counties that saw the biggest increases in population:

Phoenix and surrounding areas grew faster than any other major city in the country. The region’s sunny climate and amenities are popular with retirees, but another draw is housing affordability. Families from more expensive markets—California in particular—are moving to the city in droves. This is a trend that spilled over into the pandemic era as more people moved into remote and hybrid work situations.

Texas counties saw a lot of growth as well, with five of the top 10 gainers located in the state of Texas. A big draw for Texas is its relatively affordable housing market. In 2021, average home prices in the state stood at $172,500$53,310 below the national average.

Counties With The Biggest Population Drops from 2010-2020

On the opposite end of the spectrum, here’s a look at the top 10 counties that saw the biggest declines in their populations over the decade:

The largest drops happened in counties along the Great Lakes, including Cook County (which includes the city of Chicago) and Wayne County (which includes the city of Detroit).

For many of these counties, particularly those in America’s “Rust Belt”, population drops over this period were a continuation of decades-long trends. Wayne County is an extreme example of this trend. From 1970 to 2020, the area lost one-third of its population.

U.S. Population Growth in Percentage Terms (2010-2020)

While the map above is great at showing where the greatest number of Americans migrated, it downplays big changes in counties with smaller populations.

For example, McKenzie County in North Dakota, with a 2020 population of just 15,242, was the fastest-growing U.S. county over the past decade. The county’s 138% increase was driven primarily by the Bakken oil boom in the area. High-growth counties in Texas also grew as new sources of energy were extracted in rural areas.

The nation’s counties are evenly divided between population increase and decline, and clear patterns emerge.

Pandemic Population Changes

More recent population changes reflect longer-term trends. During the COVID-19 pandemic, many of the counties that saw the strongest population increases were located in high-growth states like Florida and Texas.

Below are the 20 counties that grew the most from 2020 to 2021.

Many of these counties are located next to large cities, reflecting a shift to the suburbs and larger living spaces. However, as COVID-19 restrictions ease, and the pandemic housing boom tapers off due to rising interest rates, it remains to be seen whether the suburban shift will continue, or if people begin to migrate back to city centers.

Tyler Durden Sat, 07/02/2022 - 21:00

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Economics

The Best Cities to Buy a Starter Home

Competition for starter homes is intense. What’s a buyer to do? Look to these cities to break into the real estate market.

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Competition for starter homes is intense. What's a buyer to do? Look to these cities to break into the real estate market.

Who wants to buy a home? A lot more people than there are homes to buy, and the outlook for first-time buyers is particularly grim.

About 26 million Americans plan to buy a home in the next 12 months, but just 5-6 million homes were sold in each of the past five years, according to a NerdWallet survey conducted in December 2021.

Millennials, aged about 26-41 years, are the largest group trying to buy homes, about 37%, according to the National Association of Realtors, and first-time buyers made up 31% of all home buyers. The supply of starter homes decreased by more than half from 2017-2021, according to an analysis by Realtor.com, which defined starters as single-family homes, condos, and townhomes under 1,850 square feet.

While median monthly asking rent in the U.S. surpassed $2,000 in May, the national median sale price topped $431,000, according to Redfin data.

And it’s not just low inventory and high prices, the competition is fierce for first-time homebuyers. Urban renters headed for the suburbs during the pandemic to compete for those entry-level homes, baby boomers looking to downsize also go after smaller properties, and to make matters worse, first-time home buyers must compete with investors who pay cash to fix and flip homes. These cash-rich flippers now make up about 10% of homebuyers

Lastly, builders have largely been unable to offset the decline in starter homes.

For the house hunter who still has the moxie to try, turn to this list of cheapest cities to buy a home. To find the cheapest places for homebuyers and the best places for starter homes, StorageCafe, an online platform that provides storage unit listings across the nation, looked at data from 108 U.S. cities with populations ranging from 90,000 to 8 million. The metrics include property values, number of sales between 2015 and 2021, housing affordability, cost of living, unemployment rate, homebuyers’ ages, the ratio of renters to owners, income levels, FHA lending limits and average mortgage rates. They scored each city on these metrics then ranked them based on their potential with regard to starter homes.

Here are the best cities for first-time homebuyers:

1. Fort Wayne, Ind.

  • Median property value: $113,144
  • Cost of living index: 87
  • Homebuyers' age: 35
  • 2021 average mortgage rate: 3.14%

The analysis used average mortgage rates from 2021, and rates have since gone up, hovering near 6% in June, but last year's rates might still give you a sense of where rates tend to be lower.

2. Columbia Md.

  • Median property value: $264,055
  • Cost of living index:106
  • Homebuyers' age: 39
  • 2021 average mortgage rate: 3.00%

3. Pittsburgh

  • Median property value: $170,042
  • Cost of living index:104
  • Homebuyers' age: 38
  • 2021 average mortgage rate: 3.03%

Shutterstock

4. Fishers, Ind.

  • Median property value: $258,679
  • Cost of living index: 92
  • Homebuyers' age: 38
  • 2021 average mortgage rate: 3.14%

5. Columbus, Ohio

  • Median property value: $164,229
  • Cost of living index: 92
  • Homebuyers' age: 39
  • 2021 average mortgage rate: 3.16%

aceshot1 / Shutterstock

6. Carmel, Ind.

  • Median property value: $244,670
  • Cost of living index: 104
  • Homebuyers' age: 40
  • 2021 average mortgage rate: 3.01%

7. St. Paul, Minn.

  • Median property value: $286,151
  • Cost of living index: 92
  • Homebuyers' age: 38
  • 2021 average mortgage rate: 3.14%

8. Cary, N.C.

  • Median property value: $308,611
  • Cost of living index: 94
  • Homebuyers' age: 43
  • 2021 average mortgage rate: 3.02%

9. Manchester, N.H.

  • Median property value: $276,257
  • Cost of living index: 111
  • Homebuyers' age: 40
  • 2021 average mortgage rate: 3.03%

10. Minneapolis

  • Median property value: $288,926
  • Cost of living index: 105
  • Homebuyers' age: 40
  • 2021 average mortgage rate: 3.01%

11. Nashville, Tenn.

  • Median property value: $318,046
  • Cost of living index: 93
  • Homebuyers' age: 39
  • 2021 average mortgage rate: 3.02%

f11photo / Shutterstock

12. Bakersfield, Calif.

  • Median property value: $216,063
  • Cost of living index: 102
  • Homebuyers' age: 40
  • 2021 average mortgage rate: 3.04%

13. Arvada, Colo.

  • Median property value: $476,672
  • Cost of living index: 114
  • Homebuyers' age: 39
  • 2021 average mortgage rate: 3.00%

14. Alexandria, Va.

  • Median property value: $432,703
  • Cost of living index: 137
  • Homebuyers' age: 40
  • 2021 average mortgage rate: 2.99%

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15. Centennial, Colo.

  • Median property value: $444,747
  • Cost of living index: 114
  • Homebuyers' age: 39
  • 2021 average mortgage rate: 3.00%

16. Denver

  • Median property value: $505,777
  • Cost of living index: 113
  • Homebuyers' age: 39
  • 2021 average mortgage rate: 3.00%

17. Raleigh, N.C.

  • Median property value: $279,304
  • Cost of living index: 94
  • Homebuyers' age: 43
  • 2021 average mortgage rate: 3.02%

18. Germantown, Md.

  • Median property value: $261,511
  • Cost of living index: 157
  • Homebuyers' age: 39
  • 2021 average mortgage rate: 3.00%

19. St. Petersburg, Fla.

  • Median property value: $283,684
  • Cost of living index: 96
  • Homebuyers' age: 53
  • 2021 average mortgage rate: 3.11%

20. Lakewood, Colo.

  • Median property value: $380,165
  • Cost of living index: 114
  • Homebuyers' age: 39
  • 2021 average mortgage rate: 3.00%

21. Aurora, Colo.

  • Median property value: $360,542
  • Cost of living index: 114
  • Homebuyers' age: 39
  • 2021 average mortgage rate: 3.00%

22. Boca Raton, Fla.

  • Median property value: $280,104
  • Cost of living index: 116
  • Homebuyers' age: 51
  • 2021 average mortgage rate: 3.11%

23. Modesto, Calif.

  • Median property value: $319,328
  • Cost of living index: 119
  • Homebuyers' age: 39
  • 2021 average mortgage rate: 3.04%

Shutterstock

24. Chandler, Ariz.

  • Median property value: $388,450
  • Cost of living index: 103
  • Homebuyers' age: 51
  • 2021 average mortgage rate: 3.12%

Shutterstock

25. Las Vegas

  • Median property value: $265,170
  • Cost of living index: 107
  • Homebuyers' age: 50
  • 2021 average mortgage rate: 3.11%

26. Washington, D.C.

  • Median property value: $623,135
  • Cost of living index: 157
  • Homebuyers' age: 40
  • 2021 average mortgage rate: 4.90%

27. Scottsdale, Ariz.

  • Median property value: $478,609
  • Cost of living index: 103
  • Homebuyers' age: 51
  • 2021 average mortgage rate: 3.12%

28. Spokane, Wash.

  • Median property value: $300,881
  • Cost of living index: 107
  • Homebuyers' age: 44
  • 2021 average mortgage rate: 3.06%

29. Peoria, Ariz.

  • Median property value: $373,588
  • Cost of living index: 103
  • Homebuyers' age: 51
  • 2021 average mortgage rate: 3.12%

30. Gilbert, Ariz.

  • Median property value: $409,324
  • Cost of living index: 103
  • Homebuyers' age: 51
  • 2021 average mortgage rate: 3.12%

31. Portland, Ore.

  • Median property value: $484,475
  • Cost of living index: 132
  • Homebuyers' age: 44
  • 2021 average mortgage rate: 3.08%

Check out how all 108 cities ranked and see the methodology for this study at StorageCafe.com

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