before purchasing a leaseback property
• Location: having a leaseback in a premium location might reduce the risks of not receiving your rental income and will enhance your chances to obtain a buyer if you decide to sell.
• Due diligence: check the track record of the management company.
• Plan your budget: do not rely on the rental income alone to repay your mortgage.
• Be aware of developers or management companies offering a high return: their offer may not be sustainable in the long-term.